Document and Entity Information
Document and Entity Information | 9 Months Ended |
Aug. 31, 2016shares | |
Document And Entity Information [Abstract] | |
Entity Registrant Name | JEFFERIES GROUP LLC |
Entity Central Index Key | 1,084,580 |
Current Fiscal Year End Date | --11-30 |
Entity Filer Category | Non-accelerated Filer |
Document Type | 10-Q |
Document Period End Date | Aug. 31, 2016 |
Document Fiscal Year Focus | 2,016 |
Document Fiscal Period Focus | Q3 |
Amendment Flag | false |
Entity Common Stock, Shares Outstanding | 0 |
Consolidated Statements of Fina
Consolidated Statements of Financial Condition (Unaudited) - USD ($) $ in Thousands | Aug. 31, 2016 | Nov. 30, 2015 |
ASSETS | ||
Cash and cash equivalents ($10,442 and $2,015 at August 31, 2016 and November 30, 2015, respectively, related to consolidated VIEs) | $ 3,159,143 | $ 3,510,163 |
Cash and securities segregated and on deposit for regulatory purposes or deposited with clearing and depository organizations | 1,026,865 | 751,084 |
Financial instruments owned, at fair value, (including securities pledged of $10,458,629 and $12,207,123 at August 31, 2016 and November 30, 2015, respectively; and $91,146 and $68,951 at August 31, 2016 and November 30, 2015, respectively, related to consolidated VIEs) | 14,327,919 | 16,559,116 |
Investments in managed funds | 191,692 | 85,775 |
Loans to and investments in related parties | 657,074 | 825,908 |
Securities borrowed | 8,460,736 | 6,975,136 |
Securities purchased under agreements to resell | 4,038,194 | 3,857,306 |
Receivables: | ||
Brokers, dealers and clearing organizations | 1,938,174 | 1,574,759 |
Customers | 849,317 | 1,191,316 |
Fees, interest and other ($549 and $329 at August 31, 2016 and November 30, 2015, respectively, related to consolidated VIEs) | 293,072 | 260,924 |
Premises and equipment | 254,674 | 243,486 |
Goodwill | 1,645,293 | 1,656,588 |
Other assets | 1,285,524 | 1,072,411 |
Total assets | 38,127,677 | 38,563,972 |
LIABILITIES AND EQUITY | ||
Short-term borrowings | 432,235 | 310,659 |
Financial instruments sold, not yet purchased, at fair value | 7,944,072 | 6,785,064 |
Collateralized financings: | ||
Securities loaned | 2,930,376 | 2,979,300 |
Securities sold under agreements to repurchase | 8,130,434 | 10,004,428 |
Other secured financings (includes $53,586 and $68,345 at fair value at August 31, 2016 and November 30, 2015, respectively; and $606,307 and $762,909 at August 31, 2016 and November 30, 2015, respectively, related to consolidated VIEs) | 606,307 | 762,909 |
Payables: | ||
Brokers, dealers and clearing organizations | 3,495,173 | 2,742,001 |
Customers | 2,749,325 | 2,780,493 |
Accrued expenses and other liabilities ($764 and $893 at August 31, 2016 and November 30, 2015, respectively, related to consolidated VIEs) | 1,030,425 | 1,049,019 |
Long-term debt (includes $204,422 and $0 at fair value at August 31, 2016 and November 30, 2015, respectively) | 5,482,738 | 5,640,722 |
Total liabilities | 32,801,085 | 33,054,595 |
EQUITY | ||
Member’s paid-in capital | 5,450,923 | 5,526,855 |
Accumulated other comprehensive loss: | ||
Currency translation adjustments | (116,859) | (36,811) |
Changes in instrument specific credit risk | (4,771) | 0 |
Additional minimum pension liability | (7,891) | (8,135) |
Total accumulated other comprehensive loss | (129,521) | (44,946) |
Total member’s equity | 5,321,402 | 5,481,909 |
Noncontrolling interests | 5,190 | 27,468 |
Total equity | 5,326,592 | 5,509,377 |
Total liabilities and equity | $ 38,127,677 | $ 38,563,972 |
Consolidated Statements of Fin3
Consolidated Statements of Financial Condition (Unaudited) (Parenthetical) - USD ($) $ in Thousands | Aug. 31, 2016 | Nov. 30, 2015 |
Cash and cash equivalents | $ 3,159,143 | $ 3,510,163 |
Pledged financial instruments | 10,458,629 | 12,207,123 |
Financial instruments, owned, at fair value | 14,327,919 | 16,559,116 |
Fees, interest and other | 293,072 | 260,924 |
Other secured financings at fair value | 53,586 | 68,345 |
Other secured financings | 606,307 | 762,909 |
Accrued expenses and other liabilities | 1,030,425 | 1,049,019 |
Long-term debt at fair value | 204,422 | 0 |
Variable Interest Entities [Member] | ||
Cash and cash equivalents | 10,442 | 2,015 |
Financial instruments, owned, at fair value | 91,146 | 68,951 |
Fees, interest and other | 549 | 329 |
Other secured financings | 606,307 | 762,909 |
Accrued expenses and other liabilities | $ 764 | $ 893 |
Consolidated Statements of Earn
Consolidated Statements of Earnings (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2016 | Aug. 31, 2015 | |
Revenues: | ||||
Commissions and other fees | $ 152,044 | $ 172,284 | $ 454,025 | $ 512,714 |
Principal transactions | 167,483 | (50,297) | 382,290 | 211,142 |
Investment banking | 294,930 | 389,820 | 778,906 | 1,066,077 |
Asset management fees and investment income (loss) from managed funds | 15,877 | 4,182 | 29,743 | (5) |
Interest | 213,716 | 230,805 | 655,836 | 700,227 |
Other | 19,791 | 34,329 | (6,937) | 82,810 |
Total revenues | 863,841 | 781,123 | 2,293,863 | 2,572,965 |
Interest expense | 209,391 | 202,195 | 621,018 | 610,811 |
Net revenues | 654,450 | 578,928 | 1,672,845 | 1,962,154 |
Non-interest expenses: | ||||
Compensation and benefits | 376,438 | 336,499 | 1,141,497 | 1,182,484 |
Non-compensation expenses: | ||||
Floor brokerage and clearing fees | 40,189 | 45,307 | 124,259 | 159,100 |
Technology and communications | 64,512 | 89,378 | 196,000 | 234,126 |
Occupancy and equipment rental | 24,987 | 25,967 | 74,498 | 74,571 |
Business development | 20,259 | 30,527 | 67,700 | 78,865 |
Professional services | 29,761 | 24,684 | 82,799 | 76,359 |
Other | 17,582 | 19,473 | 52,649 | 51,960 |
Total non-compensation expenses | 197,290 | 235,336 | 597,905 | 674,981 |
Total non-interest expenses | 573,728 | 571,835 | 1,739,402 | 1,857,465 |
Earnings (loss) before income taxes | 80,722 | 7,093 | (66,557) | 104,689 |
Income tax expense | 39,564 | 4,609 | 5,112 | 29,470 |
Net earnings (loss) | 41,158 | 2,484 | (71,669) | 75,219 |
Net earnings (loss) attributable to noncontrolling interests | (11) | 427 | 77 | 1,647 |
Net earnings (loss) attributable to Jefferies Group LLC | $ 41,169 | $ 2,057 | $ (71,746) | $ 73,572 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2016 | Aug. 31, 2015 | ||
Statement of Comprehensive Income [Abstract] | |||||
Net earnings (loss) | $ 41,158 | $ 2,484 | $ (71,669) | $ 75,219 | |
Other comprehensive income (loss), net of tax: | |||||
Currency translation and other adjustments | (55,945) | (319) | (79,804) | (11,376) | |
Changes in instrument specific credit risk, net of tax | [1] | (2,466) | 0 | (4,771) | 0 |
Total other comprehensive income (loss), net of tax | [2] | (58,411) | (319) | (84,575) | (11,376) |
Comprehensive income (loss) | (17,253) | 2,165 | (156,244) | 63,843 | |
Net earnings (loss) attributable to noncontrolling interests | (11) | 427 | 77 | 1,647 | |
Comprehensive income (loss) attributable to Jefferies Group LLC | $ (17,242) | $ 1,738 | $ (156,321) | $ 62,196 | |
[1] | Includes income tax benefit of approximately $1.6 million and $3.1 million for the three and nine months ended August 31, 2016 | ||||
[2] | None of the components of other comprehensive income (loss) are attributable to noncontrolling interests. |
Consolidated Statements of Com6
Consolidated Statements of Comprehensive Income (Unaudited) (Parenthetical) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended |
Aug. 31, 2016 | Aug. 31, 2016 | |
Statement of Comprehensive Income [Abstract] | ||
Changes in instrument specific credit risk, tax benefit | $ 1.6 | $ 3.1 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Equity (Unaudited) - USD ($) $ in Thousands | Total | Member's paid-in capital [Member] | Accumulated other comprehensive income (loss) [Member] | Noncontrolling interests [Member] | |||
Beginning Balance at Nov. 30, 2014 | $ 5,439,256 | $ (14,673) | [1],[2] | ||||
Increase (Decrease) in Stockholders' Equity | |||||||
Net earnings (loss) attributable to Jefferies Group LLC | 93,534 | ||||||
Tax detriment for issuance of share-based awards | (5,935) | ||||||
Currency adjustments | [1],[2] | (27,157) | |||||
Changes in instrument specific credit risk, net of tax | [1],[2] | 0 | |||||
Pension adjustment, net of tax | [1],[2] | (3,116) | |||||
Ending Balance at Nov. 30, 2015 | $ 5,481,909 | 5,526,855 | (44,946) | [1],[2] | |||
Beginning Balance at Nov. 30, 2014 | $ 38,848 | ||||||
Noncontrolling interests: | |||||||
Net earnings (loss) attributable to noncontrolling interests | 1,795 | ||||||
Contributions | 0 | ||||||
Distributions | (4,982) | ||||||
Deconsolidation of asset management company | (8,193) | ||||||
Ending Balance at Nov. 30, 2015 | 27,468 | 27,468 | |||||
Noncontrolling interests: | |||||||
Total equity | 5,509,377 | ||||||
Net earnings (loss) attributable to Jefferies Group LLC | (71,746) | ||||||
Tax detriment for issuance of share-based awards | (4,186) | ||||||
Currency adjustments | (79,804) | (80,048) | [1],[2] | ||||
Changes in instrument specific credit risk, net of tax | (4,771) | [3] | (4,771) | [1],[2] | |||
Pension adjustment, net of tax | [1],[2] | 244 | |||||
Ending Balance at Aug. 31, 2016 | 5,321,402 | $ 5,450,923 | $ (129,521) | [1],[2] | |||
Noncontrolling interests: | |||||||
Net earnings (loss) attributable to noncontrolling interests | 77 | 77 | |||||
Contributions | 4,500 | ||||||
Distributions | (563) | ||||||
Deconsolidation of asset management company | (26,292) | ||||||
Ending Balance at Aug. 31, 2016 | 5,190 | $ 5,190 | |||||
Noncontrolling interests: | |||||||
Total equity | $ 5,326,592 | ||||||
[1] | The components of other comprehensive income (loss) are attributable to Jefferies Group LLC. None of the components of other comprehensive income (loss) are attributable to noncontrolling interests. | ||||||
[2] | There were no material reclassifications out of Accumulated other comprehensive income (loss) during the nine months ended August 31, 2016 and the year ended November 30, 2015. | ||||||
[3] | Includes income tax benefit of approximately $1.6 million and $3.1 million for the three and nine months ended August 31, 2016 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands | 9 Months Ended | |
Aug. 31, 2016 | Aug. 31, 2015 | |
Cash flows from operating activities: | ||
Net earnings (loss) | $ (71,669) | $ 75,219 |
Adjustments to reconcile net earnings (loss) to net cash used in operating activities: | ||
Depreciation and amortization | (2,888) | 10,784 |
Loss (income) on loans to and investments in related parties | 15,862 | (87,692) |
Distributions received on investments in related parties | 11,187 | 70,825 |
Other adjustments | 13,359 | (64,479) |
Net change in assets and liabilities: | ||
Cash and securities segregated and on deposit for regulatory purposes or deposited with clearing and depository organizations | (277,019) | 2,538,334 |
Receivables: | ||
Brokers, dealers and clearing organizations | (392,632) | 100,690 |
Customers | 341,930 | (52,530) |
Fees, interest and other | (35,514) | (41,759) |
Securities borrowed | (1,510,588) | (852,183) |
Financial instruments owned | 2,079,134 | (321,076) |
Investments in managed funds | (132,941) | 14,508 |
Securities purchased under agreements to resell | (248,931) | (351,875) |
Other assets | (237,291) | (8,988) |
Payables: | ||
Brokers, dealers and clearing organizations | 781,782 | 192,867 |
Customers | (31,159) | (3,454,703) |
Securities loaned | (22,326) | 1,049,172 |
Financial instruments sold, not yet purchased | 1,269,261 | 601,758 |
Securities sold under agreements to repurchase | (1,824,027) | 176,960 |
Accrued expenses and other liabilities | 68,024 | (228,986) |
Net cash used in operating activities | (206,446) | (633,154) |
Cash flows from investing activities: | ||
Contributions to loans to and investments in related parties | (343,835) | (1,111,830) |
Distributions from loans to and investments in related parties | 485,620 | 1,119,775 |
Net payments on premises and equipment | (51,001) | (51,348) |
Payment on purchase of aircraft | (27,500) | 0 |
Proceeds from sale of aircraft | 29,450 | 0 |
Deconsolidation of asset management entity | (39) | (16,512) |
Cash received from contingent consideration | 1,211 | 2,541 |
Net cash provided by (used in) investing activities | 93,906 | (57,374) |
Cash flows from financing activities: | ||
Excess tax benefits from the issuance of share-based awards | 384 | 423 |
Proceeds from short-term borrowings | 8,350,534 | 14,422,000 |
Payments on short-term borrowings | (8,229,669) | (14,422,000) |
Proceeds from secured credit facility | 0 | 903,000 |
Payments on secured credit facility | 0 | (1,073,000) |
Net (payments on) proceeds from other secured financings | (156,602) | 200,810 |
Net proceeds from issuance of long-term debt, net of issuance costs | 239,779 | 0 |
Repayment of long-term debt | (373,246) | 0 |
Net change in bank overdrafts | (56,126) | 24,466 |
Net proceeds from noncontrolling interests | 3,937 | 0 |
Net cash (used in) provided by financing activities | (221,009) | 55,699 |
Effect of exchange rate changes on cash and cash equivalents | (17,471) | (3,354) |
Net decrease in cash and cash equivalents | (351,020) | (638,183) |
Cash and cash equivalents at beginning of period | 3,510,163 | 4,079,968 |
Cash and cash equivalents at end of period | 3,159,143 | 3,441,785 |
Cash paid (received) during the period for: | ||
Interest | 675,896 | 621,279 |
Income taxes, net | $ (8,011) | $ 1,574 |
Organization and Basis of Prese
Organization and Basis of Presentation | 9 Months Ended |
Aug. 31, 2016 | |
Accounting Policies [Abstract] | |
Organization and Basis of Presentation | Organization and Basis of Presentation Organization Jefferies Group LLC and its subsidiaries operate as a global full service, integrated securities and investment banking firm. The accompanying Consolidated Financial Statements represent the accounts of Jefferies Group LLC and all our subsidiaries (together “we” or “us”). The subsidiaries of Jefferies Group LLC include Jefferies LLC (“Jefferies”), Jefferies Execution Services, Inc. (“Jefferies Execution”), Jefferies International Limited, Jefferies Hong Kong Limited, Jefferies Financial Services, Inc., Jefferies Funding LLC, Jefferies Financial Products, LLC, Jefferies Leveraged Credit Products, LLC and all other entities in which we have a controlling financial interest or are the primary beneficiary. On April 9, 2015, we entered into an agreement to transfer certain of the client activities of our Futures business to Société Générale S.A. and initiated a plan to substantially exit the remaining aspects of our futures business. During the second quarter of 2016, we completed the exit of the futures business. For further information on the exit of the Bache business, refer to Note 21, Exit Costs . Jefferies Group LLC is an indirect wholly owned subsidiary of Leucadia National Corporation (“Leucadia”). Leucadia does not guarantee any of our outstanding debt securities. Our 3.875% Convertible Senior Debentures due 2029 are convertible into Leucadia common shares (see Note 12, Long-Term Debt , for further details). Jefferies Group LLC operates as a full-service investment banking firm and, as the holding company of its various regulated and unregulated operating subsidiaries, retains a credit rating separate from Leucadia and is a Securities and Exchange Commission (“SEC”) reporting company, filing annual, quarterly and periodic financial reports. Richard Handler, our Chief Executive Officer and Chairman, is the Chief Executive Officer of Leucadia, as well as a Director of Leucadia. Brian P. Friedman, our Chairman of the Executive Committee, is Leucadia’s President and a Director of Leucadia. We operate in two business segments, Capital Markets and Asset Management. Capital Markets, which represents substantially our entire business, includes our securities, commodities, futures and foreign exchange trading and investment banking activities, which provides the research, sales, trading, origination and advisory effort for various equity, fixed income and advisory products and services. Asset Management provides investment management services to various private investment funds and separate accounts. Basis of Presentation The accompanying Consolidated Financial Statements have been prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) and should be read in conjunction with our Annual Report on Form 10-K for the year ended November 30, 2015 . We have made a number of estimates and assumptions relating to the reporting of assets and liabilities and the disclosure of contingent assets and liabilities to prepare these financial statements in conformity with U.S. GAAP. The most important of these estimates and assumptions relate to fair value measurements, compensation and benefits, goodwill and intangible assets, the ability to realize deferred tax assets and the recognition and measurement of uncertain tax positions. Although these and other estimates and assumptions are based on the best available information, actual results could be materially different from these estimates. Consolidation Our policy is to consolidate all entities that we control by ownership a majority of the outstanding voting stock. In addition, we consolidate entities that meet the definition of a variable interest entity (“VIE”) for which we are the primary beneficiary. The primary beneficiary is the party who has the power to direct the activities of a VIE that most significantly impact the entity’s economic performance and who has an obligation to absorb losses of the entity or a right to receive benefits from the entity that could potentially be significant to the entity. For consolidated entities that are less than wholly owned, the third-party’s holding of equity interest is presented as Noncontrolling interests in the Consolidated Statements of Financial Condition and Consolidated Statements of Changes in Equity. The portion of net earnings attributable to the noncontrolling interests is presented as Net earnings to noncontrolling interests in the Consolidated Statements of Earnings. In situations in which we have significant influence, but not control, of an entity that does not qualify as a VIE, we apply either the equity method of accounting or fair value accounting pursuant to the fair value option election under U.S. GAAP, with our portion of net earnings or gains and losses recorded within Other revenues or Principal transaction revenues, respectively. We also have formed nonconsolidated investment vehicles with third-party investors that are typically organized as partnerships or limited liability companies and are carried at fair value. We act as general partner or managing member for these investment vehicles and have generally provided the third-party investors with termination or “kick-out” rights. Intercompany accounts and transactions are eliminated in consolidation. Immaterial Adjustments We made immaterial correcting adjustments (referred to as “adjustments”) to our Consolidated Statement of Cash Flows for the nine months ended August 31, 2015. The adjustments had the impact of decreasing the Net change in accrued expenses and other liabilities by $24.5 million ( $204.5 million as originally reported and $228.9 million as revised), increasing the Net change in bank overdrafts by $24.5 million ( $0.0 as originally reported and $24.5 million as revised), decreasing the Net cash used in operating activities by $24.5 million ( $608.7 million as originally reported and $633.1 million as revised) and increasing the Net cash provided by financing activities by $24.5 million ( $31.2 million as originally reported and $55.7 million as revised) on the Consolidated Statements of Cash Flows for the nine months ended August 31, 2015. The adjustments relate to a classification error in the reporting of net change in bank overdrafts within our Consolidated Statements of Cash Flows. The adjustments have no effect on our Consolidated Statements of Financial Condition, the Consolidated Statements of Earnings, the Consolidated Statements of Changes in Equity or the Consolidated Statements of Comprehensive Income for the nine months ended August 31, 2015. We do not believe these adjustments are material to our financial statements for any previously reported period. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 9 Months Ended |
Aug. 31, 2016 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies Revenue Recognition Policies Commissions and Other Fees. All customer securities transactions are reported on the Consolidated Statements of Financial Condition on a settlement date basis with related income reported on a trade-date basis. We permit institutional customers to allocate a portion of their gross commissions to pay for research products and other services provided by third parties. The amounts allocated for those purposes are commonly referred to as soft dollar arrangements. These arrangements are accounted for on an accrual basis and, as we are not the primary obligor for these arrangements, netted against commission revenues in the Consolidated Statements of Earnings. In addition, we earn asset-based fees associated with the management and supervision of assets, account services and administration related to customer accounts. Principal Transactions. Financial instruments owned and Financial instruments sold, but not yet purchased (all of which are recorded on a trade-date basis) are carried at fair value with gains and losses reflected in Principal transaction revenues in the Consolidated Statements of Earnings on a trade date basis. Fees received on loans carried at fair value are also recorded within Principal transaction revenues. Investment Banking. Underwriting revenues and fees from mergers and acquisitions, restructuring and other investment banking advisory assignments or engagements are recorded when the services related to the underlying transactions are completed under the terms of the assignment or engagement. Expenses associated with such assignments are deferred until reimbursed by the client, the related revenue is recognized or the engagement is otherwise concluded. Expenses are recorded net of client reimbursements and netted against revenues. Unreimbursed expenses with no related revenues are included in Business development and Professional services expenses in the Consolidated Statements of Earnings. Asset Management Fees and Investment Income from Managed Funds. Asset management fees and investment income from managed funds include revenues we earn from management, administrative and performance fees from funds and accounts managed by us, revenues from management and performance fees we earn from related-party managed funds and investment income from our investments in these funds. We earn fees in connection with management and investment advisory services performed for various funds and managed accounts. These fees are based on assets under management or an agreed upon notional amount and may include performance fees based upon the performance of the funds. Management and administrative fees are generally recognized over the period that the related service is provided. Generally, performance fees are earned when the return on assets under management exceeds certain benchmark returns, “high-water marks” or other performance targets. Performance fees are accrued (or reversed) on a monthly basis based on measuring performance to date versus any relevant benchmark return hurdles stated in the investment management agreement. Performance fees are not subject to adjustment once the measurement period ends (generally annual periods) and the performance fees have been realized. Interest Revenue and Expense. We recognize contractual interest on Financial instruments owned and Financial instruments sold, but not yet purchased, on an accrual basis as a component of interest revenue and expense. Interest flows on derivative trading transactions and dividends are included as part of the fair valuation of these contracts and recognized in Principal transaction revenues in the Consolidated Statements of Earnings rather than as a component of interest revenue or expense. We account for our short- and long-term borrowings on an accrual basis with related interest recorded as Interest expense. Discounts/premiums arising on our long-term debt are accreted/amortized to Interest expense using the effective yield method over the remaining lives of the underlying debt obligations. In addition, we recognize interest revenue related to our securities borrowed and securities purchased under agreements to resell activities and interest expense related to our securities loaned and securities sold under agreements to repurchase activities on an accrual basis. Cash Equivalents Cash equivalents include highly liquid investments, including certificates of deposit and money market funds, not held for resale with original maturities of three months or less. Cash and Securities Segregated and on Deposit for Regulatory Purposes or Deposited With Clearing and Depository Organizations In accordance with Rule 15c3-3 of the Securities Exchange Act of 1934, Jefferies as a broker-dealer carrying client accounts is subject to requirements related to maintaining cash or qualified securities in a segregated reserve account for the exclusive benefit of its clients. Certain other entities are also obligated by rules mandated by their primary regulators to segregate or set aside cash or equivalent securities to satisfy regulations, promulgated to protect customer assets. In addition, certain exchange and/or clearing organizations require cash and/or securities to be deposited by us to conduct day to day activities. Financial Instruments and Fair Value Financial instruments owned and Financial instruments sold, not yet purchased are recorded at fair value, either as required by accounting pronouncements or through the fair value option election. These instruments primarily represent our trading activities and include both cash and derivative products. Gains and losses are recognized in Principal transaction revenues in our Consolidated Statements of Earnings. The fair value of a financial instrument is the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (the exit price). Fair Value Hierarchy In determining fair value, we maximize the use of observable inputs and minimize the use of unobservable inputs by requiring that observable inputs be used when available. Observable inputs are inputs that market participants would use in pricing the asset or liability based on market data obtained from independent sources. Unobservable inputs reflect our assumptions that market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. We apply a hierarchy to categorize our fair value measurements broken down into three levels based on the transparency of inputs as follows: Level 1: Quoted prices are available in active markets for identical assets or liabilities at the reported date. Level 2: Pricing inputs are other than quoted prices in active markets, which are either directly or indirectly observable as of the reported date. The nature of these financial instruments include cash instruments for which quoted prices are available but traded less frequently, derivative instruments that fair values for which have been derived using model inputs that are directly observable in the market, or can be derived principally from or corroborated by observable market data, and instruments that are fair valued using other financial instruments, the parameters of which can be directly observed. Level 3: Instruments that have little to no pricing observability at the reported date. These financial instruments are measured using management’s best estimate of fair value, where the inputs into the determination of fair value require significant management judgment or estimation. Financial instruments are valued at quoted market prices, if available. Certain financial instruments have bid and ask prices that can be observed in the marketplace. For financial instruments whose inputs are based on bid-ask prices, the financial instrument is valued at the point within the bid-ask range that meets our best estimate of fair value. We use prices and inputs that are current at the measurement date. For financial instruments that do not have readily determinable fair values using quoted market prices, the determination of fair value is based upon consideration of available information, including types of financial instruments, current financial information, restrictions on dispositions, fair values of underlying financial instruments and quotations for similar instruments. The valuation of financial instruments may include the use of valuation models and other techniques. Adjustments to valuations derived from valuation models may be made when, in management’s judgment, features of the financial instrument such as its complexity, the market in which the financial instrument is traded and risk uncertainties about market conditions require that an adjustment be made to the value derived from the models. Adjustments from the price derived from a valuation model reflect management’s judgment that other participants in the market for the financial instrument being measured at fair value would also consider in valuing that same financial instrument. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. The availability of observable inputs can vary and is affected by a wide variety of factors, including, for example, the type of financial instrument and market conditions. As the observability of prices and inputs may change for a financial instrument from period to period, this condition may cause a transfer of an instrument among the fair value hierarchy levels. Transfers among the levels are recognized at the beginning of each period. The degree of judgment exercised in determining fair value is greatest for instruments categorized in Level 3. Valuation Process for Financial Instruments Our Independent Price Verification (“IPV”) Group, which is part of our Finance department, in partnership with Risk Management, is responsible for establishing our valuation policies and procedures. The IPV Group and Risk Management, which are independent of our business functions, play an important role and serve as a control function in determining that our financial instruments are appropriately reflected at fair value. This is particularly important where prices or valuations that require inputs are less observable. In the event that observable inputs are not available, the control processes are designed to assure that the valuation approach utilized is appropriate and consistently applied and that the assumptions are reasonable. The IPV Group reports to the Global Controller and is subject to the oversight of the IPV Committee, which comprises our Chief Financial Officer, Global Controller, Chief Risk Officer and Principal Accounting Officer, among other personnel. Our independent price verification policies and procedures are reviewed, at a minimum, annually, and changes to the policies require the approval of the IPV Committee. Price Testing Process. The business units are responsible for determining the fair value of our financial instruments using approved valuation models and methodologies. In order to ensure that the business unit valuations represent a fair value exit price, the IPV Group tests and validates the fair value of our financial instruments inventory. In the testing process, the IPV Group obtains prices and valuation inputs from independent sources, consistently adheres to established procedures set forth in our valuation policies for sourcing prices and valuation inputs and utilizing valuation methodologies. Sources used to validate fair value prices and inputs include, but are not limited to, exchange data, recently executed transactions, pricing data obtained from third party vendors, pricing and valuation services, broker quotes and observed comparable transactions. To the extent discrepancies between the business unit valuations and the pricing or valuations resulting from the price testing process are identified, such discrepancies are investigated by the IPV Group and fair values are adjusted, as appropriate. The IPV Group maintains documentation of its testing, results, rationale and recommendations and prepares a monthly summary of its valuation results. This process also forms the basis for our classification of fair values within the fair value hierarchy ( i.e., Level 1, Level 2 or Level 3). The IPV Group utilizes the additional expertise of Risk Management personnel in valuing more complex financial instruments and financial instruments with less or limited pricing observability. The results of the valuation testing are reported to the IPV Committee on a monthly basis, which discusses the results and determines the financial instrument fair values in the consolidated financial statements. This process specifically assists the Chief Financial Officer in asserting as to the fair presentation of our financial condition and results of operations as included within our Quarterly Reports on Form 10-Q and Annual Report on Form 10-K. At each quarter end, the overall valuation results, as determined by the IPV Committee, are presented to the Audit Committee. Judgment exercised in determining Level 3 fair value measurements is supplemented by daily analysis of profit and loss performed by the Product Control functions. Gains and losses, which result from changes in fair value, are evaluated and corroborated daily based on an understanding of each trading desk’s overall risk positions and developments in a particular market on the given day. Valuation techniques generally rely on recent transactions of suitably comparable financial instruments and use the observable inputs from those comparable transactions as a validation basis for Level 3 inputs. Level 3 fair value measurements are further validated through subsequent sales testing and market comparable sales, if such information is available. Level 3 fair value measurements require documentation of the valuation rationale applied, which is reviewed for consistency in application from period to period. Third Party Pricing Information. Pricing information obtained from external data providers (including independent pricing services and brokers) may incorporate a range of market quotes from dealers, recent market transactions and benchmarking model derived prices to quoted market prices and trade data for comparable securities. External pricing data is subject to evaluation for reasonableness by the IPV Group using a variety of means including comparisons of prices to those of similar product types, quality and maturities, consideration of the narrowness or wideness of the range of prices obtained, knowledge of recent market transactions and an assessment of the similarity in prices to comparable dealer offerings in a recent time period. Our processes challenge the appropriateness of pricing information obtained from external data providers (including independent pricing services and brokers) to validate the data for consistency with the definition of a fair value exit price. Our process includes understanding and evaluating the external data providers’ valuation methodologies. For corporate, U.S. government and agency and municipal debt securities, and loans, to the extent we use independent pricing services or broker quotes in our valuation process, the vendor service providers are collecting and aggregating observable market information as to recent trade activity and active bid-ask submissions. The composite pricing information received from the independent pricing service is thus not based on unobservable inputs or proprietary models. For mortgage- and other asset-backed securities, collateralized debt obligations ("CDOs") and collateralized loan obligations ("CLOs"), our independent pricing services use a matrix evaluation approach, incorporating both observable yield curves and market yields on comparable securities as well as implied inputs from observed trades for comparable securities in order to determine prepayment speeds, cumulative default rates and loss severity. Further, we consider pricing data from multiple service providers as available as well as compare pricing data to prices we have observed for recent transactions, if any, in order to corroborate our valuation inputs. Model Review Process. If a pricing model is used to determine fair value, the pricing model is reviewed for theoretical soundness and appropriateness by Risk Management, independent from the trading desks, and then approved by Risk Management to be used in the valuation process. Review and approval of a model for use may include benchmarking the model against relevant third party valuations, testing sample trades in the model, backtesting the results of the model against actual trades and stress-testing the sensitivity of the pricing model using varying inputs and assumptions. In addition, recently executed comparable transactions and other observable market data are considered for purposes of validating assumptions underlying the model. Models are independently reviewed and validated by Risk Management annually or more frequently if market conditions or use of the valuation model changes. Investments in Managed Funds Investments in managed funds include our investments in funds managed by us and our investments in related-party managed funds in which we are entitled to a portion of the management and/or performance fees. Investments in nonconsolidated managed funds are accounted for at fair value based on the net asset value ("NAV") of the funds provided by the fund managers with gains or losses included in Asset management fees and investment income (loss) from managed funds in the Consolidated Statements of Earnings. Loans to and Investments in Related Parties Loans to and investments in related parties include investments in private equity and other operating entities made in connection with our capital markets activities in which we exercise significant influence over operating and capital decisions and loans issued in connection with such activities. Loans to and investments in related parties are accounted for using the equity method or at cost, as appropriate. Revenues on Loans to and investments in related parties are included in Other revenues in the Consolidated Statements of Earnings. See Note 9, Investments , and Note 20, Related Party Transactions , for additional information regarding certain of these investments. Securities Borrowed and Securities Loaned Securities borrowed and securities loaned are carried at the amounts of cash collateral advanced and received in connection with the transactions and accounted for as collateralized financing transactions. In connection with both trading and brokerage activities, we borrow securities to cover short sales and to complete transactions in which customers have failed to deliver securities by the required settlement date, and lend securities to other brokers and dealers for similar purposes. We have an active securities borrowed and lending matched book business in which we borrow securities from one party and lend them to another party. When we borrow securities, we generally provide cash to the lender as collateral, which is reflected in our Consolidated Statements of Financial Condition as Securities borrowed. We earn interest revenues on this cash collateral. Similarly, when we lend securities to another party, that party provides cash to us as collateral, which is reflected in our Consolidated Statements of Financial Condition as Securities loaned. We pay interest expense on the cash collateral received from the party borrowing the securities. The initial collateral advanced or received approximates or is greater than the fair value of the securities borrowed or loaned. We monitor the fair value of the securities borrowed and loaned on a daily basis and request additional collateral or return excess collateral, as appropriate. Securities Purchased Under Agreements to Resell and Securities Sold Under Agreements to Repurchase Securities purchased under agreements to resell and Securities sold under agreements to repurchase (collectively “repos”) are accounted for as collateralized financing transactions and are recorded at their contracted resale or repurchase amount plus accrued interest. We earn and incur interest over the term of the repo, which is reflected in Interest revenue and Interest expense on our Consolidated Statements of Earnings on an accrual basis. Repos are presented in the Consolidated Statements of Financial Condition on a net-basis by counterparty, where permitted by U.S. GAAP. We monitor the fair value of the underlying securities daily versus the related receivable or payable balances. Should the fair value of the underlying securities decline or increase, additional collateral is requested or excess collateral is returned, as appropriate. Premises and Equipment Premises and equipment are depreciated using the straight-line method over the estimated useful lives of the related assets (generally three to ten years ). Leasehold improvements are amortized using the straight-line method over the term of the related leases or the estimated useful lives of the assets, whichever is shorter. Premises and equipment includes internally developed software. The carrying values of internally developed software ready for its intended use are depreciated over the remaining useful life. Goodwill and Intangible Assets Goodwill . Goodwill represents the excess acquisition cost over the fair value of net tangible and intangible assets acquired. Goodwill is not amortized and is subject to annual impairment testing on August 1 or between annual tests if an event or change in circumstance occurs that would more likely than not reduce the fair value of a reporting unit below its carrying value. In testing for goodwill impairment, we have the option to first assess qualitative factors to determine whether the existence of events or circumstances lead to a determination that it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If, after assessing the totality of events and circumstances, we conclude that it is not more likely than not that the fair value of a reporting unit is less than its carrying amount, then performing the two-step impairment test is not required. If we conclude otherwise, we are required to perform the two-step impairment test. The goodwill impairment test is performed at the reporting unit level by comparing the estimated fair value of a reporting unit with its respective carrying value. If the estimated fair value exceeds the carrying value, goodwill at the reporting unit level is not impaired. If the estimated fair value is less than carrying value, further analysis is necessary to determine the amount of impairment, if any, by comparing the implied fair value of the reporting unit's goodwill to the carrying value of the reporting unit's goodwill. The fair value of reporting units are based on widely accepted valuation techniques that we believe market participants would use, although the valuation process requires significant judgment and often involves the use of significant estimates and assumptions. The methodologies we utilize in estimating the fair value of reporting units include market valuation methods that incorporate price-to-earnings and price-to-book multiples of comparable exchange traded companies and multiples of merger and acquisitions of similar businesses. The estimates and assumptions used in determining fair value could have a significant effect on whether or not an impairment charge is recorded and the magnitude of such a charge. Adverse market or economic events could result in impairment charges in future periods. Intangible Assets . Intangible assets deemed to have finite lives are amortized on a straight line basis over their estimated useful lives, where the useful life is the period over which the asset is expected to contribute directly, or indirectly, to our future cash flows. Intangible assets are reviewed for impairment on an interim basis when certain events or circumstances exist. For amortizable intangible assets, impairment exists when the carrying amount of the intangible asset exceeds its fair value. At least annually, the remaining useful life is evaluated. An intangible asset with an indefinite useful life is not amortized but assessed for impairment annually, or more frequently, when events or changes in circumstances occur indicating that it is more likely than not that the indefinite-lived asset is impaired. Impairment exists when the carrying amount exceeds its fair value. In testing for impairment, we have the option to first perform a qualitative assessment to determine whether it is more likely than not that an impairment exists. If it is determined that it is not more likely than not that an impairment exists, a quantitative impairment test is not necessary. If we conclude otherwise, we are required to perform a quantitative impairment test. Our annual indefinite-lived intangible asset impairment testing date is August 1. To the extent an impairment loss is recognized, the loss establishes the new cost basis of the asset that is amortized over the remaining useful life of that asset, if any. Subsequent reversal of impairment losses is not permitted. Refer to Note 10, Goodwill and Other Intangible Assets , for further information. Income Taxes Our results of operations are included in the consolidated federal and applicable state income tax returns filed by Leucadia. In states that neither accept nor require combined or unitary tax returns, certain subsidiaries file separate state income tax returns. We also are subject to income tax in various foreign jurisdictions in which we operate. We account for our provision for income taxes using a “separate return” method. Amounts provided for income taxes are based on income reported for financial statement purposes and do not necessarily represent amounts currently payable. Pursuant to a tax sharing agreement entered into between us and Leucadia, payments are made between us and Leucadia to settle current tax assets and liabilities. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and for tax loss carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income in the period that includes the enactment date. Under acquisition accounting, the recognition of certain assets and liabilities at fair value created a change in the financial reporting basis for our assets and liabilities, while the tax basis of our assets and liabilities remained the same. As a result, deferred tax assets and liabilities were recognized for the change in the basis differences. We provide deferred taxes on our temporary differences and on any carryforwards that we could claim on our hypothetical tax return. The realization of deferred tax assets is assessed and a valuation allowance is recorded to the extent that it is more likely than not that any portion of the deferred tax asset will not be realized on the basis of its projected separate return results. The tax benefits related to share-based awards are recognized as an increase to Additional paid-in capital. These amounts, and other windfall tax benefits/(detriments), are included in Tax benefit/(detriment) for issuance of share-based awards on the Consolidated Statements of Changes in Equity. In the event tax deductions associated with share-based awards are less than the cumulative compensation cost recognized for financial reporting purposes, we look to Leucadia’s consolidated pool of windfall tax benefits in the calculation of our income tax provision. During the first quarter of fiscal 2016, the consolidated pool of windfall tax benefits had been exhausted. As a result, these tax detriments are now recognized in our Consolidated Statement of Earnings until such time the Leucadia consolidated cumulative compensation cost recognized for tax purposes exceeds the amount recognized for financial reporting purposes. We record uncertain tax positions using a two-step process: (i) we determine whether it is more likely than not that each tax position will be sustained on the basis of the technical merits of the position; and (ii) for those tax positions that meet the more-likely-than-not recognition threshold, we recognize the largest amount of tax benefit that is more than 50 percent likely to be realized upon ultimate settlement with the related tax authority. Legal Reserves In the normal course of business, we have been named, from time to time, as a defendant in legal and regulatory proceedings. We are also involved, from time to time, in other exams, investigations and similar reviews (both formal and informal) by governmental and self-regulatory agencies regarding our businesses, certain of which may result in judgments, settlements, fines, penalties or other injunctions. We recognize a liability for a contingency in Accrued expenses and other liabilities when it is probable that a liability has been incurred and the amount of loss can be reasonably estimated. If the reasonable estimate of a probable loss is a range, we accrue the most likely amount of such loss, and if such amount is not determinable, then we accrue the minimum in the range as the loss accrual. The determination of the outcome and loss estimates requires significant judgment on the part of management. We believe that any other matters for which we have determined a loss to be probable and reasonably estimable are not material to the consolidated financial statements. In many instances, it is not possible to determine whether any loss is probable or even possible or to estimate the amount of any loss or the size of any range of loss. We believe that, in the aggregate, the pending legal actions or regulatory proceedings and any other exams, investigations or similar reviews (both formal and informal) should not have a material adverse effect on our consolidated results of operations, cash flows or financial condition. In addition, we believe that any amount that could be reasonably estimated of potential loss or range of potential loss in excess of what has been provided in the consolidated financial statements is not material. Share-based Compensation Share-based awards are measured based on the grant-date fair value of the award and recognized over the period from the service inception date through the date the employee is no longer required to provide service to earn the award. Expected forfeitures are included in determining share-based compensation expense. Foreign Currency Translation Assets and liabilities of foreign subsidiaries having non-U.S. dollar functional currencies are translated at exchange rates at the end of a period. Revenues and expenses are translated at average exchange rates during the period. The gains or losses resulting from translating foreign currency financial statements into U.S. dollars, net of hedging gains or losses and taxes, if any, are included in Other comprehensive income. Gains or losses resulting from foreign currency transactions are included in Principal transaction revenues in the Consolidated Statements of Earnings. Securitization Activities We engage in securitization activities related to corporate loans, consumer loans, commercial mortgage loans and mortgage-backed and other asset-backed securities. Such transfers of financial assets are accounted for as sales when we have relinquished control over the transferred assets. The gain or loss on sale of such financial assets depends, in part, on the previous carrying amount of the assets involved in the transfer allocated between the assets sold and the retained interests, if any, based upon their respective fair values at the date of sale. We may retain interests in the securitized financial assets as one or more tranches of the securitization. These retained interests are included within Financial instruments owned in the Consolidated Statements of Financial Condition at fair value. Any changes in the fair value of such retained interests are recognized within Principal tra |
