Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Nov. 30, 2013 | Jan. 31, 2014 | 31-May-13 | |
Document And Entity Information [Abstract] | ' | ' | ' |
Document Type | '10-K | ' | ' |
Amendment Flag | 'false | ' | ' |
Document Period End Date | 30-Nov-13 | ' | ' |
Document Fiscal Year Focus | '2013 | ' | ' |
Document Fiscal Period Focus | 'FY | ' | ' |
Entity Registrant Name | 'JEFFERIES GROUP LLC | ' | ' |
Entity Central Index Key | '0001084580 | ' | ' |
Current Fiscal Year End Date | '--11-30 | ' | ' |
Entity Well-known Seasoned Issuer | 'Yes | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Filer Category | 'Non-accelerated Filer | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 0 | ' |
Entity Public Float | ' | ' | $0 |
Consolidated_Statements_of_Fin
Consolidated Statements of Financial Condition (USD $) | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2012 | Nov. 30, 2012 |
In Thousands, unless otherwise specified | Successor [Member] | Successor [Member] | Predecessor [Member] | Predecessor [Member] |
Variable Interest Entity, Primary Beneficiary [Member] | Variable Interest Entity, Primary Beneficiary [Member] | |||
Assets | ' | ' | ' | ' |
Cash and cash equivalents | $3,561,119 | $176 | $2,692,595 | $388,279 |
Cash and securities segregated and on deposit for regulatory purposes or deposited with clearing and depository organizations | 3,616,602 | ' | 4,082,595 | ' |
Financial instruments owned, at fair value | ' | ' | ' | ' |
Corporate equity securities | 2,098,597 | ' | 1,762,775 | 105,271 |
Corporate debt securities | 2,982,768 | ' | 3,038,146 | 394,043 |
Government, federal agency and other sovereign obligations | 5,346,152 | ' | 5,153,750 | ' |
Mortgage- and asset-backed securities | 4,473,135 | ' | 5,398,078 | 15,589 |
Loans and other receivables | 1,349,128 | 97,500 | 678,311 | 383,667 |
Derivatives | 261,093 | ' | 368,292 | ' |
Investments, at fair value | 101,282 | 412 | 127,023 | 5,836 |
Physical commodities | 37,888 | ' | 144,016 | ' |
Total financial instruments owned, at fair value | 16,650,043 | 97,912 | 16,670,391 | 904,406 |
Investments in managed funds | 57,285 | ' | 57,763 | ' |
Loans to and investments in related parties | 701,873 | ' | 586,420 | ' |
Securities borrowed | 5,359,846 | ' | 5,094,679 | ' |
Securities purchased under agreements to resell | 3,746,920 | ' | 3,357,602 | ' |
Securities received as collateral | 11,063 | ' | ' | ' |
Receivables: | ' | ' | ' | ' |
Brokers, dealers and clearing organizations | 2,119,279 | ' | 1,424,027 | 236,594 |
Customers | 1,046,945 | ' | 916,284 | ' |
Fees, interest and other | 251,072 | ' | 196,811 | 10,931 |
Premises and equipment | 202,467 | ' | 185,991 | ' |
Goodwill | 1,722,346 | ' | 365,670 | ' |
Other assets | 1,130,136 | 2,275 | 662,713 | 348 |
Total assets | 40,176,996 | 100,363 | 36,293,541 | 1,540,558 |
Liabilities | ' | ' | ' | ' |
Short-term borrowing | 12,000 | ' | 150,000 | ' |
Financial instruments sold, not yet purchased, at fair value: | ' | ' | ' | ' |
Corporate equity securities | 1,823,299 | ' | 1,539,332 | ' |
Corporate debt securities | 1,346,078 | ' | 1,389,312 | 325,979 |
Government, federal agency and other sovereign obligations | 3,155,683 | ' | 3,666,112 | ' |
Mortgage- and asset-backed securities | 34,691 | ' | 228,251 | ' |
Loans | 695,300 | ' | 207,227 | 199,610 |
Derivatives | 180,079 | ' | 242,087 | 505 |
Physical commodities | 36,483 | ' | 183,142 | ' |
Total financial instruments sold, not yet purchased, at fair value | 7,271,613 | ' | 7,455,463 | 526,094 |
Collateralized financings: | ' | ' | ' | ' |
Securities loaned | 2,506,122 | ' | 1,934,355 | ' |
Securities sold under agreements to repurchase | 10,779,845 | ' | 8,181,250 | ' |
Other secured financings | 234,711 | 226,000 | 62,300 | 62,300 |
Obligation to return securities received as collateral | 11,063 | ' | ' | ' |
Payables: | ' | ' | ' | ' |
Brokers, dealers and clearing organizations | 1,281,253 | ' | 2,819,677 | 201,237 |
Customers | 5,208,768 | ' | 5,568,017 | ' |
Accrued expenses and other liabilities | 1,217,141 | 706 | 1,062,068 | 10,656 |
Long-term debt | 6,232,806 | ' | 4,804,607 | ' |
Mandatorily redeemable convertible preferred stock | ' | ' | 125,000 | ' |
Mandatorily redeemable preferred interests of consolidated subsidiaries | ' | ' | 348,051 | 348,051 |
Total liabilities | 34,755,322 | 226,706 | 32,510,788 | 1,148,338 |
EQUITY | ' | ' | ' | ' |
Common stock, $0.0001 par value. Authorized 500,000,000 shares; issued 204,147,007 shares at November 30, 2012 | ' | ' | 20 | ' |
Member's paid-in capital/ Additional paid-in capital | 5,280,420 | ' | 2,219,959 | ' |
Retained earnings | ' | ' | 1,281,855 | ' |
Treasury stock, at cost, 835,033 shares at November 30, 2012 | ' | ' | -12,682 | ' |
Accumulated other comprehensive loss: | ' | ' | ' | ' |
Currency translation adjustments | 21,341 | ' | -38,009 | ' |
Additional minimum pension liability | 2,759 | ' | -15,128 | ' |
Total accumulated other comprehensive loss | 24,100 | ' | -53,137 | ' |
Total member's / common stockholders' equity | 5,304,520 | ' | 3,436,015 | ' |
Noncontrolling interests | 117,154 | ' | 346,738 | ' |
Total equity | 5,421,674 | ' | 3,782,753 | ' |
Total liabilities and equity | $40,176,996 | ' | $36,293,541 | ' |
Consolidated_Statements_of_Fin1
Consolidated Statements of Financial Condition (Parenthetical) (USD $) | Nov. 30, 2013 | Nov. 30, 2012 |
In Thousands, except Share data, unless otherwise specified | Successor [Member] | Predecessor [Member] |
Securities pledged to creditors | $13,253,537 | $12,334,745 |
Common stock, par value | $0.00 | $0.00 |
Common stock, shares authorized | ' | 500,000,000 |
Common stock, shares issued | ' | 204,147,007 |
Treasury stock, at cost | ' | 835,033 |
Consolidated_Statements_of_Ear
Consolidated Statements of Earnings (USD $) | 9 Months Ended | 3 Months Ended | 12 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Nov. 30, 2013 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 |
Successor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | |
Revenues: | ' | ' | ' | ' |
Commissions | $472,596 | $146,240 | $548,437 | $562,858 |
Principal transactions | 399,091 | 300,278 | 1,035,974 | 428,035 |
Investment banking | 1,003,517 | 288,278 | 1,125,883 | 1,122,528 |
Asset management fees and investment income from managed funds | 36,093 | 10,883 | 26,966 | 44,125 |
Interest | 714,248 | 249,277 | 1,031,839 | 1,248,132 |
Other | 94,195 | 27,004 | 164,974 | 152,092 |
Total revenues | 2,719,740 | 1,021,960 | 3,934,073 | 3,557,770 |
Interest expense | 579,059 | 203,416 | 872,421 | 980,825 |
Net revenues | 2,140,681 | 818,544 | 3,061,652 | 2,576,945 |
Interest on mandatorily redeemable preferred interests of consolidated subsidiaries | 3,368 | 10,961 | 42,883 | 3,622 |
Net revenues, less interest on mandatorily redeemable preferred interests of consolidated subsidiaries | 2,137,313 | 807,583 | 3,018,769 | 2,573,323 |
Non-interest expenses: | ' | ' | ' | ' |
Compensation and benefits | 1,213,908 | 474,217 | 1,770,798 | 1,482,604 |
Non-compensation expenses: | ' | ' | ' | ' |
Floor brokerage and clearing fees | 150,774 | 46,155 | 183,013 | 154,445 |
Technology and communications | 193,683 | 59,878 | 244,511 | 215,940 |
Occupancy and equipment rental | 86,701 | 24,309 | 97,397 | 84,951 |
Business development | 63,115 | 24,927 | 95,330 | 93,645 |
Professional services | 72,802 | 24,135 | 73,427 | 66,305 |
Other | 92,035 | 14,475 | 62,498 | 56,099 |
Total non-compensation expenses | 659,110 | 193,879 | 756,176 | 671,385 |
Total non-interest expenses | 1,873,018 | 668,096 | 2,526,974 | 2,153,989 |
Earnings before income taxes | 264,295 | 139,487 | 491,795 | 419,334 |
Income tax expense | 94,686 | 48,645 | 168,646 | 132,966 |
Net earnings | 169,609 | 90,842 | 323,149 | 286,368 |
Net earnings attributable to noncontrolling interests | 8,418 | 10,704 | 40,740 | 1,750 |
Net earnings attributable to Jefferies Group LLC | $161,191 | $80,138 | $282,409 | $284,618 |
Earnings per common share: | ' | ' | ' | ' |
Basic | ' | $0.35 | $1.23 | $1.28 |
Diluted | ' | $0.35 | $1.22 | $1.28 |
Dividends declared per common share | ' | $0.08 | $0.30 | $0.30 |
Weighted average common shares: | ' | ' | ' | ' |
Basic | ' | 213,732 | 215,989 | 211,056 |
Diluted | ' | 217,844 | 220,101 | 215,171 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (USD $) | 9 Months Ended | 3 Months Ended | 12 Months Ended | |||||
In Thousands, unless otherwise specified | Nov. 30, 2013 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 | ||||
Successor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | |||||
Net earnings | $169,609 | $90,842 | $323,149 | $286,368 | ||||
Other comprehensive income, net of tax: | ' | ' | ' | ' | ||||
Currency translation adjustments | 21,341 | -10,018 | 1,511 | 3,339 | ||||
Minimum pension liability adjustments, net of tax | 2,759 | [1] | ' | -4,158 | [1] | -2,551 | [1] | |
Total other comprehensive income, net of tax | 24,100 | [2] | -10,018 | [2] | -2,647 | [2] | 788 | [2] |
Comprehensive income | 193,709 | 80,824 | 320,502 | 287,156 | ||||
Net earnings attributable to noncontrolling interests | 8,418 | 10,704 | 40,740 | 1,750 | ||||
Comprehensive income attributable to Jefferies Group LLC | $185,291 | $70,120 | $279,762 | $285,406 | ||||
[1] | Includes income tax benefit of $2.5 million, $-0-, $0.2 million and $1.8 million for the nine months ended November 30, 2013, three months ended February 28, 2013, and the years ended November 30, 2012 and 2011, respectively. | |||||||
[2] | No Other comprehensive income (loss) is attributable to noncontrolling interests. |
Consolidated_Statements_of_Com1
Consolidated Statements of Comprehensive Income (Parenthetical) (USD $) | 9 Months Ended | 3 Months Ended | 12 Months Ended | |
In Thousands, unless otherwise specified | Nov. 30, 2013 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 |
Successor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | |
Minimum pension liability adjustments, tax | $2,500 | $0 | $200 | $1,800 |
Consolidated_Statements_of_Cha
Consolidated Statements of Changes in Equity (USD $) | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | |||||
In Thousands | Common stock, par value $0.0001 per share [Member] | Member's paid-in capital [Member] | Additional paid-in capital [Member] | Retained earnings [Member] | Accumulated other comprehensive income (loss) [Member] | Treasury stock, at cost [Member] | Noncontrolling interests [Member] | Common stock, par value $0.0001 per share [Member] | Member's paid-in capital [Member] | Additional paid-in capital [Member] | Retained earnings [Member] | Accumulated other comprehensive income (loss) [Member] | Treasury stock, at cost [Member] | Noncontrolling interests [Member] | |||||||
Balance at Nov. 30, 2010 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $332,976 | |||||
Balance at Nov. 30, 2010 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 20 | ' | 2,218,123 | 850,654 | -51,278 | [1],[2] | -539,530 | ' | ||||
Benefit plan share activity | [3] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 31,176 | ' | ' | ' | ' | ||||
Purchases | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -152,827 | ' | |||||
Contributions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Currency adjustment | ' | ' | ' | ' | ' | ' | ' | ' | 3,339 | ' | ' | ' | ' | 3,339 | [1],[2] | ' | ' | ||||
Share-based expense, net of forfeitures and clawbacks | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 134,076 | ' | ' | ' | ' | |||||
Net earnings attributable to Jefferies Group LLC | ' | ' | ' | ' | ' | ' | ' | ' | 286,368 | ' | ' | ' | 284,618 | ' | ' | 1,750 | |||||
Returns / forfeitures | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -20,368 | ' | |||||
Net earnings | ' | ' | ' | ' | ' | ' | ' | ' | 284,618 | ' | ' | ' | ' | ' | ' | ' | |||||
Pension adjustment, net of tax | ' | ' | ' | ' | ' | ' | ' | ' | -2,551 | [4] | ' | ' | ' | ' | -2,551 | [1],[2] | ' | ' | |||
Proceeds from exercise of stock options | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 95 | ' | ' | ' | ' | |||||
Contributions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,713 | |||||
Dividends | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -67,414 | ' | ' | ' | |||||
Issued | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2 | ' | ' | ' | ' | 397,122 | ' | |||||
Acquisitions and contingent consideration | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 419 | ' | ' | ' | ' | |||||
Distributions | ' | ' | ' | ' | ' | ' | ' | ' | 22,056 | ' | ' | ' | ' | ' | ' | -22,056 | |||||
Retired | ' | ' | ' | ' | ' | ' | ' | ' | ' | -2 | ' | ' | ' | ' | ' | ' | |||||
Redemptions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Consolidation (deconsolidation) of asset management entity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -1,720 | |||||
Tax (deficiency) benefit for issuance of share-based awards | ' | ' | ' | ' | ' | ' | ' | ' | -32,200 | ' | ' | 32,200 | ' | ' | ' | ' | |||||
Equity component of convertible debt, net of tax | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -217 | ' | ' | ' | ' | |||||
Dividend equivalents on share-based plans | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 8,883 | ' | ' | ' | ' | |||||
Issuance of treasury stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 97,770 | ' | ' | ' | ' | |||||
Retirement of treasury stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -315,115 | ' | ' | 315,117 | ' | |||||
Total equity | ' | ' | ' | ' | ' | ' | ' | ' | 3,536,975 | ' | ' | ' | ' | ' | ' | ' | |||||
Balance at Nov. 30, 2011 | ' | ' | ' | ' | ' | ' | ' | ' | 3,224,312 | 20 | ' | 2,207,410 | 1,067,858 | -50,490 | [1],[2] | -486 | ' | ||||
Balance at Nov. 30, 2011 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 312,663 | |||||
Benefit plan share activity | [3] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 12,076 | ' | ' | ' | ' | ||||
Purchases | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -113,562 | ' | |||||
Contributions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Currency adjustment | ' | ' | ' | ' | ' | ' | ' | ' | 1,511 | ' | ' | ' | ' | 1,511 | [1],[2] | ' | ' | ||||
Share-based expense, net of forfeitures and clawbacks | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 83,769 | ' | ' | ' | ' | |||||
Net earnings attributable to Jefferies Group LLC | ' | ' | ' | ' | ' | ' | ' | ' | 323,149 | ' | ' | ' | 282,409 | ' | ' | 40,740 | |||||
Returns / forfeitures | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -7,928 | ' | |||||
Net earnings | ' | ' | ' | ' | ' | ' | ' | ' | 282,409 | ' | ' | ' | ' | ' | ' | ' | |||||
Pension adjustment, net of tax | ' | ' | ' | ' | ' | ' | ' | ' | -4,158 | [4] | ' | ' | ' | ' | -4,158 | [1],[2] | ' | ' | |||
Proceeds from exercise of stock options | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 104 | ' | ' | ' | ' | |||||
Contributions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Dividends | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -68,412 | ' | ' | ' | |||||
Issued | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1 | ' | ' | ' | ' | ' | ' | |||||
Acquisitions and contingent consideration | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Distributions | ' | ' | ' | ' | ' | ' | ' | ' | 13,570 | ' | ' | ' | ' | ' | ' | -13,570 | |||||
Retired | ' | ' | ' | ' | ' | ' | ' | ' | ' | -1 | ' | ' | ' | ' | ' | ' | |||||
Redemptions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Consolidation (deconsolidation) of asset management entity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6,905 | |||||
Tax (deficiency) benefit for issuance of share-based awards | ' | ' | ' | ' | ' | ' | ' | ' | -19,789 | ' | ' | 19,789 | ' | ' | ' | ' | |||||
Equity component of convertible debt, net of tax | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -427 | ' | ' | ' | ' | |||||
Dividend equivalents on share-based plans | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6,531 | ' | ' | ' | ' | |||||
Issuance of treasury stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Retirement of treasury stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -109,293 | ' | ' | 109,294 | ' | |||||
Total equity | ' | ' | ' | ' | ' | ' | ' | ' | 3,782,753 | ' | ' | ' | ' | ' | ' | ' | |||||
Balance at Nov. 30, 2012 | ' | ' | ' | ' | ' | ' | ' | ' | 3,436,015 | 20 | ' | 2,219,959 | 1,281,855 | -53,137 | [1],[2] | -12,682 | ' | ||||
Balance at Nov. 30, 2012 | ' | ' | ' | ' | ' | ' | ' | ' | 346,738 | ' | ' | ' | ' | ' | ' | 346,738 | |||||
Benefit plan share activity | [3] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,138 | ' | ' | ' | ' | ||||
Purchases | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -166,541 | ' | |||||
Contributions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Currency adjustment | ' | ' | ' | ' | ' | ' | ' | ' | -10,018 | ' | ' | ' | ' | -10,018 | [1],[2] | ' | ' | ||||
Share-based expense, net of forfeitures and clawbacks | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 22,288 | ' | ' | ' | ' | |||||
Net earnings attributable to Jefferies Group LLC | ' | ' | ' | ' | ' | ' | ' | ' | 90,842 | ' | ' | ' | 80,138 | ' | ' | 10,704 | |||||
Returns / forfeitures | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -1,922 | ' | |||||
Net earnings | ' | ' | ' | ' | ' | ' | ' | ' | 80,138 | ' | ' | ' | ' | ' | ' | ' | |||||
Pension adjustment, net of tax | [1],[2] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||
Proceeds from exercise of stock options | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 57 | ' | ' | ' | ' | |||||
Contributions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Dividends | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -17,217 | ' | ' | ' | |||||
Issued | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1 | ' | ' | ' | ' | ' | ' | |||||
Acquisitions and contingent consideration | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 2,535 | ' | ' | ' | ' | |||||
Distributions | ' | ' | ' | ' | ' | ' | ' | ' | 1,262 | ' | ' | ' | ' | ' | ' | -1,262 | |||||
Retired | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Redemptions | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Consolidation (deconsolidation) of asset management entity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Tax (deficiency) benefit for issuance of share-based awards | ' | ' | ' | ' | ' | ' | ' | ' | 17,965 | ' | ' | -17,965 | ' | ' | ' | ' | |||||
Equity component of convertible debt, net of tax | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Dividend equivalents on share-based plans | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,418 | ' | ' | ' | ' | |||||
Issuance of treasury stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Retirement of treasury stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Total equity | ' | ' | ' | ' | ' | ' | ' | ' | 3,688,107 | ' | ' | ' | ' | ' | ' | ' | |||||
Balance at Feb. 28, 2013 | ' | ' | 4,754,101 | ' | ' | ' | [1],[2] | ' | ' | 3,331,927 | 21 | ' | 2,231,430 | 1,344,776 | -63,155 | [1],[2] | -181,145 | ' | |||
Balance at Feb. 28, 2013 | ' | ' | ' | ' | ' | ' | ' | 356,180 | ' | ' | ' | ' | ' | ' | ' | 356,180 | |||||
Benefit plan share activity | [3] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||
Purchases | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Contributions | ' | ' | 362,255 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Currency adjustment | 21,341 | ' | ' | ' | ' | 21,341 | [1],[2] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||
Share-based expense, net of forfeitures and clawbacks | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Net earnings attributable to Jefferies Group LLC | 169,609 | ' | ' | ' | ' | ' | ' | 8,418 | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Returns / forfeitures | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Net earnings | 161,191 | ' | 161,191 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Pension adjustment, net of tax | 2,759 | [4] | ' | ' | ' | ' | 2,759 | [1],[2] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||