Accounting Developments
Accounting Developments | 9 Months Ended |
Aug. 31, 2016 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
Accounting Developments | Accounting Developments Accounting Standards to be Adopted in Future Periods Statement of Cash Flows. In August 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2016-15, Classification of Certain Cash Receipts and Cash Payments. The guidance adds or clarifies guidance on the classification of certain cash receipts and payments in the statement of cash flows. The guidance is effective in the first quarter of fiscal 2019 and early adoption is permitted. We are currently evaluating the impact of the new guidance on our consolidated statements of cash flows. Financial Instruments-Credit Losses. In June 2016, the FASB issued ASU No. 2016-13, Measurement of Credit Losses on Financial Instruments. The guidance provides for estimating credit losses on certain types of financial instruments by introducing an approach based on expected losses. The guidance is effective in the first quarter of fiscal 2021 and early adoption is permitted in the first quarter of fiscal 2020. We are currently evaluating the impact of the new guidance on our consolidated financial statements. Employee Share-Based Payments. In March 2016, the FASB issued ASU No. 2016-09, Improvements to Employee Share-Based Payment Accounting. The guidance simplifies various aspects related to how share-based payments are accounted for and presented in the consolidated financial statements. The amendments include income tax consequences, the accounting for forfeitures, classification of awards as either equity or liabilities and classification on the statement of cash flows. The guidance is effective in the first quarter of fiscal 2018 and early adoption is permitted if all amendments are adopted in the same period. We are currently evaluating the impact of the new guidance on our consolidated financial statements. Leases. In February 2016, the FASB issued ASU No. 2016-02, Leases. The guidance affects the accounting for leases and provides for a lessee model that brings substantially all leases onto the balance sheet. The guidance is effective in the first quarter of fiscal 2019 and early adoption is permitted. We are currently evaluating the impact of the new guidance on our consolidated financial statements. Financial Instruments. In January 2016, the FASB issued ASU No. 2016-01, Financial Instruments-Overall: Recognition and Measurement of Financial Assets and Financial Liabilities. The guidance affects the accounting for equity investments, financial liabilities under the fair value option and the presentation and disclosure requirements of financial instruments. The guidance is effective in the first quarter of fiscal 2019. We are currently evaluating the impact of the new guidance related to equity investments and the presentation and disclosure requirements of financial instruments on our consolidated financial statements. Early adoption is permitted for the accounting guidance on financial liabilities under the fair value option and we adopted this guidance in the first quarter of fiscal 2016. The adoption of this accounting guidance did not have a material effect on our consolidated financial statements. Revenue Recognition . In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers and in August 2015, the FASB issued ASU No. 2015-14, Revenue from Contracts with Customers - Deferral of Effective Date. The accounting guidance defines how companies report revenues from contracts with customers, and also requires enhanced disclosures. We intend to adopt the new guidance on December 1, 2017 and are currently evaluating the impact of the new guidance on our consolidated financial statements. Adopted Accounting Standards Debt Issuance Costs. In April 2015, the FASB issued ASU No. 2015-03, Simplifying the Presentation of Debt Issuance Costs. The accounting guidance requires that debt issuance costs related to a recognized debt liability be reported in the Consolidated Statements of Financial Condition as a direct deduction from the carrying amount of that debt liability. The guidance is effective retrospectively and we adopted this guidance in the first quarter of fiscal 2016. The adoption of this accounting guidance did not have a material impact on our Consolidated Statements of Financial Condition. Consolidation. In February 2015, the FASB issued ASU No. 2015-02, Consolidation (Topic 810): Amendments to the Consolidation Analysis. The amendment eliminates the deferral of certain consolidation standards for entities considered to be investment companies and modifies the consolidation analysis performed on certain types of legal entities. The guidance is effective beginning in the first quarter of fiscal 2017 and we adopted it in the first quarter of fiscal 2016 using a modified retrospective approach. The adoption of this accounting guidance resulted in the deconsolidation of an asset management vehicle, which resulted in the following adjustment to the Consolidated Statement of Financial Condition on December 1, 2015: a decrease of $27.0 million in Investments in managed funds, a decrease of $0.7 million in Accrued expense and other liabilities and a decrease of $26.3 million in Noncontrolling interests. For further information on the adoption of ASU No. 2015-02, refer to Note 8, Variable Interest Entities . |
Fair Value Disclosures
Fair Value Disclosures | 9 Months Ended |
Aug. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value Disclosures | Fair Value Disclosures The following is a summary of our financial assets and liabilities that are accounted for at fair value on a recurring basis, excluding Investments at fair value based on NAV of $29.5 million and $36.7 million at August 31, 2016 and November 30, 2015 , respectively, by level within the fair value hierarchy (in thousands): August 31, 2016 Level 1(1) Level 2(1) Level 3 Counterparty and Cash Collateral Netting (2) Total Assets: Financial instruments owned: Corporate equity securities $ 2,019,490 $ 108,194 $ 22,195 $ — $ 2,149,879 Corporate debt securities — 2,494,303 35,007 — 2,529,310 CDOs and CLOs — 99,794 44,070 — 143,864 U.S. government and federal agency securities 3,029,251 114,601 — — 3,143,852 Municipal securities — 550,210 27,257 — 577,467 Sovereign obligations 904,592 1,130,443 — — 2,035,035 Residential mortgaged-backed securities — 1,331,959 46,881 — 1,378,840 Commercial mortgage-backed securities — 320,912 24,593 — 345,505 Other asset-backed securities — 116,388 61,112 — 177,500 Loans and other receivables — 1,323,092 78,457 — 1,401,549 Derivatives 2,530 6,206,366 9,560 (5,887,874 ) 330,582 Investments at fair value — — 85,036 — 85,036 Total financial instruments owned, excluding Investments at fair value based on NAV $ 5,955,863 $ 13,796,262 $ 434,168 $ (5,887,874 ) $ 14,298,419 Cash and cash equivalents $ 3,159,143 $ — $ — $ — $ 3,159,143 Cash and securities segregated and on deposit for regulatory purposes or deposited with clearing and depository organizations (3) $ 1,026,865 $ — $ — $ — $ 1,026,865 Liabilities: Financial instruments sold, not yet purchased: Corporate equity securities $ 1,682,196 $ 58,834 $ 38 $ — $ 1,741,068 Corporate debt securities — 1,704,627 523 — 1,705,150 U.S. government and federal agency securities 1,213,672 — — — 1,213,672 Sovereign obligations 940,451 1,432,580 — — 2,373,031 Loans — 538,180 848 — 539,028 Derivatives 373 6,321,172 20,607 (5,970,029 ) 372,123 Total financial instruments sold, not yet purchased $ 3,836,692 $ 10,055,393 $ 22,016 $ (5,970,029 ) $ 7,944,072 Other secured financings $ — $ 53,318 $ 268 $ — $ 53,586 Long-term debt $ — $ 204,422 $ — $ — $ 204,422 (1) There were no material transfers between Level 1 and Level 2 for the nine months ended August 31, 2016 . (2) Represents counterparty and cash collateral netting across the levels of the fair value hierarchy for positions with the same counterparty. (3) Cash and securities segregated and on deposit for regulatory purposes or deposited with clearing and depository organizations includes U.S. treasury securities with a fair value of $99.9 million . November 30, 2015 Level 1 (1) Level 2 (1) Level 3 Counterparty and Cash Collateral Netting (2) Total Assets: Financial instruments owned: Corporate equity securities $ 1,853,351 $ 133,732 $ 40,906 $ — $ 2,027,989 Corporate debt securities — 2,867,165 25,876 — 2,893,041 CDOs and CLOs — 89,144 85,092 — 174,236 U.S. government and federal agency securities 2,555,018 90,633 — — 2,645,651 Municipal securities — 487,141 — — 487,141 Sovereign obligations 1,251,366 1,407,955 120 — 2,659,441 Residential mortgage-backed securities — 2,731,070 70,263 — 2,801,333 Commercial mortgage-backed securities — 1,014,913 14,326 — 1,029,239 Other asset-backed securities — 118,629 42,925 — 161,554 Loans and other receivables — 1,123,044 189,289 — 1,312,333 Derivatives 1,037 4,395,704 19,785 (4,165,446 ) 251,080 Investments at fair value — 26,224 53,120 — 79,344 Total financial instruments owned, excluding Investments at fair value based on NAV $ 5,660,772 $ 14,485,354 $ 541,702 $ (4,165,446 ) $ 16,522,382 Cash and cash equivalents $ 3,510,163 $ — $ — $ — $ 3,510,163 Cash and securities segregated and on deposit for regulatory purposes or deposited with clearing and depository organizations $ 751,084 $ — $ — $ — $ 751,084 Liabilities: Financial instruments sold, not yet purchased: Corporate equity securities $ 1,382,377 $ 36,518 $ 38 $ — $ 1,418,933 Corporate debt securities — 1,556,941 — — 1,556,941 U.S. government and federal agency securities 1,488,121 — — — 1,488,121 Sovereign obligations 837,614 505,382 — — 1,342,996 Residential mortgage-backed securities — 117 — — 117 Loans — 758,939 10,469 — 769,408 Derivatives 364 4,446,639 19,543 (4,257,998 ) 208,548 Total financial instruments sold, not yet purchased $ 3,708,476 $ 7,304,536 $ 30,050 $ (4,257,998 ) $ 6,785,064 Other secured financings (3) $ — $ 67,801 $ 544 $ — $ 68,345 (1) There were no material transfers between Level 1 and Level 2 for the year ended November 30, 2015. (2) Represents counterparty and cash collateral netting across the levels of the fair value hierarchy for positions with the same counterparty. (3) Level 2 liabilities include $67.8 million of other secured financings that were previously not disclosed in our Annual Report on Form 10-K for the year ended November 30, 2015 . The following is a description of the valuation basis, including valuation techniques and inputs, used in measuring our financial assets and liabilities that are accounted for at fair value on a recurring basis: Corporate Equity Securities • Exchange Traded Equity Securities: Exchange-traded equity securities are measured based on quoted closing exchange prices, which are generally obtained from external pricing services, and are categorized within Level 1 of the fair value hierarchy, otherwise they are categorized within Level 2 of the fair value hierarchy. • Non-exchange Traded Equity Securities : Non-exchange traded equity securities are measured primarily using broker quotations, pricing data from external pricing services and prices observed for recently executed market transactions and are categorized within Level 2 of the fair value hierarchy. Where such information is not available, non-exchange traded equity securities are categorized within Level 3 of the fair value hierarchy and measured using valuation techniques involving quoted prices of or market data for comparable companies, similar company ratios and multiples ( e.g. , price/EBITDA, price/book value), discounted cash flow analyses and transaction prices observed for subsequent financing or capital issuance by the company. When using pricing data of comparable companies, judgment must be applied to adjust the pricing data to account for differences between the measured security and the comparable security ( e.g. , issuer market capitalization, yield, dividend rate, geographical concentration). • Equity Warrants: Non-exchange traded equity warrants are generally categorized within Level 3 of the fair value hierarchy and are measured using the Black-Scholes model with key inputs impacting the valuation, including the underlying security price, implied volatility, dividend yield, interest rate curve, strike price and maturity date. Corporate Debt Securities • Corporate Bonds: Corporate bonds are measured primarily using pricing data from external pricing services and broker quotations, where available, prices observed for recently executed market transactions and bond spreads or credit default swap spreads of the issuer adjusted for basis differences between the swap curve and the bond curve. Corporate bonds measured using these valuation methods are categorized within Level 2 of the fair value hierarchy. If broker quotes, pricing data or spread data is not available, alternative valuation techniques are used including cash flow models incorporating interest rate curves, single name or index credit default swap curves for comparable issuers and recovery rate assumptions. Corporate bonds measured using alternative valuation techniques are categorized within Level 3 of the fair value hierarchy and are a limited portion of our corporate bonds. • High Yield Corporate and Convertible Bonds: A significant portion of our high yield corporate and convertible bonds are categorized within Level 2 of the fair value hierarchy and are measured primarily using broker quotations and pricing data from external pricing services, where available, and prices observed for recently executed market transactions of comparable size. Where pricing data is less observable, valuations are categorized within Level 3 and are based on pending transactions involving the issuer or comparable issuers, prices implied from an issuer’s subsequent financings or recapitalizations, models incorporating financial ratios and projected cash flows of the issuer and market prices for comparable issuers. CDOs and CLOs CDOs and CLOs are measured based on prices observed for recently executed market transactions of the same or similar security or based on valuations received from third party brokers or data providers and are categorized within Level 2 or Level 3 of the fair value hierarchy depending on the observability and significance of the pricing inputs. Valuation that is based on recently executed market transactions of similar securities incorporates additional review and analysis of pricing inputs and comparability criteria including but not limited to collateral type, tranche type, rating, origination year, prepayment rates, default rates, and severity. U.S. Government and Federal Agency Securities • U.S. Treasury Securities: U.S. Treasury securities are measured based on quoted market prices and categorized within Level 1 of the fair value hierarchy. • U.S. Agency Issued Debt Securities: Callable and non-callable U.S. agency issued debt securities are measured primarily based on quoted market prices obtained from external pricing services and are generally categorized within Level 1 or Level 2 of the fair value hierarchy. Municipal Securities Municipal securities are measured based on quoted prices obtained from external pricing services and are generally categorized within Level 2 of the fair value hierarchy. Sovereign Obligations Foreign sovereign government obligations are measured based on quoted market prices obtained from external pricing services, where available, or recently executed independent transactions of comparable size. To the extent external price quotations are not available or recent transactions have not been observed, valuation techniques incorporating interest rate yield curves and country spreads for bonds of similar issuers, seniority and maturity are used to determine fair value of sovereign bonds or obligations. Foreign sovereign government obligations are classified in Level 1, Level 2 or Level 3 of the fair value hierarchy, primarily based on the country of issuance. Residential Mortgage-Backed Securities • Agency Residential Mortgage-Backed Securities ("RMBS"): Agency RMBS include mortgage pass-through securities (fixed and adjustable rate), collateralized mortgage obligations and interest-only and principal-only securities and are generally measured using market price quotations from external pricing services and categorized within Level 2 of the fair value hierarchy. • Agency Residential Interest-Only and Inverse Interest-Only Securities (“Agency Inverse IOs”): The fair value of Agency Inverse IOs is estimated using expected future cash flow techniques that incorporate prepayment models and other prepayment assumptions to amortize the underlying mortgage loan collateral. We use prices observed for recently executed transactions to develop market-clearing spread and yield curve assumptions. Valuation inputs with regard to the underlying collateral incorporate weighted average coupon, loan-to-value, credit scores, geographic location, maximum and average loan size, originator, servicer, and weighted average loan age. Agency Inverse IOs are categorized within Level 2 of the fair value hierarchy. We also use vendor data in developing our assumptions, as appropriate. • Non-Agency RMBS: Fair values are determined primarily using discounted cash flow methodologies and securities are categorized within Level 2 or Level 3 of the fair value hierarchy based on the observability and significance of the pricing inputs used. Performance attributes of the underlying mortgage loans are evaluated to estimate pricing inputs, such as prepayment rates, default rates and the severity of credit losses. Attributes of the underlying mortgage loans that affect the pricing inputs include, but are not limited to, weighted average coupon; average and maximum loan size; loan-to-value; credit scores; documentation type; geographic location; weighted average loan age; originator; servicer; historical prepayment, default and loss severity experience of the mortgage loan pool; and delinquency rate. Yield curves used in the discounted cash flow models are based on observed market prices for comparable securities and published interest rate data to estimate market yields. Commercial Mortgage-Backed Securities • Agency Commercial Mortgage-Backed Securities ("CMBS"): Government National Mortgage Association (“GNMA”) project loans are measured based on inputs corroborated from and benchmarked to observed prices of recent securitization transactions of similar securities with adjustments incorporating an evaluation for various factors, including prepayment speeds, default rates, and cash flow structures as well as the likelihood of pricing levels in the current market environment. Federal National Mortgage Association (“FNMA”) Delegated Underwriting and Servicing (“DUS”) mortgage-backed securities are generally measured by using prices observed for recently executed market transactions to estimate market-clearing spread levels for purposes of estimating fair value. GNMA project loan bonds and FNMA DUS mortgage-backed securities are categorized within Level 2 of the fair value hierarchy. • Non-Agency CMBS: Non-agency CMBS are measured using pricing data obtained from external pricing services and prices observed for recently executed market transactions and are categorized within Level 2 and Level 3 of the fair value hierarchy. Other Asset-Backed Securities Other asset-backed securities include, but are not limited to, securities backed by auto loans, credit card receivables, student loans and other consumer loans and are categorized within Level 2 and Level 3 of the fair value hierarchy. Valuations are primarily determined using pricing data obtained from external pricing services and broker quotes and prices observed for recently executed market transactions. Loans and Other Receivables • Corporate Loans: Corporate loans categorized within Level 2 of the fair value hierarchy are measured based on market price quotations where market price quotations from external pricing services are supported by transaction data. Corporate loans categorized within Level 3 of the fair value hierarchy are measured based on price quotations that are considered to be less transparent, market prices for debt securities of the same creditor, and estimates of future cash flow incorporating assumptions regarding creditor default and recovery rates and consideration of the issuer’s capital structure. • Participation Certificates in Agency Residential Loans: Valuations of participation certificates in agency residential loans are based on observed market prices of recently executed purchases and sales of similar loans. The loan participation certificates are categorized within Level 2 of the fair value hierarchy given the observability and volume of recently executed transactions and availability of data provider pricing. • Project Loans and Participation Certificates in GNMA Project and Construction Loans: Valuations of participation certificates in GNMA project and construction loans are based on inputs corroborated from and benchmarked to observed prices of recent securitizations of assets with similar underlying loan collateral to derive an implied spread. Securitization prices are adjusted to estimate the fair value of the loans incorporating an evaluation for various factors, including prepayment speeds, default rates, and cash flow structures as well as the likelihood of pricing levels in the current market environment. The measurements are categorized within Level 2 of the fair value hierarchy given the observability and volume of recently executed transactions. • Consumer Loans and Funding Facilities: Consumer and small business whole loans and related funding facilities are valued based on observed market transactions incorporating additional valuation inputs including, but not limited to, delinquency and default rates, prepayment rates, borrower characteristics, loan risk grades and loan age. These assets are categorized within Level 2 or Level 3 of the fair value hierarchy. • Escrow and Trade Claim Receivables: Escrow and trade claim receivables are categorized within Level 3 of the fair value hierarchy where fair value is estimated based on reference to market prices and implied yields of debt securities of the same or similar issuers. Escrow and trade claim receivables are categorized within Level 2 of the fair value hierarchy where fair value is based on recent trade activity in the same security. Derivatives • Listed Derivative Contracts: Listed derivative contracts that are actively traded are measured based on quoted exchange prices, which are generally obtained from external pricing services, and are categorized within Level 1 of the fair value hierarchy. Listed derivatives for which there is limited trading activity are measured based on incorporating the closing auction price of the underlying equity security, use similar valuation approaches as those applied to over-the-counter derivative contracts and are categorized within Level 2 of the fair value hierarchy. • OTC Derivative Contracts: Over-the-counter (“OTC”) derivative contracts are generally valued using models, whose inputs reflect assumptions that we believe market participants would use in valuing the derivative in a current period transaction. Inputs to valuation models are appropriately calibrated to market data. For many OTC derivative contracts, the valuation models do not involve material subjectivity as the methodologies do not entail significant judgment and the inputs to valuation models do not involve a high degree of subjectivity as the valuation model inputs are readily observable or can be derived from actively quoted markets. OTC derivative contracts are primarily categorized within Level 2 of the fair value hierarchy given the observability and significance of the inputs to the valuation models. Where significant inputs to the valuation are unobservable, derivative instruments are categorized within Level 3 of the fair value hierarchy. OTC options include OTC equity, foreign exchange, interest rate and commodity options measured using various valuation models, such as the Black-Scholes, with key inputs impacting the valuation including the underlying security, foreign exchange spot rate or commodity price, implied volatility, dividend yield, interest rate curve, strike price and maturity date. Discounted cash flow models are utilized to measure certain OTC derivative contracts including the valuations of our interest rate swaps, which incorporate observable inputs related to interest rate curves, valuations of our foreign exchange forwards and swaps, which incorporate observable inputs related to foreign currency spot rates and forward curves and valuations of our commodity swaps and forwards, which incorporate observable inputs related to commodity spot prices and forward curves. Credit default swaps include both index and single-name credit default swaps. External prices are available as inputs in measuring index credit default swaps and single-name credit default swaps. For commodity and equity total return swaps, market prices are observable for the underlying asset and used as the basis for measuring the fair value of the derivative contracts. Total return swaps executed on other underlyings are measured based on valuations received from external pricing services. Investments at Fair Value and Investments in Managed Funds Investments at fair value based on NAV and Investments in Managed Funds include investments in hedge funds, fund of funds, private equity funds, convertible bond funds and commodity funds, which are measured at the NAV of the funds, provided by the fund managers and are excluded from the fair value hierarchy. Investments at fair value also include direct equity investments in private companies, which are measured at fair value using valuation techniques involving quoted prices of or market data for comparable companies, similar company ratios and multiples ( e.g. , price/EBITDA, price/book value), discounted cash flow analyses and transaction prices observed for subsequent financing or capital issuance by the company. Direct equity investments in private companies are categorized within Level 2 or Level 3 of the fair value hierarchy. Additionally, investments at fair value include investments in insurance contracts relating to our defined benefit plan in Germany. Fair value for the insurance contracts is determined using a third party and is categorized within Level 3 of the fair value hierarchy. The following tables present information about our investments in entities that have the characteristics of an investment company (in thousands): August 31, 2016 Fair Value (1) Unfunded Commitments Redemption Frequency (if currently eligible) Equity Long/Short Hedge Funds (2) $ 46,195 $ — Monthly, Quarterly Fixed Income and High Yield Hedge Funds (3) 807 — — Fund of Funds (4) 226 — — Equity Funds (5) 41,716 20,295 — Multi-asset Funds (6) 132,248 — Monthly, Quarterly Total $ 221,192 $ 20,295 November 30, 2015 (7) Fair Value (1) Unfunded Commitments Redemption Frequency (if currently eligible) Equity Long/Short Hedge Funds (2) $ 54,725 $ — Monthly, Quarterly Fixed Income and High Yield Hedge Funds (3) 1,703 — — Fund of Funds (4) 287 94 — Equity Funds (5) 42,111 20,791 — Multi-asset Funds (6) 23,358 — Monthly, Quarterly Convertible Bond Funds (8) 326 — At Will Total $ 122,510 $ 20,885 (1) Where fair value is calculated based on NAV, fair value has been derived from each of the funds’ capital statements. (2) This category includes investments in hedge funds that invest, long and short, primarily in equity securities in domestic and international markets in both the public and private sectors. At August 31, 2016 , approximately 2% of the fair value of investments in this category is classified as being in liquidation. (3) This category includes investments in funds that invest in loans secured by a first trust deed on property, domestic and international public high yield debt, private high yield investments, senior bank loans, public leveraged equities, distressed debt, and private equity investments. There are no redemption provisions. At November 30, 2015 , the underlying assets of 8% of these funds are being liquidated and we are unable to estimate when the underlying assets will be fully liquidated. (4) This category includes investments in fund of funds that invest in various private equity funds. At August 31, 2016 and November 30, 2015 , approximately 98% and 95% , respectively, of the fair value of investments in this category are managed by us and have no redemption provisions. The investments in this category are gradually being liquidated or we have requested redemption, however, we are unable to estimate when these funds will be received. (5) At August 31, 2016 and November 30, 2015 , approximately 99% and 100% , respectively, of the fair value of investments in this category include investments in equity funds that invest in the equity of various U.S. and foreign private companies in the energy, technology, internet service and telecommunication service industries. These investments cannot be redeemed; instead distributions are received through the liquidation of the underlying assets of the funds, which are expected to liquidate in one to eight years. (6) This category includes investments in hedge funds that invest, long and short, primarily in multi-asset securities in domestic and international markets in both the public and private sectors. At August 31, 2016 and November 30, 2015 , investments representing approximately 12% and 100% , respectively, of the fair value of investments in this category are redeemable with 30 - 90 days prior written notice. (7) Prior period amounts have been recast to conform to the current year's presentation due to the presentation of multi-asset funds. Previously, these investments had been classified within equity long/short hedge funds. (8) This category represents an investment in the Jefferies Umbrella Fund, an open-ended investment company managed by us that invested primarily in convertible bonds. The underlying assets were fully liquidated during the nine months ended August 31, 2016 . Other Secured Financings Other secured financings that are accounted for at fair value include notes issued by consolidated VIEs, which are classified as Level 2 or Level 3 within the fair value hierarchy. Fair value is based on recent transaction prices for similar assets. Long-term Debt-Structured Notes Long-term debt includes variable rate and fixed to floating rate structured notes that contain various interest rate payment terms and are generally measured using valuation models for the derivative and debt portions of the notes. These models incorporate market price quotations from external pricing sources referencing the appropriate interest rate curves and are generally categorized within Level 2 of the fair value hierarchy. The impact of the Company’s own credit spreads is also included based on observed secondary bond market spreads and asset-swap spreads. Long-term Debt - Embedded Conversion Option The embedded conversion option presented within long-term debt represents the fair value of the conversion option on Leucadia shares within our 3.875% Convertible Senior Debentures, due November 1, 2029 and categorized as Level 3 within the fair value hierarchy. The conversion option was valued using a convertible bond model using as inputs the price of Leucadia's common stock, the conversion strike price, 252 -day historical volatility, a maturity date of November 1, 2017 (the first put date), dividend yield and the risk-free interest rate curve. The following is a summary of changes in fair value of our financial assets and liabilities that have been categorized within Level 3 of the fair value hierarchy for the three months ended August 31, 2016 (in thousands): Three Months Ended August 31, 2016 Balance at May 31, 2016 Total gains/ losses (realized and unrealized) (1) Purchases Sales Settlements Issuances Net transfers into/ (out of) Level 3 Balance at August 31, 2016 Change in unrealized gains/ (losses) relating to instruments still held at August 31, 2016 (1) Assets: Financial instruments owned: Corporate equity securities $ 48,816 $ (6,492 ) $ 291 $ (49 ) $ — $ — $ (20,371 ) $ 22,195 $ (892 ) Corporate debt securities 24,113 (145 ) 10,696 (5,046 ) — — 5,389 35,007 405 CDOs and CLOs 52,710 (4,067 ) 4,205 (5,203 ) — — (3,575 ) 44,070 (4,606 ) Municipal securities — (7,074 ) — — — — 34,331 27,257 (7,074 ) Sovereign obligations 120 5 — (125 ) — — — — — RMBS 63,308 (2,343 ) 1,884 (10,874 ) (463 ) — (4,631 ) 46,881 (183 ) CMBS 24,983 (1,531 ) — — — — 1,141 24,593 (236 ) Other asset-backed securities 43,033 (2,247 ) 3,416 (2,727 ) (1,429 ) — 21,066 61,112 (2,202 ) Loans and other receivables 104,399 (23,445 ) 31,512 (10,140 ) (16,804 ) — (7,065 ) 78,457 (16,044 ) Investments at fair value 57,765 (966 ) — (485 ) (278 ) — 29,000 85,036 (1,113 ) Liabilities: Financial instruments sold, not yet purchased: Corporate equity securities $ — $ — $ — $ — $ — $ — $ 38 $ 38 $ — Corporate debt securities — (27 ) — 550 — — — 523 (27 ) Net derivatives (2) 4,424 (4,736 ) — 11,101 32 601 (375 ) 11,047 (1,589 ) Loans 1,896 (402 ) — 170 — — (816 ) 848 (400 ) Other secured financings 468 (200 ) — — — — — 268 200 (1) Realized and unrealized gains/losses are reported in Principal transaction revenues in the Consolidated Statements of Earnings. (2) Net derivatives represent Financial instruments owned—Derivatives and Financial instruments sold, not yet purchased —Derivatives. Analysis of Level 3 Assets and Liabilities for the Three Months Ended August 31, 2016 During the three months ended August 31, 2016 , transfers of assets of $147.0 million from Level 2 to Level 3 of the fair value hierarchy are primarily attributed to: • Other asset-backed securities of $27.3 million , CDOs and CLOs of $23.7 million and RMBS of $13.7 million, for which no recent trade activity was observed for purposes of determining observable inputs; • Municipals securities of $34.3 million and investments at fair value of $29.0 million due to a lack of observable market transactions. During the three months ended August 31, 2016 , transfers of assets of $91.8 million from Level 3 to Level 2 are primarily attributed to: • CDOs and CLOs of $27.3 million and RMBS of $18.3 million, for which market trades were observed in the period for either identical or similar securities; • Corporate equity securities of $20.5 million due to an increase in observable market transactions; • Loans and other receivables of $15.8 million due to a greater number of contributors for certain vendor quotes to support classification within Level 2. Net losses on Level 3 assets were $48.3 million and net gains on Level 3 liabilities were $5.4 million for the three months ended August 31, 2016 . Net losses on Level 3 assets were primarily due to decreased valuations in loans and other receivables, municipal securities, corporate equity securities, CDOs and CLOs, RMBS, other asset-backed securities and CMBS. Net gains on level 3 liabilities were primarily due to decreased valuations of certain derivative liabilities. The following is a summary of changes in fair value of our financial assets and liabilities that have been categorized within Level 3 of the fair value hierarchy for the nine months ended August 31, 2016 (in thousands): Nine Months Ended August 31, 2016 Balance at November 30, 2015 Total gains/ losses (realized and unrealized) (1) Purchases Sales Settlements Issuances Net transfers into/ (out of) Level 3 Balance at August 31, 2016 Change in unrealized gains/ (losses) relating to instruments still held at August 31, 2016 (1) Assets: Financial instruments owned: Corporate equity securities $ 40,906 $ (8,388 ) $ 5,225 $ (49 ) $ — $ — $ (15,499 ) $ 22,195 $ (727 ) Corporate debt securities 25,876 5,239 29,629 (20,331 ) — — (5,406 ) 35,007 1,456 CDOs and CLOs 85,092 (24,356 ) 61,707 (69,397 ) (605 ) — (8,371 ) 44,070 (13,196 ) Municipal securities — (1,462 ) — — — — 28,719 27,257 (1,462 ) Sovereign obligations 120 5 — (125 ) — — — — — RMBS 70,263 (7,243 ) 1,948 (13,203 ) (1,078 ) — (3,806 ) 46,881 228 CMBS 14,326 (4,606 ) 1,256 (2,023 ) — — 15,640 24,593 (3,337 ) Other asset-backed securities 42,925 (2,420 ) 66,503 (60,525 ) (6,678 ) — 21,307 61,112 (9,993 ) Loans and other receivables 189,289 (30,843 ) 305,920 (206,587 ) (163,913 ) — (15,409 ) 78,457 (27,714 ) Investments at fair value 53,120 (19,055 ) 26,227 (485 ) (834 ) — 26,063 85,036 (11,988 ) Liabilities: Financial instruments sold, not yet purchased: Corporate equity securities $ 38 $ — $ — $ — $ — $ — $ — $ 38 $ — Corporate debt securities — (27 ) — 550 — — — 523 — Net derivatives (2) (242 ) 3,104 — 11,101 (14 ) 1,606 (4,508 ) 11,047 (5,745 ) Loans 10,469 7 — 681 (213 ) — (10,096 ) 848 45 Other secured financings 544 (276 ) — — — — — 268 276 (1) Realized and unrealized gains/losses are reported in Principal transaction revenues in the Consolidated Statements of Earnings. (2) Net derivatives represent Financial instruments owned—Derivatives and Financial instruments sold, not yet purchased —Derivatives. Analysis of Level 3 Assets and Liabilities for the Nine Months Ended August 31, 2016 During the nine months ended August 31, 2016 , transfers of assets of $157.8 million from Level 2 to Level 3 of the fair value hierarchy are primarily attributed to: • Other asset-backed securities of $38.5 million , RMBS of $21.7 million , CMBS of $17.2 and CDOs and CLOs of $16.9 million , for which no recent trade activity was observed for purposes of determining observable inputs; • Municipals securities of $28.7 million and investments at fair value of $26.1 million due to a lack of observable market transactions; During the nine months ended August 31, 2016 , transfers of assets of $114.5 million from Level 3 to Level 2 are primarily attributed to: • CDOs and CLOs of $25.3 million , RMBS of $25.5 million and other asset-backed securities of $17.0 million , for which market trades were observed in the period for either |
Derivative Financial Instrument
Derivative Financial Instruments | 9 Months Ended |
Aug. 31, 2016 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | Derivative Financial Instruments Off-Balance Sheet Risk We have contractual commitments arising in the ordinary course of business for securities loaned or purchased under agreements to resell, repurchase agreements, future purchases and sales of foreign currencies, securities transactions on a when-issued basis and underwriting. Each of these financial instruments and activities contains varying degrees of off-balance sheet risk whereby the fair values of the securities underlying the financial instruments may be in excess of, or less than, the contract amount. The settlement of these transactions is not expected to have a material effect upon our consolidated financial statements. Derivative Financial Instruments Our derivative activities are recorded at fair value in the Consolidated Statements of Financial Condition in Financial instruments owned and Financial instruments sold, not yet purchased, net of cash paid or received under credit support agreements and on a net counterparty basis when a legally enforceable right to offset exists under a master netting agreement. Net realized and unrealized gains and losses are recognized in Principal transaction revenues in the Consolidated Statements of Earnings on a trade date basis and as a component of cash flows from operating activities in the Consolidated Statements of Cash Flows. Acting in a trading capacity, we may enter into derivative transactions to satisfy the needs of our clients and to manage our own exposure to market and credit risks resulting from our trading activities. (See Note 4, Fair Value Disclosures , and Note 17, Commitments, Contingencies and Guarantees for additional disclosures about derivative financial instruments.) Derivatives are subject to various risks similar to other financial instruments, including market, credit and operational risk. The risks of derivatives should not be viewed in isolation, but rather should be considered on an aggregate basis along with our other trading-related activities. We manage the risks associated with derivatives on an aggregate basis along with the risks associated with proprietary trading as part of our firm wide risk management policies. In connection with our derivative activities, we may enter into International Swaps and Derivative Association, Inc. (“ISDA”) master netting agreements or similar agreements with counterparties. A master agreement creates a single contract under which all transactions between two counterparties are executed allowing for trade aggregation and a single net payment obligation. Master agreements provide protection in bankruptcy in certain circumstances and, where legally enforceable, enable receivables and payables with the same counterparty to be settled or otherwise eliminated by applying amounts due against all or a portion of an amount due from the counterparty or a third party. In addition, we enter into customized bilateral trading agreements and other customer agreements that provide for the netting of receivables and payables with a given counterparty as a single net obligation. Under our ISDA master netting agreements, we typically also execute credit support annexes, which provide for collateral, either in the form of cash or securities, to be posted by or paid to a counterparty based on the fair value of the derivative receivable or payable based on the rates and parameters established in the credit support annex. In the event of the counterparty’s default, provisions of the master agreement permit acceleration and termination of all outstanding transactions covered by the agreement such that a single amount is owed by, or to, the non-defaulting party. In addition, any collateral posted can be applied to the net obligations, with any excess returned; and the collateralized party has a right to liquidate the collateral. Any residual claim after netting is treated along with other unsecured claims in bankruptcy court. The conditions supporting the legal right of offset may vary from one legal jurisdiction to another and the enforceability of master netting agreements and bankruptcy laws in certain countries or in certain industries is not free from doubt. The right of offset is dependent both on contract law under the governing arrangement and consistency with the bankruptcy laws of the jurisdiction where the counterparty is located. Industry legal opinions with respect to the enforceability of certain standard provisions in respective jurisdictions are relied upon as a part of managing credit risk. In cases where we have not determined an agreement to be enforceable, the related amounts are not offset. Master netting agreements are a critical component of our risk management processes as part of reducing counterparty credit risk and managing liquidity risk. We are also a party to clearing agreements with various central clearing parties. Under these arrangements, the central clearing counterparty facilitates settlement between counterparties based on the net payable owed or receivable due and, with respect to daily settlement, cash is generally only required to be deposited to the extent of the net amount. In the event of default, a net termination amount is determined based on the market values of all outstanding positions and the clearing organization or clearing member provides for the liquidation and settlement of the net termination amount among all counterparties to the open derivative contracts. The following tables present the fair value and related number of derivative contracts at August 31, 2016 and November 30, 2015 categorized by type of derivative contract and the platform on which these derivatives are transacted. The fair value of assets/liabilities represents our receivable/payable for derivative financial instruments, gross of counterparty netting and cash collateral received and pledged. The following tables also provide information regarding 1) the extent to which, under enforceable master netting arrangements, such balances are presented net in the Consolidated Statements of Financial Condition as appropriate under U.S. GAAP and 2) the extent to which other rights of setoff associated with these arrangements exist and could have an effect on our financial position (in thousands, except contract amounts). August 31, 2016 (1) Assets Liabilities Fair Value Number of Fair Value Number of Interest rate contracts: Exchange-traded $ 2,286 26,232 $ 372 33,205 Cleared OTC 4,282,590 3,450 4,218,171 3,307 Bilateral OTC 588,640 2,046 558,296 1,234 Foreign exchange contracts: Exchange-traded — 358 — 470 Bilateral OTC 428,868 9,639 447,085 9,567 Equity contracts: Exchange-traded 799,932 3,463,584 960,272 2,999,406 Bilateral OTC 93,547 1,086 117,374 1,265 Commodity contracts: Exchange-traded — 1,624 — 888 Credit contracts: Cleared OTC 1,747 10 8,539 18 Bilateral OTC 20,846 152 32,043 189 Total gross derivative assets/ liabilities: Exchange-traded 802,218 960,644 Cleared OTC 4,284,337 4,226,710 Bilateral OTC 1,131,901 1,154,798 Amounts offset in the Consolidated Statements of Financial Condition (2): Exchange-traded (779,958 ) (779,958 ) Cleared OTC (4,233,022 ) (4,212,004 ) Bilateral OTC (874,894 ) (978,067 ) Net amounts per Consolidated Statements of Financial Condition (3) $ 330,582 $ 372,123 (1) Exchange traded derivatives include derivatives executed on an organized exchange. Cleared OTC derivatives include derivatives executed bilaterally and subsequently novated to and cleared through central clearing counterparties. Bilateral OTC derivatives include derivatives executed and settled bilaterally without the use of an organized exchange or central clearing counterparty. (2) Amounts netted include both netting by counterparty and for cash collateral paid or received. (3) We have not received or pledged additional collateral under master netting agreements and/or other credit support agreements that is eligible to be offset beyond what has been offset in the Consolidated Statements of Financial Condition. November 30, 2015 (1) Assets Liabilities Fair Value Number of Contracts Fair Value Number of Contracts Interest rate contracts: Exchange-traded $ 998 52,605 $ 364 70,672 Cleared OTC 2,213,730 2,742 2,202,836 2,869 Bilateral OTC 695,365 1,401 646,758 1,363 Foreign exchange contracts: Exchange-traded — 441 — 112 Bilateral OTC (4) 453,202 7,646 466,021 7,264 Equity contracts: Exchange-traded 955,287 3,054,315 1,004,699 2,943,657 Bilateral OTC 61,004 1,039 81,085 1,070 Commodity contracts: Exchange-traded — 1,726 — 1,684 Bilateral OTC (4) 19,342 29 4,628 28 Credit contracts: Cleared OTC 621 39 841 44 Bilateral OTC 16,977 100 59,314 135 Total gross derivative assets/liabilities: Exchange-traded 956,285 1,005,063 Cleared OTC 2,214,351 2,203,677 Bilateral OTC 1,245,890 1,257,806 Amounts offset in the Consolidated Statements of Financial Condition (2): Exchange-traded (938,482 ) (938,482 ) Cleared OTC (2,184,438 ) (2,184,438 ) Bilateral OTC (1,042,526 ) (1,135,078 ) Net amounts per Consolidated Statements of Financial Condition (3) $ 251,080 $ 208,548 (1) Exchange traded derivatives include derivatives executed on an organized exchange. Cleared OTC derivatives include derivatives executed bilaterally and subsequently novated to and cleared through central clearing counterparties. Bilateral OTC derivatives include derivatives executed and settled bilaterally without the use of an organized exchange or central clearing counterparty. (2) Amounts netted include both netting by counterparty and for cash collateral paid or received. (3) We have not received or pledged additional collateral under master netting agreements and/or other credit support agreements that is eligible to be offset beyond what has been offset in the Consolidated Statements of Financial Condition. (4) Bilateral OTC commodity contracts increased in assets by a fair value of $19.3 million and by 29 contracts and in liabilities by a fair value of $4.6 million and by 28 contracts with corresponding decreases in bilateral OTC foreign exchange contracts from those amounts previously reported to correct for the classification of certain contracts. The total amount of bilateral OTC contracts remained unchanged. The following table presents unrealized and realized gains (losses) on derivative contracts: Three Months Ended Nine Months Ended Gains (Losses) August 31, 2016 August 31, 2015 August 31, 2016 August 31, 2015 Interest rate contracts $ (16,631 ) $ 25,308 $ (96,715 ) $ 580 Foreign exchange contracts 7,886 6,893 14,000 30,417 Equity contracts (185,264 ) 68,649 (509,476 ) 28,008 Commodity contracts 4,089 (4,757 ) 1,899 15,480 Credit contracts 4,024 (4,375 ) 1,441 (612 ) Total $ (185,896 ) $ 91,718 $ (588,851 ) $ 73,873 OTC Derivatives. The following tables set forth by remaining contract maturity the fair value of OTC derivative assets and liabilities at August 31, 2016 (in thousands): OTC Derivative Assets (1) (2) (3) 0 – 12 Months 1 – 5 Years Greater Than 5 Years Cross-Maturity Netting (4) Total Equity swaps and options $ 27,781 $ 5,370 $ — $ — $ 33,151 Credit default swaps — 7,948 230 (177 ) 8,001 Total return swaps 27,796 874 — (613 ) 28,057 Foreign currency forwards, swaps and options 84,564 29,937 — (7,150 ) 107,351 Interest rate swaps, options and forwards 42,055 229,950 88,205 (97,075 ) 263,135 Total $ 182,196 $ 274,079 $ 88,435 $ (105,015 ) 439,695 Cross product counterparty netting (754 ) Total OTC derivative assets included in Financial instruments owned $ 438,941 (1) At August 31, 2016 , we held exchange traded derivative assets and other credit agreements with a fair value of $25.6 million , which are not included in this table. (2) OTC derivative assets in the table above are gross of collateral received. OTC derivative assets are recorded net of collateral received on the Consolidated Statements of Financial Condition. At August 31, 2016 , cash collateral received was $134.0 million . (3) Derivative fair values include counterparty netting within product category. (4) Amounts represent the netting of receivable balances with payable balances for the same counterparty within product category across maturity categories. OTC Derivative Liabilities (1) (2) (3) 0 – 12 Months 1 – 5 Years Greater Than 5 Years Cross-Maturity Netting (4) Total Equity swaps and options $ 13,408 $ 23,617 $ — $ — $ 37,025 Credit default swaps 28 12,639 1,672 (177 ) 14,162 Total return swaps 26,824 16,967 — (613 ) 43,178 Foreign currency forwards, swaps and options 112,699 20,024 — (7,150 ) 125,573 Fixed income forwards 5,044 — — — 5,044 Interest rate swaps, options and forwards 23,709 119,675 124,541 (97,075 ) 170,850 Total $ 181,712 $ 192,922 $ 126,213 $ (105,015 ) 395,832 Cross product counterparty netting (754 ) Total OTC derivative liabilities included in Financial instruments sold, not yet purchased $ 395,078 (1) At August 31, 2016 , we held exchange traded derivative liabilities and other credit agreements with a fair value of $193.2 million , which are not included in this table. (2) OTC derivative liabilities in the table above are gross of collateral pledged. OTC derivative liabilities are recorded net of collateral pledged on the Consolidated Statements of Financial Condition. At August 31, 2016 , cash collateral pledged was $216.1 million . (3) Derivative fair values include counterparty netting within product category. (4) Amounts represent the netting of receivable balances with payable balances for the same counterparty within product category across maturity categories. At August 31, 2016 , the counterparty credit quality with respect to the fair value of our OTC derivatives assets was as follows (in thousands): Counterparty credit quality (1): A- or higher $ 214,650 BBB- to BBB+ 77,419 BB+ or lower 64,975 Unrated 81,897 Total $ 438,941 (1) We utilize internal credit ratings determined by our Risk Management department. Credit ratings determined by Risk Management use methodologies that produce ratings generally consistent with those produced by external rating agencies. Contingent Features Certain of our derivative instruments contain provisions that require our debt to maintain an investment grade credit rating from each of the major credit rating agencies. If our debt were to fall below investment grade, it would be in violation of these provisions and the counterparties to the derivative instruments could request immediate payment or demand immediate and ongoing full overnight collateralization on our derivative instruments in liability positions. The aggregate fair value of all derivative instruments with such credit-risk-related contingent features that are in a liability position at August 31, 2016 and November 30, 2015 is $85.9 million and $114.5 million , respectively, for which we have posted collateral of $65.4 million and $97.2 million , respectively, in the normal course of business. If the credit-risk-related contingent features underlying these agreements were triggered on August 31, 2016 and November 30, 2015 , we would have been required to post an additional $22.6 million and $19.7 million , respectively, of collateral to our counterparties. |
Collateralized Transactions
Collateralized Transactions | 9 Months Ended |
Aug. 31, 2016 | |
Banking and Thrift [Abstract] | |
Collateralized Transactions | Collateralized Transactions We enter into secured borrowing and lending arrangements to obtain collateral necessary to effect settlement, finance inventory positions, meet customer needs or re-lend as part of our dealer operations. We monitor the fair value of the securities loaned and borrowed on a daily basis as compared with the related payable or receivable, and request additional collateral or return excess collateral, as appropriate. We pledge financial instruments as collateral under repurchase agreements, securities lending agreements and other secured arrangements, including clearing arrangements. Our agreements with counterparties generally contain contractual provisions allowing the counterparty the right to sell or repledge the collateral. Pledged securities owned that can be sold or repledged by the counterparty are included within Financial instruments owned and noted parenthetically as Securities pledged on our Consolidated Statements of Financial Condition. The following tables set forth the carrying value of securities lending arrangements and repurchase agreements by class of collateral pledged (in thousands): August 31, 2016 Securities Lending Arrangements Repurchase Agreements Total Collateral Pledged: Corporate equity securities $ 2,341,506 $ 174,077 $ 2,515,583 Corporate debt securities 578,451 1,701,732 2,280,183 Mortgage- and asset-backed securities — 2,358,531 2,358,531 U.S. government and federal agency securities 10,419 8,759,548 8,769,967 Municipal securities — 420,957 420,957 Sovereign obligations — 2,120,421 2,120,421 Loans and other receivables — 478,693 478,693 Total $ 2,930,376 $ 16,013,959 $ 18,944,335 November 30, 2015 Securities Lending Arrangements Repurchase Agreements Total Collateral Pledged: Corporate equity securities $ 2,195,912 $ 275,880 $ 2,471,792 Corporate debt securities 748,405 1,752,222 2,500,627 Mortgage- and asset-backed securities — 3,537,812 3,537,812 U.S. government and federal agency securities 34,983 12,006,081 12,041,064 Municipal securities — 357,350 357,350 Sovereign obligations — 1,804,103 1,804,103 Loans and other receivables — 462,534 462,534 Total $ 2,979,300 $ 20,195,982 $ 23,175,282 The following tables set forth the carrying value of securities lending arrangements and repurchase agreements by remaining contractual maturity (in thousands): August 31, 2016 Overnight and Continuous Up to 30 Days 30-90 Days Greater than 90 Days Total Securities lending arrangements $ 1,629,631 $ 85,895 $ 794,824 $ 420,026 $ 2,930,376 Repurchase agreements 7,832,265 3,952,072 2,763,570 1,466,052 16,013,959 Total $ 9,461,896 $ 4,037,967 $ 3,558,394 $ 1,886,078 $ 18,944,335 November 30, 2015 Overnight and Continuous Up to 30 Days 30-90 Days Greater than 90 Days Total Securities lending arrangements $ 1,522,475 $ — $ 973,201 $ 483,624 $ 2,979,300 Repurchase agreements 7,850,791 5,218,059 5,291,729 1,835,403 20,195,982 Total $ 9,373,266 $ 5,218,059 $ 6,264,930 $ 2,319,027 $ 23,175,282 We receive securities as collateral under resale agreements, securities borrowing transactions and customer margin loans. We also receive securities as collateral in connection with securities-for-securities transactions in which we are the lender of securities. In many instances, we are permitted by contract or custom to rehypothecate the securities received as collateral. These securities may be used to secure repurchase agreements, enter into securities lending transactions, satisfy margin requirements on derivative transactions or cover short positions. At August 31, 2016 and November 30, 2015 , the approximate fair value of securities received as collateral by us that may be sold or repledged was $26.6 billion and $26.2 billion , respectively. At August 31, 2016 and November 30, 2015 , a substantial portion of the securities received by us had been sold or repledged. Offsetting of Securities Financing Agreements To manage our exposure to credit risk associated with securities financing transactions, we may enter into master netting agreements and collateral arrangements with counterparties. Generally, transactions are executed under standard industry agreements, including, but not limited to, master securities lending agreements (securities lending transactions) and master repurchase agreements (repurchase transactions). A master agreement creates a single contract under which all transactions between two counterparties are executed allowing for trade aggregation and a single net payment obligation. Master agreements provide protection in bankruptcy in certain circumstances and, where legally enforceable, enable receivables and payables with the same counterparty to be settled or otherwise eliminated by applying amounts due against all or a portion of an amount due from the counterparty or a third party. In addition, we enter into customized bilateral trading agreements and other customer agreements that provide for the netting of receivables and payables with a given counterparty as a single net obligation. In the event of the counterparty’s default, provisions of the master agreement permit acceleration and termination of all outstanding transactions covered by the agreement such that a single amount is owed by, or to, the non-defaulting party. In addition, any collateral posted can be applied to the net obligations, with any excess returned; and the collateralized party has a right to liquidate the collateral. Any residual claim after netting is treated along with other unsecured claims in bankruptcy court. The conditions supporting the legal right of offset may vary from one legal jurisdiction to another and the enforceability of master netting agreements and bankruptcy laws in certain countries or in certain industries is not free from doubt. The right of offset is dependent both on contract law under the governing arrangement and consistency with the bankruptcy laws of the jurisdiction where the counterparty is located. Industry legal opinions with respect to the enforceability of certain standard provisions in respective jurisdictions are relied upon as a part of managing credit risk. Master netting agreements are a critical component of our risk management processes as part of reducing counterparty credit risk and managing liquidity risk. We are also a party to clearing agreements with various central clearing parties. Under these arrangements, the central clearing counterparty facilitates settlement between counterparties based on the net payable owed or receivable due and, with respect to daily settlement, cash is generally only required to be deposited to the extent of the net amount. In the event of default, a net termination amount is determined based on the market values of all outstanding positions and the clearing organization or clearing member provides for the liquidation and settlement of the net termination amount among all counterparties to the open repurchase and/or securities lending transactions. The following tables provide information regarding repurchase agreements and securities borrowing and lending arrangements that are recognized in the Consolidated Statements of Financial Condition and 1) the extent to which, under enforceable master netting arrangements, such balances are presented net in the Consolidated Statements of Financial Condition as appropriate under U.S. GAAP and 2) the extent to which other rights of setoff associated with these arrangements exist and could have an effect on our financial position (in thousands). August 31, 2016 Gross Amounts Netting in Consolidated Statement of Financial Condition Net Amounts in Consolidated Statement of Financial Condition Additional Amounts Available for Setoff (1) Available Collateral (2) Net Amount (3) Assets: Securities borrowing arrangements $ 8,460,736 $ — $ 8,460,736 $ (831,732 ) $ (1,063,399 ) $ 6,565,605 Reverse repurchase agreements 11,921,719 (7,883,525 ) 4,038,194 (133,611 ) (3,878,141 ) 26,442 Liabilities: Securities lending arrangements $ 2,930,376 $ — $ 2,930,376 $ (831,732 ) $ (2,038,342 ) $ 60,302 Repurchase agreements 16,013,959 (7,883,525 ) 8,130,434 (133,611 ) (6,707,666 ) 1,289,157 November 30, 2015 Gross Amounts Netting in Consolidated Statement of Financial Condition Net Amounts in Consolidated Statement of Financial Condition Additional Amounts Available for Setoff (1) Available Collateral (2) Net Amount (4) Assets: Securities borrowing arrangements $ 6,975,136 $ — $ 6,975,136 $ (478,991 ) $ (667,099 ) $ 5,829,046 Reverse repurchase agreements 14,048,860 (10,191,554 ) 3,857,306 (83,452 ) (3,745,215 ) 28,639 Liabilities: Securities lending arrangements $ 2,979,300 $ — $ 2,979,300 $ (478,991 ) $ (2,464,395 ) $ 35,914 Repurchase agreements 20,195,982 (10,191,554 ) 10,004,428 (83,452 ) (8,103,468 ) 1,817,508 (1) Under master netting agreements with our counterparties, we have the legal right of offset with a counterparty, which incorporates all of the counterparty’s outstanding rights and obligations under the arrangement. These balances reflect additional credit risk mitigation that is available by counterparty in the event of a counterparty’s default, but which are not netted in the balance sheet because other netting provisions of U.S. GAAP are not met. (2) Includes securities received or paid under collateral arrangements with counterparties that could be liquidated in the event of a counterparty default and thus offset against a counterparty’s rights and obligations under the respective repurchase agreements or securities borrowing or lending arrangements. (3) Amounts include $6,520.3 million of securities borrowing arrangements, for which we have received securities collateral of $6,315.7 million , and $1,278.2 million of repurchase agreements, for which we have pledged securities collateral of $1,326.2 million , which are subject to master netting agreements but we have not determined the agreements to be legally enforceable. (4) Amounts include $5,796.1 million of securities borrowing arrangements, for which we have received securities collateral of $5,613.3 million , and $1,807.2 million of repurchase agreements, for which we have pledged securities collateral of $1,875.3 million , which are subject to master netting agreements but we have not determined the agreements to be legally enforceable. Cash and Securities Segregated and on Deposit for Regulatory Purposes or Deposited with Clearing and Depository Organizations Cash and securities deposited with clearing and depository organizations and segregated in accordance with regulatory regulations totaled $1,026.9 million and $751.1 million at August 31, 2016 and November 30, 2015 , respectively. Segregated cash and securities consist of deposits in accordance with Rule 15c3-3 of the Securities Exchange Act of 1934, which subjects Jefferies as a broker-dealer carrying customer accounts to requirements related to maintaining cash or qualified securities in segregated special reserve bank accounts for the exclusive benefit of its customers. |
Securitization Activities
Securitization Activities | 9 Months Ended |
Aug. 31, 2016 | |
Transfers and Servicing [Abstract] | |
Securitization Activities | Securitization Activities We engage in securitization activities related to corporate loans, commercial mortgage loans, consumer loans and mortgage-backed and other asset-backed securities. In our securitization transactions, we transfer these assets to special purpose entities (“SPEs”) and act as the placement or structuring agent for the beneficial interests sold to investors by the SPE. A significant portion of our securitization transactions are securitization of assets issued or guaranteed by U.S. government agencies. These SPEs generally meet the criteria of VIEs; however we generally do not consolidate the SPEs as we are not considered the primary beneficiary for these SPEs. See Note 8, Variable Interest Entities , for further discussion on VIEs and our determination of the primary beneficiary. We account for our securitization transactions as sales provided we have relinquished control over the transferred assets. Transferred assets are carried at fair value with unrealized gains and losses reflected in Principal transactions revenues in the Consolidated Statement of Earnings prior to the identification and isolation for securitization. Subsequently, revenues recognized upon securitization are reflected as net underwriting revenues. We generally receive cash proceeds in connection with the transfer of assets to an SPE. We may, however, have continuing involvement with the transferred assets, which is limited to retaining one or more tranches of the securitization (primarily senior and subordinated debt securities in the form of mortgage- and other-asset backed securities or CLOs), which are included within Financial instruments owned and are generally initially categorized as Level 2 within the fair value hierarchy. We apply fair value accounting to the securities. The following table presents activity related to our securitizations that were accounted for as sales in which we had continuing involvement (in millions): Three Months Ended August 31, Nine Months Ended August 31, 2016 2015 2016 2015 Transferred assets $ 1,390.7 $ 853.9 $ 4,523.5 $ 3,931.5 Proceeds on new securitizations 1,394.0 888.1 4,541.3 3,979.6 Cash flows received on retained interests 6.3 10.7 24.9 28.6 We have no explicit or implicit arrangements to provide additional financial support to these SPEs, have no liabilities related to these SPEs and do not have any outstanding derivative contracts executed in connection with these securitization activities at August 31, 2016 and November 30, 2015 . The following tables summarize our retained interests in SPEs where we transferred assets and have continuing involvement and received sale accounting treatment (in millions): August 31, 2016 Securitization Type Total Assets Retained Interests U.S. government agency RMBS $ 16,661.6 $ 32.6 U.S. government agency CMBS 4,027.5 22.7 CLOs 3,747.5 55.9 Consumer and other loans 737.3 31.2 November 30, 2015 Securitization Type Total Assets Retained Interests U.S. government agency RMBS $ 10,901.9 $ 203.6 U.S. government agency CMBS 2,313.4 87.2 CLOs 4,538.4 51.5 Consumer and other loans 655.0 31.0 Total assets represent the unpaid principal amount of assets in the SPEs in which we have continuing involvement and are presented solely to provide information regarding the size of the transaction and the size of the underlying assets supporting our retained interests, and are not considered representative of the risk of potential loss. Assets retained in connection with a securitization transaction represent the fair value of the securities of one or more tranches issued by an SPE, including senior and subordinated tranches. Our risk of loss is limited to this fair value amount which is included within total Financial instruments owned on our Consolidated Statements of Financial Condition. Although not obligated, in connection with secondary market-making activities we may make a market in the securities issued by these SPEs. In these market-making transactions, we buy these securities from and sell these securities to investors. Securities purchased through these market-making activities are not considered to be continuing involvement in these SPEs, although the securities are included in Financial instruments owned. To the extent we purchased securities through these market-making activities and we are not deemed to be the primary beneficiary of the VIE, these securities are included in agency and non-agency mortgage- and asset-backed securitizations in the nonconsolidated VIEs section presented in Note 8, Variable Interest Entities . |
Variable Interest Entities
Variable Interest Entities | 9 Months Ended |
Aug. 31, 2016 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Variable Interest Entities | Variable Interest Entities VIEs are entities in which equity investors lack the characteristics of a controlling financial interest. VIEs are consolidated by the primary beneficiary. The primary beneficiary is the party who has both (1) the power to direct the activities of a VIE that most significantly impact the entity’s economic performance and (2) an obligation to absorb losses of the entity or a right to receive benefits from the entity that could potentially be significant to the entity. Our variable interests in VIEs include debt and equity interests, commitments, guarantees and certain fees. Our involvement with VIEs arises primarily from: • Purchases of securities in connection with our trading and secondary market making activities, • Retained interests held as a result of securitization activities, including the resecuritization of mortgage- and other asset-backed securities and the securitization of commercial mortgage, corporate and consumer loans, • Acting as placement agent and/or underwriter in connection with client-sponsored securitizations, • Financing of agency and non-agency mortgage- and other asset-backed securities, • Warehousing funding arrangements for client-sponsored consumer loan vehicles and CLOs through participation certificates and revolving loan and note commitments, and • Loans to, investments in and fees from various investment vehicles. We determine whether we are the primary beneficiary of a VIE upon our initial involvement with the VIE and we reassess whether we are the primary beneficiary of a VIE on an ongoing basis. Our determination of whether we are the primary beneficiary of a VIE is based upon the facts and circumstances for each VIE and requires significant judgment. Our considerations in determining the VIE’s most significant activities and whether we have power to direct those activities include, but are not limited to, the VIE’s purpose and design and the risks passed through to investors, the voting interests of the VIE, management, service and/or other agreements of the VIE, involvement in the VIE’s initial design and the existence of explicit or implicit financial guarantees. In situations where we have determined that the power over the VIE’s significant activities is shared, we assess whether we are the party with the power over the most significant activities. If we are the party with the power over the most significant activities, we meet the “power” criteria of the primary beneficiary. If we do not have the power over the most significant activities or we determine that decisions require consent of each sharing party, we do not meet the “power” criteria of the primary beneficiary. We assess our variable interests in a VIE both individually and in aggregate to determine whether we have an obligation to absorb losses of or a right to receive benefits from the VIE that could potentially be significant to the VIE. The determination of whether our variable interest is significant to the VIE requires significant judgment. In determining the significance of our variable interest, we consider the terms, characteristics and size of the variable interests, the design and characteristics of the VIE, our involvement in the VIE and our market-making activities related to the variable interests. Consolidated VIEs The following table presents information about our consolidated VIEs at August 31, 2016 and November 30, 2015 (in millions). The assets and liabilities in the tables below are presented prior to consolidation and thus a portion of these assets and liabilities are eliminated in consolidation. August 31, 2016 November 30, 2015 Securitization Vehicles Other Securitization Vehicles Other Cash $ 9.7 $ 0.7 $ 0.5 $ 1.5 Financial instruments owned 90.6 0.6 68.3 0.6 Securities purchased under agreement to resell (1) 604.0 — 717.3 — Fees, interest and other receivables 0.5 — 0.3 0.2 Total assets $ 704.8 $ 1.3 $ 786.4 $ 2.3 Other secured financings (2) $ 692.8 $ — $ 785.0 $ — Other liabilities 11.3 0.2 1.4 0.3 Total liabilities $ 704.1 $ 0.2 $ 786.4 $ 0.3 (1) Securities purchased under agreement to resell represent an amount due under a collateralized transaction on a related consolidated entity, which is eliminated in consolidation. (2) Approximately $86.5 million and $22.1 million of the secured financing represents an amount held by us in inventory and is eliminated in consolidation at August 31, 2016 and November 30, 2015 , respectively. Securitization Vehicles . We are the primary beneficiary of securitization vehicles associated with our financing of consumer and small business loans. In the creation of the securitization vehicles, we were involved in the decisions made during the establishment and design of the entities and hold variable interests consisting of the securities retained that could potentially be significant. The assets of the VIEs consist of the small business loans and term loans backed by consumer installment receivables, which are available for the benefit of the vehicles’ beneficial interest holders. The creditors of the VIEs do not have recourse to our general credit and the assets of the VIEs are not available to satisfy any other debt. We are also the primary beneficiary of mortgage-backed financing vehicles to which we sell agency and non-agency residential and commercial mortgage loans and mortgage-backed securities pursuant to the terms of a master repurchase agreement. We manage the assets within these vehicles. Our variable interests in these vehicles consist of our collateral margin maintenance obligations under the master repurchase agreement and retained interests in securities issued. The assets of these VIEs consist of reverse repurchase agreements, which are available for the benefit of the vehicle’s debt holders. The creditors of these VIEs do not have recourse to our general credit and each such VIE's assets are not available to satisfy any other debt. Other. We are the primary beneficiary of certain investment vehicles set up for the benefit of our employees. We manage and invest alongside our employees in these vehicles. The assets of these VIEs consist of private equity securities, and are available for the benefit of the entities’ equity holders. Our variable interests in these vehicles consist of equity securities. The creditors of these VIEs do not have recourse to our general credit and each such VIE's assets are not available to satisfy any other debt. Nonconsolidated VIEs The following tables present information about our variable interests in nonconsolidated VIEs (in millions): August 31, 2016 Carrying Amount Maximum VIE Assets Assets Liabilities CLOs $ 73.3 $ 7.6 $ 326.7 $ 4,879.1 Consumer loan vehicles 170.0 — 607.2 1,231.4 Related party private equity vehicles 38.3 — 64.2 157.5 Other private investment vehicles 57.4 — 58.9 3,977.7 Total $ 339.0 $ 7.6 $ 1,057.0 $ 10,245.7 November 30, 2015 Carrying Amount Maximum VIE Assets Assets Liabilities CLOs $ 73.6 $ 0.2 $ 458.1 $ 6,368.7 Consumer loan vehicles 188.3 — 845.8 1,133.0 Related party private equity vehicles 39.3 — 65.8 168.2 Other private investment vehicles 51.3 — 52.8 4,312.0 Total $ 352.5 $ 0.2 $ 1,422.5 $ 11,981.9 Our maximum exposure to loss often differs from the carrying value of the variable interests. The maximum exposure to loss is dependent on the nature of our variable interests in the VIEs and is limited to the notional amounts of certain loan and equity commitments and guarantees. Our maximum exposure to loss does not include the offsetting benefit of any financial instruments that may be utilized to hedge the risks associated with our variable interests and is not reduced by the amount of collateral held as part of a transaction with a VIE. Collateralized Loan Obligations. Assets collateralizing the CLOs include bank loans, participation interests and sub-investment grade and senior secured U.S. loans. We underwrite securities issued in CLO transactions on behalf of sponsors and provide advisory services to the sponsors. We may also sell corporate loans to the CLOs. Our variable interests in connection with CLOs where we have been involved in providing underwriting and/or advisory services consist of the following: • Forward sale agreements whereby we commit to sell, at a fixed price, corporate loans and ownership interests in an entity holding such corporate loans to CLOs, • Warehouse funding arrangements in the form of participation interests in corporate loans held by CLOs and commitments to fund such participation interests, • Trading positions in securities issued in a CLO transaction, • Investments in variable funding notes issued by CLOs, • A guarantee to a CLO managed by Jefferies Finance, LLC ("Jefferies Finance"), whereby we guarantee certain of the obligations of Jefferies Finance to the CLO. In addition, we own variable interests in CLOs previously managed by us. Our variable interests consist of debt securities and a right to a portion of the CLO's management and incentive fees. Our exposure to loss from these CLOs is limited to our investments in the debt securities held. Management and incentive fees are accrued as the amounts become realizable. These CLOs represent interests in assets consisting primarily of senior secured loans, unsecured loans and high yield bonds. Consumer Loan Vehicles. We provide financing and lending related services to certain client-sponsored VIEs in the form of revolving funding note agreements, revolving credit facilities and forward purchase agreements. The underlying assets, which are collateralizing the vehicles, are primarily composed of unsecured consumer and small business loans. In addition, we may provide structuring and advisory services and act as an underwriter or placement agent for securities issued by the vehicles. We do not control the activities of these entities. Related Party Private Equity Vehicles. We have committed to invest equity in private equity funds (the "JCP Funds") managed by Jefferies Capital Partners, LLC (the "JCP Manager"). Additionally, we have committed to invest equity in the general partners of the JCP Funds (the "JCP General Partners") and the JCP Manager. Our variable interests in the JCP Funds, JCP General Partners and JCP Manager (collectively, the "JCP Entities") consist of equity interests that, in total, provide us with limited and general partner investment returns of the JCP Funds, a portion of the carried interest earned by the JCP General Partners and a portion of the management fees earned by the JCP Manager. Our total equity commitment in the JCP Entities is $148.1 million , of which $125.1 million and $124.6 million was funded at August 31, 2016 and November 30, 2015 , respectively. The carrying value of our equity investments in the JCP Entities was $38.3 million and $39.3 million at August 31, 2016 and November 30, 2015 , respectively. Our exposure to loss is limited to the total of our carrying value and unfunded equity commitment. The assets of the JCP Entities primarily consist of private equity and equity related investments. We have also provided a guarantee of a portion of Energy Partners I, LP's obligations under a credit agreement. Energy Partners I, LP, is a private equity fund owned and managed by our employees. The maximum exposure to loss of the guarantee was $3.0 million at August 31, 2016 and November 30, 2015 . Energy Partners I, LP, has assets consisting primarily of debt and equity investments. Other Private Investment Vehicles. As of August 31, 2016 and November 30, 2015 , we had equity commitments to invest $75.8 million and $50.8 million , respectively, in various other private investment vehicles, of which $74.3 million and $49.3 million was funded, respectively. The carrying value of our equity investments was $57.4 million and $51.3 million at August 31, 2016 and November 30, 2015 , respectively. Our exposure to loss is limited to the total of our carrying value and unfunded equity commitment. These private investment vehicles have assets primarily consisting of private and public equity investments, debt instruments and various oil and gas assets. Mortgage- and Other Asset-Backed Securitization Vehicles. In connection with our secondary trading and market making activities, we buy and sell agency and nonagency mortgage-backed securities and other asset-backed securities, which are issued by third party securitization SPEs and are generally considered variable interests in VIEs. Securities issued by securitization SPEs are backed by residential mortgage loans, U.S. agency collateralized mortgage obligations, commercial mortgage loans, CDOs and CLOs and other consumer loans, such as installment receivables, auto loans and student loans. These securities are accounted for at fair value and included in Financial instruments owned on our Consolidated Statements of Financial Condition. We have no other involvement with the related SPEs and therefore do not consolidate these entities. We also engage in underwriting, placement and structuring activities for third-party-sponsored securitization trusts generally through agency (FNMA ("Fannie Mae"), Federal Home Loan Mortgage Corporation ("Freddie Mac") or GNMA ("Ginnie Mae")) or nonagency sponsored SPEs and may purchase loans or mortgage-backed securities from third parties that are subsequently transferred into the securitization trusts. The securitizations are backed by residential and commercial mortgage, home equity and auto loans. We do not consolidate agency sponsored securitizations as we do not have the power to direct the activities of the SPEs that most significantly impact their economic performance. Further, we are not the servicer of nonagency-sponsored securitizations and therefore do not have power to direct the most significant activities of the SPEs and accordingly, do not consolidate these entities. We may retain unsold senior and/or subordinated interests at the time of securitization in the form of securities issued by the SPEs. We transfer existing securities, typically mortgage-backed securities, into resecuritization vehicles. These transactions in which debt securities are transferred to a VIE in exchange for new beneficial interests occur in connection with both agency and nonagency sponsored VIEs. Our consolidation analysis is largely dependent on our role and interest in the resecuritization trusts. Most resecuritizations in which we are involved are in connection with investors seeking securities with specific risk and return characteristics. As such, we have concluded that the decision-making power is shared between us and the investor(s), considering the joint efforts involved in structuring the trust and selecting the underlying assets as well as the level of security interests the investor(s) hold in the SPE; therefore, we do not consolidate the resecuritization VIEs. At August 31, 2016 and November 30, 2015 , we held $1,341.1 million and $3,359.1 million of agency mortgage-backed securities, respectively, and $515.0 million and $630.5 million of nonagency mortgage and other asset-backed securities, respectively, as a result of our secondary trading and market making activities, underwriting, placement and structuring activities and resecuritization activities. Our maximum exposure to loss on these securities is limited to the carrying value of our investments in these securities. Mortgage- and other asset-backed securitization vehicles discussed within this section are not included in the above table containing information about our variable interests in nonconsolidated VIEs. |
Investments
Investments | 9 Months Ended |
Aug. 31, 2016 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Investments | Investments We have investments in Jefferies Finance and Jefferies LoanCore LLC (“Jefferies LoanCore”). Our investments in Jefferies Finance and Jefferies LoanCore are accounted for under the equity method and are included in Loans to and investments in related parties on the Consolidated Statements of Financial Condition with our share of the investees’ earnings recognized in Other revenues in the Consolidated Statements of Earnings. We have limited partnership interests of 11% and 50% in Jefferies Capital Partners V L.P. and the SBI USA Fund L.P. (together, “JCP Fund V”), respectively, which are private equity funds managed by a team led by Brian P. Friedman, one of our directors and our Chairman of the Executive Committee. Jefferies Finance On October 7, 2004, we entered into an agreement with Massachusetts Mutual Life Insurance Company (“MassMutual”) and Babson Capital Management LLC to form Jefferies Finance, a joint venture entity. Jefferies Finance is a commercial finance company whose primary focus is the origination and syndication of senior secured debt to middle market and growth companies in the form of term and revolving loans. Loans are originated primarily through the investment banking efforts of Jefferies. Jefferies Finance may also originate other debt products such as second lien term, bridge and mezzanine loans, as well as related equity co-investments. Jefferies Finance also purchases syndicated loans in the secondary market. At August 31, 2016 , we and MassMutual each have equity commitments to Jefferies Finance of $600.0 million for a combined total commitment of $1.2 billion . At August 31, 2016 , we have funded $497.4 million of our $600.0 million commitment, leaving $102.6 million unfunded. The investment commitment is scheduled to expire on March 1, 2017 with automatic one year extensions absent a 60 day termination notice by either party. Jefferies Finance has executed a Secured Revolving Credit Facility with us and MassMutual, to be funded equally, to support loan underwritings by Jefferies Finance. The Secured Revolving Credit Facility bears interest based on the interest rates of the related Jefferies Finance underwritten loans and is secured by the underlying loans funded by the proceeds of the facility. The total Secured Revolving Credit is a committed amount of $500.0 million at August 31, 2016 . Advances are shared equally between us and MassMutual. The facility is scheduled to mature on March 1, 2017 with automatic one year extensions absent a 60 day termination notice by either party. At August 31, 2016 and November 30, 2015 , we have funded $0.0 and $19.3 million , respectively, of each of our $250.0 million and $250.0 million commitments, respectively. The following is a summary of selected financial information for Jefferies Finance (in millions): August 31, 2016 November 30, 2015 Total assets $ 7,344.9 $ 7,292.1 Total liabilities 6,406.2 6,297.3 Total equity 938.7 994.8 Our total equity balance 469.3 497.4 The results of Jefferies Finance were net earnings of $22.8 million and a net loss of $55.0 million for the three and nine months ended August 31, 2016 , respectively, and net earnings of $47.8 million and $109.8 million for the three and nine months ended August 31, 2015 , respectively. We engage in debt capital markets transactions with Jefferies Finance related to the originations of loans by Jefferies Finance. In connection with such transactions, we earned fees of $19.0 million and $42.1 million during the three and nine months ended August 31, 2016 , respectively, and $53.3 million and $108.8 million during the three and nine months ended August 31, 2015 , respectively, recognized in Investment banking revenues in the Consolidated Statements of Earnings. In addition, we paid fees to Jefferies Finance in respect of certain loans originated by Jefferies Finance of $1.6 million during the nine months ended August 31, 2016, and $1.5 million and $3.1 million during the three and nine months ended August 31, 2015 , respectively, which are recognized as Business development expenses in the Consolidated Statements of Earnings. We acted as placement agent in connection with several CLOs managed by Jefferies Finance for which we recognized fees of $1.3 million for both the three and nine months ended August 31, 2016 and $3.1 million during the nine months ended August 31, 2015, which are included in Investment banking revenues on the Consolidated Statement of Earnings. At August 31, 2016 and November 30, 2015 , we held securities issued by CLOs managed by Jefferies Finance, which are included within Financial instruments owned, and provided a guarantee whereby we are required to make certain payments to a CLO in the event that Jefferies Finance is unable to meet its obligations to the CLO. Additionally, we have entered into participation agreements and derivative contracts with Jefferies Finance based upon certain securities issued by the CLO. We acted as underwriter in connection with senior notes issued by Jefferies Finance, for which we recognized underwriting fees of $1.3 million during the nine months ended August 31, 2015. Under a service agreement, we charged Jefferies Finance $7.2 million and $35.8 million for services provided during the three and nine months ended August 31, 2016 , respectively, and $8.4 million and $43.3 million during the three and nine months ended August 31, 2015 , respectively. Receivables from Jefferies Finance, included within Other assets on the Consolidated Statements of Financial Condition, were $0.0 million and $7.8 million at August 31, 2016 and November 30, 2015 , respectively. Jefferies LoanCore On February 23, 2011 , we entered into a joint venture agreement with the Government of Singapore Investment Corporation ("GIC") and LoanCore, LLC and formed Jefferies LoanCore, a commercial real estate finance company. In March 2016 , the Canada Pension Plan Investment Board acquired a 24% equity interest in Jefferies LoanCore through a direct acquisition from the GIC. Jefferies LoanCore originates and purchases commercial real estate loans throughout the U.S. with the support of the investment banking and securitization capabilities of Jefferies and the real estate and mortgage investment expertise of the GIC and LoanCore, LLC. During the second quarter of 2016, Jefferies LoanCore aggregate equity commitments were reduced from $600.0 million to $400.0 million . At August 31, 2016 and November 30, 2015 , we had funded $89.6 million and $207.4 million , respectively, of each of our $194.0 million and $291.0 million equity commitments, respectively, and have a 48.5% voting interest in Jefferies LoanCore. The following is a summary of selected financial information for Jefferies LoanCore (in millions): August 31, 2016 November 30, 2015 Total assets $ 1,610.4 $ 2,069.1 Total liabilities 1,264.6 1,469.8 Total equity 345.8 599.3 Our total equity balance 167.7 290.7 The net earnings of Jefferies LoanCore were $13.4 million and $36.1 million for the three and nine months ended August 31, 2016 , respectively, and $25.1 million and $61.6 million for the three and nine months ended August 31, 2015 , respectively. Under a service agreement, we charged Jefferies LoanCore $47,000 and $142,000 for the three and nine months ended August 31, 2016 , respectively, and $47,000 and $143,000 for the three and nine months ended August 31, 2015, respectively. Receivables from Jefferies LoanCore, included within Other assets on the Consolidated Statements of Financial Condition, were $16,000 and $16,000 at August 31, 2016 and November 30, 2015 , respectively. In connection with the securitization of commercial real estate loans originated by Jefferies LoanCore, we earned placement fees of $1.0 million and $1.6 million during the three and nine months ended August 31, 2015 , respectively. JCP Fund V The amount of our investments in JCP Fund V included within Investments in managed funds on the Consolidated Statements of Financial Condition was $28.8 million and $29.7 million at August 31, 2016 and November 30, 2015 , respectively. We account for these investments at fair value based on the NAV of the funds provided by the fund managers (see Note 2, Summary of Significant Accounting Policies ). The results from these investments were a gain of $5.8 million for the three months ended August 31, 2016 , a loss of $1.4 million for the nine months ended August 31, 2016 and losses of $3.4 million and $26.3 million for the three and nine months August 31, 2015 , respectively, and are included in Asset management fees and investment income (loss) from managed funds in the Consolidated Statements of Earnings. At August 31, 2016 and November 30, 2015 , we were committed to invest equity of up to $85.0 million in JCP Fund V. At August 31, 2016 , our unfunded commitment relating to JCP Fund V was $11.3 million. The following is a summary of selected financial information for 100.0% of JCP Fund V, in which we own effectively 35.2% of the combined equity interests (in thousands): June 30, 2016 (1) December 31, 2015 (1) Total assets $ 81,855 $ 76,555 Total liabilities 68 99 Total partners' capital 81,787 76,456 Three Months Ended June 30, 2016 (1) March 31, 2016 (1) December 31, 2015 (1) June 30, 2015 (1) March 31, 2015 (1) December 31, 2014 (1) Net increase (decrease) in net assets resulting from operations $ 17,137 $ (11,806 ) $ (7,886 ) $ (8,875 ) $ 1,478 $ (65,700 ) (1) Financial information for JCP Fund V within our financial position and results of operations at August 31, 2016 and November 30, 2015 and for the three and nine months ended August 31, 2016 and August 31, 2015 is included based on the presented periods. |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 9 Months Ended |
Aug. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets Goodwill Goodwill attributed to our reportable segments are as follows (in thousands): August 31, 2016 November 30, 2015 Capital Markets $ 1,642,293 $ 1,653,588 Asset Management 3,000 3,000 Total goodwill $ 1,645,293 $ 1,656,588 The following table is a summary of the changes to goodwill for the nine months ended August 31, 2016 (in thousands): Balance at November 30, 2015 $ 1,656,588 Translation adjustments (11,295 ) Balance at August 31, 2016 $ 1,645,293 Goodwill Impairment Testing A reporting unit is an operating segment or one level below an operating segment. The quantitative goodwill impairment test is performed at the level of the reporting unit and consists of two steps. In the first step, the fair value of each reporting unit is compared with its carrying value, including goodwill and allocated intangible assets. If the fair value is in excess of the carrying value, the goodwill for the reporting unit is considered not to be impaired. If the fair value is less than the carrying value, then a second step is performed in order to measure the amount of the impairment loss, if any, which is based on comparing the implied fair value of the reporting unit’s goodwill to the carrying value of the reporting unit's goodwill. Allocated equity plus allocated goodwill and intangible assets are used as a proxy for the carrying amount of each reporting unit. The amount of equity allocated to a reporting unit is based on our cash capital model deployed in managing our businesses, which seeks to approximate the capital a business would require if it were operating independently. Intangible assets are allocated to a reporting unit based on either specifically identifying a particular intangible asset as pertaining to a reporting unit or, if shared among reporting units, based on an assessment of the reporting unit’s benefit from the intangible asset in order to generate results. Estimating the fair value of a reporting unit requires management judgment. Estimated fair values for our reporting units were determined using a market valuation method that incorporate price-to-earnings and price-to-book multiples of comparable public companies. In addition, as the fair values determined under the market approach represent a noncontrolling interest, we applied a control premium to arrive at the estimated fair value of each reporting unit on a controlling basis. We engaged an independent valuation specialist to assist us in our valuation process at August 1, 2016. Our annual goodwill impairment testing at August 1, 2016 did not indicate any goodwill impairment in any of our reporting units. Substantially all of our goodwill is allocated to our Investment Banking, Equities, and Fixed Income reporting units for which the results of our assessment indicated that these reporting units had a fair value in excess of their carrying amounts based on current projections. At August 31, 2016, goodwill allocated to these reporting units is $1,642.3 million of total goodwill of $1,645.3 million . For the remaining less significant reporting unit, we have used a net asset approach for valuation and the fair value of each of the reporting units is equal to its book value. Intangible Assets Intangible assets are included in Other assets in the Consolidated Statements of Financial Condition. The following tables present the gross carrying amount, dispositions, accumulated amortization, net carrying amount and weighted average amortization period of identifiable intangible assets at August 31, 2016 and November 30, 2015 (dollars in thousands): August 31, 2016 Weighted average remaining lives (years) Gross cost Disposals (1) Impairment losses Accumulated amortization Net carrying amount Customer relationships $ 126,081 $ — $ — $ (40,453 ) $ 85,628 12.3 Trade name 128,845 — — (12,884 ) 115,961 31.5 Exchange and clearing organization membership interests and registrations 11,860 (1,379 ) (1,284 ) — 9,197 N/A Total $ 266,786 $ (1,379 ) $ (1,284 ) $ (53,337 ) $ 210,786 (1) Activity is related to the sale of certain exchange and clearing organization membership interests in the Futures reporting unit due to the exit of the business. November 30, 2015 Weighted average remaining lives (years) Gross cost Accumulated amortization Net carrying amount Customer relationships $ 127,667 $ (34,754 ) $ 92,913 12.9 Trade name 131,288 (10,315 ) 120,973 32.3 Exchange and clearing organization membership interests and registrations 11,897 — 11,897 N/A Total $ 270,852 $ (45,069 ) $ 225,783 We performed our annual impairment testing of intangible assets with an indefinite useful life, which consists of exchange and clearing organization membership interests and registrations, at August 1, 2016. We elected to perform a quantitative assessment of membership interests and registrations that have available quoted sales prices as well as certain other membership interests and registrations that have declined in utilization. A qualitative assessment was performed on the remainder of our indefinite-life intangible assets. In applying our quantitative assessment, we recognized an impairment loss of $1.3 million on certain exchange membership interests and registrations. With regard to our qualitative assessment of the remaining indefinite-life intangible assets, based on our assessment of market conditions, the utilization of the assets and the replacement costs associated with the assets, we have concluded that it is not more likely than not that the intangible assets are impaired. Amortization Expense For finite life intangible assets, aggregate amortization expense amounted to $3.0 million and $9.1 million for the three and nine months ended August 31, 2016 , respectively, and $3.1 million and $9.2 million for the three and nine months ended August 31, 2015 , respectively. These expenses are included in Other expenses on the Consolidated Statements of Earnings. The estimated future amortization expense for the five succeeding fiscal years is as follows (in thousands): Remainder of fiscal 2016 $ 3,049 Year ended November 30, 2017 12,198 Year ended November 30, 2018 12,198 Year ended November 30, 2019 12,198 Year ended November 30, 2020 12,198 |