Proceeds from exercise of stock options | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Contributions | ' | ' | ' | ' | ' | ' | ' | 100,210 | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Dividends | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Issued | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Acquisitions and contingent consideration | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Distributions | 347,654 | ' | ' | ' | ' | ' | ' | -25 | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Retired | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Redemptions | ' | ' | ' | ' | ' | ' | ' | -347,629 | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Consolidation (deconsolidation) of asset management entity | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Tax (deficiency) benefit for issuance of share-based awards | -2,873 | ' | 2,873 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Equity component of convertible debt, net of tax | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Dividend equivalents on share-based plans | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Issuance of treasury stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Retirement of treasury stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Total equity | 5,421,674 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | |||||
Balance at Nov. 30, 2013 | 5,304,520 | ' | 5,280,420 | ' | ' | 24,100 | [1],[2] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ||||
Balance at Nov. 30, 2013 | $117,154 | ' | ' | ' | ' | ' | ' | $117,154 | ' | ' | ' | ' | ' | ' | ' | ' | |||||
[1] | The components of other comprehensive loss are attributable to Jefferies Group LLC (formerly Jefferies Group, Inc.). None of the components of other comprehensive loss are attributable to noncontrolling interests. | ||||||||||||||||||||
[2] | There were no reclassifications out of Accumulated other comprehensive loss during the nine months ended November 30, 2013. | ||||||||||||||||||||
[3] | Includes grants related to the Incentive Plan, Deferred Compensation Plan, and Directors' Plan. | ||||||||||||||||||||
[4] | Includes income tax benefit of $2.5 million, $-0-, $0.2 million and $1.8 million for the nine months ended November 30, 2013, three months ended February 28, 2013, and the years ended November 30, 2012 and 2011, respectively. |
Consolidated_Statements_of_Cha1
Consolidated Statements of Changes in Equity (Parenthetical) (USD $) | Nov. 30, 2013 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 |
Successor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | |
Common stock, par value | $0.00 | $0.00 | $0.00 | $0.00 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 9 Months Ended | 3 Months Ended | 12 Months Ended | |
In Thousands, unless otherwise specified | Nov. 30, 2013 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 |
Successor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | |
Cash flows from operating activities: | ' | ' | ' | ' |
Net earnings | $169,609 | $90,842 | $323,149 | $286,368 |
Adjustments to reconcile net earnings to net cash provided by (used in) operating activities: | ' | ' | ' | ' |
Depreciation and amortization | -2,509 | 17,393 | 72,692 | 68,522 |
Gain on conversion option | -6,914 | ' | ' | ' |
Bargain purchase gain | ' | ' | -3,368 | -52,509 |
Gain on repurchase of long-term debt | ' | ' | -9,898 | -21,107 |
Gain on sale of mortgage servicing rights | ' | ' | -23,826 | ' |
Interest on mandatorily redeemable preferred interests of consolidated subsidiaries | 3,368 | 10,961 | 42,883 | 3,622 |
Accruals related to various benefit plans and stock issuances, net of forfeitures | ' | 23,505 | 87,918 | 144,886 |
Deferred income taxes | 31,284 | 30,835 | 84,643 | 30,177 |
Income on loans to and investments in related parties | -92,181 | ' | ' | ' |
Distributions received on investments in related parties | 37,742 | ' | ' | ' |
Other adjustments | -7,826 | -1,154 | -4,094 | -3,724 |
Net change in assets and liabilities: | ' | ' | ' | ' |
Cash and securities segregated and on deposit for regulatory purposes or deposited with clearing and depository organizations | 113,754 | 352,891 | -738,117 | 1,417,107 |
Receivables: | ' | ' | ' | ' |
Brokers, dealers and clearing organizations | 336,263 | -1,027,671 | -101,903 | 1,652,426 |
Customers | 225 | -130,543 | 200,679 | 385,686 |
Fees, interest and other | -29,388 | -29,149 | -33,694 | 3,856 |
Securities borrowed | -41,678 | -224,557 | 75,379 | 3,014,442 |
Financial instruments owned | -200,974 | 229,394 | 52,737 | 299,558 |
Loans to and investments in related parties | ' | -197,166 | 7,302 | -375,031 |
Investments in managed funds | 2,674 | -2,213 | 12,977 | 60,855 |
Securities purchased under agreements to resell | -156,197 | -224,418 | -463,829 | 372,470 |
Other assets | 47,296 | -5,346 | -22,178 | -122,568 |
Payables: | ' | ' | ' | ' |
Brokers, dealers and clearing organizations | -507,722 | -1,031,335 | -82,031 | 880,998 |
Customers | -249,305 | -111,139 | 804,539 | -2,324,839 |
Securities loaned | 600,539 | -28,138 | 227,737 | -1,428,852 |
Financial instruments sold, not yet purchased | -2,511,777 | 2,327,667 | 801,971 | -2,892,462 |
Securities sold under agreements to repurchase | 2,794,412 | -197,493 | -1,439,130 | -1,083,191 |
Accrued expenses and other liabilities | 414,515 | -267,336 | 316,367 | -599,677 |
Net cash provided by (used in) operating activities | 745,210 | -394,170 | 188,905 | -282,987 |
Cash flows from investing activities: | ' | ' | ' | ' |
Contributions to loans to and investments in related parties | -2,241,232 | ' | ' | ' |
Distributions from loans to and investments in related parties | 2,360,691 | ' | ' | ' |
Net payments on premises and equipment | -48,534 | -10,706 | -63,236 | -77,330 |
Cash received (paid) in connection with acquisition during the period, net of cash acquired | ' | ' | 2,257 | -320,697 |
Cash disposed in connection with disposal of reporting units, net of cash received | -4,939 | ' | ' | ' |
Cash received from sales of mortgage servicing rights | ' | ' | 30,851 | ' |
Consolidation of asset management entity | ' | ' | 9,711 | ' |
Cash received from contingent consideration | 3,796 | 1,203 | 4,104 | 3,733 |
Cash paid from contingent consideration | ' | ' | -1,172 | -754 |
Net cash provided by (used in) investing activities | 69,782 | -9,503 | -17,485 | -395,048 |
Cash flows from financing activities: | ' | ' | ' | ' |
Excess tax benefits from the issuance of share-based awards | 3,054 | 5,682 | 31,413 | 34,552 |
Proceeds from short-term borrowings | 13,623,650 | 6,744,000 | 12,912,063 | 3,032,010 |
Payments on short-term borrowings | -13,711,650 | -6,794,000 | -12,819,557 | -3,283,231 |
Proceeds from secured credit facility | 920,000 | 900,000 | 1,325,000 | 260,000 |
Payments on secured credit facility | -980,000 | -990,007 | -1,075,000 | -160,000 |
Repayment of long-term debt | ' | ' | -253,232 | ' |
Proceeds from other secured financings | 114,711 | 60,000 | ' | ' |
Payments on repurchase of long-term debt | ' | ' | -1,435 | -49,692 |
Payments on mandatorily redeemable preferred interest of consolidated subsidiaries | -64 | -61 | -5,366 | -8,973 |
Payments on repurchase of common stock | ' | -166,541 | -113,562 | -152,827 |
Payments on dividends | ' | -15,799 | -61,881 | -58,531 |
Proceeds from exercise of stock options, not including tax benefits | ' | 57 | 104 | 95 |
Net proceeds from issuance of common shares | ' | ' | ' | 494,892 |
Net proceeds from issuance of senior notes, net of issuance costs | ' | 991,469 | 201,010 | 794,587 |
Proceeds from contributions of noncontrolling interests | 100,210 | ' | ' | 1,713 |
Payments on distributions to noncontrolling interests | -347,654 | -1,262 | -13,570 | -22,056 |
Net cash (used in) provided by financing activities | -277,743 | 733,538 | 125,987 | 882,539 |
Effect of exchange rate changes on cash and cash equivalents | 5,912 | -4,502 | 1,391 | 295 |
Net increase in cash and cash equivalents | 543,161 | 325,363 | 298,798 | 204,799 |
Cash and cash equivalents at beginning of period | 3,017,958 | 2,692,595 | 2,393,797 | 2,188,998 |
Cash and cash equivalents at end of period | 3,561,119 | 3,017,958 | 2,692,595 | 2,393,797 |
Cash paid (received) during the period for: | ' | ' | ' | ' |
Interest | 638,657 | 178,836 | 869,354 | 943,031 |
Income taxes, net of refunds | $55,251 | ($34,054) | $43,113 | $153,416 |
Organization_and_Basis_of_Pres
Organization and Basis of Presentation | 12 Months Ended | ||||||||||||||||
Nov. 30, 2013 | |||||||||||||||||
Accounting Policies [Abstract] | ' | ||||||||||||||||
Organization and Basis of Presentation | ' | ||||||||||||||||
Note 1. Organization and Basis of Presentation | |||||||||||||||||
Organization | |||||||||||||||||
Jefferies Group LLC, and its subsidiaries operate as a global full service, integrated securities and investment banking firm. Jefferies Group LLC was previously known as Jefferies Group, Inc., which on March 1, 2013 was converted into a limited liability company and renamed Jefferies Group LLC. In addition, certain subsidiaries of Jefferies Group, Inc. also converted into limited liability companies. The accompanying Consolidated Financial Statements therefore refer to Jefferies Group LLC and represent the accounts of Jefferies Group, Inc., as it was formerly known, 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 Bache, LLC, Jefferies International Limited, Jefferies Bache Limited, Jefferies Hong Kong Limited, Jefferies Bache Financial Services, Inc., Jefferies Mortgage Funding, LLC and Jefferies Leveraged Credit Products, LLC and all other entities in which we have a controlling financial interest or are the primary beneficiary. | |||||||||||||||||