Short-Term Borrowings
Short-Term Borrowings | 9 Months Ended |
Aug. 31, 2016 | |
Debt Disclosure [Abstract] | |
Short-Term Borrowings | Short-Term Borrowings Short-term borrowings at August 31, 2016 and November 30, 2015 include bank loans and overdrafts that are payable on demand and that must be repaid within one year or less, as well as borrowings under revolving loan and credit facilities as follows (in thousands): August 31, 2016 November 30, 2015 Bank loans (1) $ 262,711 $ 262,000 Secured revolving loan facility 67,986 48,659 Floating rate puttable notes 101,538 — Total short-term borrowings $ 432,235 $ 310,659 (1) Amount includes $0.7 million related to bank overdrafts at August 31, 2016 . At August 31, 2016 , the weighted average interest rate on short-term borrowings outstanding is 1.47% per annum. Average daily short-term borrowings outstanding were $414.4 million and $372.3 million for the three and nine months ended August 31, 2016 , respectively, and $18.5 million and $44.9 million for the three and nine months ended August 31, 2015 , respectively. Bank loans are typically overnight loans used to finance financial instruments owned or clearing related balances, but are not part of our systemic funding model and generally bear interest at a spread over the federal funds rate. On April 8, 2016, May 3, 2016 and July 29, 2016, under our $2.0 billion Euro Medium Term Note Program, we issued floating rate puttable notes with principal amounts of €30.0 million , €11.0 million and €50.0 million , respectively. These notes are puttable three months after the issuance date. On February 19, 2016, we entered into a demand loan margin financing facility (“Demand Loan Facility”) in a maximum principal amount of $25.0 million to satisfy certain of our margin obligations. Interest is based on an annual rate equal to weighted average LIBOR as defined in the Demand Loan Facility agreement plus 150 basis points . There were no borrowings outstanding at August 31, 2016. On October 29, 2015 , we entered into a secured revolving loan facility (“Secured Revolving Loan Facility”) whereby the lender agrees to make available a revolving loan facility in a maximum principal amount of $50.0 million in U.S. dollars to purchase eligible receivables that meet certain requirements as defined in the Secured Revolving Loan Facility agreement. Interest is based on an annual rate equal to the lesser of the LIBOR rate plus three and three-quarters percent or the maximum rate as defined in the Secured Revolving Loan Facility agreement. The Bank of New York Mellon agrees to make revolving intraday credit advances ("Intraday Credit Facility") for an aggregate committed amount of $300.0 million in U.S. dollars. The Intraday Credit Facility contains a financial covenant, which includes a minimum regulatory net capital requirement. Interest is based on the higher of the Federal funds effective rate plus 0.5% or the prime rate. At August 31, 2016 , we were in compliance with debt covenants under the Intraday Credit Facility. |
Long-Term Debt
Long-Term Debt | 9 Months Ended |
Aug. 31, 2016 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Long-Term Debt The following summarizes our long-term debt carrying values (including unamortized discounts and premiums and valuation adjustment, where applicable) at August 31, 2016 and November 30, 2015 (in thousands): August 31, November 30, 2015 Unsecured long-term debt 5.5% Senior Notes, due March 15, 2016 (effective interest rate of 2.52%) $ — $ 353,025 5.125% Senior Notes, due April 13, 2018 (effective interest rate of 3.46%) 820,974 830,298 8.5% Senior Notes, due July 15, 2019 (effective interest rate of 4.00%) 785,411 806,125 2.375% Euro Medium Term Notes, due May 20, 2020 (effective rate of 2.42%) 555,962 526,436 6.875% Senior Notes, due April 15, 2021 (effective interest rate of 4.40%) 827,601 838,765 2.25% Euro Medium Term Notes, due July 13, 2022 (effective rate of 4.08%) 4,035 3,779 5.125% Senior Notes, due January 20, 2023 (effective interest rate of 4.55%) 619,000 620,890 6.45% Senior Debentures, due June 8, 2027 (effective interest rate of 5.46%) 378,292 379,711 3.875% Convertible Senior Debentures, due November 1, 2029 (effective interest rate of 3.50%) (1) 346,473 347,307 6.25% Senior Debentures, due January 15, 2036 (effective interest rate of 6.03%) 512,481 512,730 6.50% Senior Notes, due January 20, 2043 (effective interest rate of 6.09%) 421,415 421,656 Structured Notes (2) 211,094 — Total long-term debt $ 5,482,738 $ 5,640,722 (1) The change in fair value of the conversion feature, which is included within Principal transaction revenues in the Consolidated Statements of Earnings, was not material for the three and nine months ended August 31, 2016 and 2015 . (2) Includes $204.4 million at fair value at August 31, 2016. During the nine months ended August 31, 2016 , we issued structured notes with a total principal amount of approximately $218.6 million . Certain of the structured notes contain various interest rate payment terms and are accounted for at fair value, with changes in fair value resulting from a change in the instrument-specific credit risk presented in other comprehensive income and changes in fair value resulting from non-credit components recognized in Principal transaction revenues. During the nine months ended August 31, 2016 , approximately $350.0 million of long-term borrowings matured or were retired. In addition, on January 21, 2016, we issued $15.0 million of Class A Notes, due 2022, and $7.5 million of Class B Notes, due 2022, secured by aircraft and related operating leases and which are non-recourse to us. In June 2016, the Class A Notes and the Class B Notes were repurchased and retired. Our 3.875% convertible debentures due 2029 (principal amount of $345.0 million ) (the “debentures”) remain issued and outstanding and are convertible into common shares of Leucadia. At September 15, 2016, each $1,000 debenture is currently convertible into 22.7041 shares of Leucadia’s common stock (equivalent to a conversion price of approximately $44.04 per share of Leucadia’s common stock). The debentures are convertible at the holders’ option any time beginning on August 1, 2029 and convertible at any time if: 1) Leucadia’s common stock price is greater than or equal to 130% of the conversion price for at least 20 trading days in a period of 30 consecutive trading days; 2) if the trading price per debenture is less than 95% of the price of the common stock times the conversion ratio for any 10 consecutive trading days; 3) if the debentures are called for redemption; or 4) upon the occurrence of specific corporate actions. The debentures may be redeemed for par, plus accrued interest, on or after November 1, 2012 if the price of Leucadia’s common stock is greater than 130% of the conversion price for at least 20 days in a period of 30 consecutive trading days and we may redeem the debentures for par, plus accrued interest, at our election any time on or after November 1, 2017. Holders may require us to repurchase the debentures for par, plus accrued interest, on November 1, 2017, 2019 and 2024. In addition to ordinary interest, commencing November 1, 2017, contingent interest will accrue at 0.375% if the average trading price of a debenture for five trading days ending on and including the third trading day immediately preceding a six -month interest period equals or exceed $1,200 per $1,000 debenture. At March 1, 2013, the conversion option to Leucadia common shares embedded within the debentures meets the definition of a derivative contract, does not qualify to be accounted for within member’s equity and is not clearly and closely related to the economic interest rate or credit risk characteristics of our debt. Accordingly, the conversion option is accounted for on a standalone basis at fair value with changes in fair value recognized in Principal transaction revenues and is presented within Long-term debt in the Consolidated Statements of Financial Condition. At August 31, 2016 and November 30, 2015 , the fair value of the conversion option was not material. |
Noncontrolling Interests
Noncontrolling Interests | 9 Months Ended |
Aug. 31, 2016 | |
Noncontrolling Interest [Abstract] | |
Noncontrolling Interests | Noncontrolling Interests Noncontrolling interests represent equity interests in consolidated subsidiaries, composed primarily of asset management entities and investment vehicles set up for the benefit of our employees that are not attributable, either directly or indirectly, to us ( i.e. , minority interests). The following table presents noncontrolling interests at August 31, 2016 and November 30, 2015 (in thousands): August 31, 2016 November 30, 2015 Global Equity Event Opportunity Fund, LLC (1) $ 4,547 $ 26,292 Other 643 1,176 Noncontrolling interests $ 5,190 $ 27,468 (1) On December 1, 2015, the entity was deconsolidated due to the adoption of ASU No. 2015-02. (See Note 3, Accounting Developments, for further information on the adoption of this guidance.) No gain or loss was recognized upon deconsolidation. Noncontrolling interests attributed to Leucadia were $26.3 million at November 30, 2015 . During the nine months ended August 31, 2016 , the entity was consolidated due to investments by us and a third party. |
Benefit Plans
Benefit Plans | 9 Months Ended |
Aug. 31, 2016 | |
Compensation and Retirement Disclosure [Abstract] | |
Benefit Plans | Benefit Plans U.S. Pension Plan. We maintain a defined benefit pension plan, Jefferies Group LLC Employees’ Pension Plan (the “U.S. Pension Plan”), which is subject to the provisions of the Employee Retirement Income Security Act of 1974, as amended, and covers certain of our employees. Under the U.S. Pension Plan, benefits to participants are based on years of service and the employee’s career average pay. Effective December 31, 2005, benefits under the U.S. Pension Plan were frozen with no further benefit accruing to participants for future service after December 31, 2005. German Pension Plan. In connection with the acquisition of Jefferies Bache from Prudential on July 1, 2011, we acquired a defined benefits pension plan located in Germany (the “German Pension Plan”) for the benefit of eligible employees of Jefferies Bache in that territory. The German Pension Plan has no plan assets and is therefore unfunded. We have purchased insurance contracts from multi-national insurers held in the name of Jefferies Bache Limited to provide for the plan’s future obligations. The investment in these insurance contracts is included in Financial Instruments owned in the Consolidated Statements of Financial Condition and has a fair value of $16.0 million and $15.3 million at August 31, 2016 and November 30, 2015 , respectively. We expect to pay our pension obligations from the cash flows available to us under the insurance contracts. All costs relating to the plan (including insurance premiums and other costs as computed by the insurers) are paid by us. In connection with the acquisition, it was agreed with Prudential that any insurance premiums and funding obligations related to pre-acquisition date service will be reimbursed to us by Prudential. The components of net periodic pension cost (income) for our pension plans are as follows (in thousands): Three Months Ended August 31, Nine Months Ended August 31, U.S. Pension Plan 2016 2015 2016 2015 Components of net periodic pension cost (income): Service cost $ 100 $ 63 $ 300 $ 189 Interest cost on projected benefit obligation 587 585 1,761 1,755 Expected return on plan assets (730 ) (848 ) (2,190 ) (2,544 ) Net periodic pension income $ (43 ) $ (200 ) $ (129 ) $ (600 ) Three Months Ended August 31, Nine Months Ended August 31, German Pension Plan 2016 2015 2016 2015 Components of net periodic pension cost: Interest cost on projected benefit obligation $ 133 $ 132 $ 398 $ 395 Net amortization 83 82 246 245 Net periodic pension cost $ 216 $ 214 $ 644 $ 640 Employer Contributions. Our funding policy is to contribute to the plans at least the minimum amount required for funding purposes under applicable employee benefit and tax laws. We contributed $3.0 million to the U.S. Pension Plan during the nine months ended August 31, 2016 . We did no t contribute to the German Pension Plan during the nine months ended August 31, 2016 . We do not expect to make any additional contributions to the plans during the remainder of the fiscal year. |
Compensation Plans
Compensation Plans | 9 Months Ended |
Aug. 31, 2016 | |
Compensation Related Costs [Abstract] | |
Compensation Plans | Compensation Plans Leucadia sponsors our following share-based compensation plans: Incentive Compensation Plan, Employee Stock Purchase Plan ("ESPP") and the Deferred Compensation Plan. The outstanding and future share-based awards relating to these plans relate to Leucadia common shares. The fair value of share-based awards is estimated on the date of grant based on the market price of the underlying common stock less the impact of market conditions and selling restrictions subsequent to vesting, if any, and is amortized as compensation expense over the related requisite service periods. We are allocated costs associated with awards granted to our employees under such plans. In addition, we sponsor non-share-based compensation plans. Non-share-based compensation plans sponsored by us include a profit sharing plan and other forms of restricted cash awards. The components of total compensation cost associated with certain of our compensation plans are as follows (in millions): Three Months Ended August 31, Nine Months Ended August 31, 2016 2015 2016 2015 Components of compensation cost: Restricted cash awards $ 56.0 $ 39.4 $ 190.1 $ 142.9 Restricted stock and RSUs (1) 6.4 13.8 17.8 53.8 Profit sharing plan 1.0 0.6 5.3 5.3 Total compensation cost $ 63.4 $ 53.8 $ 213.2 $ 202.0 (1) Total compensation cost associated with restricted stock and RSUs includes the amortization of sign-on, retention and senior executive awards, less forfeitures and clawbacks. Additionally, we recognize compensation cost related to the discount provided to employees in electing to defer compensation under the Deferred Compensation Plan. Remaining unamortized amounts related to certain compensation plans at August 31, 2016 are as follows (dollars in millions): Remaining Unamortized Amounts Weighted Average Vesting Period (in Years) Non-vested share-based awards $ 29.2 2 Restricted cash awards 499.8 3 Total $ 529.0 The following are descriptions of the compensation plans. Incentive Compensation Plan. The Incentive Compensation Plan (“Incentive Plan”) allows for awards in the form of incentive stock options (within the meaning of Section 422 of the Internal Revenue Code), nonqualified stock options, stock appreciation rights, restricted stock, unrestricted stock, performance awards, restricted stock units, dividend equivalents or other share-based awards. Restricted stock units (“RSUs”) give a participant the right to receive fully vested common shares at the end of a specified deferral period, allowing a participant to hold an interest tied to common stock on a tax deferred basis. Prior to settlement, RSUs carry no voting or dividend rights associated with the stock ownership, but dividend equivalents are accrued to the extent there are dividends declared on the underlying common shares as cash amounts or as deemed reinvestments in additional RSUs. Awards issued and outstanding related to the Incentive Plan relate to shares of Leucadia. Restricted stock and RSUs may be granted to new employees as sign-on awards, to existing employees as retention awards and to certain executive officers as awards for multiple years. Sign-on and retention awards are generally subject to annual ratable vesting over a four -year service period and are amortized as compensation expense on a straight line basis over the related four years. Restricted stock and RSUs are granted to certain senior executives with market, performance and service conditions. Market conditions are incorporated into the grant-date fair value of senior executive awards using a Monte Carlo valuation model. Compensation expense for awards with market conditions is recognized over the service period and is not reversed if the market condition is not met. Awards with performance conditions are amortized over the service period if we determine that it is probable that the performance condition will be achieved. Awards granted to senior executives related to the 2015 fiscal year did not meet performance targets, and as a result, compensation expense has been adjusted to reflect the reduced number of shares that have vested. Employee Stock Purchase Plan. There is also an ESPP which we consider noncompensatory effective January 1, 2007. The ESPP permits all regular full-time employees and employees who work part time over 20 hours per week to purchase, at a discount, Leucadia common shares. Annual employee contributions are limited to $21,250 , are voluntary and made through payroll deduction. The stock purchase price is equal to 95% of the closing price of common stock on the last day of the applicable session (monthly). Deferred Compensation Plan. There is also a Deferred Compensation Plan, which was established in 2001. Eligible employees are able to defer compensation on a pre-tax basis, with deferred amounts deemed invested at a discount in Leucadia common shares, or by allocating among any combination of other investment funds available under the Deferred Compensation Plan. We often invest directly, as a principal, in investments corresponding to the other investment funds, relating to our obligations to perform under the Deferred Compensation Plan. The compensation deferred by our employees is expensed in the period earned. The change in fair value of our investments in assets corresponding to the specified other investment funds are recognized in Principal transaction revenues and changes in the corresponding deferred compensation liability are reflected as Compensation and benefits expense in our Consolidated Statements of Earnings. Profit Sharing Plan . We have a profit sharing plan, covering substantially all employees, which includes a salary reduction feature designed to qualify under Section 401(k) of the Internal Revenue Code. Restricted Cash Awards. We provide compensation to new and existing employees in the form of loans and/or other cash awards which are subject to ratable vesting terms with service requirements. We amortize these awards to compensation expense over the relevant service period, which is generally considered to start at the beginning of the annual compensation year. |
Income Taxes
Income Taxes | 9 Months Ended |
Aug. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes At August 31, 2016 and November 30, 2015 , we had approximately $106.1 million and $107.9 million , respectively, of total gross unrecognized tax benefits. The total amount of unrecognized benefit that, if recognized, would favorably affect the effective tax rate was $71.0 million and $71.9 million (net of benefits of taxes) at August 31, 2016 and November 30, 2015 , respectively. We recognize interest accrued related to unrecognized tax benefits in Interest expense. Penalties, if any, are recognized in Other expenses in the Consolidated Statements of Earnings. At August 31, 2016 and November 30, 2015 , we had interest accrued of approximately $38.3 million and $32.8 million , respectively, included in Accrued expenses and other liabilities. No material penalties were accrued for the nine months ended August 31, 2016 and the year ended November 30, 2015 . We are currently under examination by the Internal Revenue Service and other major tax jurisdictions. We do not expect that resolution of these examinations will have a material effect on our consolidated financial position, but could have a material impact on the consolidated results of operations for the period in which resolution occurs. The table below summarizes the earliest tax years that remain subject to examination in the major tax jurisdictions in which we operate: Jurisdiction Tax Year United States 2007 California 2007 New Jersey 2010 New York State 2001 New York City 2003 United Kingdom 2014 Hong Kong 2009 |
Commitments, Contingencies and
Commitments, Contingencies and Guarantees | 9 Months Ended |
Aug. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments, Contingencies and Guarantees | Commitments, Contingencies and Guarantees Commitments The following table summarizes our commitments at August 31, 2016 (in millions): Expected Maturity Date (fiscal years) 2016 2017 2018 2020 2022 Maximum Payout Equity commitments (1) $ 1.5 $ 7.9 $ — $ 11.3 $ 213.7 $ 234.4 Loan commitments (1) — 306.4 82.2 54.4 — 443.0 Mortgage-related and other purchase commitments 838.0 263.2 1,265.2 21.6 — 2,388.0 Underwriting commitments — 223.2 — — — 223.2 Forward starting reverse repos and repos 166.3 — — — — 166.3 Other unfunded commitments (1) 65.8 142.6 26.8 5.1 32.3 272.6 Total commitments $ 1,071.6 $ 943.3 $ 1,374.2 $ 92.4 $ 246.0 $ 3,727.5 (1) Equity, loan and other unfunded commitments are presented by contractual maturity date. The amounts, however, are available on demand. In addition, in March 2016, we entered into a lease agreement for office space in London. Beginning in fiscal 2020, we will have a contractual obligation to pay approximately £8.1 million per year for 18 years. Equity Commitments. Includes commitments to invest in our joint ventures, Jefferies Finance and Jefferies LoanCore, and commitments to invest in private equity funds and in Jefferies Capital Partners, LLC, the manager of the private equity funds, which consists of a team led by Brian P. Friedman, one of our directors and Chairman of the Executive Committee. At August 31, 2016 , our outstanding commitments relating to Jefferies Capital Partners, LLC and its private equity funds was $23.1 million . See Note 9, Investments , for additional information regarding our investments in Jefferies Finance and Jefferies LoanCore. Additionally, at August 31, 2016 , we had other outstanding equity commitments to invest up to $4.3 million in various other investments. Loan Commitments. From time to time we make commitments to extend credit to investment banking and other clients in loan syndication, acquisition finance and securities transactions and to SPE sponsors in connection with the funding of CLO and other asset-backed transactions. These commitments and any related drawdowns of these facilities typically have fixed maturity dates and are contingent on certain representations, warranties and contractual conditions applicable to the borrower. At August 31, 2016 , we had $192.9 million of outstanding loan commitments to clients. Loan commitments outstanding at August 31, 2016 also include our portion of the outstanding secured revolving credit facility provided to Jefferies Finance to support loan underwritings by Jefferies Finance. Mortgage-Related and Other Purchase Commitments. We enter into forward contracts to purchase mortgage participation certificates, mortgage-backed securities and consumer loans. The mortgage participation certificates evidence interests in mortgage loans insured by the Federal Housing Administration and the mortgage-backed securities are insured or guaranteed by Fannie Mae, Freddie Mac or Ginnie Mae. We frequently securitize the mortgage participation certificates and mortgage-backed securities. The fair value of mortgage-related and other purchase commitments recorded in the Consolidated Statements of Financial Condition was $185.2 million at August 31, 2016 . Underwriting Commitments. In connection with investment banking activities, we may from time to time provide underwriting commitments to our clients in connection with capital raising transactions. Forward Starting Reverse Repos and Repos. We enter into commitments to take possession of securities with agreements to resell on a forward starting basis and to sell securities with agreements to repurchase on a forward starting basis that are primarily secured by U.S. government and agency securities. Other Unfunded Commitments. Other unfunded commitments include obligations in the form of revolving notes to provide financing to asset-backed and CLO vehicles. Upon advancing funds, drawn amounts are collateralized by the assets of an entity. Guarantees Derivative Contracts. As a dealer, we make markets and trade in a variety of derivative instruments. Certain derivative contracts that we have entered into meet the accounting definition of a guarantee under U.S. GAAP, including credit default swaps, written foreign currency options and written equity put options. On certain of these contracts, such as written interest rate caps and foreign currency options, the maximum payout cannot be quantified since the increase in interest or foreign exchange rates are not contractually limited by the terms of the contract. As such, we have disclosed notional values as a measure of our maximum potential payout under these contracts. The following table summarizes the notional amounts associated with our derivative contracts meeting the definition of a guarantee under U.S. GAAP at August 31, 2016 (in millions): Expected Maturity Date (fiscal years) 2016 2017 2018 2020 2022 Notional/ Maximum Payout Guarantee Type: Derivative contracts—non-credit related $ 20,564.3 $ 5,702.8 $ 377.9 $ — $ 437.4 $ 27,082.4 Written derivative contracts—credit related — — 91.7 258.7 — 350.4 Total derivative contracts $ 20,564.3 $ 5,702.8 $ 469.6 $ 258.7 $ 437.4 $ 27,432.8 At August 31, 2016 the external credit ratings of the underlyings or referenced assets for our credit related derivatives contracts (in millions): External Credit Rating AAA/ AA/Aa A BBB/ Below Notional/ Credit related derivative contracts: Index credit default swaps $ 24.0 $ — $ — $ 83.7 $ — $ 107.7 Single name credit default swaps $ — $ — $ 59.9 $ 38.6 $ 144.2 $ 242.7 The derivative contracts deemed to meet the definition of a guarantee under U.S. GAAP are before consideration of hedging transactions and only reflect a partial or “one-sided” component of any risk exposure. Written equity options and written credit default swaps are often executed in a strategy that is in tandem with long cash instruments ( e.g. , equity and debt securities). We substantially mitigate our exposure to market risk on these contracts through hedges, such as other derivative contracts and/or cash instruments, and we manage the risk associated with these contracts in the context of our overall risk management framework. We believe notional amounts overstate our expected payout and that fair value of these contracts is a more relevant measure of our obligations. At August 31, 2016 , the fair value of derivative contracts meeting the definition of a guarantee is approximately $320.3 million . Loan Guarantee . We have provided a guarantee to Jefferies Finance that matures in January 2021, whereby we are required to make certain payments to an SPE sponsored by Jefferies Finance in the event that Jefferies Finance is unable to meet its obligations to the SPE and a guarantee of a credit agreement with an indefinite term for a fund owned by employees. At August 31, 2016 , the maximum amount payable under these guarantees is $21.3 million . Standby Letters of Credit. At August 31, 2016 , we provided guarantees to certain counterparties in the form of standby letters of credit in the amount of $36.5 million , which expire within two years . Standby letters of credit commit us to make payment to the beneficiary if the guaranteed party fails to fulfill its obligation under a contractual arrangement with that beneficiary. Since commitments associated with these collateral instruments may expire unused, the amount shown does not necessarily reflect the actual future cash funding requirement. Other Guarantees. We are members of various exchanges and clearing houses. In the normal course of business we provide guarantees to securities clearinghouses and exchanges. These guarantees generally are required under the standard membership agreements, such that members are required to guarantee the performance of other members. Additionally, if a member becomes unable to satisfy its obligations to the clearinghouse, other members would be required to meet these shortfalls. To mitigate these performance risks, the exchanges and clearinghouses often require members to post collateral. Our obligations under such guarantees could exceed the collateral amounts posted. Our maximum potential liability under these arrangements cannot be quantified; however, the potential for us to be required to make payments under such guarantees is deemed remote. Accordingly, no liability has been recognized for these arrangements. |
Net Capital Requirements
Net Capital Requirements | 9 Months Ended |
Aug. 31, 2016 | |
Brokers and Dealers [Abstract] | |
Net Capital Requirements | Net Capital Requirements As broker-dealers registered with the SEC and member firms of the Financial Industry Regulatory Authority (“FINRA”), Jefferies and Jefferies Execution are subject to the SEC Uniform Net Capital Rule (“Rule 15c3-1”), which requires the maintenance of minimum net capital, and have elected to calculate minimum capital requirements under the alternative method permitted by Rule 15c3-1 in calculating net capital. Jefferies is also registered as an FCM and is subject to Rule 1.17 of the CFTC, which sets forth minimum financial requirements. The minimum net capital requirement in determining excess net capital for a dually registered U.S. broker-dealer and FCM is equal to the greater of the requirement under Rule 15c3-1 or CFTC Rule 1.17. At August 31, 2016 , Jefferies and Jefferies Execution’s net capital and excess net capital were as follows (in thousands): Net Capital Excess Net Capital Jefferies $ 1,424,378 $ 1,340,682 Jefferies Execution 7,330 7,080 FINRA is the designated self-regulatory organization (“DSRO”) for our U.S. broker-dealers and the National Futures Association is the DSRO for Jefferies as an FCM. Certain other U.S. and non-U.S. subsidiaries are subject to capital adequacy requirements as prescribed by the regulatory authorities in their respective jurisdictions, including Jefferies International Limited which is authorized and regulated by the Financial Conduct Authority in the U.K. The regulatory capital requirements referred to above may restrict our ability to withdraw capital from our regulated subsidiaries. |
Segment Reporting
Segment Reporting | 9 Months Ended |
Aug. 31, 2016 | |
Segment Reporting [Abstract] | |
Segment Reporting | Segment Reporting We operate in two principal segments – Capital Markets and Asset Management. The Capital Markets segment includes our securities, commodities, futures and foreign exchange brokerage trading activities and investment banking, which is composed of underwriting and financial advisory activities. The Capital Markets reportable segment provides the sales, trading, origination and advisory effort for various fixed income, equity and advisory products and services. The Asset Management segment provides investment management services to investors in the U.S. and overseas. Our reportable business segment information is prepared using the following methodologies: • Net revenues and expenses directly associated with each reportable business segment are included in determining earnings before taxes. • Net revenues and expenses not directly associated with specific reportable business segments are allocated based on the most relevant measures applicable, including each reportable business segment’s net revenues, headcount and other factors. • Reportable business segment assets include an allocation of indirect corporate assets that have been fully allocated to our reportable business segments, generally based on each reportable business segment’s capital utilization. Our net revenues and expenses by segment are summarized below (in millions): Three Months Ended August 31, Nine Months Ended August 31, 2016 2015 2016 2015 Capital Markets: Net revenues $ 641.9 $ 565.1 $ 1,601.6 $ 1,916.7 Expenses $ 558.2 $ 564.5 $ 1,693.6 $ 1,829.3 Asset Management: Net revenues $ 12.6 $ 13.8 $ 71.2 $ 45.5 Expenses $ 15.5 $ 7.3 $ 45.8 $ 28.2 Total: Net revenues $ 654.5 $ 578.9 $ 1,672.8 $ 1,962.2 Expenses $ 573.7 $ 571.8 $ 1,739.4 $ 1,857.5 The following table summarizes our total assets by segment (in millions): August 31, 2016 November 30, 2015 Segment assets: Capital Markets $ 37,305.7 $ 37,804.9 Asset Management 821.9 759.0 Total assets $ 38,127.7 $ 38,564.0 Net Revenues by Geographic Region Net revenues for the Capital Market segment are recorded in the geographic region in which the position was risk-managed or, in the case of investment banking, in which the senior coverage banker is located. For Asset Management, net revenues are allocated according to the location of the investment advisor. Net revenues by geographic region were as follows (in thousands): Three Months Ended August 31, Nine Months Ended August 31, 2016 2015 2016 2015 Americas (1) $ 500,190 $ 454,996 $ 1,257,192 $ 1,508,639 Europe (2) 126,476 103,959 349,700 392,163 Asia 27,784 19,973 65,953 61,352 Net revenues $ 654,450 $ 578,928 $ 1,672,845 $ 1,962,154 (1) Substantially all relates to U.S. results. (2) Substantially all relates to U.K. results. |
Related Party Transactions
Related Party Transactions | 9 Months Ended |
Aug. 31, 2016 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions Jefferies Capital Partners Related Funds. We have equity investments in the JCP Manager and in private equity funds, which are managed by a team led by Brian P. Friedman, one of our directors and our Chairman of the Executive Committee (“Private Equity Related Funds”). At August 31, 2016 and November 30, 2015 , our equity investments in Private Equity Related Funds were in aggregate $38.4 million and $39.6 million , respectively. We also charge the JCP Manager for certain services under a service agreement. The following table presents other revenues and investment income (loss) related to net gains and losses on our investment in Private Equity Related Funds and service charges (in thousands): Three Months Ended August 31, Nine Months Ended August 31, 2016 2015 2016 2015 Other revenues and investment income (loss) $ 6,048 $ (3,495 ) $ (1,664 ) $ (27,707 ) Service charges 201 630 537 1,089 For further information regarding our commitments and funded amounts to the Private Equity Related Funds, see Note 17, Commitments, Contingencies and Guarantees . Berkadia Commercial Mortgage, LLC. At August 31, 2016 and November 30, 2015 , we have commitments to purchase $685.0 million and $752.4 million , respectively, in agency CMBS from Berkadia Commercial Mortgage, LLC, which is partially owned by Leucadia. HRG Group Inc. ("HRG"). As part of our loan secondary trading activities we had unsettled purchases and sales of loans pertaining to portfolio companies within funds managed by HRG, which is partially owned by Leucadia, of $261.6 million at November 30, 2015 . Additionally, we recognized investment banking and advisory revenues of $1.3 million during the nine months August 31, 2015. Officers, Directors and Employees. At August 31, 2016 and November 30, 2015 , we had $40.7 million and $28.3 million , respectively, of loans outstanding to certain of our employees (none of whom are executive officers or directors) that are included in Other assets on the Consolidated Statements of Financial Condition. Receivables from and payables to customers include balances arising from officers, directors and employees individual security transactions. These transactions are subject to the same regulations as all customer transactions and are provided on substantially the same terms. At August 31, 2016 and November 30, 2015 , we have provided a guarantee of a credit agreement for a private equity fund owned by our employees. Leucadia . The following is a description of related party transactions with Leucadia: • Under a service agreement, we charge Leucadia for certain services, which amounted to $5.1 million and $19.6 million for the three and nine months ended August 31, 2016 , respectively, and $11.0 million and $22.2 million for the three and nine months ended August 31, 2015 , respectively. At August 31, 2016 and November 30, 2015 , we had a receivable from Leucadia of $2.1 million and $10.2 million , respectively, which is included within Other assets on the Consolidated Statements of Financial Condition. At August 31, 2016 and November 30, 2015 , we had a payable to Leucadia of $3.3 million and $0.6 million , respectively, related to certain services provided by Leucadia, which is included within Other liabilities on the Consolidated Statements of Financial Condition. • Pursuant to a tax sharing agreement entered into between us and Leucadia, payments are made between us and Leucadia to settle current tax assets and liabilities. At August 31, 2016 and November 30, 2015 , a net current tax receivable from Leucadia of $146.3 million and $109.5 million , respectively, is included in Other assets on the Consolidated Statements of Financial Condition. • Of the total noncontrolling interests in asset management entities that are consolidated by us at November 30, 2015 , $26.3 million are attributed to Leucadia. • In March 2016, we made a capital contribution of $114.0 million to a hedge fund managed by a subsidiary of Leucadia. • In July 2016, Leucadia Funding LLC, a subsidiary of Leucadia, made a $30.0 million capital contribution to a hedge fund managed by us. • We provide capital markets and asset management services to Leucadia and its affiliates. The following table presents the revenues earned by type of services provided (in thousands): Three Months Ended August 31, Nine Months Ended August 31, 2016 2015 2016 2015 Investment banking and advisory $ — $ — $ 1,786 $ 21,200 Asset management 10 102 155 405 Commissions and other fees — 1 88 38 For information on transactions with our equity method investees, see Note 9, Investments . |
Exit Costs
Exit Costs | 9 Months Ended |
Aug. 31, 2016 | |
Restructuring and Related Activities [Abstract] | |
Exit Costs | Exit Costs Jefferies Bache. On April 9, 2015, we entered into an agreement with Société Générale S.A. (the “Agreement”) to transfer certain client exchange and OTC transactions associated with our Jefferies Bache business for the net book value of the over-the-counter transactions, calculated in accordance with certain principles set forth in the agreement, plus the repayment of certain margin loans in respect of certain exchange transactions. In addition, we initiated a plan to substantially exit the remaining aspects of the business, which was completed during the second quarter of 2016. The pre-tax losses of the Jefferies Bache business were $1.9 million for the nine months ended August 31, 2016 and $64.1 million and $114.8 million for the three and nine months ended August 31, 2015 , respectively. In addition, we terminated our $750.0 million Credit Facility on July 31, 2015. During the three and nine months ended August 31, 2015, we recognized costs of $2.7 million and $3.8 million , respectively, related to Credit Facility. The following summarizes our recorded restructuring and impairment costs (in thousands): Three Months Ended August 31, Nine Months Ended August 31, 2016 2015 2016 2015 Severance costs $ — $ 11,373 $ 279 $ 26,932 Accelerated amortization of restricted stock and restricted cash awards — 2,442 41 6,902 Accelerated amortization of capitalized software — 6,719 — 12,979 Contract termination costs — 11,216 1,234 11,216 Other expenses — 1,523 300 3,814 Total $ — $ 33,273 $ 1,854 $ 61,843 Of the above costs, $341,000 for the nine months ended August 31, 2016 and $10.2 million and $21.0 million for the three and nine months ended August 31, 2015 , respectively, are of a non-cash nature. Restructuring and exit costs are wholly attributed to our Capital Markets segment and were recorded in the following categories on the Consolidated Statement of Earnings (in thousands): Three Months Ended August 31, Nine Months Ended August 31, 2016 2015 2016 2015 Compensation and benefits $ — $ 13,815 $ 320 $ 33,834 Technology and communications — 17,935 1,234 24,195 Professional services — 444 — 2,477 Other expenses — 1,079 300 1,337 Total $ — $ 33,273 $ 1,854 $ 61,843 The following summarizes our restructuring reserve activity (in thousands): Severance costs Other costs Contract termination costs Total restructuring costs Accelerated amortization of restricted stock and restricted cash awards Total Balance at November 30, 2015 $ 4,805 $ — $ — $ 4,805 Expenses 279 300 1,234 1,813 $ 41 $ 1,854 Payments (5,084 ) (300 ) (1,234 ) (6,618 ) Liability at August 31, 2016 $ — $ — $ — $ — |
Summary of Significant Accoun30
Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Aug. 31, 2016 | |
Accounting Policies [Abstract] | |
Revenue Recognition Policies | Revenue Recognition Policies Commissions and Other Fees. All customer securities transactions are reported on the Consolidated Statements of Financial Condition on a settlement date basis with related income reported on a trade-date basis. We permit institutional customers to allocate a portion of their gross commissions to pay for research products and other services provided by third parties. The amounts allocated for those purposes are commonly referred to as soft dollar arrangements. These arrangements are accounted for on an accrual basis and, as we are not the primary obligor for these arrangements, netted against commission revenues in the Consolidated Statements of Earnings. In addition, we earn asset-based fees associated with the management and supervision of assets, account services and administration related to customer accounts. Principal Transactions. Financial instruments owned and Financial instruments sold, but not yet purchased (all of which are recorded on a trade-date basis) are carried at fair value with gains and losses reflected in Principal transaction revenues in the Consolidated Statements of Earnings on a trade date basis. Fees received on loans carried at fair value are also recorded within Principal transaction revenues. Investment Banking. Underwriting revenues and fees from mergers and acquisitions, restructuring and other investment banking advisory assignments or engagements are recorded when the services related to the underlying transactions are completed under the terms of the assignment or engagement. Expenses associated with such assignments are deferred until reimbursed by the client, the related revenue is recognized or the engagement is otherwise concluded. Expenses are recorded net of client reimbursements and netted against revenues. Unreimbursed expenses with no related revenues are included in Business development and Professional services expenses in the Consolidated Statements of Earnings. Asset Management Fees and Investment Income from Managed Funds. Asset management fees and investment income from managed funds include revenues we earn from management, administrative and performance fees from funds and accounts managed by us, revenues from management and performance fees we earn from related-party managed funds and investment income from our investments in these funds. We earn fees in connection with management and investment advisory services performed for various funds and managed accounts. These fees are based on assets under management or an agreed upon notional amount and may include performance fees based upon the performance of the funds. Management and administrative fees are generally recognized over the period that the related service is provided. Generally, performance fees are earned when the return on assets under management exceeds certain benchmark returns, “high-water marks” or other performance targets. Performance fees are accrued (or reversed) on a monthly basis based on measuring performance to date versus any relevant benchmark return hurdles stated in the investment management agreement. Performance fees are not subject to adjustment once the measurement period ends (generally annual periods) and the performance fees have been realized. Interest Revenue and Expense. We recognize contractual interest on Financial instruments owned and Financial instruments sold, but not yet purchased, on an accrual basis as a component of interest revenue and expense. Interest flows on derivative trading transactions and dividends are included as part of the fair valuation of these contracts and recognized in Principal transaction revenues in the Consolidated Statements of Earnings rather than as a component of interest revenue or expense. We account for our short- and long-term borrowings on an accrual basis with related interest recorded as Interest expense. Discounts/premiums arising on our long-term debt are accreted/amortized to Interest expense using the effective yield method over the remaining lives of the underlying debt obligations. In addition, we recognize interest revenue related to our securities borrowed and securities purchased under agreements to resell activities and interest expense related to our securities loaned and securities sold under agreements to repurchase activities on an accrual basis. |
Cash Equivalents | Cash Equivalents Cash equivalents include highly liquid investments, including certificates of deposit and money market funds, not held for resale with original maturities of three months or less. |
Cash and Securities Segregated and on Deposit for Regulatory Purposes or Deposited With Clearing and Depository Organizations | Cash and Securities Segregated and on Deposit for Regulatory Purposes or Deposited With Clearing and Depository Organizations In accordance with Rule 15c3-3 of the Securities Exchange Act of 1934, Jefferies as a broker-dealer carrying client accounts is subject to requirements related to maintaining cash or qualified securities in a segregated reserve account for the exclusive benefit of its clients. Certain other entities are also obligated by rules mandated by their primary regulators to segregate or set aside cash or equivalent securities to satisfy regulations, promulgated to protect customer assets. In addition, certain exchange and/or clearing organizations require cash and/or securities to be deposited by us to conduct day to day activities. |
Financial Instruments and Fair Value | Financial Instruments and Fair Value Financial instruments owned and Financial instruments sold, not yet purchased are recorded at fair value, either as required by accounting pronouncements or through the fair value option election. These instruments primarily represent our trading activities and include both cash and derivative products. Gains and losses are recognized in Principal transaction revenues in our Consolidated Statements of Earnings. The fair value of a financial instrument is the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (the exit price). Fair Value Hierarchy In determining fair value, we maximize the use of observable inputs and minimize the use of unobservable inputs by requiring that observable inputs be used when available. Observable inputs are inputs that market participants would use in pricing the asset or liability based on market data obtained from independent sources. Unobservable inputs reflect our assumptions that market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. We apply a hierarchy to categorize our fair value measurements broken down into three levels based on the transparency of inputs as follows: Level 1: Quoted prices are available in active markets for identical assets or liabilities at the reported date. Level 2: Pricing inputs are other than quoted prices in active markets, which are either directly or indirectly observable as of the reported date. The nature of these financial instruments include cash instruments for which quoted prices are available but traded less frequently, derivative instruments that fair values for which have been derived using model inputs that are directly observable in the market, or can be derived principally from or corroborated by observable market data, and instruments that are fair valued using other financial instruments, the parameters of which can be directly observed. Level 3: Instruments that have little to no pricing observability at the reported date. These financial instruments are measured using management’s best estimate of fair value, where the inputs into the determination of fair value require significant management judgment or estimation. Financial instruments are valued at quoted market prices, if available. Certain financial instruments have bid and ask prices that can be observed in the marketplace. For financial instruments whose inputs are based on bid-ask prices, the financial instrument is valued at the point within the bid-ask range that meets our best estimate of fair value. We use prices and inputs that are current at the measurement date. For financial instruments that do not have readily determinable fair values using quoted market prices, the determination of fair value is based upon consideration of available information, including types of financial instruments, current financial information, restrictions on dispositions, fair values of underlying financial instruments and quotations for similar instruments. The valuation of financial instruments may include the use of valuation models and other techniques. Adjustments to valuations derived from valuation models may be made when, in management’s judgment, features of the financial instrument such as its complexity, the market in which the financial instrument is traded and risk uncertainties about market conditions require that an adjustment be made to the value derived from the models. Adjustments from the price derived from a valuation model reflect management’s judgment that other participants in the market for the financial instrument being measured at fair value would also consider in valuing that same financial instrument. To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. The availability of observable inputs can vary and is affected by a wide variety of factors, including, for example, the type of financial instrument and market conditions. As the observability of prices and inputs may change for a financial instrument from period to period, this condition may cause a transfer of an instrument among the fair value hierarchy levels. Transfers among the levels are recognized at the beginning of each period. The degree of judgment exercised in determining fair value is greatest for instruments categorized in Level 3. Valuation Process for Financial Instruments Our Independent Price Verification (“IPV”) Group, which is part of our Finance department, in partnership with Risk Management, is responsible for establishing our valuation policies and procedures. The IPV Group and Risk Management, which are independent of our business functions, play an important role and serve as a control function in determining that our financial instruments are appropriately reflected at fair value. This is particularly important where prices or valuations that require inputs are less observable. In the event that observable inputs are not available, the control processes are designed to assure that the valuation approach utilized is appropriate and consistently applied and that the assumptions are reasonable. The IPV Group reports to the Global Controller and is subject to the oversight of the IPV Committee, which comprises our Chief Financial Officer, Global Controller, Chief Risk Officer and Principal Accounting Officer, among other personnel. Our independent price verification policies and procedures are reviewed, at a minimum, annually, and changes to the policies require the approval of the IPV Committee. Price Testing Process. The business units are responsible for determining the fair value of our financial instruments using approved valuation models and methodologies. In order to ensure that the business unit valuations represent a fair value exit price, the IPV Group tests and validates the fair value of our financial instruments inventory. In the testing process, the IPV Group obtains prices and valuation inputs from independent sources, consistently adheres to established procedures set forth in our valuation policies for sourcing prices and valuation inputs and utilizing valuation methodologies. Sources used to validate fair value prices and inputs include, but are not limited to, exchange data, recently executed transactions, pricing data obtained from third party vendors, pricing and valuation services, broker quotes and observed comparable transactions. To the extent discrepancies between the business unit valuations and the pricing or valuations resulting from the price testing process are identified, such discrepancies are investigated by the IPV Group and fair values are adjusted, as appropriate. The IPV Group maintains documentation of its testing, results, rationale and recommendations and prepares a monthly summary of its valuation results. This process also forms the basis for our classification of fair values within the fair value hierarchy ( i.e., Level 1, Level 2 or Level 3). The IPV Group utilizes the additional expertise of Risk Management personnel in valuing more complex financial instruments and financial instruments with less or limited pricing observability. The results of the valuation testing are reported to the IPV Committee on a monthly basis, which discusses the results and determines the financial instrument fair values in the consolidated financial statements. This process specifically assists the Chief Financial Officer in asserting as to the fair presentation of our financial condition and results of operations as included within our Quarterly Reports on Form 10-Q and Annual Report on Form 10-K. At each quarter end, the overall valuation results, as determined by the IPV Committee, are presented to the Audit Committee. Judgment exercised in determining Level 3 fair value measurements is supplemented by daily analysis of profit and loss performed by the Product Control functions. Gains and losses, which result from changes in fair value, are evaluated and corroborated daily based on an understanding of each trading desk’s overall risk positions and developments in a particular market on the given day. Valuation techniques generally rely on recent transactions of suitably comparable financial instruments and use the observable inputs from those comparable transactions as a validation basis for Level 3 inputs. Level 3 fair value measurements are further validated through subsequent sales testing and market comparable sales, if such information is available. Level 3 fair value measurements require documentation of the valuation rationale applied, which is reviewed for consistency in application from period to period. Third Party Pricing Information. Pricing information obtained from external data providers (including independent pricing services and brokers) may incorporate a range of market quotes from dealers, recent market transactions and benchmarking model derived prices to quoted market prices and trade data for comparable securities. External pricing data is subject to evaluation for reasonableness by the IPV Group using a variety of means including comparisons of prices to those of similar product types, quality and maturities, consideration of the narrowness or wideness of the range of prices obtained, knowledge of recent market transactions and an assessment of the similarity in prices to comparable dealer offerings in a recent time period. Our processes challenge the appropriateness of pricing information obtained from external data providers (including independent pricing services and brokers) to validate the data for consistency with the definition of a fair value exit price. Our process includes understanding and evaluating the external data providers’ valuation methodologies. For corporate, U.S. government and agency and municipal debt securities, and loans, to the extent we use independent pricing services or broker quotes in our valuation process, the vendor service providers are collecting and aggregating observable market information as to recent trade activity and active bid-ask submissions. The composite pricing information received from the independent pricing service is thus not based on unobservable inputs or proprietary models. For mortgage- and other asset-backed securities, collateralized debt obligations ("CDOs") and collateralized loan obligations ("CLOs"), our independent pricing services use a matrix evaluation approach, incorporating both observable yield curves and market yields on comparable securities as well as implied inputs from observed trades for comparable securities in order to determine prepayment speeds, cumulative default rates and loss severity. Further, we consider pricing data from multiple service providers as available as well as compare pricing data to prices we have observed for recent transactions, if any, in order to corroborate our valuation inputs. Model Review Process. If a pricing model is used to determine fair value, the pricing model is reviewed for theoretical soundness and appropriateness by Risk Management, independent from the trading desks, and then approved by Risk Management to be used in the valuation process. Review and approval of a model for use may include benchmarking the model against relevant third party valuations, testing sample trades in the model, backtesting the results of the model against actual trades and stress-testing the sensitivity of the pricing model using varying inputs and assumptions. In addition, recently executed comparable transactions and other observable market data are considered for purposes of validating assumptions underlying the model. Models are independently reviewed and validated by Risk Management annually or more frequently if market conditions or use of the valuation model changes. |
Investments in Managed Funds | Investments in Managed Funds Investments in managed funds include our investments in funds managed by us and our investments in related-party managed funds in which we are entitled to a portion of the management and/or performance fees. Investments in nonconsolidated managed funds are accounted for at fair value based on the net asset value ("NAV") of the funds provided by the fund managers with gains or losses included in Asset management fees and investment income (loss) from managed funds in the Consolidated Statements of Earnings. |
Loans to and Investments in Related Parties | Loans to and Investments in Related Parties Loans to and investments in related parties include investments in private equity and other operating entities made in connection with our capital markets activities in which we exercise significant influence over operating and capital decisions and loans issued in connection with such activities. Loans to and investments in related parties are accounted for using the equity method or at cost, as appropriate. Revenues on Loans to and investments in related parties are included in Other revenues in the Consolidated Statements of Earnings. See Note 9, Investments , and Note 20, Related Party Transactions , for additional information regarding certain of these investments. |
Securities Borrowed and Securities Loaned | Securities Borrowed and Securities Loaned Securities borrowed and securities loaned are carried at the amounts of cash collateral advanced and received in connection with the transactions and accounted for as collateralized financing transactions. In connection with both trading and brokerage activities, we borrow securities to cover short sales and to complete transactions in which customers have failed to deliver securities by the required settlement date, and lend securities to other brokers and dealers for similar purposes. We have an active securities borrowed and lending matched book business in which we borrow securities from one party and lend them to another party. When we borrow securities, we generally provide cash to the lender as collateral, which is reflected in our Consolidated Statements of Financial Condition as Securities borrowed. We earn interest revenues on this cash collateral. Similarly, when we lend securities to another party, that party provides cash to us as collateral, which is reflected in our Consolidated Statements of Financial Condition as Securities loaned. We pay interest expense on the cash collateral received from the party borrowing the securities. The initial collateral advanced or received approximates or is greater than the fair value of the securities borrowed or loaned. We monitor the fair value of the securities borrowed and loaned on a daily basis and request additional collateral or return excess collateral, as appropriate. |
Securities Purchased Under Agreements to Resell and Securities Sold Under Agreements to Repurchase | Securities Purchased Under Agreements to Resell and Securities Sold Under Agreements to Repurchase Securities purchased under agreements to resell and Securities sold under agreements to repurchase (collectively “repos”) are accounted for as collateralized financing transactions and are recorded at their contracted resale or repurchase amount plus accrued interest. We earn and incur interest over the term of the repo, which is reflected in Interest revenue and Interest expense on our Consolidated Statements of Earnings on an accrual basis. Repos are presented in the Consolidated Statements of Financial Condition on a net-basis by counterparty, where permitted by U.S. GAAP. We monitor the fair value of the underlying securities daily versus the related receivable or payable balances. Should the fair value of the underlying securities decline or increase, additional collateral is requested or excess collateral is returned, as appropriate. |
Premises and Equipment | Premises and Equipment Premises and equipment are depreciated using the straight-line method over the estimated useful lives of the related assets (generally three to ten years ). Leasehold improvements are amortized using the straight-line method over the term of the related leases or the estimated useful lives of the assets, whichever is shorter. Premises and equipment includes internally developed software. The carrying values of internally developed software ready for its intended use are depreciated over the remaining useful life. |
Goodwill and Intangible Assets | Goodwill and Intangible Assets Goodwill . Goodwill represents the excess acquisition cost over the fair value of net tangible and intangible assets acquired. Goodwill is not amortized and is subject to annual impairment testing on August 1 or between annual tests if an event or change in circumstance occurs that would more likely than not reduce the fair value of a reporting unit below its carrying value. In testing for goodwill impairment, we have the option to first assess qualitative factors to determine whether the existence of events or circumstances lead to a determination that it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If, after assessing the totality of events and circumstances, we conclude that it is not more likely than not that the fair value of a reporting unit is less than its carrying amount, then performing the two-step impairment test is not required. If we conclude otherwise, we are required to perform the two-step impairment test. The goodwill impairment test is performed at the reporting unit level by comparing the estimated fair value of a reporting unit with its respective carrying value. If the estimated fair value exceeds the carrying value, goodwill at the reporting unit level is not impaired. If the estimated fair value is less than carrying value, further analysis is necessary to determine the amount of impairment, if any, by comparing the implied fair value of the reporting unit's goodwill to the carrying value of the reporting unit's goodwill. The fair value of reporting units are based on widely accepted valuation techniques that we believe market participants would use, although the valuation process requires significant judgment and often involves the use of significant estimates and assumptions. The methodologies we utilize in estimating the fair value of reporting units include market valuation methods that incorporate price-to-earnings and price-to-book multiples of comparable exchange traded companies and multiples of merger and acquisitions of similar businesses. The estimates and assumptions used in determining fair value could have a significant effect on whether or not an impairment charge is recorded and the magnitude of such a charge. Adverse market or economic events could result in impairment charges in future periods. Intangible Assets . Intangible assets deemed to have finite lives are amortized on a straight line basis over their estimated useful lives, where the useful life is the period over which the asset is expected to contribute directly, or indirectly, to our future cash flows. Intangible assets are reviewed for impairment on an interim basis when certain events or circumstances exist. For amortizable intangible assets, impairment exists when the carrying amount of the intangible asset exceeds its fair value. At least annually, the remaining useful life is evaluated. An intangible asset with an indefinite useful life is not amortized but assessed for impairment annually, or more frequently, when events or changes in circumstances occur indicating that it is more likely than not that the indefinite-lived asset is impaired. Impairment exists when the carrying amount exceeds its fair value. In testing for impairment, we have the option to first perform a qualitative assessment to determine whether it is more likely than not that an impairment exists. If it is determined that it is not more likely than not that an impairment exists, a quantitative impairment test is not necessary. If we conclude otherwise, we are required to perform a quantitative impairment test. Our annual indefinite-lived intangible asset impairment testing date is August 1. To the extent an impairment loss is recognized, the loss establishes the new cost basis of the asset that is amortized over the remaining useful life of that asset, if any. Subsequent reversal of impairment losses is not permitted. |
Income Taxes | Income Taxes Our results of operations are included in the consolidated federal and applicable state income tax returns filed by Leucadia. In states that neither accept nor require combined or unitary tax returns, certain subsidiaries file separate state income tax returns. We also are subject to income tax in various foreign jurisdictions in which we operate. We account for our provision for income taxes using a “separate return” method. Amounts provided for income taxes are based on income reported for financial statement purposes and do not necessarily represent amounts currently payable. Pursuant to a tax sharing agreement entered into between us and Leucadia, payments are made between us and Leucadia to settle current tax assets and liabilities. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and for tax loss carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in income in the period that includes the enactment date. Under acquisition accounting, the recognition of certain assets and liabilities at fair value created a change in the financial reporting basis for our assets and liabilities, while the tax basis of our assets and liabilities remained the same. As a result, deferred tax assets and liabilities were recognized for the change in the basis differences. We provide deferred taxes on our temporary differences and on any carryforwards that we could claim on our hypothetical tax return. The realization of deferred tax assets is assessed and a valuation allowance is recorded to the extent that it is more likely than not that any portion of the deferred tax asset will not be realized on the basis of its projected separate return results. The tax benefits related to share-based awards are recognized as an increase to Additional paid-in capital. These amounts, and other windfall tax benefits/(detriments), are included in Tax benefit/(detriment) for issuance of share-based awards on the Consolidated Statements of Changes in Equity. In the event tax deductions associated with share-based awards are less than the cumulative compensation cost recognized for financial reporting purposes, we look to Leucadia’s consolidated pool of windfall tax benefits in the calculation of our income tax provision. During the first quarter of fiscal 2016, the consolidated pool of windfall tax benefits had been exhausted. As a result, these tax detriments are now recognized in our Consolidated Statement of Earnings until such time the Leucadia consolidated cumulative compensation cost recognized for tax purposes exceeds the amount recognized for financial reporting purposes. We record uncertain tax positions using a two-step process: (i) we determine whether it is more likely than not that each tax position will be sustained on the basis of the technical merits of the position; and (ii) for those tax positions that meet the more-likely-than-not recognition threshold, we recognize the largest amount of tax benefit that is more than 50 percent likely to be realized upon ultimate settlement with the related tax authority. |
Legal Reserves | Legal Reserves In the normal course of business, we have been named, from time to time, as a defendant in legal and regulatory proceedings. We are also involved, from time to time, in other exams, investigations and similar reviews (both formal and informal) by governmental and self-regulatory agencies regarding our businesses, certain of which may result in judgments, settlements, fines, penalties or other injunctions. We recognize a liability for a contingency in Accrued expenses and other liabilities when it is probable that a liability has been incurred and the amount of loss can be reasonably estimated. If the reasonable estimate of a probable loss is a range, we accrue the most likely amount of such loss, and if such amount is not determinable, then we accrue the minimum in the range as the loss accrual. The determination of the outcome and loss estimates requires significant judgment on the part of management. We believe that any other matters for which we have determined a loss to be probable and reasonably estimable are not material to the consolidated financial statements. In many instances, it is not possible to determine whether any loss is probable or even possible or to estimate the amount of any loss or the size of any range of loss. We believe that, in the aggregate, the pending legal actions or regulatory proceedings and any other exams, investigations or similar reviews (both formal and informal) should not have a material adverse effect on our consolidated results of operations, cash flows or financial condition. In addition, we believe that any amount that could be reasonably estimated of potential loss or range of potential loss in excess of what has been provided in the consolidated financial statements is not material. |
Share-based Compensation | Share-based Compensation Share-based awards are measured based on the grant-date fair value of the award and recognized over the period from the service inception date through the date the employee is no longer required to provide service to earn the award. Expected forfeitures are included in determining share-based compensation expense. |
Foreign Currency Translation | Foreign Currency Translation Assets and liabilities of foreign subsidiaries having non-U.S. dollar functional currencies are translated at exchange rates at the end of a period. Revenues and expenses are translated at average exchange rates during the period. The gains or losses resulting from translating foreign currency financial statements into U.S. dollars, net of hedging gains or losses and taxes, if any, are included in Other comprehensive income. Gains or losses resulting from foreign currency transactions are included in Principal transaction revenues in the Consolidated Statements of Earnings. |
Securitization Activities | Securitization Activities We engage in securitization activities related to corporate loans, consumer loans, commercial mortgage loans and mortgage-backed and other asset-backed securities. Such transfers of financial assets are accounted for as sales when we have relinquished control over the transferred assets. The gain or loss on sale of such financial assets depends, in part, on the previous carrying amount of the assets involved in the transfer allocated between the assets sold and the retained interests, if any, based upon their respective fair values at the date of sale. We may retain interests in the securitized financial assets as one or more tranches of the securitization. These retained interests are included within Financial instruments owned in the Consolidated Statements of Financial Condition at fair value. Any changes in the fair value of such retained interests are recognized within Principal transactions revenues in the Consolidated Statements of Earnings. When a transfer of assets does not meet the criteria of a sale, we account for the transfer as a secured borrowing and continue to recognize the assets of a secured borrowing in Financial instruments owned and recognize the associated financing in Other secured financings in the Consolidated Statements of Financial Condition. |
Accounting Standards to be Adopted in Future Periods and Adopted Accounting Standards | Accounting Standards to be Adopted in Future Periods Statement of Cash Flows. In August 2016, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2016-15, Classification of Certain Cash Receipts and Cash Payments. The guidance adds or clarifies guidance on the classification of certain cash receipts and payments in the statement of cash flows. The guidance is effective in the first quarter of fiscal 2019 and early adoption is permitted. We are currently evaluating the impact of the new guidance on our consolidated statements of cash flows. Financial Instruments-Credit Losses. In June 2016, the FASB issued ASU No. 2016-13, Measurement of Credit Losses on Financial Instruments. The guidance provides for estimating credit losses on certain types of financial instruments by introducing an approach based on expected losses. The guidance is effective in the first quarter of fiscal 2021 and early adoption is permitted in the first quarter of fiscal 2020. We are currently evaluating the impact of the new guidance on our consolidated financial statements. Employee Share-Based Payments. In March 2016, the FASB issued ASU No. 2016-09, Improvements to Employee Share-Based Payment Accounting. The guidance simplifies various aspects related to how share-based payments are accounted for and presented in the consolidated financial statements. The amendments include income tax consequences, the accounting for forfeitures, classification of awards as either equity or liabilities and classification on the statement of cash flows. The guidance is effective in the first quarter of fiscal 2018 and early adoption is permitted if all amendments are adopted in the same period. We are currently evaluating the impact of the new guidance on our consolidated financial statements. Leases. In February 2016, the FASB issued ASU No. 2016-02, Leases. The guidance affects the accounting for leases and provides for a lessee model that brings substantially all leases onto the balance sheet. The guidance is effective in the first quarter of fiscal 2019 and early adoption is permitted. We are currently evaluating the impact of the new guidance on our consolidated financial statements. Financial Instruments. In January 2016, the FASB issued ASU No. 2016-01, Financial Instruments-Overall: Recognition and Measurement of Financial Assets and Financial Liabilities. The guidance affects the accounting for equity investments, financial liabilities under the fair value option and the presentation and disclosure requirements of financial instruments. The guidance is effective in the first quarter of fiscal 2019. We are currently evaluating the impact of the new guidance related to equity investments and the presentation and disclosure requirements of financial instruments on our consolidated financial statements. Early adoption is permitted for the accounting guidance on financial liabilities under the fair value option and we adopted this guidance in the first quarter of fiscal 2016. The adoption of this accounting guidance did not have a material effect on our consolidated financial statements. Revenue Recognition . In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers and in August 2015, the FASB issued ASU No. 2015-14, Revenue from Contracts with Customers - Deferral of Effective Date. The accounting guidance defines how companies report revenues from contracts with customers, and also requires enhanced disclosures. We intend to adopt the new guidance on December 1, 2017 and are currently evaluating the impact of the new guidance on our consolidated financial statements. Adopted Accounting Standards Debt Issuance Costs. In April 2015, the FASB issued ASU No. 2015-03, Simplifying the Presentation of Debt Issuance Costs. The accounting guidance requires that debt issuance costs related to a recognized debt liability be reported in the Consolidated Statements of Financial Condition as a direct deduction from the carrying amount of that debt liability. The guidance is effective retrospectively and we adopted this guidance in the first quarter of fiscal 2016. The adoption of this accounting guidance did not have a material impact on our Consolidated Statements of Financial Condition. Consolidation. In February 2015, the FASB issued ASU No. 2015-02, Consolidation (Topic 810): Amendments to the Consolidation Analysis. The amendment eliminates the deferral of certain consolidation standards for entities considered to be investment companies and modifies the consolidation analysis performed on certain types of legal entities. The guidance is effective beginning in the first quarter of fiscal 2017 and we adopted it in the first quarter of fiscal 2016 using a modified retrospective approach. The adoption of this accounting guidance resulted in the deconsolidation of an asset management vehicle, which resulted in the following adjustment to the Consolidated Statement of Financial Condition on December 1, 2015: a decrease of $27.0 million in Investments in managed funds, a decrease of $0.7 million in Accrued expense and other liabilities and a decrease of $26.3 million in Noncontrolling interests. For further information on the adoption of ASU No. 2015-02, refer to Note 8, Variable Interest Entities . |
Fair Value Disclosures (Tables)
Fair Value Disclosures (Tables) | 9 Months Ended |
Aug. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Financial Assets and Liabilities Accounted for at Fair Value on Recurring Basis | The following is a summary of our financial assets and liabilities that are accounted for at fair value on a recurring basis, excluding Investments at fair value based on NAV of $29.5 million and $36.7 million at August 31, 2016 and November 30, 2015 , respectively, by level within the fair value hierarchy (in thousands): August 31, 2016 Level 1(1) Level 2(1) Level 3 Counterparty and Cash Collateral Netting (2) Total Assets: Financial instruments owned: Corporate equity securities $ 2,019,490 $ 108,194 $ 22,195 $ — $ 2,149,879 Corporate debt securities — 2,494,303 35,007 — 2,529,310 CDOs and CLOs — 99,794 44,070 — 143,864 U.S. government and federal agency securities 3,029,251 114,601 — — 3,143,852 Municipal securities — 550,210 27,257 — 577,467 Sovereign obligations 904,592 1,130,443 — — 2,035,035 Residential mortgaged-backed securities — 1,331,959 46,881 — 1,378,840 Commercial mortgage-backed securities — 320,912 24,593 — 345,505 Other asset-backed securities — 116,388 61,112 — 177,500 Loans and other receivables — 1,323,092 78,457 — 1,401,549 Derivatives 2,530 6,206,366 9,560 (5,887,874 ) 330,582 Investments at fair value — — 85,036 — 85,036 Total financial instruments owned, excluding Investments at fair value based on NAV $ 5,955,863 $ 13,796,262 $ 434,168 $ (5,887,874 ) $ 14,298,419 Cash and cash equivalents $ 3,159,143 $ — $ — $ — $ 3,159,143 Cash and securities segregated and on deposit for regulatory purposes or deposited with clearing and depository organizations (3) $ 1,026,865 $ — $ — $ — $ 1,026,865 Liabilities: Financial instruments sold, not yet purchased: Corporate equity securities $ 1,682,196 $ 58,834 $ 38 $ — $ 1,741,068 Corporate debt securities — 1,704,627 523 — 1,705,150 U.S. government and federal agency securities 1,213,672 — — — 1,213,672 Sovereign obligations 940,451 1,432,580 — — 2,373,031 Loans — 538,180 848 — 539,028 Derivatives 373 6,321,172 20,607 (5,970,029 ) 372,123 Total financial instruments sold, not yet purchased $ 3,836,692 $ 10,055,393 $ 22,016 $ (5,970,029 ) $ 7,944,072 Other secured financings $ — $ 53,318 $ 268 $ — $ 53,586 Long-term debt $ — $ 204,422 $ — $ — $ 204,422 (1) There were no material transfers between Level 1 and Level 2 for the nine months ended August 31, 2016 . (2) Represents counterparty and cash collateral netting across the levels of the fair value hierarchy for positions with the same counterparty. (3) Cash and securities segregated and on deposit for regulatory purposes or deposited with clearing and depository organizations includes U.S. treasury securities with a fair value of $99.9 million . November 30, 2015 Level 1 (1) Level 2 (1) Level 3 Counterparty and Cash Collateral Netting (2) Total Assets: Financial instruments owned: Corporate equity securities $ 1,853,351 $ 133,732 $ 40,906 $ — $ 2,027,989 Corporate debt securities — 2,867,165 25,876 — 2,893,041 CDOs and CLOs — 89,144 85,092 — 174,236 U.S. government and federal agency securities 2,555,018 90,633 — — 2,645,651 Municipal securities — 487,141 — — 487,141 Sovereign obligations 1,251,366 1,407,955 120 — 2,659,441 Residential mortgage-backed securities — 2,731,070 70,263 — 2,801,333 Commercial mortgage-backed securities — 1,014,913 14,326 — 1,029,239 Other asset-backed securities — 118,629 42,925 — 161,554 Loans and other receivables — 1,123,044 189,289 — 1,312,333 Derivatives 1,037 4,395,704 19,785 (4,165,446 ) 251,080 Investments at fair value — 26,224 53,120 — 79,344 Total financial instruments owned, excluding Investments at fair value based on NAV $ 5,660,772 $ 14,485,354 $ 541,702 $ (4,165,446 ) $ 16,522,382 Cash and cash equivalents $ 3,510,163 $ — $ — $ — $ 3,510,163 Cash and securities segregated and on deposit for regulatory purposes or deposited with clearing and depository organizations $ 751,084 $ — $ — $ — $ 751,084 Liabilities: Financial instruments sold, not yet purchased: Corporate equity securities $ 1,382,377 $ 36,518 $ 38 $ — $ 1,418,933 Corporate debt securities — 1,556,941 — — 1,556,941 U.S. government and federal agency securities 1,488,121 — — — 1,488,121 Sovereign obligations 837,614 505,382 — — 1,342,996 Residential mortgage-backed securities — 117 — — 117 Loans — 758,939 10,469 — 769,408 Derivatives 364 4,446,639 19,543 (4,257,998 ) 208,548 Total financial instruments sold, not yet purchased $ 3,708,476 $ 7,304,536 $ 30,050 $ (4,257,998 ) $ 6,785,064 Other secured financings (3) $ — $ 67,801 $ 544 $ — $ 68,345 (1) There were no material transfers between Level 1 and Level 2 for the year ended November 30, 2015. (2) Represents counterparty and cash collateral netting across the levels of the fair value hierarchy for positions with the same counterparty. (3) Level 2 liabilities include $67.8 million of other secured financings that were previously not disclosed in our Annual Report on Form 10-K for the year ended November 30, 2015 . |
Investments Measured at Fair Value Based on Net Asset Value Per Share | The following tables present information about our investments in entities that have the characteristics of an investment company (in thousands): August 31, 2016 Fair Value (1) Unfunded Commitments Redemption Frequency (if currently eligible) Equity Long/Short Hedge Funds (2) $ 46,195 $ — Monthly, Quarterly Fixed Income and High Yield Hedge Funds (3) 807 — — Fund of Funds (4) 226 — — Equity Funds (5) 41,716 20,295 — Multi-asset Funds (6) 132,248 — Monthly, Quarterly Total $ 221,192 $ 20,295 November 30, 2015 (7) Fair Value (1) Unfunded Commitments Redemption Frequency (if currently eligible) Equity Long/Short Hedge Funds (2) $ 54,725 $ — Monthly, Quarterly Fixed Income and High Yield Hedge Funds (3) 1,703 — — Fund of Funds (4) 287 94 — Equity Funds (5) 42,111 20,791 — Multi-asset Funds (6) 23,358 — Monthly, Quarterly Convertible Bond Funds (8) 326 — At Will Total $ 122,510 $ 20,885 (1) Where fair value is calculated based on NAV, fair value has been derived from each of the funds’ capital statements. (2) This category includes investments in hedge funds that invest, long and short, primarily in equity securities in domestic and international markets in both the public and private sectors. At August 31, 2016 , approximately 2% of the fair value of investments in this category is classified as being in liquidation. (3) This category includes investments in funds that invest in loans secured by a first trust deed on property, domestic and international public high yield debt, private high yield investments, senior bank loans, public leveraged equities, distressed debt, and private equity investments. There are no redemption provisions. At November 30, 2015 , the underlying assets of 8% of these funds are being liquidated and we are unable to estimate when the underlying assets will be fully liquidated. (4) This category includes investments in fund of funds that invest in various private equity funds. At August 31, 2016 and November 30, 2015 , approximately 98% and 95% , respectively, of the fair value of investments in this category are managed by us and have no redemption provisions. The investments in this category are gradually being liquidated or we have requested redemption, however, we are unable to estimate when these funds will be received. (5) At August 31, 2016 and November 30, 2015 , approximately 99% and 100% , respectively, of the fair value of investments in this category include investments in equity funds that invest in the equity of various U.S. and foreign private companies in the energy, technology, internet service and telecommunication service industries. These investments cannot be redeemed; instead distributions are received through the liquidation of the underlying assets of the funds, which are expected to liquidate in one to eight years. (6) This category includes investments in hedge funds that invest, long and short, primarily in multi-asset securities in domestic and international markets in both the public and private sectors. At August 31, 2016 and November 30, 2015 , investments representing approximately 12% and 100% , respectively, of the fair value of investments in this category are redeemable with 30 - 90 days prior written notice. (7) Prior period amounts have been recast to conform to the current year's presentation due to the presentation of multi-asset funds. Previously, these investments had been classified within equity long/short hedge funds. (8) This category represents an investment in the Jefferies Umbrella Fund, an open-ended investment company managed by us that invested primarily in convertible bonds. The underlying assets were fully liquidated during the nine months ended August 31, 2016 . |
Summary of Changes in Fair Value of Financial Assets and Liabilities Classified as Level 3 | The following is a summary of changes in fair value of our financial assets and liabilities that have been categorized within Level 3 of the fair value hierarchy for the nine months ended August 31, 2016 (in thousands): Nine Months Ended August 31, 2016 Balance at November 30, 2015 Total gains/ losses (realized and unrealized) (1) Purchases Sales Settlements Issuances Net transfers into/ (out of) Level 3 Balance at August 31, 2016 Change in unrealized gains/ (losses) relating to instruments still held at August 31, 2016 (1) Assets: Financial instruments owned: Corporate equity securities $ 40,906 $ (8,388 ) $ 5,225 $ (49 ) $ — $ — $ (15,499 ) $ 22,195 $ (727 ) Corporate debt securities 25,876 5,239 29,629 (20,331 ) — — (5,406 ) 35,007 1,456 CDOs and CLOs 85,092 (24,356 ) 61,707 (69,397 ) (605 ) — (8,371 ) 44,070 (13,196 ) Municipal securities — (1,462 ) — — — — 28,719 27,257 (1,462 ) Sovereign obligations 120 5 — (125 ) — — — — — RMBS 70,263 (7,243 ) 1,948 (13,203 ) (1,078 ) — (3,806 ) 46,881 228 CMBS 14,326 (4,606 ) 1,256 (2,023 ) — — 15,640 24,593 (3,337 ) Other asset-backed securities 42,925 (2,420 ) 66,503 (60,525 ) (6,678 ) — 21,307 61,112 (9,993 ) Loans and other receivables 189,289 (30,843 ) 305,920 (206,587 ) (163,913 ) — (15,409 ) 78,457 (27,714 ) Investments at fair value 53,120 (19,055 ) 26,227 (485 ) (834 ) — 26,063 85,036 (11,988 ) Liabilities: Financial instruments sold, not yet purchased: Corporate equity securities $ 38 $ — $ — $ — $ — $ — $ — $ 38 $ — Corporate debt securities — (27 ) — 550 — — — 523 — Net derivatives (2) (242 ) 3,104 — 11,101 (14 ) 1,606 (4,508 ) 11,047 (5,745 ) Loans 10,469 7 — 681 (213 ) — (10,096 ) 848 45 Other secured financings 544 (276 ) — — — — — 268 276 (1) Realized and unrealized gains/losses are reported in Principal transaction revenues in the Consolidated Statements of Earnings. (2) Net derivatives represent Financial instruments owned—Derivatives and Financial instruments sold, not yet purchased —Derivatives. The following is a summary of changes in fair value of our financial assets and liabilities that have been categorized within Level 3 of the fair value hierarchy for the three months ended August 31, 2016 (in thousands): Three Months Ended August 31, 2016 Balance at May 31, 2016 Total gains/ losses (realized and unrealized) (1) Purchases Sales Settlements Issuances Net transfers into/ (out of) Level 3 Balance at August 31, 2016 Change in unrealized gains/ (losses) relating to instruments still held at August 31, 2016 (1) Assets: Financial instruments owned: Corporate equity securities $ 48,816 $ (6,492 ) $ 291 $ (49 ) $ — $ — $ (20,371 ) $ 22,195 $ (892 ) Corporate debt securities 24,113 (145 ) 10,696 (5,046 ) — — 5,389 35,007 405 CDOs and CLOs 52,710 (4,067 ) 4,205 (5,203 ) — — (3,575 ) 44,070 (4,606 ) Municipal securities — (7,074 ) — — — — 34,331 27,257 (7,074 ) Sovereign obligations 120 5 — (125 ) — — — — — RMBS 63,308 (2,343 ) 1,884 (10,874 ) (463 ) — (4,631 ) 46,881 (183 ) CMBS 24,983 (1,531 ) — — — — 1,141 24,593 (236 ) Other asset-backed securities 43,033 (2,247 ) 3,416 (2,727 ) (1,429 ) — 21,066 61,112 (2,202 ) Loans and other receivables 104,399 (23,445 ) 31,512 (10,140 ) (16,804 ) — (7,065 ) 78,457 (16,044 ) Investments at fair value 57,765 (966 ) — (485 ) (278 ) — 29,000 85,036 (1,113 ) Liabilities: Financial instruments sold, not yet purchased: Corporate equity securities $ — $ — $ — $ — $ — $ — $ 38 $ 38 $ — Corporate debt securities — (27 ) — 550 — — — 523 (27 ) Net derivatives (2) 4,424 (4,736 ) — 11,101 32 601 (375 ) 11,047 (1,589 ) Loans 1,896 (402 ) — 170 — — (816 ) 848 (400 ) Other secured financings 468 (200 ) — — — — — 268 200 (1) Realized and unrealized gains/losses are reported in Principal transaction revenues in the Consolidated Statements of Earnings. (2) Net derivatives represent Financial instruments owned—Derivatives and Financial instruments sold, not yet purchased —Derivatives The following is a summary of changes in fair value of our financial assets and liabilities that have been categorized within Level 3 of the fair value hierarchy for the nine months ended August 31, 2015 (in thousands): Nine Months Ended August 31, 2015 Balance at November 30, 2014 Total gains/ losses (realized and unrealized) (1) Purchases Sales Settlements Issuances Net transfers into/ (out of) Level 3 Balance at August 31, 2015 Change in unrealized gains/ (losses) relating to instruments still held at August 31, 2015 (1) Assets: Financial instruments owned: Corporate equity securities $ 20,964 $ 10,247 $ 22,631 $ (5,176 ) $ — $ — $ (10,164 ) $ 38,502 $ 10,210 Corporate debt securities 22,766 (5,425 ) 83,613 (88,711 ) (1 ) — 12,089 24,331 (5,797 ) CDOs and CLOs 124,650 (28,999 ) 63,038 (47,570 ) (20,481 ) — (9,588 ) 81,050 (22,654 ) RMBS 82,557 (6,776 ) 30,865 (25,222 ) (358 ) — 5,356 86,422 (2,507 ) CMBS 26,655 (2,053 ) 3,366 (9,973 ) (6,981 ) — 4,133 15,147 (1,851 ) Other asset-backed securities 2,294 666 69,892 (40,000 ) (1,438 ) — 1,182 32,596 607 Loans and other receivables 97,258 (7,331 ) 115,370 (40,978 ) (82,100 ) — 13,180 95,399 (8,850 ) Investments, at fair value 53,224 88,195 — (124,854 ) (3,818 ) — 53,462 66,209 24,372 Liabilities: Financial instruments sold, not yet purchased: Corporate equity securities $ 38 $ — $ — $ — $ — $ — $ (38 ) $ — $ — Corporate debt securities 223 (1 ) (6,677 ) 6,804 — — (123 ) 226 (226 ) Net derivatives (2) (4,638 ) 3,022 (4,527 ) 11,340 (30 ) 1,901 95 7,163 (5,211 ) Loans 14,450 (102 ) (3,487 ) — — — (490 ) 10,371 102 Other secured financings 30,825 — — — (15,674 ) 36,995 (51,572 ) 574 — Embedded conversion option 693 (579 ) — — — — — 114 579 (1) Realized and unrealized gains/losses are reported in Principal transaction revenues in the Consolidated Statements of Earnings. (2) Net derivatives represent Financial instruments owned—Derivatives and Financial instruments sold, not yet purchased —Derivatives. The following is a summary of changes in fair value of our financial assets and liabilities that have been categorized within Level 3 of the fair value hierarchy for the three months ended August 31, 2015 (in thousands): Three Months Ended August 31, 2015 Balance at May 31, 2015 Total gains/ losses (realized and unrealized) (1) Purchases Sales Settlements Issuances Net transfers into/ (out of) Level 3 Balance at August 31, 2015 Change in unrealized gains/ (losses) relating to instruments still held at August 31, 2015 (1) Assets: Financial instruments owned: Corporate equity securities $ 20,547 $ 3,901 $ 21,162 $ (5,173 ) $ — $ — $ (1,935 ) $ 38,502 $ 3,803 Corporate debt securities 31,917 (5,276 ) 10,395 (17,197 ) (1 ) — 4,493 24,331 (5,544 ) CDOs and CLOs 89,007 (12,560 ) 14,961 — (13,230 ) — 2,872 81,050 (12,561 ) RMBS 88,695 (3,009 ) 10,034 (8,424 ) (195 ) — (679 ) 86,422 655 CMBS 17,862 (510 ) — (680 ) — — (1,525 ) 15,147 (545 ) Other asset-backed securities 11,857 870 21,913 — (1,167 ) — (877 ) 32,596 813 Loans and other receivables 108,756 (2,111 ) 31,269 (603 ) (42,529 ) — 617 95,399 (6,182 ) Investments, at fair value 131,343 83,580 — (127,427 ) (277 ) — (21,010 ) 66,209 19,675 Liabilities: Financial instruments sold, not yet purchased: Corporate equity securities $ 38 $ — $ — $ — $ — $ — $ (38 ) $ — $ — Corporate debt securities 452 (226 ) — — — — — 226 226 Net derivatives (2) (1,586 ) (1,020 ) (1,432 ) 11,618 24 416 (857 ) 7,163 551 Loans 10,732 109 (3,012 ) — — — 2,542 10,371 (110 ) Other secured financings 56,060 — — — (3,914 ) — (51,572 ) 574 — Embedded conversion option 725 (611 ) — — — — — 114 611 (1) Realized and unrealized gains/losses are reported in Principal transaction revenues in the Consolidated Statements of Earnings. (2) Net derivatives represent Financial instruments owned—Derivatives and Financial instruments sold, not yet purchased —Derivatives |
Quantitative Information about Significant Unobservable Inputs Used in Level 3 Fair Value Measurements | The tables below present information on the valuation techniques, significant unobservable inputs and their ranges for our financial assets and liabilities, subject to threshold levels related to the market value of the positions held, measured at fair value on a recurring basis with a significant Level 3 balance. The range of unobservable inputs could differ significantly across different firms given the range of products across different firms in the financial services sector. The inputs are not representative of the inputs that could have been used in the valuation of any one financial instrument ( i.e., the input used for valuing one financial instrument within a particular class of financial instruments may not be appropriate for valuing other financial instruments within that given class). Additionally, the ranges of inputs presented below should not be construed to represent uncertainty regarding the fair values of our financial instruments; rather, the range of inputs is reflective of the differences in the underlying characteristics of the financial instruments in each category. For certain categories, we have provided a weighted average of the inputs allocated based on the fair values of the financial instruments comprising the category. We do not believe that the range or weighted average of the inputs is indicative of the reasonableness of uncertainty of our Level 3 fair values. The range and weighted average are driven by the individual financial instruments within each category and their relative distribution in the population. The disclosed inputs when compared with the inputs as disclosed in other periods should not be expected to necessarily be indicative of changes in our estimates of unobservable inputs for a particular financial instrument as the population of financial instruments comprising the category will vary from period to period based on purchases and sales of financial instruments during the period as well as transfers into and out of Level 3 each period. August 31, 2016 Financial Instruments Owned Fair Value (in thousands) Valuation Technique Significant Unobservable Input(s) Input / Range Weighted Average Corporate equity securities $ 22,195 Non-exchange traded securities Market approach EBITDA (a) multiple 5.1 - 16.3 12.1 Underlying stock price $3-$75 $ 15 Comparable pricing Discount factor 60% — Underlying stock price $218 — Present value Average silver production (tons per day) 783 — Corporate debt securities $ 35,007 Convertible bond model Discount rate/yield 9% — Volatility 40% — Market approach Price $30-$100 $ 65 CDOs and CLOs $ 32,832 Discounted cash flows Constant prepayment rate 0%-20% 17 % Constant default rate 2%-7% 3 % Loss severity 25%-75% 40 % Yield 3%-35% 15 % Municipal securities $ 27,257 Scenario analysis Price $4 — RMBS $ 46,881 Discounted cash flows Constant prepayment rate 0%-25% 6 % Constant default rate 2%-50% 4 % Loss severity 10%-100% 55 % Yield 3%-9% 5 % CMBS $ 24,593 Discounted cash flows Yield 6%-12% 9 % Cumulative loss rate 1%-70% 25 % Other asset-backed securities $ 61,112 Discounted cash flows Constant prepayment rate 0%-55% 24 % Constant default rate 0%-9% 6 % Loss severity 0%-100% 85 % Yield 3%-15% 12 % Market approach Price $33-$70,000,000 $ 39,000,000 Loans and other receivables $ 52,216 Market approach EBITDA (a) multiple 3.6 — Discount rate/yield 2%-3% 3 % Comparable pricing Comparable loan price $98 — Present value Average silver production (tons per day) 783 — Scenario analysis Estimated recovery percentage 6%-82% 44 % Derivatives $ 9,560 Total return swaps Comparable pricing Comparable loan price $100 — Credit default swaps Market approach Credit spread 265 bps — Interest rate swaps Credit spread 800 bps — Investments at fair value Private equity securities $ 30,724 Market approach Transaction level $250 — Liabilities Financial Instruments Sold, Not Yet Purchased: Derivatives $ 20,607 Equity options Option model Volatility 45% — Default rate Default probability 0% — Unfunded commitments Comparable pricing Comparable loan price $98 — Market approach Discount rate/yield 3%-56% 54 % Total return swaps Comparable pricing Comparable loan price $100 — Variable funding note swaps Discounted cash flows Constant prepayment rate 20% — Constant default rate 2% — Loss severity 25% — Yield 14% — (a) Earnings before interest, taxes, depreciation and amortization (“EBITDA”). November 30, 2015 Financial Instruments Owned Fair Value (in thousands) Valuation Technique Significant Unobservable Input(s) Input / Range Weighted Average Corporate equity securities $ 20,285 Non-exchange traded securities Market approach EBITDA multiple 4.4 — Transaction level $1 — Underlying stock price $5-$102 $ 19 Corporate debt securities $ 20,257 Convertible bond model Discount rate/yield 86% — Market approach Transaction level $59 — CDOs and CLOs $ 49,923 Discounted cash flows Constant prepayment rate 5%-20% 13 % Constant default rate 2%-8% 2 % Loss severity 25%-90% 52 % Yield 6%-13% 10 % RMBS $ 70,263 Discounted cash flows Constant prepayment rate 0%-50% 13 % Constant default rate 1%-9% 3 % Loss severity 25%-70% 39 % Yield 1%-9% 6 % CMBS $ 14,326 Discounted cash flows Yield 7%-30% 16 % Cumulative loss rate 2%-63% 23 % Other asset-backed securities $ 21,463 Discounted cash flows Constant prepayment rate 6%-8% 7 % Constant default rate 3%-5% 4 % Loss severity 55%-75% 62 % Yield 7%-22% 18 % Over-collateralization Over-collateralization percentage 117%-125% 118 % Loans and other receivables $ 161,470 Comparable pricing Comparable loan price $99-$100 $ 99.7 Market approach Yield 2%-17% 12 % EBITDA multiple 10.0 — Scenario analysis Estimated recovery percentage 6%-100% 83 % Derivatives $ 19,785 Commodity forwards Market approach Discount rate/yield 47% — % Transaction level $9,500,000 — Unfunded commitments Comparable pricing Comparable loan price $100 — Market approach Credit spread 298 bps — Total return swaps Comparable pricing Comparable loan price $91.7-$92.4 $ 92.1 Investments at fair value $ 7,693 Private equity securities Market approach Transaction level $64 — Enterprise value $5,200,000 — Liabilities Financial Instruments Sold, Not Yet Purchased: Derivatives $ 19,543 Equity options Option model Volatility 45% — Default rate Default probability 0% — Unfunded commitments Comparable pricing Comparable loan price $79-$100 $ 82.6 Market approach Discount rate/yield 3%-10% 10 % Discounted cash flows Constant prepayment rate 20% — Constant default rate 2% — Loss severity 25% — Yield 11% — Total return swaps Comparable pricing Comparable loan price $91.7-92.4 $ 92.1 Loans and other receivables $ 10,469 Comparable pricing Comparable loan price $100 — |