On March 1, 2013, Jefferies Group LLC through a series of merger transactions, became an indirect wholly owned subsidiary of Leucadia National Corporation (“Leucadia”) (referred to herein as the “Merger”). Each outstanding share of Jefferies Group LLC was converted into 0.81 of a share of Leucadia common stock (the “Exchange Ratio”). Leucadia did not assume nor guarantee any of our outstanding debt securities. Our 3.875% Convertible Senior Debentures due 2029 are now convertible into Leucadia common shares at a price that reflects the Exchange Ratio and the 3.25% Series A Convertible Cumulative Preferred Stock of Jefferies Group, Inc. was exchanged for a comparable series of convertible preferred shares of Leucadia. Jefferies Group LLC continues to operate as a full-service investment banking firm and as the holding company of its various regulated and unregulated operating subsidiaries. Richard Handler, our Chief Executive Officer and Chairman, was also appointed the Chief Executive Officer of Leucadia, as well as a Director of Leucadia. Brian Friedman, our Chairman of the Executive Committee, was also appointed Leucadia’s President and a Director of Leucadia. Following the merger, we continue to operate as a full-service global investment banking firm, retain a credit rating separate from Leucadia and remain an SEC reporting company, filing annual, quarterly and periodic financial reports. | |||||||||||||||||
We operate in two business segments, Capital Markets and Asset Management. Capital Markets, which represents principally 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, separate accounts and mutual funds. Our parent, Leucadia is establishing an asset management business and we expect to transition our limited asset management business to Leucadia during 2014. | |||||||||||||||||
In addition, on April 1, 2013, we merged Jefferies High Yield Trading, LLC (our high yield trading broker-dealer) with Jefferies (a U.S. broker-dealer) and our high yield activities are now all conducted by Jefferies. In addition, during the three months ended May 31, 2013, we redeemed the third party interests in our high yield joint venture. | |||||||||||||||||
On July 1, 2011, we acquired Prudential Bache’s Global Commodities Group (“Global Commodities Group” or “Jefferies Bache”) from Prudential Financial Inc. (“Prudential”). The Global Commodities Group provided execution and clearing services (including sales and trading activities) covering a wide variety of commodity, financial and foreign exchange futures, swaps and forward contracts to an institutional client base. The acquisition allowed us to offer clients globally an increased range of products, including exchange-traded futures and over-the-counter trading in energy, metals and agricultural markets. On February 1, 2012, we acquired the corporate broking business of Hoare Govett from The Royal Bank of Scotland Group plc (“RBS”). The acquired business represented the corporate broking business carried on under the name RBS Hoare Govett in the United Kingdom and comprised corporate broking advice and services. The acquisition of Hoare Govett provided us with the opportunity to continue our growth in corporate broking in the U.K. and significantly expand the capabilities and reach of our established European Investment Banking and Equities business units. See Note 5, Acquisitions for further details. | |||||||||||||||||
Basis of Presentation | |||||||||||||||||
The accompanying Consolidated Financial Statements have been prepared in accordance with U.S. generally accepted accounting principles (“U.S. GAAP”) for financial information and with the instructions to Form 10-K. | |||||||||||||||||
As more fully described in Note 4, Leucadia Merger and Related Transactions, the Merger is accounted for using the acquisition method of accounting, which requires that the assets, including identifiable intangible assets, and liabilities of Jefferies Group LLC be recorded at their fair values at the date of the Merger. The application of the acquisition method of accounting has been pushed down and reflected in the financial statements of Jefferies Group LLC as a wholly-owned subsidiary of Leucadia. The application of push down accounting represents the termination of the prior reporting entity and the creation of a new reporting entity, which do not have the same bases of accounting. As a result, our consolidated financial statements for 2013 are presented for the period from March 1, 2013 through November 30, 2013 for the new reporting entity (the “Successor”), and before March 1, 2013 for the prior reporting entity (the “Predecessor.”) The Predecessor and Successor periods are separated by a vertical line to highlight the fact that the financial information for such periods have been prepared under two different cost bases of accounting. | |||||||||||||||||
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. | |||||||||||||||||
Cash Flow Statement Presentation | |||||||||||||||||
For the nine months ended November 30, 2013, certain amounts relating to loans and investments in related parties are classified as components of investing activities on the Consolidated Statements of Cash Flows to conform to the presentation of our Parent company in connection with the establishment of a new accounting entity through the application of push down accounting. These amounts were classified by the Predecessor entity as operating activities for reporting periods prior to the merger. | |||||||||||||||||
Consolidation | |||||||||||||||||
Our policy is to consolidate all entities in which we control by ownership a majority of the outstanding voting stock. In addition, we consolidate entities which meet the definition of a variable interest entity for which we are the primary beneficiary. The primary beneficiary is the party who has the power to direct the activities of a variable interest entity 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 are presented as Net earnings to noncontrolling interests in the Consolidated Statements of Earnings. | |||||||||||||||||
In situations where we have significant influence, but not control, of an entity that does not qualify as a variable interest entity, 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 2013 Adjustments | |||||||||||||||||
We have made correcting adjustments (referred to as “adjustments”) to our historical financial statements for the quarters of 2013 and for the year ended November 30, 2013, the results of which are included within our financial statements for the nine months ended November 30, 2013. We do not believe these adjustments are material to our financial statements for any previously reported period. | |||||||||||||||||
The first adjustment relates to a revised estimate of our litigation reserve resulting in an additional $17.0 million on a pre-tax basis recognized in Other expenses in the fourth quarter of 2013. We have adjusted our estimate of the reserve relating to an investigation of the purchases and sales of mortgage-backed securities based on an agreement reached in principle subsequent to our report on Form 8-K, dated December 17, 2013 in which we announced our financial results for our fiscal fourth quarter of 2013. Additionally, we have reduced our estimate for bad debt provision on certain investment banking receivables on a pre-tax basis by $1.3 million in the fourth quarter of 2013 resulting in a reduction in Other expenses by such amount in this Annual Report on Form 10-K for the year ended November 30, 2013. The impact of these adjustments is a reduction in Income tax expense of $1.2 million and a reduction in Net earnings of $14.5 million during the fourth quarter of 2013. | |||||||||||||||||
In addition to and unrelated to the adjustments described above, we have reduced Income tax expense by $4.4 million to correct for income tax expense recognized during the fourth quarter of 2013. It was determined that such income tax expense properly related to each of the years from fiscal 2009 to fiscal 2012. This had the effect of understating goodwill in the purchase price allocation by $4.4 million as the additional income tax liability in existence at the merger date reduces the fair value of the net assets acquired. We have evaluated the effects of this correction and concluded that it is not material to the previously issued Annual Reports on Form 10-K for the previously reported periods or to the previously issued Quarterly Reports on Form 10-Q for the three months ended May 31, 2013 and August 31, 2013. Nevertheless, we have revised our consolidated net earnings for the nine months ended November 30, 2013 as reflected in this Form 10-K for the year ended November 30, 2013 to correct for the effect of this item and appropriately reflected the increase of $4.4 million in goodwill within our Consolidated Statement of Financial Condition. | |||||||||||||||||
Further, we are adjusting Commissions revenues and Floor brokerage and clearing fees in the respective financial statement line items to reflect certain exchange fees charged to customers in our futures business on a gross rather than net basis for $60.6 million in 2013. Although Floor brokerage and clearing fees were recorded on a net basis to Commissions revenue, thereby resulting in an understatement in Commissions revenues, Total revenues, Net revenues, Floor brokerage and clearing fees and Total non-interest expenses for various periods, there was no impact on Net earnings. We do not believe these adjustments are material to our consolidated financial statements for any reported period. | |||||||||||||||||
Immaterial Prior Year Adjustments | |||||||||||||||||
Similar to the 2013 adjustments to Commissions revenues and Floor brokerage and clearing fees discussed above, we are also revising our prior period consolidated financial statements for these items. The impact of these adjustments is an increase of $62.9 million and $28.1 million, in both the Commissions revenue and Floor brokerage and clearing fees, for the years ended November 30, 2012 and 2011, respectively. We do not believe these adjustments are material to our consolidated financial statements for any reported period. | |||||||||||||||||
The following sets forth the effects of the adjustments on affected line items within our previously reported Consolidated Statements of Earnings for 2012 and 2011. There is no effect on our Consolidated Statement of Financial Condition as of November 30, 2012, Consolidated Statements of Changes in Stockholders’ Equity for the years 2012 and 2011 and Consolidated Statements of Cash Flows for the years 2012 and 2011. | |||||||||||||||||