Summary of Gains (Losses) Due to Changes in Instrument Specific Credit Risk and Summary of Contractual Principal Exceeds Fair Value for Loans and Other Receivables | The following is a summary of gains (losses) due to changes in instrument specific credit risk on loans, other receivables and debt instruments and gains (losses) due to other changes in fair value on long-term debt measured at fair value under the fair value option (in thousands): Three Months Ended August 31, Nine Months Ended August 31, 2016 2015 2016 2015 Financial Instruments Owned: Loans and other receivables $ (24,874 ) $ (13,566 ) $ (48,658 ) $ (25,686 ) Financial Instruments Sold: Loans $ 212 $ 38 $ 229 $ 112 Loan commitments 4,769 (51 ) 2,196 (1,673 ) Long-term Debt: Changes in instrument specific credit risk (1) $ (4,093 ) $ — $ (7,848 ) $ — Other changes in fair value (2) 3,225 — 13,530 — (1) Changes in instrument-specific credit risk related to structured notes are included in the Consolidated Statements of Comprehensive Income. (2) Other changes in fair value for the three and nine months ended August 31, 2016 include $4.5 million and $15.2 million , respectively, included within Principal transactions revenues, and $1.3 million and $1.7 million, respectively, included within Interest expenses on the Consolidated Statements of Earnings. The following is a summary of the amount by which contractual principal exceeds fair value for loans and other receivables and long-term debt measured at fair value under the fair value option (in thousands). August 31, 2016 November 30, 2015 Financial Instruments Owned: Loans and other receivables (1) $ 843,458 $ 408,369 Loans and other receivables on nonaccrual status and/or greater than 90 days past due (1) (2) 223,581 54,652 Long-term debt 7,485 — (1) Interest income is recognized separately from other changes in fair value and is included within Interest revenues on the Consolidated Statements of Earnings. (2) Amounts include loans and other receivables greater than 90 days past due of $59.7 million and $29.7 million at August 31, 2016 and November 30, 2015, respectively. |
Derivative Financial Instrume32
Derivative Financial Instruments (Tables) | 9 Months Ended |
Aug. 31, 2016 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Fair Value and Related Number of Derivative Contracts Categorized by Type of Derivative Contract | The following tables present the fair value and related number of derivative contracts at August 31, 2016 and November 30, 2015 categorized by type of derivative contract and the platform on which these derivatives are transacted. The fair value of assets/liabilities represents our receivable/payable for derivative financial instruments, gross of counterparty netting and cash collateral received and pledged. The following tables also provide information regarding 1) the extent to which, under enforceable master netting arrangements, such balances are presented net in the Consolidated Statements of Financial Condition as appropriate under U.S. GAAP and 2) the extent to which other rights of setoff associated with these arrangements exist and could have an effect on our financial position (in thousands, except contract amounts). August 31, 2016 (1) Assets Liabilities Fair Value Number of Fair Value Number of Interest rate contracts: Exchange-traded $ 2,286 26,232 $ 372 33,205 Cleared OTC 4,282,590 3,450 4,218,171 3,307 Bilateral OTC 588,640 2,046 558,296 1,234 Foreign exchange contracts: Exchange-traded — 358 — 470 Bilateral OTC 428,868 9,639 447,085 9,567 Equity contracts: Exchange-traded 799,932 3,463,584 960,272 2,999,406 Bilateral OTC 93,547 1,086 117,374 1,265 Commodity contracts: Exchange-traded — 1,624 — 888 Credit contracts: Cleared OTC 1,747 10 8,539 18 Bilateral OTC 20,846 152 32,043 189 Total gross derivative assets/ liabilities: Exchange-traded 802,218 960,644 Cleared OTC 4,284,337 4,226,710 Bilateral OTC 1,131,901 1,154,798 Amounts offset in the Consolidated Statements of Financial Condition (2): Exchange-traded (779,958 ) (779,958 ) Cleared OTC (4,233,022 ) (4,212,004 ) Bilateral OTC (874,894 ) (978,067 ) Net amounts per Consolidated Statements of Financial Condition (3) $ 330,582 $ 372,123 (1) Exchange traded derivatives include derivatives executed on an organized exchange. Cleared OTC derivatives include derivatives executed bilaterally and subsequently novated to and cleared through central clearing counterparties. Bilateral OTC derivatives include derivatives executed and settled bilaterally without the use of an organized exchange or central clearing counterparty. (2) Amounts netted include both netting by counterparty and for cash collateral paid or received. (3) We have not received or pledged additional collateral under master netting agreements and/or other credit support agreements that is eligible to be offset beyond what has been offset in the Consolidated Statements of Financial Condition. November 30, 2015 (1) Assets Liabilities Fair Value Number of Contracts Fair Value Number of Contracts Interest rate contracts: Exchange-traded $ 998 52,605 $ 364 70,672 Cleared OTC 2,213,730 2,742 2,202,836 2,869 Bilateral OTC 695,365 1,401 646,758 1,363 Foreign exchange contracts: Exchange-traded — 441 — 112 Bilateral OTC (4) 453,202 7,646 466,021 7,264 Equity contracts: Exchange-traded 955,287 3,054,315 1,004,699 2,943,657 Bilateral OTC 61,004 1,039 81,085 1,070 Commodity contracts: Exchange-traded — 1,726 — 1,684 Bilateral OTC (4) 19,342 29 4,628 28 Credit contracts: Cleared OTC 621 39 841 44 Bilateral OTC 16,977 100 59,314 135 Total gross derivative assets/liabilities: Exchange-traded 956,285 1,005,063 Cleared OTC 2,214,351 2,203,677 Bilateral OTC 1,245,890 1,257,806 Amounts offset in the Consolidated Statements of Financial Condition (2): Exchange-traded (938,482 ) (938,482 ) Cleared OTC (2,184,438 ) (2,184,438 ) Bilateral OTC (1,042,526 ) (1,135,078 ) Net amounts per Consolidated Statements of Financial Condition (3) $ 251,080 $ 208,548 (1) Exchange traded derivatives include derivatives executed on an organized exchange. Cleared OTC derivatives include derivatives executed bilaterally and subsequently novated to and cleared through central clearing counterparties. Bilateral OTC derivatives include derivatives executed and settled bilaterally without the use of an organized exchange or central clearing counterparty. (2) Amounts netted include both netting by counterparty and for cash collateral paid or received. (3) We have not received or pledged additional collateral under master netting agreements and/or other credit support agreements that is eligible to be offset beyond what has been offset in the Consolidated Statements of Financial Condition. (4) Bilateral OTC commodity contracts increased in assets by a fair value of $19.3 million and by 29 contracts and in liabilities by a fair value of $4.6 million and by 28 contracts with corresponding decreases in bilateral OTC foreign exchange contracts from those amounts previously reported to correct for the classification of certain contracts. The total amount of bilateral OTC contracts remained unchanged. |
Unrealized and Realized Gains (Losses) on Derivative Contracts | The following table presents unrealized and realized gains (losses) on derivative contracts: Three Months Ended Nine Months Ended Gains (Losses) August 31, 2016 August 31, 2015 August 31, 2016 August 31, 2015 Interest rate contracts $ (16,631 ) $ 25,308 $ (96,715 ) $ 580 Foreign exchange contracts 7,886 6,893 14,000 30,417 Equity contracts (185,264 ) 68,649 (509,476 ) 28,008 Commodity contracts 4,089 (4,757 ) 1,899 15,480 Credit contracts 4,024 (4,375 ) 1,441 (612 ) Total $ (185,896 ) $ 91,718 $ (588,851 ) $ 73,873 |
Remaining Contract Maturity of Fair Value of OTC Derivative Assets and Liabilities | The following tables set forth by remaining contract maturity the fair value of OTC derivative assets and liabilities at August 31, 2016 (in thousands): OTC Derivative Assets (1) (2) (3) 0 – 12 Months 1 – 5 Years Greater Than 5 Years Cross-Maturity Netting (4) Total Equity swaps and options $ 27,781 $ 5,370 $ — $ — $ 33,151 Credit default swaps — 7,948 230 (177 ) 8,001 Total return swaps 27,796 874 — (613 ) 28,057 Foreign currency forwards, swaps and options 84,564 29,937 — (7,150 ) 107,351 Interest rate swaps, options and forwards 42,055 229,950 88,205 (97,075 ) 263,135 Total $ 182,196 $ 274,079 $ 88,435 $ (105,015 ) 439,695 Cross product counterparty netting (754 ) Total OTC derivative assets included in Financial instruments owned $ 438,941 (1) At August 31, 2016 , we held exchange traded derivative assets and other credit agreements with a fair value of $25.6 million , which are not included in this table. (2) OTC derivative assets in the table above are gross of collateral received. OTC derivative assets are recorded net of collateral received on the Consolidated Statements of Financial Condition. At August 31, 2016 , cash collateral received was $134.0 million . (3) Derivative fair values include counterparty netting within product category. (4) Amounts represent the netting of receivable balances with payable balances for the same counterparty within product category across maturity categories. OTC Derivative Liabilities (1) (2) (3) 0 – 12 Months 1 – 5 Years Greater Than 5 Years Cross-Maturity Netting (4) Total Equity swaps and options $ 13,408 $ 23,617 $ — $ — $ 37,025 Credit default swaps 28 12,639 1,672 (177 ) 14,162 Total return swaps 26,824 16,967 — (613 ) 43,178 Foreign currency forwards, swaps and options 112,699 20,024 — (7,150 ) 125,573 Fixed income forwards 5,044 — — — 5,044 Interest rate swaps, options and forwards 23,709 119,675 124,541 (97,075 ) 170,850 Total $ 181,712 $ 192,922 $ 126,213 $ (105,015 ) 395,832 Cross product counterparty netting (754 ) Total OTC derivative liabilities included in Financial instruments sold, not yet purchased $ 395,078 (1) At August 31, 2016 , we held exchange traded derivative liabilities and other credit agreements with a fair value of $193.2 million , which are not included in this table. (2) OTC derivative liabilities in the table above are gross of collateral pledged. OTC derivative liabilities are recorded net of collateral pledged on the Consolidated Statements of Financial Condition. At August 31, 2016 , cash collateral pledged was $216.1 million . (3) Derivative fair values include counterparty netting within product category. (4) Amounts represent the netting of receivable balances with payable balances for the same counterparty within product category across maturity categories. |
Counterparty Credit Quality with Respect to Fair Value of OTC Derivatives Assets | At August 31, 2016 , the counterparty credit quality with respect to the fair value of our OTC derivatives assets was as follows (in thousands): Counterparty credit quality (1): A- or higher $ 214,650 BBB- to BBB+ 77,419 BB+ or lower 64,975 Unrated 81,897 Total $ 438,941 (1) We utilize internal credit ratings determined by our Risk Management department. Credit ratings determined by Risk Management use methodologies that produce ratings generally consistent with those produced by external rating agencies. |
Collateralized Transactions (Ta
Collateralized Transactions (Tables) | 9 Months Ended |
Aug. 31, 2016 | |
Banking and Thrift [Abstract] | |
Schedule of Collateralized Financing Transactions | The following tables set forth the carrying value of securities lending arrangements and repurchase agreements by class of collateral pledged (in thousands): August 31, 2016 Securities Lending Arrangements Repurchase Agreements Total Collateral Pledged: Corporate equity securities $ 2,341,506 $ 174,077 $ 2,515,583 Corporate debt securities 578,451 1,701,732 2,280,183 Mortgage- and asset-backed securities — 2,358,531 2,358,531 U.S. government and federal agency securities 10,419 8,759,548 8,769,967 Municipal securities — 420,957 420,957 Sovereign obligations — 2,120,421 2,120,421 Loans and other receivables — 478,693 478,693 Total $ 2,930,376 $ 16,013,959 $ 18,944,335 November 30, 2015 Securities Lending Arrangements Repurchase Agreements Total Collateral Pledged: Corporate equity securities $ 2,195,912 $ 275,880 $ 2,471,792 Corporate debt securities 748,405 1,752,222 2,500,627 Mortgage- and asset-backed securities — 3,537,812 3,537,812 U.S. government and federal agency securities 34,983 12,006,081 12,041,064 Municipal securities — 357,350 357,350 Sovereign obligations — 1,804,103 1,804,103 Loans and other receivables — 462,534 462,534 Total $ 2,979,300 $ 20,195,982 $ 23,175,282 The following tables set forth the carrying value of securities lending arrangements and repurchase agreements by remaining contractual maturity (in thousands): August 31, 2016 Overnight and Continuous Up to 30 Days 30-90 Days Greater than 90 Days Total Securities lending arrangements $ 1,629,631 $ 85,895 $ 794,824 $ 420,026 $ 2,930,376 Repurchase agreements 7,832,265 3,952,072 2,763,570 1,466,052 16,013,959 Total $ 9,461,896 $ 4,037,967 $ 3,558,394 $ 1,886,078 $ 18,944,335 November 30, 2015 Overnight and Continuous Up to 30 Days 30-90 Days Greater than 90 Days Total Securities lending arrangements $ 1,522,475 $ — $ 973,201 $ 483,624 $ 2,979,300 Repurchase agreements 7,850,791 5,218,059 5,291,729 1,835,403 20,195,982 Total $ 9,373,266 $ 5,218,059 $ 6,264,930 $ 2,319,027 $ 23,175,282 |
Summary of Repurchase Agreements and Securities Borrowing and Lending Arrangements | The following tables provide information regarding repurchase agreements and securities borrowing and lending arrangements that are recognized in the Consolidated Statements of Financial Condition and 1) the extent to which, under enforceable master netting arrangements, such balances are presented net in the Consolidated Statements of Financial Condition as appropriate under U.S. GAAP and 2) the extent to which other rights of setoff associated with these arrangements exist and could have an effect on our financial position (in thousands). August 31, 2016 Gross Amounts Netting in Consolidated Statement of Financial Condition Net Amounts in Consolidated Statement of Financial Condition Additional Amounts Available for Setoff (1) Available Collateral (2) Net Amount (3) Assets: Securities borrowing arrangements $ 8,460,736 $ — $ 8,460,736 $ (831,732 ) $ (1,063,399 ) $ 6,565,605 Reverse repurchase agreements 11,921,719 (7,883,525 ) 4,038,194 (133,611 ) (3,878,141 ) 26,442 Liabilities: Securities lending arrangements $ 2,930,376 $ — $ 2,930,376 $ (831,732 ) $ (2,038,342 ) $ 60,302 Repurchase agreements 16,013,959 (7,883,525 ) 8,130,434 (133,611 ) (6,707,666 ) 1,289,157 November 30, 2015 Gross Amounts Netting in Consolidated Statement of Financial Condition Net Amounts in Consolidated Statement of Financial Condition Additional Amounts Available for Setoff (1) Available Collateral (2) Net Amount (4) Assets: Securities borrowing arrangements $ 6,975,136 $ — $ 6,975,136 $ (478,991 ) $ (667,099 ) $ 5,829,046 Reverse repurchase agreements 14,048,860 (10,191,554 ) 3,857,306 (83,452 ) (3,745,215 ) 28,639 Liabilities: Securities lending arrangements $ 2,979,300 $ — $ 2,979,300 $ (478,991 ) $ (2,464,395 ) $ 35,914 Repurchase agreements 20,195,982 (10,191,554 ) 10,004,428 (83,452 ) (8,103,468 ) 1,817,508 (1) Under master netting agreements with our counterparties, we have the legal right of offset with a counterparty, which incorporates all of the counterparty’s outstanding rights and obligations under the arrangement. These balances reflect additional credit risk mitigation that is available by counterparty in the event of a counterparty’s default, but which are not netted in the balance sheet because other netting provisions of U.S. GAAP are not met. (2) Includes securities received or paid under collateral arrangements with counterparties that could be liquidated in the event of a counterparty default and thus offset against a counterparty’s rights and obligations under the respective repurchase agreements or securities borrowing or lending arrangements. (3) Amounts include $6,520.3 million of securities borrowing arrangements, for which we have received securities collateral of $6,315.7 million , and $1,278.2 million of repurchase agreements, for which we have pledged securities collateral of $1,326.2 million , which are subject to master netting agreements but we have not determined the agreements to be legally enforceable. (4) Amounts include $5,796.1 million of securities borrowing arrangements, for which we have received securities collateral of $5,613.3 million , and $1,807.2 million of repurchase agreements, for which we have pledged securities collateral of $1,875.3 million , which are subject to master netting agreements but we have not determined the agreements to be legally enforceable. |
Securitization Activities (Tabl
Securitization Activities (Tables) | 9 Months Ended |
Aug. 31, 2016 | |
Transfers and Servicing [Abstract] | |
Activity Related to Securitizations Accounted for as Sales | The following table presents activity related to our securitizations that were accounted for as sales in which we had continuing involvement (in millions): Three Months Ended August 31, Nine Months Ended August 31, 2016 2015 2016 2015 Transferred assets $ 1,390.7 $ 853.9 $ 4,523.5 $ 3,931.5 Proceeds on new securitizations 1,394.0 888.1 4,541.3 3,979.6 Cash flows received on retained interests 6.3 10.7 24.9 28.6 |
Summary of Retained Interests in SPEs | The following tables summarize our retained interests in SPEs where we transferred assets and have continuing involvement and received sale accounting treatment (in millions): August 31, 2016 Securitization Type Total Assets Retained Interests U.S. government agency RMBS $ 16,661.6 $ 32.6 U.S. government agency CMBS 4,027.5 22.7 CLOs 3,747.5 55.9 Consumer and other loans 737.3 31.2 November 30, 2015 Securitization Type Total Assets Retained Interests U.S. government agency RMBS $ 10,901.9 $ 203.6 U.S. government agency CMBS 2,313.4 87.2 CLOs 4,538.4 51.5 Consumer and other loans 655.0 31.0 |
Variable Interest Entities (Tab
Variable Interest Entities (Tables) | 9 Months Ended |
Aug. 31, 2016 | |
Variable Interest Entity [Line Items] | |
Assets and Liabilities of Consolidated VIEs Prior to Consolidation | The following table presents information about our consolidated VIEs at August 31, 2016 and November 30, 2015 (in millions). The assets and liabilities in the tables below are presented prior to consolidation and thus a portion of these assets and liabilities are eliminated in consolidation. August 31, 2016 November 30, 2015 Securitization Vehicles Other Securitization Vehicles Other Cash $ 9.7 $ 0.7 $ 0.5 $ 1.5 Financial instruments owned 90.6 0.6 68.3 0.6 Securities purchased under agreement to resell (1) 604.0 — 717.3 — Fees, interest and other receivables 0.5 — 0.3 0.2 Total assets $ 704.8 $ 1.3 $ 786.4 $ 2.3 Other secured financings (2) $ 692.8 $ — $ 785.0 $ — Other liabilities 11.3 0.2 1.4 0.3 Total liabilities $ 704.1 $ 0.2 $ 786.4 $ 0.3 (1) Securities purchased under agreement to resell represent an amount due under a collateralized transaction on a related consolidated entity, which is eliminated in consolidation. (2) Approximately $86.5 million and $22.1 million of the secured financing represents an amount held by us in inventory and is eliminated in consolidation at August 31, 2016 and November 30, 2015 , respectively. |
Variable Interest Entity Not Primary Beneficiary [Member] | |
Variable Interest Entity [Line Items] | |
Variable Interests in Non-Consolidated Variable Interest Entities | The following tables present information about our variable interests in nonconsolidated VIEs (in millions): August 31, 2016 Carrying Amount Maximum VIE Assets Assets Liabilities CLOs $ 73.3 $ 7.6 $ 326.7 $ 4,879.1 Consumer loan vehicles 170.0 — 607.2 1,231.4 Related party private equity vehicles 38.3 — 64.2 157.5 Other private investment vehicles 57.4 — 58.9 3,977.7 Total $ 339.0 $ 7.6 $ 1,057.0 $ 10,245.7 November 30, 2015 Carrying Amount Maximum VIE Assets Assets Liabilities CLOs $ 73.6 $ 0.2 $ 458.1 $ 6,368.7 Consumer loan vehicles 188.3 — 845.8 1,133.0 Related party private equity vehicles 39.3 — 65.8 168.2 Other private investment vehicles 51.3 — 52.8 4,312.0 Total $ 352.5 $ 0.2 $ 1,422.5 $ 11,981.9 |
Investments (Tables)
Investments (Tables) | 9 Months Ended |
Aug. 31, 2016 | |
Jefferies Finance, LLC [Member] | |
Schedule of Equity Method Investments [Line Items] | |
Summary of Selected Financial Information | The following is a summary of selected financial information for Jefferies Finance (in millions): August 31, 2016 November 30, 2015 Total assets $ 7,344.9 $ 7,292.1 Total liabilities 6,406.2 6,297.3 Total equity 938.7 994.8 Our total equity balance 469.3 497.4 |
Jefferies LoanCore, LLC [Member] | |
Schedule of Equity Method Investments [Line Items] | |
Summary of Selected Financial Information | The following is a summary of selected financial information for Jefferies LoanCore (in millions): August 31, 2016 November 30, 2015 Total assets $ 1,610.4 $ 2,069.1 Total liabilities 1,264.6 1,469.8 Total equity 345.8 599.3 Our total equity balance 167.7 290.7 |
JCP Funds [Member] | |
Schedule of Equity Method Investments [Line Items] | |
Summary of Selected Financial Information | The following is a summary of selected financial information for 100.0% of JCP Fund V, in which we own effectively 35.2% of the combined equity interests (in thousands): June 30, 2016 (1) December 31, 2015 (1) Total assets $ 81,855 $ 76,555 Total liabilities 68 99 Total partners' capital 81,787 76,456 Three Months Ended June 30, 2016 (1) March 31, 2016 (1) December 31, 2015 (1) June 30, 2015 (1) March 31, 2015 (1) December 31, 2014 (1) Net increase (decrease) in net assets resulting from operations $ 17,137 $ (11,806 ) $ (7,886 ) $ (8,875 ) $ 1,478 $ (65,700 ) (1) Financial information for JCP Fund V within our financial position and results of operations at August 31, 2016 and November 30, 2015 and for the three and nine months ended August 31, 2016 and August 31, 2015 is included based on the presented periods |
Goodwill and Other Intangible37
Goodwill and Other Intangible Assets (Tables) | 9 Months Ended |
Aug. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill Resulting from Leucadia Transaction Attributable to Reportable Segments and Summary of Changes to Goodwill | Goodwill attributed to our reportable segments are as follows (in thousands): August 31, 2016 November 30, 2015 Capital Markets $ 1,642,293 $ 1,653,588 Asset Management 3,000 3,000 Total goodwill $ 1,645,293 $ 1,656,588 The following table is a summary of the changes to goodwill for the nine months ended August 31, 2016 (in thousands): Balance at November 30, 2015 $ 1,656,588 Translation adjustments (11,295 ) Balance at August 31, 2016 $ 1,645,293 |
Summary of Intangible Assets | The following tables present the gross carrying amount, dispositions, accumulated amortization, net carrying amount and weighted average amortization period of identifiable intangible assets at August 31, 2016 and November 30, 2015 (dollars in thousands): August 31, 2016 Weighted average remaining lives (years) Gross cost Disposals (1) Impairment losses Accumulated amortization Net carrying amount Customer relationships $ 126,081 $ — $ — $ (40,453 ) $ 85,628 12.3 Trade name 128,845 — — (12,884 ) 115,961 31.5 Exchange and clearing organization membership interests and registrations 11,860 (1,379 ) (1,284 ) — 9,197 N/A Total $ 266,786 $ (1,379 ) $ (1,284 ) $ (53,337 ) $ 210,786 (1) Activity is related to the sale of certain exchange and clearing organization membership interests in the Futures reporting unit due to the exit of the business. November 30, 2015 Weighted average remaining lives (years) Gross cost Accumulated amortization Net carrying amount Customer relationships $ 127,667 $ (34,754 ) $ 92,913 12.9 Trade name 131,288 (10,315 ) 120,973 32.3 Exchange and clearing organization membership interests and registrations 11,897 — 11,897 N/A Total $ 270,852 $ (45,069 ) $ 225,783 |
Future Amortization Expense Related to Intangible Assets | The estimated future amortization expense for the five succeeding fiscal years is as follows (in thousands): Remainder of fiscal 2016 $ 3,049 Year ended November 30, 2017 12,198 Year ended November 30, 2018 12,198 Year ended November 30, 2019 12,198 Year ended November 30, 2020 12,198 |
Short-Term Borrowings (Tables)
Short-Term Borrowings (Tables) | 9 Months Ended |
Aug. 31, 2016 | |
Debt Disclosure [Abstract] | |
Schedule of Short-term Borrowings | Short-term borrowings at August 31, 2016 and November 30, 2015 include bank loans and overdrafts that are payable on demand and that must be repaid within one year or less, as well as borrowings under revolving loan and credit facilities as follows (in thousands): August 31, 2016 November 30, 2015 Bank loans (1) $ 262,711 $ 262,000 Secured revolving loan facility 67,986 48,659 Floating rate puttable notes 101,538 — Total short-term borrowings $ 432,235 $ 310,659 (1) Amount includes $0.7 million related to bank overdrafts at August 31, 2016 . |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 9 Months Ended |
Aug. 31, 2016 | |
Debt Disclosure [Abstract] | |
Summary of Long-Term Debt Carrying Values Including Unamortized Discounts and Premiums | The following summarizes our long-term debt carrying values (including unamortized discounts and premiums and valuation adjustment, where applicable) at August 31, 2016 and November 30, 2015 (in thousands): August 31, November 30, 2015 Unsecured long-term debt 5.5% Senior Notes, due March 15, 2016 (effective interest rate of 2.52%) $ — $ 353,025 5.125% Senior Notes, due April 13, 2018 (effective interest rate of 3.46%) 820,974 830,298 8.5% Senior Notes, due July 15, 2019 (effective interest rate of 4.00%) 785,411 806,125 2.375% Euro Medium Term Notes, due May 20, 2020 (effective rate of 2.42%) 555,962 526,436 6.875% Senior Notes, due April 15, 2021 (effective interest rate of 4.40%) 827,601 838,765 2.25% Euro Medium Term Notes, due July 13, 2022 (effective rate of 4.08%) 4,035 3,779 5.125% Senior Notes, due January 20, 2023 (effective interest rate of 4.55%) 619,000 620,890 6.45% Senior Debentures, due June 8, 2027 (effective interest rate of 5.46%) 378,292 379,711 3.875% Convertible Senior Debentures, due November 1, 2029 (effective interest rate of 3.50%) (1) 346,473 347,307 6.25% Senior Debentures, due January 15, 2036 (effective interest rate of 6.03%) 512,481 512,730 6.50% Senior Notes, due January 20, 2043 (effective interest rate of 6.09%) 421,415 421,656 Structured Notes (2) 211,094 — Total long-term debt $ 5,482,738 $ 5,640,722 (1) The change in fair value of the conversion feature, which is included within Principal transaction revenues in the Consolidated Statements of Earnings, was not material for the three and nine months ended August 31, 2016 and 2015 . (2) Includes $204.4 million at fair value at August 31, 2016. |
Noncontrolling Interests (Table
Noncontrolling Interests (Tables) | 9 Months Ended |
Aug. 31, 2016 | |
Noncontrolling Interest [Abstract] | |
Noncontrolling Interests | The following table presents noncontrolling interests at August 31, 2016 and November 30, 2015 (in thousands): August 31, 2016 November 30, 2015 Global Equity Event Opportunity Fund, LLC (1) $ 4,547 $ 26,292 Other 643 1,176 Noncontrolling interests $ 5,190 $ 27,468 (1) On December 1, 2015, the entity was deconsolidated due to the adoption of ASU No. 2015-02. (See Note 3, Accounting Developments, for further information on the adoption of this guidance.) No gain or loss was recognized upon deconsolidation. Noncontrolling interests attributed to Leucadia were $26.3 million at November 30, 2015 . During the nine months ended August 31, 2016 , the entity was consolidated due to investments by us and a third party. |
Benefit Plans (Tables)
Benefit Plans (Tables) | 9 Months Ended |
Aug. 31, 2016 | |
U.S Pension Plan [Member] | |
Item Effected [Line Items] | |
Components of Net Periodic Pension (Benefit) Cost | The components of net periodic pension cost (income) for our pension plans are as follows (in thousands): Three Months Ended August 31, Nine Months Ended August 31, U.S. Pension Plan 2016 2015 2016 2015 Components of net periodic pension cost (income): Service cost $ 100 $ 63 $ 300 $ 189 Interest cost on projected benefit obligation 587 585 1,761 1,755 Expected return on plan assets (730 ) (848 ) (2,190 ) (2,544 ) Net periodic pension income $ (43 ) $ (200 ) $ (129 ) $ (600 ) |
German Pension Plan [Member] | |
Item Effected [Line Items] | |
Components of Net Periodic Pension (Benefit) Cost | Three Months Ended August 31, Nine Months Ended August 31, German Pension Plan 2016 2015 2016 2015 Components of net periodic pension cost: Interest cost on projected benefit obligation $ 133 $ 132 $ 398 $ 395 Net amortization 83 82 246 245 Net periodic pension cost $ 216 $ 214 $ 644 $ 640 |
Compensation Plans (Tables)
Compensation Plans (Tables) | 9 Months Ended |
Aug. 31, 2016 | |
Compensation Related Costs [Abstract] | |
Schedule of Components of Compensation Cost | The components of total compensation cost associated with certain of our compensation plans are as follows (in millions): Three Months Ended August 31, Nine Months Ended August 31, 2016 2015 2016 2015 Components of compensation cost: Restricted cash awards $ 56.0 $ 39.4 $ 190.1 $ 142.9 Restricted stock and RSUs (1) 6.4 13.8 17.8 53.8 Profit sharing plan 1.0 0.6 5.3 5.3 Total compensation cost $ 63.4 $ 53.8 $ 213.2 $ 202.0 (1) Total compensation cost associated with restricted stock and RSUs includes the amortization of sign-on, retention and senior executive awards, less forfeitures and clawbacks. Additionally, we recognize compensation cost related to the discount provided to employees in electing to defer compensation under the Deferred Compensation Plan. |
Schedule of Remaining Unamortized Amounts Related to Certain Compensation Plans | Remaining unamortized amounts related to certain compensation plans at August 31, 2016 are as follows (dollars in millions): Remaining Unamortized Amounts Weighted Average Vesting Period (in Years) Non-vested share-based awards $ 29.2 2 Restricted cash awards 499.8 3 Total $ 529.0 |
Income Taxes (Tables)
Income Taxes (Tables) | 9 Months Ended |
Aug. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Earliest Tax Year Subject to Examination in the Major Tax Jurisdictions in which the Company Operates | The table below summarizes the earliest tax years that remain subject to examination in the major tax jurisdictions in which we operate: Jurisdiction Tax Year United States 2007 California 2007 New Jersey 2010 New York State 2001 New York City 2003 United Kingdom 2014 Hong Kong 2009 |
Commitments, Contingencies an44
Commitments, Contingencies and Guarantees (Tables) | 9 Months Ended |
Aug. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | The following table summarizes our commitments at August 31, 2016 (in millions): Expected Maturity Date (fiscal years) 2016 2017 2018 2020 2022 Maximum Payout Equity commitments (1) $ 1.5 $ 7.9 $ — $ 11.3 $ 213.7 $ 234.4 Loan commitments (1) — 306.4 82.2 54.4 — 443.0 Mortgage-related and other purchase commitments 838.0 263.2 1,265.2 21.6 — 2,388.0 Underwriting commitments — 223.2 — — — 223.2 Forward starting reverse repos and repos 166.3 — — — — 166.3 Other unfunded commitments (1) 65.8 142.6 26.8 5.1 32.3 272.6 Total commitments $ 1,071.6 $ 943.3 $ 1,374.2 $ 92.4 $ 246.0 $ 3,727.5 (1) Equity, loan and other unfunded commitments are presented by contractual maturity date. The amounts, however, are available on demand. |
Guarantees | The following table summarizes the notional amounts associated with our derivative contracts meeting the definition of a guarantee under U.S. GAAP at August 31, 2016 (in millions): Expected Maturity Date (fiscal years) 2016 2017 2018 2020 2022 Notional/ Maximum Payout Guarantee Type: Derivative contracts—non-credit related $ 20,564.3 $ 5,702.8 $ 377.9 $ — $ 437.4 $ 27,082.4 Written derivative contracts—credit related — — 91.7 258.7 — 350.4 Total derivative contracts $ 20,564.3 $ 5,702.8 $ 469.6 $ 258.7 $ 437.4 $ 27,432.8 |
External Credit Ratings of Underlying or Referenced Assets for Credit Related Derivatives Contracts | At August 31, 2016 the external credit ratings of the underlyings or referenced assets for our credit related derivatives contracts (in millions): External Credit Rating AAA/ AA/Aa A BBB/ Below Notional/ Credit related derivative contracts: Index credit default swaps $ 24.0 $ — $ — $ 83.7 $ — $ 107.7 Single name credit default swaps $ — $ — $ 59.9 $ 38.6 $ 144.2 $ 242.7 |
Net Capital Requirements (Table
Net Capital Requirements (Tables) | 9 Months Ended |
Aug. 31, 2016 | |
Brokers and Dealers [Abstract] | |
Net Capital, Adjusted and Excess Net Capital | At August 31, 2016 , Jefferies and Jefferies Execution’s net capital and excess net capital were as follows (in thousands): Net Capital Excess Net Capital Jefferies $ 1,424,378 $ 1,340,682 Jefferies Execution 7,330 7,080 |
Segment Reporting (Tables)
Segment Reporting (Tables) | 9 Months Ended |
Aug. 31, 2016 | |
Segment Reporting [Abstract] | |
Net Revenues, Expenses and Total Assets by Segment | Our net revenues and expenses by segment are summarized below (in millions): Three Months Ended August 31, Nine Months Ended August 31, 2016 2015 2016 2015 Capital Markets: Net revenues $ 641.9 $ 565.1 $ 1,601.6 $ 1,916.7 Expenses $ 558.2 $ 564.5 $ 1,693.6 $ 1,829.3 Asset Management: Net revenues $ 12.6 $ 13.8 $ 71.2 $ 45.5 Expenses $ 15.5 $ 7.3 $ 45.8 $ 28.2 Total: Net revenues $ 654.5 $ 578.9 $ 1,672.8 $ 1,962.2 Expenses $ 573.7 $ 571.8 $ 1,739.4 $ 1,857.5 The following table summarizes our total assets by segment (in millions): August 31, 2016 November 30, 2015 Segment assets: Capital Markets $ 37,305.7 $ 37,804.9 Asset Management 821.9 759.0 Total assets $ 38,127.7 $ 38,564.0 |
Net Revenues by Geographic Region | Net revenues by geographic region were as follows (in thousands): Three Months Ended August 31, Nine Months Ended August 31, 2016 2015 2016 2015 Americas (1) $ 500,190 $ 454,996 $ 1,257,192 $ 1,508,639 Europe (2) 126,476 103,959 349,700 392,163 Asia 27,784 19,973 65,953 61,352 Net revenues $ 654,450 $ 578,928 $ 1,672,845 $ 1,962,154 (1) Substantially all relates to U.S. results. (2) Substantially all relates to U.K. results. |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 9 Months Ended |
Aug. 31, 2016 | |
Related Party Transactions [Abstract] | |
Summary of Interest Income, Other Revenues and Investment Income Attributable to Related Party Private Equity Funds | The following table presents other revenues and investment income (loss) related to net gains and losses on our investment in Private Equity Related Funds and service charges (in thousands): Three Months Ended August 31, Nine Months Ended August 31, 2016 2015 2016 2015 Other revenues and investment income (loss) $ 6,048 $ (3,495 ) $ (1,664 ) $ (27,707 ) Service charges 201 630 537 1,089 |
Schedule of Revenue by Service | The following table presents the revenues earned by type of services provided (in thousands): Three Months Ended August 31, Nine Months Ended August 31, 2016 2015 2016 2015 Investment banking and advisory $ — $ — $ 1,786 $ 21,200 Asset management 10 102 155 405 Commissions and other fees — 1 88 38 |
Exit Costs (Tables)
Exit Costs (Tables) | 9 Months Ended |
Aug. 31, 2016 | |
Restructuring and Related Activities [Abstract] | |
Restructuring and Related Costs | The following summarizes our recorded restructuring and impairment costs (in thousands): Three Months Ended August 31, Nine Months Ended August 31, 2016 2015 2016 2015 Severance costs $ — $ 11,373 $ 279 $ 26,932 Accelerated amortization of restricted stock and restricted cash awards — 2,442 41 6,902 Accelerated amortization of capitalized software — 6,719 — 12,979 Contract termination costs — 11,216 1,234 11,216 Other expenses — 1,523 300 3,814 Total $ — $ 33,273 $ 1,854 $ 61,843 Restructuring and exit costs are wholly attributed to our Capital Markets segment and were recorded in the following categories on the Consolidated Statement of Earnings (in thousands): Three Months Ended August 31, Nine Months Ended August 31, 2016 2015 2016 2015 Compensation and benefits $ — $ 13,815 $ 320 $ 33,834 Technology and communications — 17,935 1,234 24,195 Professional services — 444 — 2,477 Other expenses — 1,079 300 1,337 Total $ — $ 33,273 $ 1,854 $ 61,843 |
Schedule of Restructuring Reserve | The following summarizes our restructuring reserve activity (in thousands): Severance costs Other costs Contract termination costs Total restructuring costs Accelerated amortization of restricted stock and restricted cash awards Total Balance at November 30, 2015 $ 4,805 $ — $ — $ 4,805 Expenses 279 300 1,234 1,813 $ 41 $ 1,854 Payments (5,084 ) (300 ) (1,234 ) (6,618 ) Liability at August 31, 2016 $ — $ — $ — $ — |
Organization and Basis of Pre49
Organization and Basis of Presentation (Detail) $ in Thousands | 9 Months Ended | |
Aug. 31, 2016USD ($)segment | Aug. 31, 2015USD ($) | |
Debt Instrument [Line Items] | ||
Number of operating segments | segment | 2 | |
Accrued expenses and other liabilities | $ 68,024 | $ (228,986) |
Net change in bank overdrafts | (56,126) | 24,466 |
Net cash used in operating activities | 206,446 | 633,154 |
Net cash provided by financing activities | $ (221,009) | 55,699 |
3.875% Convertible Senior Debentures due 2029 [Member] | ||
Debt Instrument [Line Items] | ||
Convertible Senior Debentures, interest rate | 3.875% | |
Classification Error [Member] | ||
Debt Instrument [Line Items] | ||
Accrued expenses and other liabilities | (228,900) | |
Net change in bank overdrafts | 24,500 | |
Net cash used in operating activities | 633,100 | |
Net cash provided by financing activities | 55,700 | |
Restatement Adjustment [Member] | Classification Error [Member] | ||
Debt Instrument [Line Items] | ||
Accrued expenses and other liabilities | (24,500) | |
Net change in bank overdrafts | 24,500 | |
Net cash used in operating activities | 24,500 | |
Net cash provided by financing activities | 24,500 | |
Scenario, Previously Reported [Member] | Classification Error [Member] | ||
Debt Instrument [Line Items] | ||
Accrued expenses and other liabilities | (204,500) | |
Net change in bank overdrafts | 0 | |
Net cash used in operating activities | 608,700 | |
Net cash provided by financing activities | $ 31,200 |
Summary of Significant Accoun50
Summary of Significant Accounting Policies (Detail) | 9 Months Ended |
Aug. 31, 2016 | |
Property, Plant and Equipment [Line Items] | |
More than percentage of tax benefit realized upon ultimate settlement with taxing authority | 50.00% |
Minimum [Member] | |
Property, Plant and Equipment [Line Items] | |
Useful life of premises and equipment | 3 years |
Maximum [Member] | |
Property, Plant and Equipment [Line Items] | |
Useful life of premises and equipment | 10 years |
Accounting Developments (Detail
Accounting Developments (Details) - USD ($) $ in Thousands | Aug. 31, 2016 | Dec. 01, 2015 | Nov. 30, 2015 |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Investments in managed funds | $ 191,692 | $ 85,775 | |
Accrued expenses and other liabilities | 1,030,425 | 1,049,019 | |
Noncontrolling interests | $ 5,190 | $ 27,468 | |
Accounting Standards Update, Consolidation [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
Investments in managed funds | $ (27,000) | ||
Accrued expenses and other liabilities | (700) | ||
Noncontrolling interests | $ (26,300) |
Fair Value Disclosures - Additi
Fair Value Disclosures - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2016 | Aug. 31, 2015 | Nov. 30, 2015 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Investments at fair value | $ 29,500 | $ 29,500 | $ 36,700 | ||
Transfers of assets from Level 2 to Level 3 | 147,000 | $ 73,400 | 157,800 | $ 157,700 | |
Transfers of assets from Level 3 to Level 2 | 91,800 | 91,400 | 114,500 | 88,100 | |
Transfers of liabilities from Level 2 to Level 3 | 2,500 | ||||
Transfers of liabilities from Level 3 to Level 2 | 51,600 | 10,200 | 51,600 | ||
Net gains/(losses) on Level 3 assets (realized and unrealized) | (48,300) | 64,900 | (93,100) | 48,500 | |
Net gains/(losses) on Level 3 liabilities (realized and unrealized) | 5,400 | 1,700 | (2,800) | (2,300) | |
Unadjusted net asset value of the funds | 91,800 | 91,800 | 156,200 | ||
Unadjusted net liability value of the funds | 1,700 | 1,700 | 600 | ||
Loan and other receivables on nonaccrual status | 55,100 | 55,100 | 307,500 | ||
Aggregate fair value of loans and other receivables | 19,100 | 19,100 | $ 11,300 | ||
Long-term Debt [Member] | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Other changes in fair value | 3,225 | 0 | 13,530 | 0 | |
Long-term Debt [Member] | Principal Transactions Revenue [Member] | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Other changes in fair value | 4,500 | 15,200 | |||
Long-term Debt [Member] | Interest Expense [Member] | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Other changes in fair value | 1,300 | 1,700 | |||
CDOs and CLOs [Member] | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Transfers of assets from Level 2 to Level 3 | 23,700 | 42,800 | 16,900 | 16,000 | |
Transfers of assets from Level 3 to Level 2 | 27,300 | 39,900 | 25,300 | 25,600 | |
Net gains/(losses) on Level 3 assets (realized and unrealized) | (4,067) | (12,560) | (24,356) | (28,999) | |
Municipal securities [Member] | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Transfers of assets from Level 2 to Level 3 | 34,300 | 28,700 | |||
Net gains/(losses) on Level 3 assets (realized and unrealized) | (7,074) | (1,462) | |||
RMBS [Member] | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Transfers of assets from Level 2 to Level 3 | 13,700 | 17,800 | 21,700 | 21,300 | |
Transfers of assets from Level 3 to Level 2 | 18,300 | 18,500 | 25,500 | 15,900 | |
Net gains/(losses) on Level 3 assets (realized and unrealized) | (2,343) | (3,009) | (7,243) | (6,776) | |
Investments at fair value [Member] | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Transfers of assets from Level 2 to Level 3 | 29,000 | 26,100 | 76,200 | ||
Transfers of assets from Level 3 to Level 2 | 21,000 | 22,700 | |||
Net gains/(losses) on Level 3 assets (realized and unrealized) | (966) | 83,580 | (19,055) | 88,195 | |
Other asset-backed securities [Member] | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Transfers of assets from Level 2 to Level 3 | 27,300 | 38,500 | 1,400 | ||
Transfers of assets from Level 3 to Level 2 | 17,000 | ||||
Net gains/(losses) on Level 3 assets (realized and unrealized) | (2,247) | 870 | (2,420) | 666 | |
Corporate equity securities [Member] | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Transfers of assets from Level 2 to Level 3 | 1,600 | ||||
Transfers of assets from Level 3 to Level 2 | 20,500 | 1,900 | 19,200 | 11,800 | |
Net gains/(losses) on Level 3 assets (realized and unrealized) | (6,492) | 3,901 | (8,388) | 10,247 | |
Commercial mortgage-backed securities [Member] | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Transfers of assets from Level 2 to Level 3 | 3,700 | 17,200 | 9,800 | ||
Transfers of assets from Level 3 to Level 2 | 5,200 | 5,600 | |||
Net gains/(losses) on Level 3 assets (realized and unrealized) | (1,531) | (510) | (4,606) | (2,053) | |
Loans and other receivables [Member] | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Transfers of assets from Level 2 to Level 3 | 4,100 | 19,200 | |||
Transfers of assets from Level 3 to Level 2 | 15,800 | 3,500 | 19,800 | 6,100 | |
Net gains/(losses) on Level 3 assets (realized and unrealized) | (23,445) | (2,111) | (30,843) | (7,331) | |
Corporate debt securities [Member] | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Transfers of assets from Level 2 to Level 3 | 5,000 | 12,200 | |||
Net gains/(losses) on Level 3 assets (realized and unrealized) | $ (145) | $ (5,276) | $ 5,239 | $ (5,425) | |
3.875% Convertible Senior Debentures due 2029 [Member] | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Debt instrument interest rate | 3.875% | 3.875% | |||
3.875% Convertible Senior Debentures due 2029 [Member] | Leucadia [Member] | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Debt instrument interest rate | 3.875% | 3.875% | |||
Long-term debt embedded conversion option [Member] | Leucadia [Member] | |||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||||
Volatility curve used in valuing embedded option | 252 days |
Fair Value Disclosures - Financ
Fair Value Disclosures - Financial Assets and Liabilities Accounted for at Fair Value on Recurring Basis (Detail) - USD ($) $ in Thousands | Aug. 31, 2016 | Nov. 30, 2015 |
Financial instruments owned: | ||
Corporate equity securities | $ 2,149,879 | $ 2,027,989 |
Corporate debt securities | 2,529,310 | 2,893,041 |
CDOs and CLOs | 143,864 | 174,236 |
U.S. government and federal agency securities | 3,143,852 | 2,645,651 |
Municipal securities | 577,467 | 487,141 |
Sovereign obligations | 2,035,035 | 2,659,441 |
Loans and other receivables | 1,401,549 | 1,312,333 |
Derivatives | 330,582 | 251,080 |
Investments at fair value | 85,036 | 79,344 |
Total financial instruments owned, excluding Investments at fair value based on NAV | 14,298,419 | 16,522,382 |
Counterparty and Cash Collateral Netting | (5,887,874) | (4,165,446) |
Cash and cash equivalents | 3,159,143 | 3,510,163 |
Cash and securities segregated and on deposit for regulatory purposes | 1,026,865 | 751,084 |
Financial instruments sold, not yet purchased: | ||
Corporate equity securities | 1,741,068 | 1,418,933 |
Corporate debt securities | 1,705,150 | 1,556,941 |
U.S. government and federal agency securities | 1,213,672 | 1,488,121 |
Sovereign obligations | 2,373,031 | 1,342,996 |
Loans | 539,028 | 769,408 |
Derivatives | 372,123 | 208,548 |
Total financial instruments sold, not yet purchased | 7,944,072 | 6,785,064 |
Counterparty and Cash Collateral Netting | (5,970,029) | (4,257,998) |
Other secured financings | 53,586 | 68,345 |
Long-term debt | 204,422 | 0 |
US Treasury Securities [Member] | ||
Financial instruments owned: | ||
Cash and securities segregated and on deposit for regulatory purposes | 99,900 | |
RMBS [Member] | ||
Financial instruments owned: | ||
Mortgage- and asset-backed securities, assets | 1,378,840 | 2,801,333 |
Financial instruments sold, not yet purchased: | ||
Residential mortgaged-backed securities | 117 | |
Commercial mortgage-backed securities [Member] | ||
Financial instruments owned: | ||
Mortgage- and asset-backed securities, assets | 345,505 | 1,029,239 |
Other asset-backed securities [Member] | ||
Financial instruments owned: | ||
Mortgage- and asset-backed securities, assets | 177,500 | 161,554 |
Level 1 [Member] | ||
Financial instruments owned: | ||
Corporate equity securities | 2,019,490 | 1,853,351 |
Corporate debt securities | 0 | 0 |
CDOs and CLOs | 0 | 0 |
U.S. government and federal agency securities | 3,029,251 | 2,555,018 |
Municipal securities | 0 | 0 |
Sovereign obligations | 904,592 | 1,251,366 |
Loans and other receivables | 0 | 0 |
Derivatives | 2,530 | 1,037 |
Investments at fair value | 0 | 0 |
Total financial instruments owned, excluding Investments at fair value based on NAV | 5,955,863 | 5,660,772 |
Cash and cash equivalents | 3,159,143 | 3,510,163 |
Cash and securities segregated and on deposit for regulatory purposes | 1,026,865 | 751,084 |
Financial instruments sold, not yet purchased: | ||
Corporate equity securities | 1,682,196 | 1,382,377 |
Corporate debt securities | 0 | 0 |
U.S. government and federal agency securities | 1,213,672 | 1,488,121 |
Sovereign obligations | 940,451 | 837,614 |
Loans | 0 | 0 |
Derivatives | 373 | 364 |
Total financial instruments sold, not yet purchased | 3,836,692 | 3,708,476 |
Other secured financings | 0 | 0 |
Long-term debt | 0 | |
Level 1 [Member] | RMBS [Member] | ||
Financial instruments owned: | ||
Mortgage- and asset-backed securities, assets | 0 | 0 |
Financial instruments sold, not yet purchased: | ||
Residential mortgaged-backed securities | 0 | |
Level 1 [Member] | Commercial mortgage-backed securities [Member] | ||
Financial instruments owned: | ||
Mortgage- and asset-backed securities, assets | 0 | 0 |
Level 1 [Member] | Other asset-backed securities [Member] | ||
Financial instruments owned: | ||
Mortgage- and asset-backed securities, assets | 0 | 0 |
Level 2 [Member] | ||
Financial instruments owned: | ||
Corporate equity securities | 108,194 | 133,732 |
Corporate debt securities | 2,494,303 | 2,867,165 |
CDOs and CLOs | 99,794 | 89,144 |
U.S. government and federal agency securities | 114,601 | 90,633 |
Municipal securities | 550,210 | 487,141 |
Sovereign obligations | 1,130,443 | 1,407,955 |
Loans and other receivables | 1,323,092 | 1,123,044 |
Derivatives | 6,206,366 | 4,395,704 |
Investments at fair value | 0 | 26,224 |
Total financial instruments owned, excluding Investments at fair value based on NAV | 13,796,262 | 14,485,354 |
Cash and cash equivalents | 0 | 0 |
Cash and securities segregated and on deposit for regulatory purposes | 0 | 0 |
Financial instruments sold, not yet purchased: | ||
Corporate equity securities | 58,834 | 36,518 |
Corporate debt securities | 1,704,627 | 1,556,941 |
U.S. government and federal agency securities | 0 | 0 |
Sovereign obligations | 1,432,580 | 505,382 |
Loans | 538,180 | 758,939 |
Derivatives | 6,321,172 | 4,446,639 |
Total financial instruments sold, not yet purchased | 10,055,393 | 7,304,536 |
Other secured financings | 53,318 | 67,801 |
Long-term debt | 204,422 | |
Level 2 [Member] | RMBS [Member] | ||
Financial instruments owned: | ||
Mortgage- and asset-backed securities, assets | 1,331,959 | 2,731,070 |
Financial instruments sold, not yet purchased: | ||
Residential mortgaged-backed securities | 117 | |
Level 2 [Member] | Commercial mortgage-backed securities [Member] | ||
Financial instruments owned: | ||
Mortgage- and asset-backed securities, assets | 320,912 | 1,014,913 |
Level 2 [Member] | Other asset-backed securities [Member] | ||
Financial instruments owned: | ||
Mortgage- and asset-backed securities, assets | 116,388 | 118,629 |
Level 3 [Member] | ||
Financial instruments owned: | ||
Corporate equity securities | 22,195 | 40,906 |
Corporate debt securities | 35,007 | 25,876 |
CDOs and CLOs | 44,070 | 85,092 |
U.S. government and federal agency securities | 0 | 0 |
Municipal securities | 27,257 | 0 |
Sovereign obligations | 0 | 120 |
Loans and other receivables | 78,457 | 189,289 |
Derivatives | 9,560 | 19,785 |
Investments at fair value | 85,036 | 53,120 |
Total financial instruments owned, excluding Investments at fair value based on NAV | 434,168 | 541,702 |
Cash and cash equivalents | 0 | 0 |
Cash and securities segregated and on deposit for regulatory purposes | 0 | 0 |
Financial instruments sold, not yet purchased: | ||
Corporate equity securities | 38 | 38 |
Corporate debt securities | 523 | 0 |
U.S. government and federal agency securities | 0 | 0 |
Sovereign obligations | 0 | 0 |
Loans | 848 | 10,469 |
Derivatives | 20,607 | 19,543 |
Total financial instruments sold, not yet purchased | 22,016 | 30,050 |
Other secured financings | 268 | 544 |
Long-term debt | 0 | |
Level 3 [Member] | RMBS [Member] | ||
Financial instruments owned: | ||
Mortgage- and asset-backed securities, assets | 46,881 | 70,263 |
Financial instruments sold, not yet purchased: | ||
Residential mortgaged-backed securities | 0 | |
Level 3 [Member] | Commercial mortgage-backed securities [Member] | ||
Financial instruments owned: | ||
Mortgage- and asset-backed securities, assets | 24,593 | 14,326 |
Level 3 [Member] | Other asset-backed securities [Member] | ||
Financial instruments owned: | ||
Mortgage- and asset-backed securities, assets | $ 61,112 | $ 42,925 |
Fair Value Disclosures - Invest
Fair Value Disclosures - Investments Measured at Fair Value Based on Net Asset Value Per Share (Detail) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Aug. 31, 2016 | Nov. 30, 2015 | |
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Fair Value | $ 221,192 | $ 122,510 |
Unfunded Commitments | 20,295 | 20,885 |
Equity Long/Short Hedge Funds [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Fair Value | 46,195 | 54,725 |
Unfunded Commitments | $ 0 | $ 0 |
Redemption Frequency (if currently eligible) | Monthly, Quarterly | Monthly, Quarterly |
Fixed Income and High Yield Hedge Funds [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Fair Value | $ 807 | $ 1,703 |
Unfunded Commitments | 0 | 0 |
Fund of Funds [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Fair Value | 226 | 287 |
Unfunded Commitments | 0 | 94 |
Equity Funds [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Fair Value | 41,716 | 42,111 |
Unfunded Commitments | 20,295 | 20,791 |
Multi-asset Funds [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Fair Value | 132,248 | 23,358 |
Unfunded Commitments | $ 0 | $ 0 |
Redemption Frequency (if currently eligible) | Monthly, Quarterly | Monthly, Quarterly |
Convertible Bond Funds [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Fair Value | $ 326 | |
Unfunded Commitments | $ 0 | |
Redemption Frequency (if currently eligible) | At Will |
Fair Value Disclosures - Inve55
Fair Value Disclosures - Investments Measured at Fair Value Based on Net Asset Value Per Share (Footnote) (Detail) | 9 Months Ended | |
Aug. 31, 2016 | Nov. 30, 2015 | |
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Percentage of investment at fair value in liquidation | 2.00% | |
Fixed Income and High Yield Hedge Funds [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Percentage of investments with no redemption provisions | 8.00% | |
Fund of Funds [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Percentage of investments with no redemption provisions | 98.00% | 95.00% |
Private equity funds [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Percentage of investments at fair value expected to liquidate | 99.00% | 100.00% |
Estimated period for the liquidation of the underlying assets, Minimum | 1 year | |
Estimated period for the liquidation of the underlying assets, Maximum | 8 years | |
Multi-asset Funds [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Percentage of redeemable investments | 12.00% | 100.00% |
Minimum [Member] | Multi-asset Funds [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Notice period redemption of investment prior written notice period | 30 days | |
Maximum [Member] | Multi-asset Funds [Member] | ||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ||
Notice period redemption of investment prior written notice period | 90 days |
Fair Value Disclosures - Summar
Fair Value Disclosures - Summary of Changes in Fair Value of Financial Assets and Liabilities Classified as Level 3 (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2016 | Aug. 31, 2015 | |
Assets: | ||||
Total gains/(losses) (realized and unrealized) | $ (48,300) | $ 64,900 | $ (93,100) | $ 48,500 |
Liabilities: | ||||
Net gains/(losses) on Level 3 liabilities (realized and unrealized) | 5,400 | 1,700 | (2,800) | (2,300) |
Corporate equity securities [Member] | ||||
Liabilities: | ||||
Beginning Balance | 0 | 38 | 38 | 38 |
Net gains/(losses) on Level 3 liabilities (realized and unrealized) | 0 | 0 | 0 | 0 |
Purchases | 0 | 0 | 0 | 0 |
Sales | 0 | 0 | 0 | 0 |
Settlements | 0 | 0 | 0 | 0 |
Issuances | 0 | 0 | 0 | 0 |
Net transfers into/ (out of) Level 3 | 38 | (38) | 0 | (38) |
Ending Balance | 38 | 0 | 38 | 0 |
Change in unrealized gains/ (losses) relating to instruments still held | 0 | 0 | 0 | 0 |
Corporate debt securities [Member] | ||||
Liabilities: | ||||
Beginning Balance | 0 | 452 | 0 | 223 |
Net gains/(losses) on Level 3 liabilities (realized and unrealized) | (27) | (226) | (27) | (1) |
Purchases | 0 | 0 | 0 | (6,677) |
Sales | 550 | 0 | 550 | 6,804 |
Settlements | 0 | 0 | 0 | 0 |
Issuances | 0 | 0 | 0 | 0 |
Net transfers into/ (out of) Level 3 | 0 | 0 | 0 | (123) |
Ending Balance | 523 | 226 | 523 | 226 |
Change in unrealized gains/ (losses) relating to instruments still held | (27) | 226 | 0 | (226) |
Net derivatives [Member] | ||||
Liabilities: | ||||
Beginning Balance | 4,424 | (1,586) | (242) | (4,638) |
Net gains/(losses) on Level 3 liabilities (realized and unrealized) | (4,736) | (1,020) | 3,104 | 3,022 |
Purchases | 0 | (1,432) | 0 | (4,527) |
Sales | 11,101 | 11,618 | 11,101 | 11,340 |
Settlements | 32 | 24 | (14) | (30) |
Issuances | 601 | 416 | 1,606 | 1,901 |
Net transfers into/ (out of) Level 3 | (375) | (857) | (4,508) | 95 |
Ending Balance | 11,047 | 7,163 | 11,047 | 7,163 |
Change in unrealized gains/ (losses) relating to instruments still held | (1,589) | 551 | (5,745) | (5,211) |
Loans [Member] | ||||
Liabilities: | ||||
Beginning Balance | 1,896 | 10,732 | 10,469 | 14,450 |
Net gains/(losses) on Level 3 liabilities (realized and unrealized) | (402) | 109 | 7 | (102) |
Purchases | 0 | (3,012) | 0 | (3,487) |
Sales | 170 | 0 | 681 | 0 |
Settlements | 0 | 0 | (213) | 0 |
Issuances | 0 | 0 | 0 | 0 |
Net transfers into/ (out of) Level 3 | (816) | 2,542 | (10,096) | (490) |
Ending Balance | 848 | 10,371 | 848 | 10,371 |
Change in unrealized gains/ (losses) relating to instruments still held | (400) | (110) | 45 | 102 |
Other secured financings [Member] | ||||
Liabilities: | ||||
Beginning Balance | 468 | 56,060 | 544 | 30,825 |
Net gains/(losses) on Level 3 liabilities (realized and unrealized) | (200) | 0 | (276) | 0 |
Purchases | 0 | 0 | 0 | 0 |
Sales | 0 | 0 | 0 | 0 |
Settlements | 0 | (3,914) | 0 | (15,674) |
Issuances | 0 | 0 | 0 | 36,995 |
Net transfers into/ (out of) Level 3 | 0 | (51,572) | 0 | (51,572) |
Ending Balance | 268 | 574 | 268 | 574 |
Change in unrealized gains/ (losses) relating to instruments still held | 200 | 0 | 276 | 0 |
Embedded conversion option [Member] | ||||
Liabilities: | ||||
Beginning Balance | 725 | 693 | ||
Net gains/(losses) on Level 3 liabilities (realized and unrealized) | (611) | (579) | ||
Purchases | 0 | 0 | ||
Sales | 0 | 0 | ||
Settlements | 0 | 0 | ||
Issuances | 0 | 0 | ||
Net transfers into/ (out of) Level 3 | 0 | 0 | ||
Ending Balance | 114 | 114 | ||
Change in unrealized gains/ (losses) relating to instruments still held | 611 | 579 | ||
Corporate equity securities [Member] | ||||
Assets: | ||||
Beginning Balance | 48,816 | 20,547 | 40,906 | 20,964 |
Total gains/(losses) (realized and unrealized) | (6,492) | 3,901 | (8,388) | 10,247 |
Purchases | 291 | 21,162 | 5,225 | 22,631 |
Sales | (49) | (5,173) | (49) | (5,176) |
Settlements | 0 | 0 | 0 | 0 |
Issuances | 0 | 0 | 0 | 0 |
Net transfers into/ (out of) Level 3 | (20,371) | (1,935) | (15,499) | (10,164) |
Ending Balance | 22,195 | 38,502 | 22,195 | 38,502 |
Change in unrealized gains/(losses) relating to instruments still held | (892) | 3,803 | (727) | 10,210 |
Corporate debt securities [Member] | ||||
Assets: | ||||
Beginning Balance | 24,113 | 31,917 | 25,876 | 22,766 |
Total gains/(losses) (realized and unrealized) | (145) | (5,276) | 5,239 | (5,425) |
Purchases | 10,696 | 10,395 | 29,629 | 83,613 |
Sales | (5,046) | (17,197) | (20,331) | (88,711) |
Settlements | 0 | (1) | 0 | (1) |
Issuances | 0 | 0 | 0 | 0 |
Net transfers into/ (out of) Level 3 | 5,389 | 4,493 | (5,406) | 12,089 |
Ending Balance | 35,007 | 24,331 | 35,007 | 24,331 |
Change in unrealized gains/(losses) relating to instruments still held | 405 | (5,544) | 1,456 | (5,797) |
CDOs and CLOs [Member] | ||||
Assets: | ||||
Beginning Balance | 52,710 | 89,007 | 85,092 | 124,650 |
Total gains/(losses) (realized and unrealized) | (4,067) | (12,560) | (24,356) | (28,999) |
Purchases | 4,205 | 14,961 | 61,707 | 63,038 |
Sales | (5,203) | 0 | (69,397) | (47,570) |
Settlements | 0 | (13,230) | (605) | (20,481) |
Issuances | 0 | 0 | 0 | 0 |
Net transfers into/ (out of) Level 3 | (3,575) | 2,872 | (8,371) | (9,588) |
Ending Balance | 44,070 | 81,050 | 44,070 | 81,050 |
Change in unrealized gains/(losses) relating to instruments still held | (4,606) | (12,561) | (13,196) | (22,654) |
Municipal securities [Member] | ||||
Assets: | ||||
Beginning Balance | 0 | 0 | ||
Total gains/(losses) (realized and unrealized) | (7,074) | (1,462) | ||
Purchases | 0 | 0 | ||
Sales | 0 | 0 | ||
Settlements | 0 | 0 | ||
Issuances | 0 | 0 | ||
Net transfers into/ (out of) Level 3 | 34,331 | 28,719 | ||
Ending Balance | 27,257 | 27,257 | ||
Change in unrealized gains/(losses) relating to instruments still held | (7,074) | (1,462) | ||
Sovereign obligations [Member] | ||||
Assets: | ||||
Beginning Balance | 120 | 120 | ||
Total gains/(losses) (realized and unrealized) | 5 | 5 | ||
Purchases | 0 | 0 | ||
Sales | (125) | (125) | ||
Settlements | 0 | 0 | ||
Issuances | 0 | 0 | ||
Net transfers into/ (out of) Level 3 | 0 | 0 | ||
Ending Balance | 0 | 0 | ||
Change in unrealized gains/(losses) relating to instruments still held | 0 | 0 | ||
RMBS [Member] | ||||
Assets: | ||||
Beginning Balance | 63,308 | 88,695 | 70,263 | 82,557 |
Total gains/(losses) (realized and unrealized) | (2,343) | (3,009) | (7,243) | (6,776) |
Purchases | 1,884 | 10,034 | 1,948 | 30,865 |
Sales | (10,874) | (8,424) | (13,203) | (25,222) |
Settlements | (463) | (195) | (1,078) | (358) |
Issuances | 0 | 0 | 0 | 0 |
Net transfers into/ (out of) Level 3 | (4,631) | (679) | (3,806) | 5,356 |
Ending Balance | 46,881 | 86,422 | 46,881 | 86,422 |
Change in unrealized gains/(losses) relating to instruments still held | (183) | 655 | 228 | (2,507) |
Commercial mortgage-backed securities [Member] | ||||
Assets: | ||||
Beginning Balance | 24,983 | 17,862 | 14,326 | 26,655 |
Total gains/(losses) (realized and unrealized) | (1,531) | (510) | (4,606) | (2,053) |
Purchases | 0 | 0 | 1,256 | 3,366 |
Sales | 0 | (680) | (2,023) | (9,973) |
Settlements | 0 | 0 | 0 | (6,981) |
Issuances | 0 | 0 | 0 | 0 |
Net transfers into/ (out of) Level 3 | 1,141 | (1,525) | 15,640 | 4,133 |
Ending Balance | 24,593 | 15,147 | 24,593 | 15,147 |
Change in unrealized gains/(losses) relating to instruments still held | (236) | (545) | (3,337) | (1,851) |
Other asset-backed securities [Member] | ||||
Assets: | ||||
Beginning Balance | 43,033 | 11,857 | 42,925 | 2,294 |
Total gains/(losses) (realized and unrealized) | (2,247) | 870 | (2,420) | 666 |
Purchases | 3,416 | 21,913 | 66,503 | 69,892 |
Sales | (2,727) | 0 | (60,525) | (40,000) |
Settlements | (1,429) | (1,167) | (6,678) | (1,438) |
Issuances | 0 | 0 | 0 | 0 |
Net transfers into/ (out of) Level 3 | 21,066 | (877) | 21,307 | 1,182 |
Ending Balance | 61,112 | 32,596 | 61,112 | 32,596 |
Change in unrealized gains/(losses) relating to instruments still held | (2,202) | 813 | (9,993) | 607 |
Loans and other receivables [Member] | ||||
Assets: | ||||
Beginning Balance | 104,399 | 108,756 | 189,289 | 97,258 |
Total gains/(losses) (realized and unrealized) | (23,445) | (2,111) | (30,843) | (7,331) |
Purchases | 31,512 | 31,269 | 305,920 | 115,370 |
Sales | (10,140) | (603) | (206,587) | (40,978) |
Settlements | (16,804) | (42,529) | (163,913) | (82,100) |
Issuances | 0 | 0 | 0 | 0 |
Net transfers into/ (out of) Level 3 | (7,065) | 617 | (15,409) | 13,180 |
Ending Balance | 78,457 | 95,399 | 78,457 | 95,399 |
Change in unrealized gains/(losses) relating to instruments still held | (16,044) | (6,182) | (27,714) | (8,850) |
Investments at fair value [Member] | ||||
Assets: | ||||
Beginning Balance | 57,765 | 131,343 | 53,120 | 53,224 |
Total gains/(losses) (realized and unrealized) | (966) | 83,580 | (19,055) | 88,195 |
Purchases | 0 | 0 | 26,227 | 0 |
Sales | (485) | (127,427) | (485) | (124,854) |
Settlements | (278) | (277) | (834) | (3,818) |
Issuances | 0 | 0 | 0 | 0 |
Net transfers into/ (out of) Level 3 | 29,000 | (21,010) | 26,063 | 53,462 |
Ending Balance | 85,036 | 66,209 | 85,036 | 66,209 |
Change in unrealized gains/(losses) relating to instruments still held | $ (1,113) | $ 19,675 | $ (11,988) | $ 24,372 |
Fair Value Disclosures - Quanti
Fair Value Disclosures - Quantitative Information about Significant Unobservable Inputs Used in Level 3 Fair Value Measurements (Detail) $ / shares in Units, $ in Thousands | 9 Months Ended | 12 Months Ended | ||||
Aug. 31, 2016USD ($)T$ / shares | Aug. 31, 2015USD ($) | Nov. 30, 2015USD ($)$ / shares | May 31, 2016USD ($) | May 31, 2015USD ($) | Nov. 30, 2014USD ($) | |
Embedded conversion option [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Instruments sold, not yet purchased, fair value | $ | $ 114 | $ 725 | $ 693 | |||
Corporate equity securities [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Instruments owned, fair value | $ | $ 22,195 | 38,502 | $ 40,906 | $ 48,816 | 20,547 | 20,964 |
Corporate debt securities [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Instruments owned, fair value | $ | 35,007 | 24,331 | 25,876 | 24,113 | 31,917 | 22,766 |
CDOs and CLOs [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Instruments owned, fair value | $ | 44,070 | 81,050 | 85,092 | 52,710 | 89,007 | 124,650 |
Municipal securities [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Instruments owned, fair value | $ | 27,257 | 0 | 0 | |||
RMBS [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Instruments owned, fair value | $ | 46,881 | 86,422 | 70,263 | 63,308 | 88,695 | 82,557 |
Commercial mortgage-backed securities [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Instruments owned, fair value | $ | 24,593 | 15,147 | 14,326 | 24,983 | 17,862 | 26,655 |
Other asset-backed securities [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Instruments owned, fair value | $ | 61,112 | 32,596 | 42,925 | 43,033 | 11,857 | 2,294 |
Loans and other receivables [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Instruments owned, fair value | $ | 78,457 | 95,399 | 189,289 | 104,399 | 108,756 | 97,258 |
Investments at fair value [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Instruments owned, fair value | $ | 85,036 | $ 66,209 | 53,120 | $ 57,765 | $ 131,343 | $ 53,224 |
Financial Instruments Owned [Member] | Derivatives [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Instruments owned, fair value | $ | 9,560 | 19,785 | ||||
Financial Instruments Owned [Member] | Corporate equity securities [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Instruments owned, fair value | $ | 22,195 | 20,285 | ||||
Financial Instruments Owned [Member] | Corporate debt securities [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Instruments owned, fair value | $ | 35,007 | 20,257 | ||||
Financial Instruments Owned [Member] | CDOs and CLOs [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Instruments owned, fair value | $ | 32,832 | 49,923 | ||||
Financial Instruments Owned [Member] | Municipal securities [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Instruments owned, fair value | $ | 27,257 | |||||
Financial Instruments Owned [Member] | RMBS [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Instruments owned, fair value | $ | 46,881 | 70,263 | ||||
Financial Instruments Owned [Member] | Commercial mortgage-backed securities [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Instruments owned, fair value | $ | 24,593 | 14,326 | ||||
Financial Instruments Owned [Member] | Other asset-backed securities [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Instruments owned, fair value | $ | 61,112 | 21,463 | ||||
Financial Instruments Owned [Member] | Loans and other receivables [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Instruments owned, fair value | $ | 52,216 | 161,470 | ||||
Financial Instruments Owned [Member] | Investments at fair value [Member] | Private equity securities [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Instruments owned, fair value | $ | 30,724 | 7,693 | ||||
Financial Instruments Sold, Not Yet Purchased [Member] | Derivatives [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Instruments sold, not yet purchased, fair value | $ | $ 20,607 | 19,543 | ||||
Financial Instruments Sold, Not Yet Purchased [Member] | Loans and other receivables [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Instruments sold, not yet purchased, fair value | $ | $ 10,469 | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Derivatives [Member] | Commodity Forwards [Member] | Market approach [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Discount rate/yield | 47.00% | |||||
Significant Unobservable Input(s), Transaction level | $ | $ 9,500 | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Derivatives [Member] | Commodity Forwards [Member] | Market approach [Member] | Weighted Average [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Discount rate/yield | 0.00% | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Derivatives [Member] | Unfunded commitment [Member] | Market approach [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Constant default rate/Credit spread | 2.98% | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Derivatives [Member] | Unfunded commitment [Member] | Comparable pricing [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Comparable bond or loan price | $ 100 | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Derivatives [Member] | Total return swaps [Member] | Comparable pricing [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Comparable bond or loan price | $ 100 | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Derivatives [Member] | Total return swaps [Member] | Comparable pricing [Member] | Minimum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Comparable bond or loan price | 91.7 | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Derivatives [Member] | Total return swaps [Member] | Comparable pricing [Member] | Maximum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Comparable bond or loan price | 92.4 | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Derivatives [Member] | Total return swaps [Member] | Comparable pricing [Member] | Weighted Average [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Comparable bond or loan price | $ 92.1 | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Derivatives [Member] | Credit default swaps [Member] | Market approach [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Constant default rate/Credit spread | 2.65% | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Derivatives [Member] | Interest rate swaps [Member] | Market approach [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Constant default rate/Credit spread | 8.00% | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Corporate equity securities [Member] | Market approach [Member] | Minimum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Underlying stock price (in dollars per share) | $ 3 | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Corporate equity securities [Member] | Market approach [Member] | Maximum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Underlying stock price (in dollars per share) | $ 75 | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Corporate equity securities [Member] | Non-exchange traded securities [Member] | Market approach [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), EBITDA multiple | 4.4 | |||||
Significant Unobservable Input(s), Transaction level (in dollars per share) | $ 1 | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Corporate equity securities [Member] | Non-exchange traded securities [Member] | Market approach [Member] | Minimum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), EBITDA multiple | 5.1 | |||||
Significant Unobservable Input(s), Underlying stock price (in dollars per share) | 5 | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Corporate equity securities [Member] | Non-exchange traded securities [Member] | Market approach [Member] | Maximum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), EBITDA multiple | 16.3 | |||||
Significant Unobservable Input(s), Underlying stock price (in dollars per share) | 102 | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Corporate equity securities [Member] | Non-exchange traded securities [Member] | Market approach [Member] | Weighted Average [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), EBITDA multiple | 12.1 | |||||
Significant Unobservable Input(s), Underlying stock price (in dollars per share) | $ 15 | 19 | ||||
Level 3 [Member] | Financial Instruments Owned [Member] | Corporate equity securities [Member] | Non-exchange traded securities [Member] | Comparable pricing [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Underlying stock price (in dollars per share) | $ 218 | |||||
Significant Unobservable Input(s), Discount factor | 60.00% | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Corporate equity securities [Member] | Non-exchange traded securities [Member] | Present value [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Average silver production | T | 783 | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Corporate debt securities [Member] | Market approach [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Transaction level (in dollars per share) | $ 59 | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Corporate debt securities [Member] | Market approach [Member] | Minimum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Price | $ 30 | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Corporate debt securities [Member] | Market approach [Member] | Maximum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Price | 100 | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Corporate debt securities [Member] | Market approach [Member] | Weighted Average [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Price | $ 65 | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Corporate debt securities [Member] | Convertible bond model [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Discount rate/yield | 9.00% | 86.00% | ||||
Significant Unobservable Input(s), Volatility | 40.00% | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | CDOs and CLOs [Member] | Discounted cash flows [Member] | Minimum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Constant prepayment rate | 0.00% | 5.00% | ||||
Significant Unobservable Input(s), Constant default rate/Credit spread | 2.00% | 2.00% | ||||
Significant Unobservable Input(s), Loss severity | 25.00% | 25.00% | ||||
Significant Unobservable Input(s), Yield | 3.00% | 6.00% | ||||
Level 3 [Member] | Financial Instruments Owned [Member] | CDOs and CLOs [Member] | Discounted cash flows [Member] | Maximum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Constant prepayment rate | 20.00% | 20.00% | ||||
Significant Unobservable Input(s), Constant default rate/Credit spread | 7.00% | 8.00% | ||||
Significant Unobservable Input(s), Loss severity | 75.00% | 90.00% | ||||
Significant Unobservable Input(s), Yield | 35.00% | 13.00% | ||||
Level 3 [Member] | Financial Instruments Owned [Member] | CDOs and CLOs [Member] | Discounted cash flows [Member] | Weighted Average [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Constant prepayment rate | 17.00% | 13.00% | ||||
Significant Unobservable Input(s), Constant default rate/Credit spread | 3.00% | 2.00% | ||||
Significant Unobservable Input(s), Loss severity | 40.00% | 52.00% | ||||
Significant Unobservable Input(s), Yield | 15.00% | 10.00% | ||||
Level 3 [Member] | Financial Instruments Owned [Member] | Municipal securities [Member] | Scenario analysis [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Price | $ 4 | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | RMBS [Member] | Discounted cash flows [Member] | Minimum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Constant prepayment rate | 0.00% | 0.00% | ||||
Significant Unobservable Input(s), Constant default rate/Credit spread | 2.00% | 1.00% | ||||
Significant Unobservable Input(s), Loss severity | 10.00% | 25.00% | ||||
Significant Unobservable Input(s), Yield | 3.00% | 1.00% | ||||
Level 3 [Member] | Financial Instruments Owned [Member] | RMBS [Member] | Discounted cash flows [Member] | Maximum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Constant prepayment rate | 25.00% | 50.00% | ||||
Significant Unobservable Input(s), Constant default rate/Credit spread | 50.00% | 9.00% | ||||
Significant Unobservable Input(s), Loss severity | 100.00% | 70.00% | ||||
Significant Unobservable Input(s), Yield | 9.00% | 9.00% | ||||
Level 3 [Member] | Financial Instruments Owned [Member] | RMBS [Member] | Discounted cash flows [Member] | Weighted Average [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Constant prepayment rate | 6.00% | 13.00% | ||||
Significant Unobservable Input(s), Constant default rate/Credit spread | 4.00% | 3.00% | ||||
Significant Unobservable Input(s), Loss severity | 55.00% | 39.00% | ||||
Significant Unobservable Input(s), Yield | 5.00% | 6.00% | ||||
Level 3 [Member] | Financial Instruments Owned [Member] | Commercial mortgage-backed securities [Member] | Discounted cash flows [Member] | Minimum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Yield | 6.00% | 7.00% | ||||
Significant Unobservable Input(s), Cumulative loss rate | 1.00% | 2.00% | ||||
Level 3 [Member] | Financial Instruments Owned [Member] | Commercial mortgage-backed securities [Member] | Discounted cash flows [Member] | Maximum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Yield | 12.00% | 30.00% | ||||
Significant Unobservable Input(s), Cumulative loss rate | 70.00% | 63.00% | ||||
Level 3 [Member] | Financial Instruments Owned [Member] | Commercial mortgage-backed securities [Member] | Discounted cash flows [Member] | Weighted Average [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Yield | 9.00% | 16.00% | ||||
Significant Unobservable Input(s), Cumulative loss rate | 25.00% | 23.00% | ||||
Level 3 [Member] | Financial Instruments Owned [Member] | Other asset-backed securities [Member] | Market approach [Member] | Minimum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Price | $ 33 | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Other asset-backed securities [Member] | Market approach [Member] | Maximum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Price | 70,000,000 | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Other asset-backed securities [Member] | Market approach [Member] | Weighted Average [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Price | $ 39,000,000 | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Other asset-backed securities [Member] | Discounted cash flows [Member] | Minimum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Constant prepayment rate | 0.00% | 6.00% | ||||
Significant Unobservable Input(s), Constant default rate/Credit spread | 0.00% | 3.00% | ||||
Significant Unobservable Input(s), Loss severity | 0.00% | 55.00% | ||||
Significant Unobservable Input(s), Yield | 3.00% | 7.00% | ||||
Level 3 [Member] | Financial Instruments Owned [Member] | Other asset-backed securities [Member] | Discounted cash flows [Member] | Maximum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Constant prepayment rate | 55.00% | 8.00% | ||||
Significant Unobservable Input(s), Constant default rate/Credit spread | 9.00% | 5.00% | ||||
Significant Unobservable Input(s), Loss severity | 100.00% | 75.00% | ||||
Significant Unobservable Input(s), Yield | 15.00% | 22.00% | ||||
Level 3 [Member] | Financial Instruments Owned [Member] | Other asset-backed securities [Member] | Discounted cash flows [Member] | Weighted Average [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Constant prepayment rate | 24.00% | 7.00% | ||||
Significant Unobservable Input(s), Constant default rate/Credit spread | 6.00% | 4.00% | ||||
Significant Unobservable Input(s), Loss severity | 85.00% | 62.00% | ||||
Significant Unobservable Input(s), Yield | 12.00% | 18.00% | ||||
Level 3 [Member] | Financial Instruments Owned [Member] | Other asset-backed securities [Member] | Over-collateralization [Member] | Minimum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Over Collateralization Percentage | 117.00% | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Other asset-backed securities [Member] | Over-collateralization [Member] | Maximum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Over Collateralization Percentage | 125.00% | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Other asset-backed securities [Member] | Over-collateralization [Member] | Weighted Average [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Over Collateralization Percentage | 118.00% | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Loans and other receivables [Member] | Market approach [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), EBITDA multiple | 3.6 | 10 | ||||
Level 3 [Member] | Financial Instruments Owned [Member] | Loans and other receivables [Member] | Market approach [Member] | Minimum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Discount rate/yield | 2.00% | |||||
Significant Unobservable Input(s), Yield | 2.00% | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Loans and other receivables [Member] | Market approach [Member] | Maximum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Discount rate/yield | 3.00% | |||||
Significant Unobservable Input(s), Yield | 17.00% | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Loans and other receivables [Member] | Market approach [Member] | Weighted Average [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Discount rate/yield | 3.00% | |||||
Significant Unobservable Input(s), Yield | 12.00% | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Loans and other receivables [Member] | Comparable pricing [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Comparable bond or loan price | $ 98 | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Loans and other receivables [Member] | Comparable pricing [Member] | Minimum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Comparable bond or loan price | $ 99 | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Loans and other receivables [Member] | Comparable pricing [Member] | Maximum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Comparable bond or loan price | 100 | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Loans and other receivables [Member] | Comparable pricing [Member] | Weighted Average [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Comparable bond or loan price | $ 99.7 | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Loans and other receivables [Member] | Present value [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Average silver production | T | 783 | |||||
Level 3 [Member] | Financial Instruments Owned [Member] | Loans and other receivables [Member] | Scenario analysis [Member] | Minimum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Estimated recovery percentage | 6.00% | 6.00% | ||||
Level 3 [Member] | Financial Instruments Owned [Member] | Loans and other receivables [Member] | Scenario analysis [Member] | Maximum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Estimated recovery percentage | 82.00% | 100.00% | ||||
Level 3 [Member] | Financial Instruments Owned [Member] | Loans and other receivables [Member] | Scenario analysis [Member] | Weighted Average [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Estimated recovery percentage | 44.00% | 83.00% | ||||
Level 3 [Member] | Financial Instruments Owned [Member] | Investments at fair value [Member] | Private equity securities [Member] | Market approach [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Transaction level (in dollars per share) | $ 250 | $ 64 | ||||
Significant Unobservable Input(s), Enterprise value | $ | $ 5,200 | |||||
Level 3 [Member] | Financial Instruments Sold, Not Yet Purchased [Member] | Commercial Loan [Member] | Comparable pricing [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Comparable bond or loan price | $ 100 | |||||
Level 3 [Member] | Financial Instruments Sold, Not Yet Purchased [Member] | Derivatives [Member] | Equity options [Member] | Option model [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Volatility | 45.00% | 45.00% | ||||
Level 3 [Member] | Financial Instruments Sold, Not Yet Purchased [Member] | Derivatives [Member] | Equity options [Member] | Default rate [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Default probability | 0.00% | 0.00% | ||||
Level 3 [Member] | Financial Instruments Sold, Not Yet Purchased [Member] | Derivatives [Member] | Unfunded commitment [Member] | Market approach [Member] | Minimum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Discount rate/yield | 3.00% | 3.00% | ||||
Level 3 [Member] | Financial Instruments Sold, Not Yet Purchased [Member] | Derivatives [Member] | Unfunded commitment [Member] | Market approach [Member] | Maximum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Discount rate/yield | 56.00% | 10.00% | ||||
Level 3 [Member] | Financial Instruments Sold, Not Yet Purchased [Member] | Derivatives [Member] | Unfunded commitment [Member] | Market approach [Member] | Weighted Average [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Discount rate/yield | 10.00% | |||||
Significant Unobservable Input(s), Comparable bond or loan price | $ 0.54 | |||||
Level 3 [Member] | Financial Instruments Sold, Not Yet Purchased [Member] | Derivatives [Member] | Unfunded commitment [Member] | Discounted cash flows [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Constant prepayment rate | 20.00% | |||||
Significant Unobservable Input(s), Constant default rate/Credit spread | 2.00% | |||||
Significant Unobservable Input(s), Loss severity | 25.00% | |||||
Significant Unobservable Input(s), Yield | 11.00% | |||||
Level 3 [Member] | Financial Instruments Sold, Not Yet Purchased [Member] | Derivatives [Member] | Unfunded commitment [Member] | Comparable pricing [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Comparable bond or loan price | 98 | |||||
Level 3 [Member] | Financial Instruments Sold, Not Yet Purchased [Member] | Derivatives [Member] | Unfunded commitment [Member] | Comparable pricing [Member] | Minimum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Comparable bond or loan price | $ 79 | |||||
Level 3 [Member] | Financial Instruments Sold, Not Yet Purchased [Member] | Derivatives [Member] | Unfunded commitment [Member] | Comparable pricing [Member] | Maximum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Comparable bond or loan price | 100 | |||||
Level 3 [Member] | Financial Instruments Sold, Not Yet Purchased [Member] | Derivatives [Member] | Unfunded commitment [Member] | Comparable pricing [Member] | Weighted Average [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Comparable bond or loan price | 82.6 | |||||
Level 3 [Member] | Financial Instruments Sold, Not Yet Purchased [Member] | Derivatives [Member] | Total return swaps [Member] | Comparable pricing [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Comparable bond or loan price | $ 100 | |||||
Level 3 [Member] | Financial Instruments Sold, Not Yet Purchased [Member] | Derivatives [Member] | Total return swaps [Member] | Comparable pricing [Member] | Minimum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Comparable bond or loan price | 91.7 | |||||
Level 3 [Member] | Financial Instruments Sold, Not Yet Purchased [Member] | Derivatives [Member] | Total return swaps [Member] | Comparable pricing [Member] | Maximum [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Comparable bond or loan price | 92.4 | |||||
Level 3 [Member] | Financial Instruments Sold, Not Yet Purchased [Member] | Derivatives [Member] | Total return swaps [Member] | Comparable pricing [Member] | Weighted Average [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Comparable bond or loan price | $ 92.1 | |||||
Level 3 [Member] | Financial Instruments Sold, Not Yet Purchased [Member] | Derivatives [Member] | Variable funding note swaps [Member] | Discounted cash flows [Member] | ||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||
Significant Unobservable Input(s), Constant prepayment rate | 20.00% | |||||
Significant Unobservable Input(s), Constant default rate/Credit spread | 2.00% | |||||
Significant Unobservable Input(s), Loss severity | 25.00% | |||||
Significant Unobservable Input(s), Yield | 14.00% |
Fair Value Disclosures - Summ58
Fair Value Disclosures - Summary of Gains (Losses) Due to Changes in Instrument Specific Credit Risk for Loans and Other Receivables and Loan Commitments Measured at Fair Value under Fair Value Option (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2016 | Aug. 31, 2015 | |
Financial instruments owned: | ||||
Loans and other receivables | $ (24,874) | $ (13,566) | $ (48,658) | $ (25,686) |
Long-term Debt [Member] | ||||
Financial Instruments Sold and Long-term Debt | ||||
Loans, Loan commitments and Changes in instrument specific credit risk | (4,093) | 0 | (7,848) | 0 |
Other changes in fair value | 3,225 | 0 | 13,530 | 0 |
Loans [Member] | ||||
Financial Instruments Sold and Long-term Debt | ||||
Loans, Loan commitments and Changes in instrument specific credit risk | 212 | 38 | 229 | 112 |
Loan commitments [Member] | ||||
Financial Instruments Sold and Long-term Debt | ||||
Loans, Loan commitments and Changes in instrument specific credit risk | $ 4,769 | $ (51) | $ 2,196 | $ (1,673) |
Fair Value Disclosures - Summ59
Fair Value Disclosures - Summary of Amount by Which Contractual Principal Exceeds Fair Value for Loans and Other Receivables Measured at Fair Value under Fair Value Option (Detail) - USD ($) $ in Thousands | Aug. 31, 2016 | Nov. 30, 2015 |
Financial instruments owned: | ||
Loans and other receivables | $ 843,458 | $ 408,369 |
Loans and other receivables on nonaccrual status | 223,581 | 54,652 |
Loans and other receivables greater than 90 days past due | 59,700 | 29,700 |
Long-term debt | $ 7,485 | $ 0 |
Derivative Financial Instrume60
Derivative Financial Instruments - Fair Value and Related Number of Derivative Contracts Categorized by Type of Derivative Contract (Detail) $ in Thousands | Aug. 31, 2016USD ($)Contract | Nov. 30, 2015USD ($)Contract |
Derivatives, Fair Value [Line Items] | ||
Net amounts per Consolidated Statements of Financial Condition, Assets | $ 330,582 | $ 251,080 |
Net amounts per Consolidated Statements of Financial Condition, Liabilities | 372,123 | 208,548 |
Exchange-traded [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair Value, Assets | 802,218 | 956,285 |
Fair Value, Liabilities | 960,644 | 1,005,063 |
Amounts offset in the Consolidated Statements of Financial Condition, Assets | (779,958) | (938,482) |
Amounts offset in the Consolidated Statements of Financial Condition, Liabilities | (779,958) | (938,482) |
Cleared OTC [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair Value, Assets | 4,284,337 | 2,214,351 |
Fair Value, Liabilities | 4,226,710 | 2,203,677 |
Amounts offset in the Consolidated Statements of Financial Condition, Assets | (4,233,022) | (2,184,438) |
Amounts offset in the Consolidated Statements of Financial Condition, Liabilities | (4,212,004) | (2,184,438) |
Bilateral OTC [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair Value, Assets | 1,131,901 | 1,245,890 |
Fair Value, Liabilities | 1,154,798 | 1,257,806 |
Amounts offset in the Consolidated Statements of Financial Condition, Assets | (874,894) | (1,042,526) |
Amounts offset in the Consolidated Statements of Financial Condition, Liabilities | (978,067) | (1,135,078) |
Interest rate contracts [Member] | Exchange-traded [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair Value, Assets | $ 2,286 | $ 998 |
Number of Contracts, Assets | Contract | 26,232 | 52,605 |
Fair Value, Liabilities | $ 372 | $ 364 |
Number of Contracts, Liabilities | Contract | 33,205 | 70,672 |
Interest rate contracts [Member] | Cleared OTC [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair Value, Assets | $ 4,282,590 | $ 2,213,730 |
Number of Contracts, Assets | Contract | 3,450 | 2,742 |
Fair Value, Liabilities | $ 4,218,171 | $ 2,202,836 |
Number of Contracts, Liabilities | Contract | 3,307 | 2,869 |
Interest rate contracts [Member] | Bilateral OTC [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair Value, Assets | $ 588,640 | $ 695,365 |
Number of Contracts, Assets | Contract | 2,046 | 1,401 |
Fair Value, Liabilities | $ 558,296 | $ 646,758 |
Number of Contracts, Liabilities | Contract | 1,234 | 1,363 |
Foreign exchange contracts [Member] | Exchange-traded [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair Value, Assets | $ 0 | $ 0 |
Number of Contracts, Assets | Contract | 358 | 441 |
Fair Value, Liabilities | $ 0 | $ 0 |
Number of Contracts, Liabilities | Contract | 470 | 112 |
Foreign exchange contracts [Member] | Bilateral OTC [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair Value, Assets | $ 428,868 | $ 453,202 |
Number of Contracts, Assets | Contract | 9,639 | 7,646 |
Fair Value, Liabilities | $ 447,085 | $ 466,021 |
Number of Contracts, Liabilities | Contract | 9,567 | 7,264 |
Equity contracts [Member] | Exchange-traded [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair Value, Assets | $ 799,932 | $ 955,287 |
Number of Contracts, Assets | Contract | 3,463,584 | 3,054,315 |
Fair Value, Liabilities | $ 960,272 | $ 1,004,699 |
Number of Contracts, Liabilities | Contract | 2,999,406 | 2,943,657 |
Equity contracts [Member] | Bilateral OTC [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair Value, Assets | $ 93,547 | $ 61,004 |
Number of Contracts, Assets | Contract | 1,086 | 1,039 |
Fair Value, Liabilities | $ 117,374 | $ 81,085 |
Number of Contracts, Liabilities | Contract | 1,265 | 1,070 |
Commodity contracts [Member] | Exchange-traded [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair Value, Assets | $ 0 | $ 0 |
Number of Contracts, Assets | Contract | 1,624 | 1,726 |
Fair Value, Liabilities | $ 0 | $ 0 |
Number of Contracts, Liabilities | Contract | 888 | 1,684 |
Commodity contracts [Member] | Bilateral OTC [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair Value, Assets | $ 19,342 | |
Number of Contracts, Assets | Contract | 29 | |
Fair Value, Liabilities | $ 4,628 | |
Number of Contracts, Liabilities | Contract | 28 | |
Credit contracts [Member] | Cleared OTC [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair Value, Assets | $ 1,747 | $ 621 |
Number of Contracts, Assets | Contract | 10 | 39 |
Fair Value, Liabilities | $ 8,539 | $ 841 |
Number of Contracts, Liabilities | Contract | 18 | 44 |
Credit contracts [Member] | Bilateral OTC [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Fair Value, Assets | $ 20,846 | $ 16,977 |
Number of Contracts, Assets | Contract | 152 | 100 |
Fair Value, Liabilities | $ 32,043 | $ 59,314 |
Number of Contracts, Liabilities | Contract | 189 | 135 |
Derivative Financial Instrume61
Derivative Financial Instruments - Unrealized and Realized Gains (Losses) on Derivative Contracts (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2016 | Aug. 31, 2015 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Unrealized and realized gains (losses) | $ (185,896) | $ 91,718 | $ (588,851) | $ 73,873 |
Interest rate contracts [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Unrealized and realized gains (losses) | (16,631) | 25,308 | (96,715) | 580 |
Foreign exchange contracts [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Unrealized and realized gains (losses) | 7,886 | 6,893 | 14,000 | 30,417 |
Equity contracts [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Unrealized and realized gains (losses) | (185,264) | 68,649 | (509,476) | 28,008 |
Commodity contracts [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Unrealized and realized gains (losses) | 4,089 | (4,757) | 1,899 | 15,480 |
Credit contracts [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Unrealized and realized gains (losses) | $ 4,024 | $ (4,375) | $ 1,441 | $ (612) |
Derivative Financial Instrume62
Derivative Financial Instruments - Remaining Contract Maturity of Fair Value of OTC Derivative Assets and Liabilities (Detail) $ in Thousands | Aug. 31, 2016USD ($) |
Derivative [Line Items] | |
OTC derivative assets having maturity period of 0 to 12 months | $ 182,196 |
OTC derivative assets having maturity period of 1 to 5 years | 274,079 |
OTC derivative assets having maturity period of greater than 5 years | 88,435 |
OTC derivative assets cross-maturity netting | (105,015) |
Total OTC derivative assets, net of cross-maturity netting | 439,695 |
Cross product counterparty netting | (754) |
Total OTC derivative assets included in Financial instruments owned | 438,941 |
OTC derivative liabilities having maturity period of 0 to 12 months | 181,712 |
OTC derivative liabilities having maturity period of 1 to 5 years | 192,922 |
OTC derivative liabilities having maturity period of greater than 5 years | 126,213 |
OTC derivative liabilities cross-maturity netting | (105,015) |
Total OTC derivative liabilities, net of cross-maturity netting | 395,832 |
Cross product counterparty netting | (754) |
Total OTC derivative liabilities included in Financial instruments sold, not yet purchased | 395,078 |
Equity Swaps And Options [Member] | |
Derivative [Line Items] | |
OTC derivative assets having maturity period of 0 to 12 months | 27,781 |
OTC derivative assets having maturity period of 1 to 5 years | 5,370 |
OTC derivative assets having maturity period of greater than 5 years | 0 |
OTC derivative assets cross-maturity netting | 0 |
Total OTC derivative assets, net of cross-maturity netting | 33,151 |
OTC derivative liabilities having maturity period of 0 to 12 months | 13,408 |
OTC derivative liabilities having maturity period of 1 to 5 years | 23,617 |
OTC derivative liabilities having maturity period of greater than 5 years | 0 |
OTC derivative liabilities cross-maturity netting | 0 |
Total OTC derivative liabilities, net of cross-maturity netting | 37,025 |
Credit Default Swap [Member] | |
Derivative [Line Items] | |
OTC derivative assets having maturity period of 0 to 12 months | 0 |
OTC derivative assets having maturity period of 1 to 5 years | 7,948 |
OTC derivative assets having maturity period of greater than 5 years | 230 |
OTC derivative assets cross-maturity netting | (177) |
Total OTC derivative assets, net of cross-maturity netting | 8,001 |
OTC derivative liabilities having maturity period of 0 to 12 months | 28 |
OTC derivative liabilities having maturity period of 1 to 5 years | 12,639 |
OTC derivative liabilities having maturity period of greater than 5 years | 1,672 |
OTC derivative liabilities cross-maturity netting | (177) |
Total OTC derivative liabilities, net of cross-maturity netting | 14,162 |
Total Return Swap [Member] | |
Derivative [Line Items] | |
OTC derivative assets having maturity period of 0 to 12 months | 27,796 |
OTC derivative assets having maturity period of 1 to 5 years | 874 |
OTC derivative assets having maturity period of greater than 5 years | 0 |
OTC derivative assets cross-maturity netting | (613) |
Total OTC derivative assets, net of cross-maturity netting | 28,057 |
OTC derivative liabilities having maturity period of 0 to 12 months | 26,824 |
OTC derivative liabilities having maturity period of 1 to 5 years | 16,967 |
OTC derivative liabilities having maturity period of greater than 5 years | 0 |
OTC derivative liabilities cross-maturity netting | (613) |
Total OTC derivative liabilities, net of cross-maturity netting | 43,178 |