Consolidated Statement of Earnings | |||||||||||||||||
Year Ended November 30, | |||||||||||||||||
2012 | 2011 | ||||||||||||||||
(in thousands) | As | Adjusted | As | Adjusted | |||||||||||||
Previously | Previously | ||||||||||||||||
Reported | Reported | ||||||||||||||||
Commissions revenues | $ | 485,569 | $ | 548,437 | $ | 534,726 | $ | 562,858 | |||||||||
Total revenues | 3,871,205 | 3,934,073 | 3,529,638 | 3,557,770 | |||||||||||||
Net revenues | 2,998,784 | 3,061,652 | 2,548,813 | 2,576,945 | |||||||||||||
Net revenues, less mandatorily redeemable preferred interest | 2,955,901 | 3,018,769 | 2,545,191 | 2,573,323 | |||||||||||||
Floor brokerage and clearing fees | 120,145 | 183,013 | 126,313 | 154,445 | |||||||||||||
Total non-compensation expenses | 693,308 | 756,176 | 643,253 | 671,385 | |||||||||||||
Total non-interest expenses | 2,464,106 | 2,526,974 | 2,125,857 | 2,153,989 |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 12 Months Ended | ||
Nov. 30, 2013 | |||
Accounting Policies [Abstract] | ' | ||
Summary of Significant Accounting Policies | ' | ||
Note 2. Summary of Significant Accounting Policies | |||
Revenue Recognition Policies | |||
Commissions. 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. The commissions and related expenses on client transactions executed by Jefferies Bache, LLC, a futures commission merchant, are recorded on a half-turn basis. | |||
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 transactions in the Consolidated Statements of Earnings on a trade date basis. Fees received on loans carried at fair value are also recorded within Principal transactions. | |||
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 transactions in the Consolidated Statements of Earnings rather than as a component of interest revenue or expense. We account for our short-term borrowings, long-term borrowings and our mandatorily redeemable convertible preferred stock 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 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. In addition, certain financial instruments used for initial and variation margin purposes with clearing and depository organizations are recorded in this caption. Jefferies Bache, LLC, as a futures commission merchant, is obligated by rules mandated by the Commodities Futures Trading Commission under the Commodities Exchange Act, to segregate or set aside cash or qualified securities to satisfy such regulations, which regulations have been promulgated to protect customer assets. 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. | |||
Financial Instruments | |||
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 transactions 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 as of 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 whose fair value have been derived using a model where inputs to the model 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 as of 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 as of 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 valued and that fair value measurements are reliable. 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 is comprised of our Chief Financial Officer, Global Controller, Global Head of Product Control, 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 sources independent of Jefferies, 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 is charged with the final conclusions as to 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 concluded upon 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 of the trading desks’ 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; and the documentation includes benchmarking the assumptions underlying the valuation rationale against relevant analytic data. | |||
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. We have a process whereby we challenge the appropriateness of pricing information obtained from external data providers (including independent pricing services and brokers) in order 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 independent pricing services or broker quotes are utilized 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 not based on unobservable inputs or proprietary models. For mortgage- and other asset-backed securities and collateralized debt obligations, our independent pricing service uses 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. Where a pricing model is to be 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 with gains or losses included in Asset management fees and investment income 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 12, Investments, and Note 25, Related Party Transactions, for additional information regarding certain of these investments. | |||
Receivable from and Payable to Customers | |||
Receivable from and payable to customers includes amounts receivable and payable on cash and margin transactions. Securities owned by customers and held as collateral for these receivables are not reflected in the accompanying consolidated financial statements. Receivable from officers and directors included within this financial statement line item represents balances arising from their individual security transactions. These transactions are subject to the same regulations as customer transactions and are provided on substantially the same terms. | |||
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 income 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 generally accepted accounting principles. 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, which was increased to its fair market value in the allocation of the purchase price on March 1, 2013. The revised carrying values of internally developed software ready for its intended use are depreciated over the remaining useful life. See Note 4, Leucadia Merger and Related Transactions for more information regarding the allocation of the purchase price. | |||
As of November 30, 2013 and 2012, furniture, fixtures and equipment amounted to $278.5 million and $266.2 million, respectively, and leasehold improvements amounted to $134.1 million and $133.1 million, respectively. Accumulated depreciation and amortization was $210.1 million and $213.3 million as of November 30, 2013 and 2012, respectively. Included within furniture, fixtures and equipment is equipment recorded under capital leases with a cost of $ $19.5 million at November 30, 2013 and 2012, which is being amortized over the lease term. | |||
Depreciation and amortization expense amounted to $38.8 million for the nine months ended November 30, 2013, $12.9 million for the three months ended February 28, 2013 and $50.5 million and $43.7 million for the years ended November 30, 2012 and 2011, respectively. | |||
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. | |||
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 capitalization, 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. Refer to Note 13, Goodwill and Other Intangible Assets, for further information on our assessment of goodwill. | |||
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. Subsequent reversal of impairment losses is not permitted. 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 | |||
Prior to the Merger we filed a consolidated U.S. federal income tax return, which included all of our qualifying subsidiaries. Post Merger, 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. For the Successor period, 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. | |||
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 carry-forwards. 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 for the Merger, 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. In the Successor period, Jefferies provides deferred taxes on its temporary differences and on any carryforwards that it could claim on its 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 benefit related to Leucadia dividends and dividend equivalents paid on nonvested share-based payment awards are recognized as an increase to Additional paid-in capital. These amounts are included in tax benefits for issuance of share-based awards on the Consolidated Statements of Changes in Equity. | |||
We record uncertain tax positions using a two-step process: (i) we determine whether it is more likely than not that the tax positions 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. At November 30, 2013, we have reserved approximately $22.4 million relating to an investigation of the purchases and sales of mortgage-backed securities that in January 2014 resulted in a non-prosecution agreement reached in principle with the United States Attorney for the District of Connecticut and a settlement agreement in principle with the Securities and Exchange Commission, which remains subject to review and approval by the SEC Commissioners. 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 transactions in the Consolidated Statements of Earnings. | |||
Earnings per Common Share | |||
As a single member limited liability company, earnings per share is not calculated for Jefferies Group LLC (the Successor company). | |||