Foreign Currency Forwards Swaps And Options [Member] | |
Derivative [Line Items] | |
OTC derivative assets having maturity period of 0 to 12 months | 84,564 |
OTC derivative assets having maturity period of 1 to 5 years | 29,937 |
OTC derivative assets having maturity period of greater than 5 years | 0 |
OTC derivative assets cross-maturity netting | (7,150) |
Total OTC derivative assets, net of cross-maturity netting | 107,351 |
OTC derivative liabilities having maturity period of 0 to 12 months | 112,699 |
OTC derivative liabilities having maturity period of 1 to 5 years | 20,024 |
OTC derivative liabilities having maturity period of greater than 5 years | 0 |
OTC derivative liabilities cross-maturity netting | (7,150) |
Total OTC derivative liabilities, net of cross-maturity netting | 125,573 |
Fixed Income Forwards [Member] | |
Derivative [Line Items] | |
OTC derivative liabilities having maturity period of 0 to 12 months | 5,044 |
OTC derivative liabilities having maturity period of 1 to 5 years | 0 |
OTC derivative liabilities having maturity period of greater than 5 years | 0 |
OTC derivative liabilities cross-maturity netting | 0 |
Total OTC derivative liabilities, net of cross-maturity netting | 5,044 |
Interest Rate Swaps, Options and Forwards [Member] | |
Derivative [Line Items] | |
OTC derivative assets having maturity period of 0 to 12 months | 42,055 |
OTC derivative assets having maturity period of 1 to 5 years | 229,950 |
OTC derivative assets having maturity period of greater than 5 years | 88,205 |
OTC derivative assets cross-maturity netting | (97,075) |
Total OTC derivative assets, net of cross-maturity netting | 263,135 |
OTC derivative liabilities having maturity period of 0 to 12 months | 23,709 |
OTC derivative liabilities having maturity period of 1 to 5 years | 119,675 |
OTC derivative liabilities having maturity period of greater than 5 years | 124,541 |
OTC derivative liabilities cross-maturity netting | (97,075) |
Total OTC derivative liabilities, net of cross-maturity netting | $ 170,850 |
Derivative Financial Instrume63
Derivative Financial Instruments - Remaining Contract Maturity of Fair Value of OTC Derivative Assets and Liabilities (Footnote) (Detail) $ in Millions | Aug. 31, 2016USD ($) |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Exchange traded derivative assets | $ 25.6 |
Cash collateral received | 134 |
Exchange traded derivative liabilities, with fair value | 193.2 |
Cash collateral pledged | $ 216.1 |
Derivative Financial Instrume64
Derivative Financial Instruments - Counterparty Credit Quality with Respect to Fair Value of OTC Derivatives Assets (Detail) $ in Thousands | Aug. 31, 2016USD ($) |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
A- or higher | $ 214,650 |
BBB- to BBB | 77,419 |
BB or lower | 64,975 |
Unrated | 81,897 |
Total OTC derivative assets included in Financial instruments owned | $ 438,941 |
Derivative Financial Instrume65
Derivative Financial Instruments - Additional Information (Detail) - USD ($) $ in Millions | Aug. 31, 2016 | Nov. 30, 2015 |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||
Fair value of derivative instruments in a liability position | $ 85.9 | $ 114.5 |
Collateral posted for derivative instruments in a liability position | 65.4 | 97.2 |
Additional collateral required for derivative instruments in a liability position | $ 22.6 | $ 19.7 |
Collateralized Transactions - C
Collateralized Transactions - Collateral Pledged (Details) - USD ($) $ in Thousands | Aug. 31, 2016 | Nov. 30, 2015 |
Transfer Of Certain Financial Assets Accounted For As Secured Borrowings [Line Items] | ||
Securities Lending Arrangements | $ 2,930,376 | $ 2,979,300 |
Repurchase Agreements | 16,013,959 | 20,195,982 |
Total | 18,944,335 | 23,175,282 |
Corporate equity securities [Member] | ||
Transfer Of Certain Financial Assets Accounted For As Secured Borrowings [Line Items] | ||
Securities Lending Arrangements | 2,341,506 | 2,195,912 |
Repurchase Agreements | 174,077 | 275,880 |
Total | 2,515,583 | 2,471,792 |
Corporate debt securities [Member] | ||
Transfer Of Certain Financial Assets Accounted For As Secured Borrowings [Line Items] | ||
Securities Lending Arrangements | 578,451 | 748,405 |
Repurchase Agreements | 1,701,732 | 1,752,222 |
Total | 2,280,183 | 2,500,627 |
Mortgage- and asset-backed securities [Member] | ||
Transfer Of Certain Financial Assets Accounted For As Secured Borrowings [Line Items] | ||
Securities Lending Arrangements | 0 | 0 |
Repurchase Agreements | 2,358,531 | 3,537,812 |
Total | 2,358,531 | 3,537,812 |
U.S. government and federal agency securities [Member] | ||
Transfer Of Certain Financial Assets Accounted For As Secured Borrowings [Line Items] | ||
Securities Lending Arrangements | 10,419 | 34,983 |
Repurchase Agreements | 8,759,548 | 12,006,081 |
Total | 8,769,967 | 12,041,064 |
Municipal securities [Member] | ||
Transfer Of Certain Financial Assets Accounted For As Secured Borrowings [Line Items] | ||
Securities Lending Arrangements | 0 | 0 |
Repurchase Agreements | 420,957 | 357,350 |
Total | 420,957 | 357,350 |
Sovereign obligations [Member] | ||
Transfer Of Certain Financial Assets Accounted For As Secured Borrowings [Line Items] | ||
Securities Lending Arrangements | 0 | 0 |
Repurchase Agreements | 2,120,421 | 1,804,103 |
Total | 2,120,421 | 1,804,103 |
Loans and other receivables [Member] | ||
Transfer Of Certain Financial Assets Accounted For As Secured Borrowings [Line Items] | ||
Securities Lending Arrangements | 0 | 0 |
Repurchase Agreements | 478,693 | 462,534 |
Total | $ 478,693 | $ 462,534 |
Collateralized Transactions -67
Collateralized Transactions - Contractual Maturity (Details) - USD ($) $ in Thousands | Aug. 31, 2016 | Nov. 30, 2015 |
Transfer Of Certain Financial Assets Accounted For As Secured Borrowings [Line Items] | ||
Securities Lending Arrangements | $ 2,930,376 | $ 2,979,300 |
Repurchase Agreements | 16,013,959 | 20,195,982 |
Total | 18,944,335 | 23,175,282 |
Overnight and Continuous [Member] | ||
Transfer Of Certain Financial Assets Accounted For As Secured Borrowings [Line Items] | ||
Securities Lending Arrangements | 1,629,631 | 1,522,475 |
Repurchase Agreements | 7,832,265 | 7,850,791 |
Total | 9,461,896 | 9,373,266 |
Up to 30 Days [Member] | ||
Transfer Of Certain Financial Assets Accounted For As Secured Borrowings [Line Items] | ||
Securities Lending Arrangements | 85,895 | 0 |
Repurchase Agreements | 3,952,072 | 5,218,059 |
Total | 4,037,967 | 5,218,059 |
30-90 Days [Member] | ||
Transfer Of Certain Financial Assets Accounted For As Secured Borrowings [Line Items] | ||
Securities Lending Arrangements | 794,824 | 973,201 |
Repurchase Agreements | 2,763,570 | 5,291,729 |
Total | 3,558,394 | 6,264,930 |
Greater than 90 Days [Member] | ||
Transfer Of Certain Financial Assets Accounted For As Secured Borrowings [Line Items] | ||
Securities Lending Arrangements | 420,026 | 483,624 |
Repurchase Agreements | 1,466,052 | 1,835,403 |
Total | $ 1,886,078 | $ 2,319,027 |
Collateralized Transactions - A
Collateralized Transactions - Additional Information (Detail) - USD ($) $ in Thousands | Aug. 31, 2016 | Nov. 30, 2015 |
Banking and Thrift [Abstract] | ||
Fair value of securities received as collateral | $ 26,600,000 | $ 26,200,000 |
Cash and securities segregated and on deposit for regulatory purposes or deposited with clearing and depository organizations | $ 1,026,865 | $ 751,084 |
Collateralized Transactions - S
Collateralized Transactions - Summary of Repurchase Agreements and Securities Borrowing and Lending Arrangements (Detail) - USD ($) $ in Thousands | Aug. 31, 2016 | Nov. 30, 2015 |
Securities borrowing arrangements | ||
Gross Amounts | $ 8,460,736 | $ 6,975,136 |
Netting in Consolidated Statement of Financial Condition | 0 | 0 |
Net Amounts in Consolidated Statement of Financial Condition | 8,460,736 | 6,975,136 |
Additional Amounts Available for Setoff | (831,732) | (478,991) |
Available Collateral | (1,063,399) | (667,099) |
Net Amount | 6,565,605 | 5,829,046 |
Reverse repurchase agreements | ||
Gross Amounts | 11,921,719 | 14,048,860 |
Netting in Consolidated Statement of Financial Condition | (7,883,525) | (10,191,554) |
Net Amounts in Consolidated Statement of Financial Condition | 4,038,194 | 3,857,306 |
Additional Amounts Available for Setoff | (133,611) | (83,452) |
Available Collateral | (3,878,141) | (3,745,215) |
Net Amount | 26,442 | 28,639 |
Securities lending arrangements | ||
Gross Amounts | 2,930,376 | 2,979,300 |
Netting in Consolidated Statement of Financial Condition | 0 | 0 |
Net Amounts in Consolidated Statement of Financial Condition | 2,930,376 | 2,979,300 |
Additional Amounts Available for Setoff | (831,732) | (478,991) |
Available Collateral | (2,038,342) | (2,464,395) |
Net Amount | 60,302 | 35,914 |
Repurchase agreements | ||
Gross Amounts | 16,013,959 | 20,195,982 |
Netting in Consolidated Statement of Financial Condition | (7,883,525) | (10,191,554) |
Net Amounts in Consolidated Statement of Financial Condition | 8,130,434 | 10,004,428 |
Additional Amounts Available for Setoff | (133,611) | (83,452) |
Available Collateral | (6,707,666) | (8,103,468) |
Net Amount | $ 1,289,157 | $ 1,817,508 |
Collateralized Transactions -70
Collateralized Transactions - Summary of Repurchase Agreements and Securities Borrowing and Lending Arrangements (Footnote) (Detail) - USD ($) $ in Millions | Aug. 31, 2016 | Nov. 30, 2015 |
Banking and Thrift [Abstract] | ||
Securities borrowing arrangements | $ 6,520.3 | $ 5,796.1 |
Securities borrowing arrangements, collateral | 6,315.7 | 5,613.3 |
Securities borrowing arrangements, repurchase agreements | 1,278.2 | 1,807.2 |
Securities borrowing arrangements, pledged securities collateral | $ 1,326.2 | $ 1,875.3 |
Securitization Activities - Act
Securitization Activities - Activity Related to Securitizations Accounted for as Sales (Detail) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2016 | Aug. 31, 2015 | |
Transfers and Servicing [Abstract] | ||||
Transferred assets | $ 1,390.7 | $ 853.9 | $ 4,523.5 | $ 3,931.5 |
Proceeds on new securitizations | 1,394 | 888.1 | 4,541.3 | 3,979.6 |
Cash flows received on retained interests | $ 6.3 | $ 10.7 | $ 24.9 | $ 28.6 |
Securitization Activities - Sum
Securitization Activities - Summary of Retained Interests in SPEs (Detail) - USD ($) $ in Millions | Aug. 31, 2016 | Nov. 30, 2015 |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Total RMBS securitization assets | $ 16,661.6 | $ 10,901.9 |
Total CMBS securitization assets | 4,027.5 | 2,313.4 |
Total Collateralized loan obligations | 3,747.5 | 4,538.4 |
Consumer and other loans | 737.3 | 655 |
U.S. government agency residential mortgage-backed securities [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Retained Interests | 32.6 | 203.6 |
U.S. government agency commercial mortgage-backed securities [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Retained Interests | 22.7 | 87.2 |
Collateralized loan obligations [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Retained Interests | 55.9 | 51.5 |
Consumer and other loans [Member] | ||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||
Retained Interests | $ 31.2 | $ 31 |
Variable Interest Entities - As
Variable Interest Entities - Assets and Liabilities of Consolidated VIEs Prior to Consolidation (Detail) - USD ($) $ in Millions | Aug. 31, 2016 | Nov. 30, 2015 |
Securitization Vehicles [Member] | ||
Variable Interest Entity [Line Items] | ||
Assets | $ 704.8 | $ 786.4 |
Liabilities | 704.1 | 786.4 |
Securitization Vehicles [Member] | Cash [Member] | ||
Variable Interest Entity [Line Items] | ||
Assets | 9.7 | 0.5 |
Securitization Vehicles [Member] | Financial Instruments Owned [Member] | ||
Variable Interest Entity [Line Items] | ||
Assets | 90.6 | 68.3 |
Securitization Vehicles [Member] | Securities Purchased Under Agreement to Resell [Member] | ||
Variable Interest Entity [Line Items] | ||
Assets | 604 | 717.3 |
Securitization Vehicles [Member] | Fees, Interest and Other Receivables [Member] | ||
Variable Interest Entity [Line Items] | ||
Assets | 0.5 | 0.3 |
Securitization Vehicles [Member] | Other Secured Financings [Member] | ||
Variable Interest Entity [Line Items] | ||
Liabilities | 692.8 | 785 |
Securitization Vehicles [Member] | Other Liabilities [Member] | ||
Variable Interest Entity [Line Items] | ||
Liabilities | 11.3 | 1.4 |
Other [Member] | ||
Variable Interest Entity [Line Items] | ||
Assets | 1.3 | 2.3 |
Liabilities | 0.2 | 0.3 |
Other [Member] | Cash [Member] | ||
Variable Interest Entity [Line Items] | ||
Assets | 0.7 | 1.5 |
Other [Member] | Financial Instruments Owned [Member] | ||
Variable Interest Entity [Line Items] | ||
Assets | 0.6 | 0.6 |
Other [Member] | Securities Purchased Under Agreement to Resell [Member] | ||
Variable Interest Entity [Line Items] | ||
Assets | 0 | 0 |
Other [Member] | Fees, Interest and Other Receivables [Member] | ||
Variable Interest Entity [Line Items] | ||
Assets | 0 | 0.2 |
Other [Member] | Other Secured Financings [Member] | ||
Variable Interest Entity [Line Items] | ||
Liabilities | 0 | 0 |
Other [Member] | Other Liabilities [Member] | ||
Variable Interest Entity [Line Items] | ||
Liabilities | $ 0.2 | $ 0.3 |
Variable Interest Entities - 74
Variable Interest Entities - Assets and Liabilities of Consolidated VIEs Prior to Consolidation (Footnote) (Detail) - USD ($) $ in Millions | Aug. 31, 2016 | Nov. 30, 2015 |
Securitization Vehicles [Member] | ||
Variable Interest Entity [Line Items] | ||
Secured financing included in inventory and eliminated | $ 86.5 | $ 22.1 |
Variable Interest Entities - Va
Variable Interest Entities - Variable Interests in Non-Consolidated Variable Interest Entities (Detail) - Variable Interest Entity Not Primary Beneficiary [Member] - USD ($) $ in Millions | Aug. 31, 2016 | Nov. 30, 2015 |
Variable Interest Entity [Line Items] | ||
Carrying Amount, Assets | $ 339 | $ 352.5 |
Carrying Amount, Liabilities | 7.6 | 0.2 |
Maximum exposure to loss in non-consolidated VIEs | 1,057 | 1,422.5 |
VIE Assets | 10,245.7 | 11,981.9 |
Collateralized loan obligations [Member] | ||
Variable Interest Entity [Line Items] | ||
Carrying Amount, Assets | 73.3 | 73.6 |
Carrying Amount, Liabilities | 7.6 | 0.2 |
Maximum exposure to loss in non-consolidated VIEs | 326.7 | 458.1 |
VIE Assets | 4,879.1 | 6,368.7 |
Consumer Loan Vehicles [Member] | ||
Variable Interest Entity [Line Items] | ||
Carrying Amount, Assets | 170 | 188.3 |
Carrying Amount, Liabilities | 0 | 0 |
Maximum exposure to loss in non-consolidated VIEs | 607.2 | 845.8 |
VIE Assets | 1,231.4 | 1,133 |
Related party private equity vehicles [Member] | ||
Variable Interest Entity [Line Items] | ||
Carrying Amount, Assets | 38.3 | 39.3 |
Carrying Amount, Liabilities | 0 | 0 |
Maximum exposure to loss in non-consolidated VIEs | 64.2 | 65.8 |
VIE Assets | 157.5 | 168.2 |
Other private investment vehicles [Member] | ||
Variable Interest Entity [Line Items] | ||
Carrying Amount, Assets | 57.4 | 51.3 |
Carrying Amount, Liabilities | 0 | 0 |
Maximum exposure to loss in non-consolidated VIEs | 58.9 | 52.8 |
VIE Assets | $ 3,977.7 | $ 4,312 |
Variable Interest Entities - No
Variable Interest Entities - Non-consolidated VIEs - Additional Information (Detail) - USD ($) | Aug. 31, 2016 | Nov. 30, 2015 |
Variable Interest Entity [Line Items] | ||
Maximum exposure | $ 320,300,000 | |
Agency mortgage-backed securities [Member] | ||
Variable Interest Entity [Line Items] | ||
Carrying amount | 1,341,100,000 | $ 3,359,100,000 |
Non agency mortgage-backed securities [Member] | ||
Variable Interest Entity [Line Items] | ||
Carrying amount | 515,000,000 | 630,500,000 |
Related party private equity vehicles [Member] | JCP Entities [Member] | ||
Variable Interest Entity [Line Items] | ||
Equity investments | 148,100,000 | |
Funded equity commitments | 125,100,000 | 124,600,000 |
Carrying amount of equity investment | 38,300,000 | 39,300,000 |
Related party private equity vehicles [Member] | Jefferies Energy Partners I LP [Member] | ||
Variable Interest Entity [Line Items] | ||
Maximum exposure | 3,000,000 | 3,000,000 |
Other private investment vehicles [Member] | ||
Variable Interest Entity [Line Items] | ||
Equity investments | 75,800,000 | 50,800,000 |
Funded equity commitments | 74,300,000 | 49,300,000 |
Carrying amount of equity investment | $ 57,400,000 | $ 51,300,000 |
Investments - Narrative (Detail
Investments - Narrative (Details) | Aug. 31, 2016 |
Jefferies Capital Partners V L.P [Member] | |
Schedule of Equity Method Investments [Line Items] | |
Ownership percentage | 11.00% |
SBI USA Fund L.P. [Member] | |
Schedule of Equity Method Investments [Line Items] | |
Ownership percentage | 50.00% |
Investments - Jefferies Finance
Investments - Jefferies Finance - Narrative (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2016 | Aug. 31, 2015 | Nov. 30, 2015 | |
Guarantee Obligations [Line Items] | |||||
Equity commitments to JFIN | $ 600,000 | $ 600,000 | |||
Total committed equity capitalization of JIFN | 1,200,000 | 1,200,000 | |||
Funded portion of equity commitment to subsidiary | 497,400 | 497,400 | |||
Unfunded portion of equity commitment to subsidiary | 102,600 | $ 102,600 | |||
Extension period | 1 year | ||||
Termination notice period | 60 days | ||||
Funded portion of loan commitment | 0 | $ 0 | $ 19,300 | ||
Loan commitment | 250,000 | 250,000 | 250,000 | ||
Commissions for conducting brokerage services | 152,044 | $ 172,284 | 454,025 | $ 512,714 | |
Recognized underwriting fees | 1,300 | ||||
Investment banking revenue (loss) | 294,930 | 389,820 | 778,906 | 1,066,077 | |
Jefferies Finance, LLC [Member] | |||||
Guarantee Obligations [Line Items] | |||||
Net income (loss) in earnings | (22,800) | 47,800 | (55,000) | 109,800 | |
Net underwriting fees paid by JFIN related to originations of loans by JFIN | 19,000 | 53,300 | 42,100 | 108,800 | |
Fees paid to JFIN related to origination of loans by JFIN | 1,500 | 1,600 | 3,100 | ||
Commissions for conducting brokerage services | 1,300 | 1,300 | 3,100 | ||
Administrative services provided | 7,200 | $ 8,400 | 35,800 | $ 43,300 | |
Receivables under service agreement | 0 | 0 | $ 7,800 | ||
Corporate debt securities [Member] | |||||
Guarantee Obligations [Line Items] | |||||
Committed line of credit facility amount | $ 500,000 | $ 500,000 |
Investments - Summary of Select
Investments - Summary of Selected Financial Information for Jefferies Finance (Detail) - Jefferies Finance, LLC [Member] - USD ($) $ in Millions | Aug. 31, 2016 | Nov. 30, 2015 |
Schedule of Equity Method Investments [Line Items] | ||
Total assets | $ 7,344.9 | $ 7,292.1 |
Total liabilities | 6,406.2 | 6,297.3 |
Total equity | 938.7 | 994.8 |
Our total equity balance | $ 469.3 | $ 497.4 |
Investments - Jefferies LoanCor
Investments - Jefferies LoanCore - Narrative (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2016 | Aug. 31, 2015 | Nov. 30, 2015 | May 31, 2016 | Mar. 31, 2016 | Feb. 29, 2016 | |
Guarantee Obligations [Line Items] | ||||||||
Equity commitment | $ 600,000 | $ 600,000 | ||||||
Jefferies LoanCore, LLC [Member] | ||||||||
Guarantee Obligations [Line Items] | ||||||||
Aggregate commitment | $ 400,000 | $ 600,000 | ||||||
Funded portion of equity commitment to subsidiary | 89,600 | $ 207,400 | ||||||
Equity commitment | $ 194,000 | $ 194,000 | 291,000 | |||||
Percentage of the Variable Interest Entity's (VIE) voting interest | 48.50% | 48.50% | ||||||
Net earnings from equity method investment | $ 13,400 | $ 25,100 | $ 36,100 | $ 61,600 | ||||
Administrative services provided | 47 | 47 | 142 | 143 | ||||
Receivables under service agreement | $ 16 | $ 16 | $ 16 | |||||
Placement fees earned | $ 1,000 | $ 1,600 | ||||||
Canada Pension Plan Investment Board [Member] | Jefferies LoanCore, LLC [Member] | ||||||||
Guarantee Obligations [Line Items] | ||||||||
Ownership percentage by third party | 24.00% |
Investments - Summary of Sele81
Investments - Summary of Selected Financial Information for Jefferies LoanCore (Detail) - Jefferies LoanCore, LLC [Member] - USD ($) $ in Millions | Aug. 31, 2016 | Nov. 30, 2015 |
Schedule of Equity Method Investments [Line Items] | ||
Total assets | $ 1,610.4 | $ 2,069.1 |
Total liabilities | 1,264.6 | 1,469.8 |
Total equity | 345.8 | 599.3 |
Our total equity balance | $ 167.7 | $ 290.7 |
Investments - JCP Funds - Narra
Investments - JCP Funds - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | |||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2016 | Aug. 31, 2015 | Nov. 30, 2015 | |
Schedule of Equity Method Investments [Line Items] | |||||
Total committed equity capitalization | $ 1,200 | $ 1,200 | |||
Unfunded portion of equity commitment to subsidiary | 102.6 | 102.6 | |||
JCP Funds [Member] | |||||
Schedule of Equity Method Investments [Line Items] | |||||
Investment | 28.8 | 28.8 | $ 29.7 | ||
Gain (loss) from investment | 5.8 | $ (3.4) | (1.4) | $ (26.3) | |
Total committed equity capitalization | 85 | 85 | $ 85 | ||
Unfunded portion of equity commitment to subsidiary | $ 11.3 | $ 11.3 | |||
Percent of financial information presented | 100.00% | ||||
Ownership percentage | 35.20% | 35.20% |
Investments - Summary of Sele83
Investments - Summary of Selected Financial Information for JCP Funds (Details) - USD ($) $ in Thousands | 3 Months Ended | |||||
Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | |
Schedule of Equity Method Investments [Line Items] | ||||||
Net increase (decrease) in net assets resulting from operations | $ 17,137 | $ (8,875) | ||||
JCP Funds [Member] | ||||||
Schedule of Equity Method Investments [Line Items] | ||||||
Total assets | 81,855 | $ 76,555 | ||||
Total liabilities | 68 | 99 | ||||
Total partners' capital | $ 81,787 | 76,456 | ||||
Net increase (decrease) in net assets resulting from operations | $ (11,806) | $ (7,886) | $ 1,478 | $ (65,700) |
Goodwill and Other Intangible84
Goodwill and Other Intangible Assets - Goodwill (Detail) $ in Thousands | 9 Months Ended |
Aug. 31, 2016USD ($) | |
Goodwill [Roll Forward] | |
Goodwill, Beginning Balance | $ 1,656,588 |
Translation adjustments | (11,295) |
Goodwill, Ending Balance | 1,645,293 |
Investment Banking, Equities, and Fixed Income [Member] | |
Goodwill [Roll Forward] | |
Goodwill, Ending Balance | 1,642,300 |
Capital Markets [Member] | |
Goodwill [Roll Forward] | |
Goodwill, Beginning Balance | 1,653,588 |
Goodwill, Ending Balance | 1,642,293 |
Asset Management Income [Member] | |
Goodwill [Roll Forward] | |
Goodwill, Beginning Balance | 3,000 |
Goodwill, Ending Balance | $ 3,000 |
Goodwill and Other Intangible85
Goodwill and Other Intangible Assets - Summary of Intangible Assets (Detail) - USD ($) $ in Thousands | 1 Months Ended | 9 Months Ended | 12 Months Ended |
Aug. 31, 2016 | Aug. 31, 2016 | Nov. 30, 2015 | |
Finite-Lived Intangible Assets [Line Items] | |||
Total gross costs - intangible assets | $ 266,786 | $ 266,786 | $ 270,852 |
Accumulated amortization - finite lived intangible assets | (53,337) | (53,337) | (45,069) |
Disposals - indefinite lived intangible assets | (1,379) | (1,379) | |
Impairment of intangible assets | 1,300 | 1,284 | |
Total net carrying amount - intangible assets | 210,786 | 210,786 | 225,783 |
Customer Relationships [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross costs - finite lived intangible assets | 126,081 | 126,081 | 127,667 |
Accumulated amortization - finite lived intangible assets | (40,453) | (40,453) | (34,754) |
Net carrying amount - finite lived intangible assets | 85,628 | $ 85,628 | $ 92,913 |
Weighted average remaining lives (years) | 12 years 4 months | 12 years 10 months 23 days | |
Trade Name [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross costs - finite lived intangible assets | 128,845 | $ 128,845 | $ 131,288 |
Accumulated amortization - finite lived intangible assets | (12,884) | (12,884) | (10,315) |
Net carrying amount - finite lived intangible assets | 115,961 | $ 115,961 | $ 120,973 |
Weighted average remaining lives (years) | 31 years 6 months | 32 years 3 months 18 days | |
Exchange and Clearing Organization Membership Interests and Registrations [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross costs - indefinite lived intangible assets | 11,860 | $ 11,860 | $ 11,897 |
Accumulated amortization - finite lived intangible assets | 0 | ||
Disposals - indefinite lived intangible assets | (1,379) | (1,379) | |
Impairment of intangible assets | 1,284 | ||
Net carrying amount - indefinite lived intangible assets | $ 9,197 | $ 9,197 | $ 11,897 |
Goodwill and Other Intangible86
Goodwill and Other Intangible Assets - Future Amortization Expense Related to Intangible Assets (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2016 | Aug. 31, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||||
Aggregate amortization expense | $ 3,000 | $ 3,100 | $ 9,100 | $ 9,200 |
Remainder of fiscal 2016 | 3,049 | 3,049 | ||
Year ended November 30, 2017 | 12,198 | 12,198 | ||
Year ended November 30, 2018 | 12,198 | 12,198 | ||
Year ended November 30, 2019 | 12,198 | 12,198 | ||
Year ended November 30, 2020 | $ 12,198 | $ 12,198 |
Short-Term Borrowings (Detail)
Short-Term Borrowings (Detail) | Feb. 19, 2016USD ($) | Oct. 29, 2015USD ($) | Apr. 23, 2015USD ($) | Aug. 31, 2016USD ($) | Aug. 31, 2015USD ($) | Aug. 31, 2016USD ($) | Aug. 31, 2015USD ($) | Jul. 29, 2016EUR (€) | May 03, 2016EUR (€) | Apr. 08, 2016EUR (€) | Nov. 30, 2015USD ($) |
Short-term Debt [Line Items] | |||||||||||
Short-term borrowings | $ 432,235,000 | $ 432,235,000 | $ 310,659,000 | ||||||||
Interest rate on short-term borrowings outstanding | 1.47% | 1.47% | |||||||||
Average daily short-term borrowings | $ 414,400,000 | $ 18,500,000 | $ 372,300,000 | $ 44,900,000 | |||||||
Long-term debt | 5,482,738,000 | 5,482,738,000 | 5,640,722,000 | ||||||||
Floating rate puttable notes [Member] | |||||||||||
Short-term Debt [Line Items] | |||||||||||
Short-term borrowings | 101,538,000 | 101,538,000 | 0 | ||||||||
Bank loans [Member] | |||||||||||
Short-term Debt [Line Items] | |||||||||||
Short-term borrowings | 262,711,000 | 262,711,000 | 262,000,000 | ||||||||
Bank loans [Member] | Floating rate puttable notes [Member] | |||||||||||
Short-term Debt [Line Items] | |||||||||||
Debt principal amount | € | € 50,000,000 | € 11,000,000 | € 30,000,000 | ||||||||
Secured revolving loan facility [Member] | Revolving Loan Facility [Member] | |||||||||||
Short-term Debt [Line Items] | |||||||||||
Short-term borrowings | 67,986,000 | 67,986,000 | $ 48,659,000 | ||||||||
Credit facility maximum borrowing capacity | $ 50,000,000 | ||||||||||
Secured revolving loan facility [Member] | Revolving Loan Facility [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||||||||||
Short-term Debt [Line Items] | |||||||||||
Basis spread on variable rate | 3.75% | ||||||||||
Bank Overdrafts [Member] | |||||||||||
Short-term Debt [Line Items] | |||||||||||
Short-term borrowings | 700,000 | 700,000 | |||||||||
Line of Credit [Member] | Demand Loan Facility [Member] | |||||||||||
Short-term Debt [Line Items] | |||||||||||
Credit facility maximum borrowing capacity | $ 25,000,000 | ||||||||||
Line of Credit [Member] | Demand Loan Facility [Member] | London Interbank Offered Rate (LIBOR) [Member] | |||||||||||
Short-term Debt [Line Items] | |||||||||||
Basis spread on variable rate | 1.50% | ||||||||||
Line of Credit [Member] | Intraday Credit Facility [Member] | |||||||||||
Short-term Debt [Line Items] | |||||||||||
Credit facility maximum borrowing capacity | $ 300,000,000 | ||||||||||
Line of Credit [Member] | Intraday Credit Facility [Member] | Prime Rate [Member] | |||||||||||
Short-term Debt [Line Items] | |||||||||||
Basis spread on variable rate | 0.50% | ||||||||||
Euro Medium Term Note Program [Member] | |||||||||||
Short-term Debt [Line Items] | |||||||||||
Long-term debt | $ 2,000,000,000 | $ 2,000,000,000 |
Long-Term Debt - Summary of Lon
Long-Term Debt - Summary of Long-Term Debt Carrying Values Including Unamortized Discounts and Premiums (Detail) - USD ($) $ in Thousands | Aug. 31, 2016 | Nov. 30, 2015 |
Debt Instrument [Line Items] | ||
Long-term debt | $ 5,482,738 | $ 5,640,722 |
Structured Notes [Member] | ||
Debt Instrument [Line Items] | ||
Long-term debt | 211,094 | 0 |
Unsecured Debt [Member] | 5.5% Senior Notes, due 2016 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 0 | 353,025 |
Debt instrument interest rate | 5.50% | |
Effective interest rate | 2.52% | |
Unsecured Debt [Member] | 5.125% Senior Notes, due 2018 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 820,974 | 830,298 |
Debt instrument interest rate | 5.125% | |
Effective interest rate | 3.46% | |
Unsecured Debt [Member] | 8.5% Senior Notes, due 2019 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 785,411 | 806,125 |
Debt instrument interest rate | 8.50% | |
Effective interest rate | 4.00% | |
Unsecured Debt [Member] | 2.375% Euro Medium Term Notes, due 2020 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 555,962 | 526,436 |
Debt instrument interest rate | 2.375% | |
Effective interest rate | 2.42% | |
Unsecured Debt [Member] | 6.875% Senior Note, due 2021 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 827,601 | 838,765 |
Debt instrument interest rate | 6.875% | |
Effective interest rate | 4.40% | |
Unsecured Debt [Member] | 2.25% Euro Medium Term Notes, due 2022 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 4,035 | 3,779 |
Debt instrument interest rate | 2.25% | |
Effective interest rate | 4.08% | |
Unsecured Debt [Member] | 5.125% Senior Notes, due 2023 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 619,000 | 620,890 |
Debt instrument interest rate | 5.125% | |
Effective interest rate | 4.55% | |
Unsecured Debt [Member] | 6.45% Senior Debentures, due 2027 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 378,292 | 379,711 |
Debt instrument interest rate | 6.45% | |
Effective interest rate | 5.46% | |
Unsecured Debt [Member] | 3.875% Convertible Senior Debentures due 2029 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 346,473 | 347,307 |
Debt instrument interest rate | 3.875% | |
Effective interest rate | 3.50% | |
Unsecured Debt [Member] | 6.25% Senior Debentures, due 2036 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 512,481 | 512,730 |
Debt instrument interest rate | 6.25% | |
Effective interest rate | 6.03% | |
Unsecured Debt [Member] | 6.50% Senior Notes, due 2043 [Member] | ||
Debt Instrument [Line Items] | ||
Long-term debt | $ 421,415 | $ 421,656 |
Debt instrument interest rate | 6.50% | |
Effective interest rate | 6.09% |
Long-Term Debt - Additional Inf
Long-Term Debt - Additional Information (Detail) | Sep. 15, 2016USD ($)$ / shares | Aug. 31, 2016USD ($)Trading_day | Jan. 21, 2016USD ($) | Nov. 30, 2015USD ($) |
Debt Instrument [Line Items] | ||||
Long-term borrowings matured or retired during period | $ 350,000,000 | |||
Long-term debt | 5,482,738,000 | $ 5,640,722,000 | ||
Leucadia [Member] | Subsequent event [Member] | ||||
Debt Instrument [Line Items] | ||||
Debenture principal amount | $ 1,000 | |||
Debt instrument convertible conversion ratio | 22.7041 | |||
Conversion price of common stock (dollars per share) | $ / shares | $ 44.04 | |||
3.875% Convertible Senior Debentures due 2029 [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt principal amount | $ 345,000,000 | |||
Senior long-term debt, interest rate | 3.875% | |||
3.875% Convertible Senior Debentures due 2029 [Member] | Leucadia [Member] | ||||
Debt Instrument [Line Items] | ||||
Senior long-term debt, interest rate | 3.875% | |||
Debt instrument convertible conversion ratio (greater than) | 130.00% | |||
Earliest period of conversion price | Trading_day | 20 | |||
Latest period of conversion price | 30 days | |||
Less than trading price per debenture related to common stock | 95.00% | |||
Consecutive trading days | 10 days | |||
Contingent interest | 0.375% | |||
Threshold trading days | 5 days | |||
Interest period | 6 months | |||
Trading price of contingent interest | $ 1,200 | |||
Euro Medium Term Note Program [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt | 2,000,000,000 | |||
Class A Notes, Due 2022 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt | $ 15,000,000 | |||
Class B Notes, Due 2022 [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt | $ 7,500,000 | |||
Structured Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Long-term debt | 211,094,000 | $ 0 | ||
Structured Notes [Member] | Unsecured Debt [Member] | ||||
Debt Instrument [Line Items] | ||||
Debt fair value | 204,400,000 | |||
Debt principal amount | $ 218,600,000 |
Noncontrolling Interests (Detai
Noncontrolling Interests (Detail) - USD ($) | Dec. 01, 2015 | Aug. 31, 2016 | Nov. 30, 2015 |
Noncontrolling Interest [Line Items] | |||
Noncontrolling interests | $ 5,190,000 | $ 27,468,000 | |
Gain (loss) recognized upon deconsolidation | $ 0 | ||
Global Equity Event Opportunity Fund LLC [Member] | |||
Noncontrolling Interest [Line Items] | |||
Noncontrolling interests | 4,547,000 | 26,292,000 | |
Other [Member] | |||
Noncontrolling Interest [Line Items] | |||
Noncontrolling interests | $ 643,000 | 1,176,000 | |
Leucadia [Member] | |||
Noncontrolling Interest [Line Items] | |||
Noncontrolling interests | $ 26,300,000 |
Benefit Plans - Additional Info
Benefit Plans - Additional Information (Detail) - USD ($) | 9 Months Ended | |
Aug. 31, 2016 | Nov. 30, 2015 | |
U.S Pension Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Contributions made to pension plan | $ 3,000,000 | |
Contributions expected to be made to pension plan | 0 | |
German Pension Plan [Member] | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Investment in insurance contract | 16,000,000 | $ 15,300,000 |
Contributions made to pension plan | 0 | |
Contributions expected to be made to pension plan | $ 0 |
Benefit Plans - Components of N
Benefit Plans - Components of Net Periodic Pension (Benefit) Cost (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2016 | Aug. 31, 2015 | |
U.S Pension Plan [Member] | ||||
Components of net periodic pension cost (income): | ||||
Service cost | $ 100 | $ 63 | $ 300 | $ 189 |
Interest cost on projected benefit obligation | 587 | 585 | 1,761 | 1,755 |
Expected return on plan assets | (730) | (848) | (2,190) | (2,544) |
Net periodic pension income | (43) | (200) | (129) | (600) |
German Pension Plan [Member] | ||||
Components of net periodic pension cost (income): | ||||
Interest cost on projected benefit obligation | 133 | 132 | 398 | 395 |
Net amortization | 83 | 82 | 246 | 245 |
Net periodic pension income | $ 216 | $ 214 | $ 644 | $ 640 |
Compensation Plans - Compensati
Compensation Plans - Compensation Cost (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2016 | Aug. 31, 2015 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Profit sharing plan | $ 1 | $ 0.6 | $ 5.3 | $ 5.3 |
Total compensation cost | 63.4 | 53.8 | 213.2 | 202 |
Restricted Cash Awards [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Restricted cash awards | 56 | 39.4 | 190.1 | 142.9 |
Restricted Stock and RSUs [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Restricted stock and RSUs | $ 6.4 | $ 13.8 | $ 17.8 | $ 53.8 |
Compensation Plans - Remaining
Compensation Plans - Remaining Unamortized Amounts (Details) $ in Millions | 9 Months Ended |
Aug. 31, 2016USD ($) | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Remaining Unamortized Amounts | $ 529 |
Nonvested Share-Based Awards [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Remaining Unamortized Amounts | $ 29.2 |
Weighted Average Vesting Period (in Years) | 2 years |
Restricted Cash Awards [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Remaining Unamortized Amounts | $ 499.8 |
Weighted Average Vesting Period (in Years) | 3 years |
Compensation Plans - Additional
Compensation Plans - Additional Information (Detail) | 9 Months Ended |
Aug. 31, 2016USD ($)Hour | |
Compensation Related Costs [Abstract] | |
Vesting period | 4 years |
Number of years in which restricted stock awards amortized as compensation expense | 4 years |
Minimum work hours required for part-time employees to purchase ESPP | Hour | 20 |
Annual employee contributions | $ | $ 21,250 |
Employee service share based compensation plan stock price | 95.00% |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Millions | Aug. 31, 2016 | Nov. 30, 2015 |
Income Tax Disclosure [Abstract] | ||
Unrecognized tax benefits | $ 106.1 | $ 107.9 |
Unrecognized tax benefits that would impact effective tax rate in future | 71 | 71.9 |
Accrued interest on unrecognized tax benefits | $ 38.3 | $ 32.8 |
Income Taxes - Earliest Tax Yea
Income Taxes - Earliest Tax Year Subject to Examination in the Major Tax Jurisdictions in which the Company Operates (Detail) | 9 Months Ended |
Aug. 31, 2016 | |
United States [Member] | |
Income Tax Examination [Line Items] | |
Tax Year | 2,007 |
California [Member] | |
Income Tax Examination [Line Items] | |
Tax Year | 2,007 |
New Jersey [Member] | |
Income Tax Examination [Line Items] | |
Tax Year | 2,010 |
New York State [Member] | |
Income Tax Examination [Line Items] | |
Tax Year | 2,001 |
New York City [Member] | |
Income Tax Examination [Line Items] | |
Tax Year | 2,003 |
United Kingdom [Member] | |
Income Tax Examination [Line Items] | |
Tax Year | 2,014 |
Hong Kong [Member] | |
Income Tax Examination [Line Items] | |
Tax Year | 2,009 |
Commitments, Contingencies an98
Commitments, Contingencies and Guarantees - Commitments and Contingencies (Detail) $ in Millions | Aug. 31, 2016USD ($) |
Other Commitments [Line Items] | |
2,016 | $ 1,071.6 |
2,017 | 943.3 |
2018 and 2019 | 1,374.2 |
2020 and 2021 | 92.4 |
2022 and Later | 246 |
Notional/ Maximum Payout | 3,727.5 |
Equity commitments [Member] | |
Other Commitments [Line Items] | |
2,016 | 1.5 |
2,017 | 7.9 |
2018 and 2019 | 0 |
2020 and 2021 | 11.3 |
2022 and Later | 213.7 |
Notional/ Maximum Payout | 234.4 |
Loan commitments [Member] | |
Other Commitments [Line Items] | |
2,016 | 0 |
2,017 | 306.4 |
2018 and 2019 | 82.2 |
2020 and 2021 | 54.4 |
2022 and Later | 0 |
Notional/ Maximum Payout | 443 |
Mortgage-related and other purchase commitments [Member] | |
Other Commitments [Line Items] | |
2,016 | 838 |
2,017 | 263.2 |
2018 and 2019 | 1,265.2 |
2020 and 2021 | 21.6 |
2022 and Later | 0 |
Notional/ Maximum Payout | 2,388 |
Underwriting commitments [Member] | |
Other Commitments [Line Items] | |
2,016 | 0 |
2,017 | 223.2 |
2018 and 2019 | 0 |
2020 and 2021 | 0 |
2022 and Later | 0 |
Notional/ Maximum Payout | 223.2 |
Forward starting reverse repos and repos [Member] | |
Other Commitments [Line Items] | |
2,016 | 166.3 |
2,017 | 0 |
2018 and 2019 | 0 |
2020 and 2021 | 0 |
2022 and Later | 0 |
Notional/ Maximum Payout | 166.3 |
Other unfunded commitments [Member] | |
Other Commitments [Line Items] | |
2,016 | 65.8 |
2,017 | 142.6 |
2018 and 2019 | 26.8 |
2020 and 2021 | 5.1 |
2022 and Later | 32.3 |
Notional/ Maximum Payout | $ 272.6 |
Commitments, Contingencies an99
Commitments, Contingencies and Guarantees - Additional Information (Detail) £ in Millions, $ in Millions | 1 Months Ended | 9 Months Ended |
Mar. 31, 2016GBP (£) | Aug. 31, 2016USD ($) | |
Loss Contingencies [Line Items] | ||
Contractual obligation | £ | £ 8.1 | |
Contractual obligation period for 18 years | 18 years | |
Loan commitments outstanding to clients | $ 192.9 | |
Fair value of mortgage-related commitments | 185.2 | |
Fair value of derivative contracts approximated deemed to meet the definition of a guarantee | 320.3 | |
Maximum amount payable under guarantee | 21.3 | |
Standby Letters of Credit [Member] | ||
Loss Contingencies [Line Items] | ||
Letters of credit commitments | $ 36.5 | |
Standby letters of credit expiration period | 2 years | |
Jefferies Capital Partners LLC [Member] | ||
Loss Contingencies [Line Items] | ||
Outstanding equity commitments | $ 23.1 | |
Other Investments [Member] | ||
Loss Contingencies [Line Items] | ||
Outstanding equity commitments | $ 4.3 |
Commitments, Contingencies a100
Commitments, Contingencies and Guarantees - Guarantees (Detail) $ in Millions | Aug. 31, 2016USD ($) |
Guarantee Obligations [Line Items] | |
Notional/ Maximum Payout | $ 3,727.5 |
Derivative contracts - non-credit related [Member] | |
Guarantee Obligations [Line Items] | |
2,016 | 20,564.3 |
2,017 | 5,702.8 |
2018 and 2019 | 377.9 |
2020 and 2021 | 0 |
2022 and Later | 437.4 |
Notional/ Maximum Payout | 27,082.4 |
Written derivative contracts - credit related [Member] | |
Guarantee Obligations [Line Items] | |
2,016 | 0 |
2,017 | 0 |
2018 and 2019 | 91.7 |
2020 and 2021 | 258.7 |
2022 and Later | 0 |
Notional/ Maximum Payout | 350.4 |
Derivatives [Member] | |
Guarantee Obligations [Line Items] | |
2,016 | 20,564.3 |
2,017 | 5,702.8 |
2018 and 2019 | 469.6 |
2020 and 2021 | 258.7 |
2022 and Later | 437.4 |
Notional/ Maximum Payout | $ 27,432.8 |
Commitments, Contingencies a101
Commitments, Contingencies and Guarantees - External Credit Ratings of Underlying or Referenced Assets for Credit Related Derivatives Contracts (Detail) $ in Millions | Aug. 31, 2016USD ($) |
Index credit default swaps [Member] | |
Credit Derivatives [Line Items] | |
External credit ratings | $ 107.7 |
Single name credit default swaps [Member] | |
Credit Derivatives [Line Items] | |
External credit ratings | 242.7 |
Below Investment Grade [Member] | Index credit default swaps [Member] | |
Credit Derivatives [Line Items] | |
External credit ratings | 0 |
Below Investment Grade [Member] | Single name credit default swaps [Member] | |
Credit Derivatives [Line Items] | |
External credit ratings | 144.2 |
AAA/Aaa [Member] | Index credit default swaps [Member] | |
Credit Derivatives [Line Items] | |
External credit ratings | 24 |
AAA/Aaa [Member] | Single name credit default swaps [Member] | |
Credit Derivatives [Line Items] | |
External credit ratings | 0 |
AA/Aa [Member] | Index credit default swaps [Member] | |
Credit Derivatives [Line Items] | |
External credit ratings | 0 |
AA/Aa [Member] | Single name credit default swaps [Member] | |
Credit Derivatives [Line Items] | |
External credit ratings | 0 |
A [Member] | Index credit default swaps [Member] | |
Credit Derivatives [Line Items] | |
External credit ratings | 0 |
A [Member] | Single name credit default swaps [Member] | |
Credit Derivatives [Line Items] | |
External credit ratings | 59.9 |
BBB/Baa [Member] | Index credit default swaps [Member] | |
Credit Derivatives [Line Items] | |
External credit ratings | 83.7 |
BBB/Baa [Member] | Single name credit default swaps [Member] | |
Credit Derivatives [Line Items] | |
External credit ratings | $ 38.6 |
Net Capital Requirements - Net
Net Capital Requirements - Net Capital, Adjusted and Excess Net Capital (Detail) $ in Thousands | Aug. 31, 2016USD ($) |
Jefferies [Member] | |
Net Capital Requirements [Line Items] | |
Net Capital | $ 1,424,378 |
Excess Net Capital | 1,340,682 |
Jefferies Execution [Member] | |
Net Capital Requirements [Line Items] | |
Net Capital | 7,330 |
Excess Net Capital | $ 7,080 |
Segment Reporting - Additional
Segment Reporting - Additional Information (Detail) | 9 Months Ended |
Aug. 31, 2016segment | |
Segment Reporting [Abstract] | |
Number of operating segments | 2 |
Segment Reporting - Net Revenue
Segment Reporting - Net Revenues, Expenses and Total Assets by Segment (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2016 | Aug. 31, 2015 | Nov. 30, 2015 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||
Net revenues | $ 654,450 | $ 578,928 | $ 1,672,845 | $ 1,962,154 | |
Expenses | 573,728 | 571,835 | 1,739,402 | 1,857,465 | |
Segment assets | 38,127,677 | 38,127,677 | $ 38,563,972 | ||
Capital Markets [Member] | |||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||
Net revenues | 641,900 | 565,100 | 1,601,600 | 1,916,700 | |
Expenses | 558,200 | 564,500 | 1,693,600 | 1,829,300 | |
Segment assets | 37,305,700 | 37,305,700 | 37,804,900 | ||
Asset management [Member] | |||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||
Net revenues | 12,600 | 13,800 | 71,200 | 45,500 | |
Expenses | 15,500 | $ 7,300 | 45,800 | $ 28,200 | |
Segment assets | $ 821,900 | $ 821,900 | $ 759,000 |
Segment Reporting - Net Reve105
Segment Reporting - Net Revenues by Geographic Region (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2016 | Aug. 31, 2015 | |
Revenues: | ||||
Net revenues | $ 654,450 | $ 578,928 | $ 1,672,845 | $ 1,962,154 |
Americas [Member] | ||||
Revenues: | ||||
Net revenues | 500,190 | 454,996 | 1,257,192 | 1,508,639 |
Europe [Member] | ||||
Revenues: | ||||
Net revenues | 126,476 | 103,959 | 349,700 | 392,163 |
Asia [Member] | ||||
Revenues: | ||||
Net revenues | $ 27,784 | $ 19,973 | $ 65,953 | $ 61,352 |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Detail) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
Jul. 31, 2016 | Mar. 31, 2016 | Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2016 | Aug. 31, 2015 | Nov. 30, 2015 | |
Related Party Transaction [Line Items] | |||||||
Purchase commitments from Berkadia Commercial Mortgage, LLC | $ 685,000 | $ 752,400 | |||||
Loans outstanding to certain employees | $ 40,700 | 40,700 | 28,300 | ||||
Noncontrolling interests | 5,190 | 5,190 | 27,468 | ||||
Leucadia Funding LLC [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Capital contribution | $ 30,000 | ||||||
Leucadia [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Noncontrolling interests | 26,300 | ||||||
Capital contribution | $ 114,000 | ||||||
Leucadia [Member] | Other Assets [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Tax receivable | 146,300 | 146,300 | 109,500 | ||||
Harbinger Group Inc [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Unsettled purchases and sales of loans | 261,600 | ||||||
Harbinger Group Inc [Member] | Investment Banking [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Revenue from related parties | $ 1,300 | ||||||
Leucadia [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Revenue from related parties | 5,100 | $ 11,000 | 19,600 | $ 22,200 | |||
Due from related party | 2,100 | 2,100 | 10,200 | ||||
Due to related party | 3,300 | 3,300 | 600 | ||||
Private Equity Related Funds [Member] | Affiliated Entity [Member] | |||||||
Related Party Transaction [Line Items] | |||||||
Equity investments loans in related funds | $ 38,400 | $ 38,400 | $ 39,600 |
Related Party Transactions - Su
Related Party Transactions - Summary of Interest Income, Other Revenues and Investment Income to Private Equity Related Funds (Detail) - Private Equity Related Funds [Member] - Affiliated Entity [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2016 | Aug. 31, 2015 | |
Related Party Transaction [Line Items] | ||||
Other revenues and investment income (loss) | $ 6,048 | $ (3,495) | $ (1,664) | $ (27,707) |
Service charges | $ 201 | $ 630 | $ 537 | $ 1,089 |
Related Party Transactions - Re
Related Party Transactions - Revenue by Service (Details) - Leucadia [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2016 | Aug. 31, 2015 | |
Related Party Transaction [Line Items] | ||||
Revenue from related parties | $ 5,100 | $ 11,000 | $ 19,600 | $ 22,200 |
Investment banking and advisory [Member] | ||||
Related Party Transaction [Line Items] | ||||
Revenue from related parties | 0 | 0 | 1,786 | 21,200 |
Asset management [Member] | ||||
Related Party Transaction [Line Items] | ||||
Revenue from related parties | 10 | 102 | 155 | 405 |
Commissions and other fees [Member] | ||||
Related Party Transaction [Line Items] | ||||
Revenue from related parties | $ 0 | $ 1 | $ 88 | $ 38 |
Exit Costs - Narrative (Details
Exit Costs - Narrative (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2016 | Aug. 31, 2015 | Jul. 31, 2015 | |
Restructuring Cost and Reserve [Line Items] | |||||
Pre-tax loss | $ (80,722,000) | $ (7,093,000) | $ 66,557,000 | $ (104,689,000) | |
Non-cash restructuring costs | 10,200,000 | 341,000 | 21,000,000 | ||
Futures business [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Pre-tax loss | 64,100,000 | $ 1,900,000 | 114,800,000 | ||
Line of Credit [Member] | |||||
Restructuring Cost and Reserve [Line Items] | |||||
Credit Facility terminated | $ 750,000,000 | ||||
Credit Facility costs | $ 2,700,000 | $ 3,800,000 |
Exit Costs - Restructuring and
Exit Costs - Restructuring and Impairment Costs (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Aug. 31, 2016 | Aug. 31, 2015 | Aug. 31, 2016 | Aug. 31, 2015 | |
Restructuring Cost and Reserve [Line Items] | ||||
Impairment costs | $ 0 | $ 33,273 | $ 1,854 | $ 61,843 |
Compensation and Benefits [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Impairment costs | 0 | 13,815 | 320 | 33,834 |
Technology and Communications [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Impairment costs | 0 | 17,935 | 1,234 | 24,195 |
Professional Services [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Impairment costs | 0 | 444 | 0 | 2,477 |
Other Expense [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Impairment costs | 0 | 1,079 | 300 | 1,337 |
Severance Costs [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Impairment costs | 0 | 11,373 | 279 | 26,932 |
Accelerated Amortization of Restricted Stock and Restricted Cash Awards [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Impairment costs | 0 | 2,442 | 41 | 6,902 |
Accelerated Amortization of Capitalized Software [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Impairment costs | 0 | 6,719 | 0 | 12,979 |
Contract Termination Costs [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Impairment costs | 0 | 11,216 | 1,234 | 11,216 |
Other Expenses [Member] | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Impairment costs | $ 0 | $ 1,523 | $ 300 | $ 3,814 |
Exit Costs - Restructuring Rese
Exit Costs - Restructuring Reserve (Details) $ in Thousands | 9 Months Ended |
Aug. 31, 2016USD ($) | |
Restructuring Reserve [Roll Forward] | |
Expenses | $ 1,854 |
Severance Costs [Member] | |
Restructuring Reserve [Roll Forward] | |
Balance at November 30, 2015 | 4,805 |
Expenses | 279 |
Payments | (5,084) |
Liability at August 31, 2016 | 0 |
Other Costs [Member] | |
Restructuring Reserve [Roll Forward] | |
Balance at November 30, 2015 | 0 |
Expenses | 300 |
Payments | (300) |
Liability at August 31, 2016 | 0 |
Contract Termination Costs [Member] | |
Restructuring Reserve [Roll Forward] | |
Balance at November 30, 2015 | 0 |
Expenses | 1,234 |
Payments | (1,234) |
Liability at August 31, 2016 | 0 |
Total Restructuring Costs [Member] | |
Restructuring Reserve [Roll Forward] | |
Balance at November 30, 2015 | 4,805 |
Expenses | 1,813 |
Payments | (6,618) |
Liability at August 31, 2016 | 0 |
Accelerated Amortization of Restricted Stock and Restricted Cash Awards [Member] | |
Restructuring Reserve [Roll Forward] | |
Expenses | $ 41 |