Prior to the Merger, Jefferies Group, Inc. (the Predecessor company) had common shares and other common share equivalents outstanding. For the Predecessor periods, basic earnings per share (“EPS”) is computed by dividing net earnings available to common shareholders by the weighted average number of common shares outstanding and certain other shares committed to be, but not yet issued. Net earnings available to common shareholders represent net earnings to common shareholders reduced by the allocation of earnings to participating securities. Losses are not allocated to participating securities. Common shares outstanding and certain other shares committed to be, but not yet issued, include restricted stock and restricted stock units (“RSUs”) for which no future service is required. For Predecessor periods, diluted EPS is computed by dividing net earnings available to common shareholders plus dividends on dilutive mandatorily redeemable convertible preferred stock by the weighted average number of common shares outstanding and certain other shares committed to be, but not yet issued, plus all dilutive common stock equivalents outstanding during the period. Unvested share-based payment awards that contain nonforfeitable rights to dividends or dividend equivalents (whether paid or unpaid) are participating securities and, therefore, are included in the earnings allocation in computing earnings per share under the two-class method of earning per share. Restricted stock and RSUs granted as part of our share-based compensation contain nonforfeitable rights to dividends and dividend equivalents, respectively, and therefore, prior to the requisite service being rendered for the right to retain the award, restricted stock and RSUs meet the definition of a participating security. As such, Basic and Diluted earnings per share are calculated under the two-class method. | |||
Securitization Activities | |||
We engage in securitization activities related to corporate 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_Developments
Accounting Developments | 12 Months Ended |
Nov. 30, 2013 | |
Accounting Changes And Error Corrections [Abstract] | ' |
Accounting Developments | ' |
Note 3. Accounting Developments | |
Accounting Standards to be Adopted in Future Periods | |
Income Taxes. In July 2013, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2013-11, Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists to eliminate diversity in practice. The guidance requires an entity to net their unrecognized tax benefit, or a portion of an unrecognized tax benefit, in the financial statements against a deferred tax asset for a net operating loss carryforward, a similar tax loss or tax credit carryforward, unless such tax loss or credit carryforward is not available at the reporting date under the tax law of the applicable jurisdiction to settle any additional income taxes resulting from the disallowance of a tax position. In the event that the tax position is disallowed or the tax law of the applicable jurisdiction does not require the entity to use, and the entity does not intend to use, the deferred tax asset for such purpose, the unrecognized tax benefit shall be presented in the financial statements as a liability and shall not be combined with deferred tax assets. The guidance is effective for annual reporting periods beginning after December 15, 2013, and interim periods therein and is to be applied prospectively. We do not expect that the adoption of this ASU will have a material effect on our consolidated financial statements. | |
Balance Sheet Offsetting Disclosures. In December 2011, the FASB issued ASU No. 2011-11, Disclosures about Offsetting Assets and Liabilities and in January 2013 the FASB issued ASU 2013-01, Clarifying the Scope of Disclosures about Offsetting Assets and Liabilities. The updates require new disclosures regarding balance sheet offsetting and related arrangements. For derivatives, repurchase agreements and reverse repurchase agreements, and securities borrowing and securities lending transactions, the updates require disclosure of gross asset and liability amounts, amounts offset on the balance sheet, and amounts subject to the offsetting requirements but not offset on the balance sheet. The guidance is effective for annual reporting periods beginning on or after January 1, 2013, and interim periods within those annual periods (fiscal quarter ended February 28, 2014), and is to be applied retrospectively. This guidance does not amend the existing guidance on when it is appropriate to offset; as a result, this guidance will not affect our financial condition, results of operations or cash flows. | |
Adopted Accounting Standards | |
Accumulated Other Comprehensive Income. In February 2013, the FASB issued ASU No. 2013-02, Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income. The guidance requires an entity to report the effect of significant reclassifications out of accumulated other comprehensive income on the respective line items in net income if the amount being reclassified is required under U.S. GAAP to be reclassified in its entirety to net income. For other amounts that are not required under U.S. GAAP to be reclassified in their entirety from accumulated other comprehensive income to net income in the same reporting period, an entity is required to cross-reference to other disclosures required under U.S. GAAP that provide additional detail about those amounts. We adopted the guidance effective March 1, 2013, presenting the additional disclosures within our Consolidated Statements of Changes in Equity. Adoption did not affect our results of operation, financial condition or cash flows. | |
Indefinite-Lived Intangible Asset Impairment. In July 2012, the FASB issued ASU No. 2012-02, Testing Indefinite-Lived Intangible Assets for Impairment. The guidance permits an entity to first assess qualitative factors to determine whether it is more likely than not that an indefinite-lived intangible asset, other than goodwill, is impaired as a basis for determining whether it is necessary to perform the quantitative impairment test. The update does not revise the requirement to test indefinite-lived intangible assets annually for impairment, or more frequently if deemed appropriate. The adoption of this guidance on December 1, 2012 did not affect our financial condition, results of operations or cash flows as it did not affect how impairment is calculated. | |
Goodwill Testing. In September 2011, the FASB issued ASU No. 2011-08, Testing Goodwill for Impairment. The update outlines amendments to the two step goodwill impairment test permitting an entity to first assess qualitative factors in determining whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount as a basis for determining whether it is necessary to perform the two-step quantitative goodwill impairment test. We adopted this guidance on December 1, 2012, which did not change how goodwill impairment is calculated nor assigned to reporting units and therefore had no effect on our financial condition, results of operations or cash flows. | |
Comprehensive Income. In June 2011, the FASB issued ASU No. 2011-05, Presentation of Comprehensive Income. The update requires entities to report comprehensive income either (1) in a single continuous statement of comprehensive income or (2) in two separate but consecutive statements. We adopted the guidance on March 1, 2012, and elected the two separate but consecutive statements approach. Accordingly, we now present our Consolidated Statements of Comprehensive Income immediately following our Consolidated Statements of Earnings within our consolidated financial statements. | |
Fair Value Measurements and Disclosures. In May 2011, the FASB issued ASU No. 2011-04, Amendments to Achieve Common Fair Value Measurement and Disclosure Requirements in U.S. GAAP and IFRS. The amendments prohibit the use of blockage factors at all levels of the fair value hierarchy and provide guidance on measuring financial instruments that are managed on a net portfolio basis. Additional disclosure requirements include transfers between Levels 1 and 2; and for Level 3 fair value measurements, a description of our valuation processes and additional information about unobservable inputs impacting Level 3 measurements. We adopted this guidance on March 1, 2012 and have reflected the new disclosures in our consolidated financial statements. The adoption of this guidance did not have an impact on our financial condition, results of operations or cash flows. | |
Reconsideration of Effective Control for Repurchase Agreements. In April 2011, the FASB issued ASU No. 2011-03, Reconsideration of Effective Control for Repurchase Agreements. In assessing whether to account for repurchase and other agreements that both entitle and obligate the transferor to repurchase or redeem financial assets before their maturity as sales or as secured financing, this guidance removes from the assessment of effective control 1) the criterion requiring the transferor to have the ability to repurchase or redeem the financial assets on substantially the agreed terms and 2) the collateral maintenance implementation guidance related to that criterion. The adoption of this guidance for transactions beginning on or after January 1, 2012 did not have an impact on our financial condition, results of operations or cash flows. |
Leucadia_Merger_and_Related_Tr
Leucadia Merger and Related Transactions | 12 Months Ended | ||||
Nov. 30, 2013 | |||||
Business Combinations [Abstract] | ' | ||||
Leucadia Merger and Related Transactions | ' | ||||
Note 4. Leucadia Merger and Related Transactions | |||||
Merger Transaction | |||||
On March 1, 2013, Jefferies Group LLC completed a merger transaction with Leucadia and became a wholly-owned subsidiary of Leucadia as described in Note 1 Organization and Basis of Presentation. Each share of Jefferies Group Inc.’s common stock outstanding was converted into common shares of Leucadia at an Exchange Ratio of 0.81 of a Leucadia common share for each share of Jefferies Group, Inc. (the “Exchange Ratio”). Leucadia exchanged Jefferies Group, Inc.’s $125.0 million 3.25% Series A-1 Convertible Cumulative Preferred Stock for a new series of Leucadia $125.0 million 3.25% Cumulative Convertible Preferred Shares. In addition, each restricted share and restricted stock unit of Jefferies Group, Inc. common stock was converted at the Exchange Ratio, into an equivalent award of shares of Leucadia, with all such awards for Leucadia shares subject to the same terms and conditions, including, without limitation, vesting and, in the case of performance-based restricted stock units, performance being measured at existing targets. | |||||
Leucadia did not assume or guarantee any of our outstanding debt securities, but our 3.875% Convertible senior Debentures due 2029 with an aggregate principal amount of $345.0 million are now convertible into common shares of Leucadia. Other than the conversion into Leucadia common shares, the terms of the debenture remain the same. | |||||
The merger resulted in a change in our ownership and was recorded under the acquisition method of accounting by Leucadia and pushed-down to us by allocating the total purchase consideration of $4.8 billion to the cost of the assets acquired, including intangible assets, and liabilities assumed based on their estimated fair values at the date of the merger. The excess of the total purchase price over the fair value of assets acquired and the liabilities assumed is recorded as goodwill. The goodwill arising from the merger consists largely of our commercial potential and the value of our assembled workforce. | |||||
In connection with the merger, we recognized $11.5 million, $2.1 million and $4.7 million in transaction costs during the nine months ended November 30, 2013, three months ended February 28, 2013 and the year ended November 30, 2012, respectively. | |||||
The summary computation of the purchase price and the fair values assigned to the assets and liabilities are presented as follows (in thousands except share amounts): | |||||
Purchase Price | |||||
Jefferies common stock outstanding | 205,368,031 | ||||
Less: Jefferies common stock owned by Leucadia | (58,006,024) | ||||
Jefferies common stock acquired by Leucadia | 147,362,007 | ||||
Exchange ratio | 0.81 | ||||
Leucadia’s shares issued (excluding for Jefferies shares held by Leucadia) | 119,363,226 | ||||
Less: restricted shares issued for share-based payment awards (1) | (6,894,856) | ||||
Leucadia’s shares issued, excluding share-based payment awards | 112,468,370 | ||||
Closing price of Leucadia’s common stock (2) | $ | 26.90 | |||
Fair value of common shares acquired by Leucadia | 3,025,399 | ||||
Fair value of 3.25% cumulative convertible preferred shares (3) | 125,000 | ||||
Fair value of shares-based payment awards (4) | 343,811 | ||||
Fair value of Jefferies shares owned by Leucadia (5) | 1,259,891 | ||||
Total purchase price | $ | 4,754,101 | |||
-1 | Represents shares of restricted stock included in Jefferies common stock outstanding that contained a future service requirement as of March 1, 2013. | ||||
-2 | The value of the shares of common stock exchanged with Jefferies shareholders was based upon the closing price of Leucadia’s common stock at February 28, 2013, the last trading day prior to the date of acquisition. | ||||
-3 | Represents Leucadia’s 3.25% Cumulative Convertible Preferred Shares issued in exchange for Jefferies Group, Inc.’s 3.25% Series A-1 Convertible Cumulative Preferred Stock. | ||||
-4 | The fair value of share-based payment awards is calculated in accordance with ASC 718, Compensation – Stock Compensation. Share-based payment awards attributable to pre-combination service are included as part of the total purchase price. Share-based payment awards attributable to pre-combination service is estimated based on the ratio of the pre-combination service performed to the original service period of the award. | ||||
-5 | The fair value of Jefferies shares owned by Leucadia was based upon a price of $21.72, the closing price of Jefferies common stock at February 28, 2013. | ||||
Assets acquired (1): | |||||
Cash and cash equivalents | $ | 3,017,958 | |||
Cash and securities segregated | 3,728,742 | ||||
Financial instruments owned, at fair value | 16,413,535 | ||||
Investments in managed funds | 59,976 | ||||
Loans to and investments in related parties | 766,893 | ||||
Securities borrowed | 5,315,488 | ||||
Securities purchased under agreements to resell | 3,578,366 | ||||
Securities received as collateral | 25,338 | ||||
Receivables: | |||||
Brokers, dealers and clearing organizations | 2,444,085 | ||||
Customers | 1,045,251 | ||||
Fees, interest and other | 225,555 | ||||
Premises and equipment | 192,603 | ||||
Indefinite-lived intangible exchange memberships and licenses (2) | 15,551 | ||||
Finite-lived intangible customer relationships (2)(3) | 136,002 | ||||
Finite-lived trade name (2)(4) | 131,299 | ||||
Other assets | 939,600 | ||||
Total assets | $ | 38,036,242 | |||
Liabilities assumed (1): | |||||
Short-term borrowings | $ | 100,000 | |||
Financial instruments sold, not yet purchased, at fair value | 9,766,876 | ||||
Securities loaned | 1,902,687 | ||||
Securities sold under agreements to repurchase | 7,976,492 | ||||
Other secured financings | 122,294 | ||||
Obligation to return securities received as collateral | 25,338 | ||||
Payables: | |||||
Brokers, dealers and clearing organizations | 1,787,055 | ||||
Customers | 5,450,781 | ||||
Accrued expenses and other liabilities | 793,843 | ||||
Long-term debt | 6,362,024 | ||||
Mandatorily redeemable preferred interests | 358,951 | ||||
Total liabilities | $ | 34,646,341 | |||
Noncontrolling interests | 356,180 | ||||
Fair value of net assets acquired, excluding goodwill (1) | $ | 3,033,721 | |||
Goodwill (1) | $ | 1,720,380 | |||
-1 | Modifications to the purchase price allocation have been made since the initial presentation included in our Quarterly Report on Form 10-Q for the three months ended May 31, 2013, which reflect additional information obtained about the fair value of the assets acquired and liabilities assumed. These modifications include adjustments of $4.8 million to reduce the fair value of the total assets acquired and $14.0 million to increase the total liabilities assumed at March 1, 2013. The impact of the adjustments resulted in an increase of goodwill of $18.8 million from the previously presented balance of $1,701.6 million in our Quarterly Report on Form 10-Q for the three months ended May 31, 2013 to $1,720.4 million as reflected in this table. | ||||
-2 | Intangible assets are recorded within Other assets on the Consolidated Statement of Financial Condition. | ||||
-3 | The fair value of the finite-lived customer relationships will be amortized on a straight line basis over a weighted average useful life of approximately 14.4 years. | ||||
-4 | The fair value of the finite-lived trade name will be amortized on a straight line basis over a useful life of 35 years. | ||||
Intangible assets, not including goodwill, totaling approximately $282.9 million were identified and recognized as part of the acquisition accounting. The goodwill of $1.7 billion resulting from the Merger is not deductible for tax purposes. | |||||
Reorganization of Jefferies High Yield Holdings, LLC | |||||
On March 1, 2013, we commenced a reorganization of our high yield joint venture with Leucadia, conducted through Jefferies High Yield Holdings, LLC (“JHYH”) (the parent of Jefferies High Yield Trading, LLC (our high yield trading broker-dealer)). On March 1, 2013, we redeemed the outstanding third party noncontrolling interests in JHYH of $347.6 million. On March 31, 2013, Leucadia contributed its mandatorily redeemable preferred interests in JHYH of $362.3 million to Jefferies Group LLC as member’s equity. On April 1, 2013, we redeemed the mandatorily redeemable preferred interests in JHYH received from Leucadia. In addition, on April 1, 2013, our high yield trading broker-dealer was merged into Jefferies LLC (our U.S. securities broker-dealer). |
Acquisitions
Acquisitions | 12 Months Ended |
Nov. 30, 2013 | |
Business Combinations [Abstract] | ' |
Acquisitions | ' |
Note 5. Acquisitions | |
Hoare Govett | |
On February 1, 2012, we acquired the corporate broking business of Hoare Govett from RBS. Total cash consideration paid by us to RBS for the acquisition was £1. In addition, under the terms of the purchase agreement RBS agreed to pay us approximately £1.9 million towards retention payments made to certain employees, which constituted a reduction of the final purchase price. The business acquired represents the corporate broking business carried on under the name RBS Hoare Govett in the United Kingdom and comprised corporate broking advice and services, as well as certain equity sales and trading activities. The acquisition included the Hoare Govett trade name, domain name, client agreements and the exclusive right to carry on the business in succession to RBS. | |
We accounted for the acquisition under the acquisition method of accounting. Accordingly, the assets acquired, including identifiable intangible assets, and liabilities assumed were recorded at their respective fair values as of the date of acquisition. The fair values of the net assets acquired, including identifiable intangible assets, specifically the Hoare Govett trademark/trade name, was approximately $0.3 million, which exceeded the negative purchase price of $3.1 million (cash consideration paid of £1 less remittance from RBS of £1.9 million), resulting in a bargain purchase gain of approximately $3.4 million. The bargain purchase gain is included within Other revenues in the Consolidated Statement of Earnings for the year ended November 30, 2012 and is reported within the Capital Markets business segment. Approximately $0.4 million was recognized at the date of acquisition as the fair value of the Hoare Govett trade name. See Note 13, Goodwill and Other Intangible Assets for further details. Additionally, on February 1, 2012, we recognized a deferred tax liability of approximately $0.1 million, recorded within Accrued expenses and other liabilities on the Consolidated Statement of Financial Condition. | |
Our results of operations for the year ended November 30, 2012 include the results of operations of Hoare Govett for ten months for the period from February 1, 2012 to November 30, 2012. The acquisition closed on February 29, 2012. | |
Global Commodities Group | |
On July 1, 2011, we acquired Prudential Bache’s Global Commodities Group from Prudential. Total cash payments made as consideration for the acquisition were $422.0 million. The acquisition included 100% of the equity interests in Prudential Bache Commodities LLC, a U.S.-based full-service futures commission merchant; Prudential Bache Securities LLC, a US-based registered broker-dealer, which has since merged with Jefferies; Bache Commodities Limited, a UK-based global commodities and financial derivatives broker; Prudential Bache Financial Services, Inc., a global over-the-counter commodities dealer; and Bache Commodities (Hong Kong) Ltd., a Hong Kong-based licensed futures dealer. In addition, we acquired related information technology assets and contracts used by the Global Commodities Group. We refer to this business collectively as “Jefferies Bache.” The business of Jefferies Bache is included within the Capital Markets business segment. | |
We accounted for the acquisition under the acquisition method of accounting, resulting in a bargain purchase gain of $52.5 million which is included in Other revenues in the Consolidated Statement of Earnings for the year ended November 30, 2011, is not taxable and is reported within the Capital Markets business segment. |
Cash_Cash_Equivalents_and_Shor
Cash, Cash Equivalents and Short-Term Investments | 12 Months Ended | ||||||||||||
Nov. 30, 2013 | |||||||||||||
Cash And Cash Equivalents [Abstract] | ' | ||||||||||||
Cash, Cash Equivalents and Short-Term Investments | ' | ||||||||||||
Note 6. Cash, Cash Equivalents and Short-Term Investments | |||||||||||||
We generally invest our excess cash in money market funds and other short-term instruments. Cash equivalents include highly liquid investments not held for resale and with original maturities of three months or less. The following are financial instruments classified as cash and cash equivalents that are deemed by us to be generally readily convertible into cash as of November 30, 2013 and November 30, 2012 (in thousands): | |||||||||||||
Successor | Predecessor | ||||||||||||
November 30, | November 30, | ||||||||||||
2013 | 2012 | ||||||||||||
Cash and cash equivalents: | |||||||||||||
Cash in banks | $ | 880,443 | $ | 1,038,664 | |||||||||
Money market investments | 2,680,676 | 1,653,931 | |||||||||||
Total cash and cash equivalents | $ | 3,561,119 | $ | 2,692,595 | |||||||||
Cash and securities segregated (1) | $ | 3,616,602 | $ | 4,082,595 | |||||||||
-1 | Consists of deposits at exchanges and clearing organizations, as well as deposits in accordance with Rule 15c3-3 of the Securities Exchange Act of 1934, which subjects Jefferies as a broker-dealer carrying client accounts to requirements related to maintaining cash or qualified securities in a segregated reserve account for the exclusive benefit of its clients, and Jefferies Bache, LLC which, as a futures commission merchant, is subject to the segregation requirements pursuant to the Commodity Exchange Act. |
Fair_Value_Disclosures
Fair Value Disclosures | 12 Months Ended | ||||||||||||||||||||||||||||||||
Nov. 30, 2013 | |||||||||||||||||||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||||||||||||||||||
Fair Value Disclosures | ' | ||||||||||||||||||||||||||||||||
Note 7. 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 as of November 30, 2013 and 2012 by level within the fair value hierarchy (in thousands): | |||||||||||||||||||||||||||||||||
Successor | |||||||||||||||||||||||||||||||||
30-Nov-13 | |||||||||||||||||||||||||||||||||
Level 1 (1) | Level 2 (1) | Level 3 | Counterparty and | Total | |||||||||||||||||||||||||||||
Cash Collateral | |||||||||||||||||||||||||||||||||
Netting (2) | |||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||
Financial instruments owned: | |||||||||||||||||||||||||||||||||
Corporate equity securities | $ | 1,913,220 | $ | 175,493 | $ | 9,884 | $ | - | $ | 2,098,597 | |||||||||||||||||||||||
Corporate debt securities | - | 2,957,102 | 25,666 | - | 2,982,768 | ||||||||||||||||||||||||||||
Collateralized debt obligations | - | 182,095 | 37,216 | - | 219,311 | ||||||||||||||||||||||||||||
U.S. government and federal agency securities | 2,293,221 | 40,389 | - | - | 2,333,610 | ||||||||||||||||||||||||||||
Municipal securities | - | 664,054 | - | - | 664,054 | ||||||||||||||||||||||||||||
Sovereign obligations | 1,458,803 | 889,685 | - | - | 2,348,488 | ||||||||||||||||||||||||||||
Residential mortgage-backed securities | - | 2,932,268 | 105,492 | - | 3,037,760 | ||||||||||||||||||||||||||||
Commercial mortgage-backed securities | - | 1,130,410 | 17,568 | - | 1,147,978 | ||||||||||||||||||||||||||||
Other asset-backed securities | - | 55,475 | 12,611 | - | 68,086 | ||||||||||||||||||||||||||||
Loans and other receivables | - | 1,203,238 | 145,890 | - | 1,349,128 | ||||||||||||||||||||||||||||
Derivatives | 40,952 | 2,472,237 | 1,493 | (2,253,589) | 261,093 | ||||||||||||||||||||||||||||
Investments at fair value | - | 40 | 101,242 | - | 101,282 | ||||||||||||||||||||||||||||
Physical commodities | - | 37,888 | - | - | 37,888 | ||||||||||||||||||||||||||||
Total financial instruments owned | $ | 5,706,196 | $ | 12,740,374 | $ | 457,062 | $ | (2,253,589) | $ | 16,650,043 | |||||||||||||||||||||||
Cash and cash equivalents | $ | 3,561,119 | $ | - | $ | - | $ | - | $ | 3,561,119 | |||||||||||||||||||||||
Investments in managed funds | $ | - | $ | - | $ | 57,285 | $ | - | $ | 57,285 | |||||||||||||||||||||||
Cash and securities segregated and on deposit for regulatory purposes (3) | $ | 3,612,602 | $ | - | $ | - | $ | - | $ | 3,612,602 | |||||||||||||||||||||||
Securities received as collateral | $ | 11,063 | $ | - | $ | - | $ | - | $ | 11,063 | |||||||||||||||||||||||
Total Level 3 assets | $ | 514,347 | |||||||||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||
Financial instruments sold, not yet purchased: | |||||||||||||||||||||||||||||||||
Corporate equity securities | $ | 1,782,903 | $ | 40,358 | $ | 38 | $ | - | $ | 1,823,299 | |||||||||||||||||||||||
Corporate debt securities | - | 1,346,078 | - | - | 1,346,078 | ||||||||||||||||||||||||||||
U.S. government and federal agency securities | 1,324,326 | - | - | - | 1,324,326 | ||||||||||||||||||||||||||||
Sovereign obligations | 1,360,269 | 471,088 | - | - | 1,831,357 | ||||||||||||||||||||||||||||
Residential mortgage-backed securities | - | 34,691 | - | - | 34,691 | ||||||||||||||||||||||||||||
Loans | - | 672,838 | 22,462 | - | 695,300 | ||||||||||||||||||||||||||||
Derivatives | 43,829 | 2,480,463 | 8,398 | (2,352,611) | 180,079 | ||||||||||||||||||||||||||||
Physical commodities | - | 36,483 | - | - | 36,483 | ||||||||||||||||||||||||||||
Total financial instruments sold, not yet purchased | $ | 4,511,327 | $ | 5,081,999 | $ | 30,898 | $ | (2,352,611) | $ | 7,271,613 | |||||||||||||||||||||||
Obligation to return securities received as collateral | $ | 11,063 | $ | - | $ | - | $ | - | $ | 11,063 | |||||||||||||||||||||||
Other secured financings | $ | - | $ | 31,000 | $ | 8,711 | $ | - | $ | 39,711 | |||||||||||||||||||||||
Embedded conversion option | $ | - | $ | 9,574 | $ | - | $ | - | $ | 9,574 | |||||||||||||||||||||||
-1 | During the nine months ended November 30, 2013, we transferred listed equity options with a fair value of $403.0 million within Financial instruments owned and $423.0 million within Financial instruments sold, not yet purchased from Level 1 to Level 2 as adjustments to the exchange closing price are necessary to best reflect the fair value of the population at its exit price. | ||||||||||||||||||||||||||||||||
-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 include U.S. government securities with a fair value of $304.2 million. | ||||||||||||||||||||||||||||||||
Predecessor | |||||||||||||||||||||||||||||||||
30-Nov-12 | |||||||||||||||||||||||||||||||||
Level 1 (1) | Level 2 (1) | Level 3 | Counterparty and | Total | |||||||||||||||||||||||||||||
Cash Collateral | |||||||||||||||||||||||||||||||||
Netting (2) | |||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||
Financial instruments owned: | |||||||||||||||||||||||||||||||||
Corporate equity securities | $ | 1,608,715 | $ | 137,245 | $ | 16,815 | $ | - | $ | 1,762,775 | |||||||||||||||||||||||
Corporate debt securities | - | 3,034,515 | 3,631 | - | 3,038,146 | ||||||||||||||||||||||||||||
Collateralized debt obligations | - | 87,239 | 31,255 | - | 118,494 | ||||||||||||||||||||||||||||
U.S. government and federal agency securities | 1,720,617 | 115,310 | - | - | 1,835,927 | ||||||||||||||||||||||||||||
Municipal securities | - | 619,969 | - | - | 619,969 | ||||||||||||||||||||||||||||
Sovereign obligations | 1,722,044 | 975,810 | - | - | 2,697,854 | ||||||||||||||||||||||||||||
Residential mortgage-backed securities (5) | - | 3,997,390 | 156,069 | - | 4,153,459 | ||||||||||||||||||||||||||||
Commercial mortgage-backed securities (5) | - | 1,001,581 | 30,202 | - | 1,031,783 | ||||||||||||||||||||||||||||
Other asset-backed securities | - | 93,228 | 1,114 | - | 94,342 | ||||||||||||||||||||||||||||
Loans and other receivables | - | 497,918 | 180,393 | - | 678,311 | ||||||||||||||||||||||||||||
Derivatives (5) | 615,024 | 1,674,062 | 328 | (1,921,122) | 368,292 | ||||||||||||||||||||||||||||
Investments at fair value | - | 43,126 | 83,897 | - | 127,023 | ||||||||||||||||||||||||||||
Physical commodities | - | 144,016 | - | - | 144,016 | ||||||||||||||||||||||||||||
Total financial instruments owned | $ | 5,666,400 | $ | 12,421,409 | $ | 503,704 | $ | (1,921,122) | $ | 16,670,391 | |||||||||||||||||||||||
Level 3 financial instruments for which the firm does not bear economic exposure (3) | (53,289) | ||||||||||||||||||||||||||||||||
Level 3 financial instruments for which the firm bears economic exposure | $ | 450,415 | |||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 2,692,595 | $ | - | $ | - | $ | - | $ | 2,692,595 | |||||||||||||||||||||||
Investments in managed funds | $ | - | $ | - | $ | 57,763 | $ | - | $ | 57,763 | |||||||||||||||||||||||
Cash and securities segregated and on deposit for regulatory purposes (4) | $ | 4,082,595 | $ | - | $ | - | $ | - | $ | 4,082,595 | |||||||||||||||||||||||
Total Level 3 assets for which the firm bears economic exposure | $ | 508,178 | |||||||||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||
Financial instruments sold, not yet purchased: | |||||||||||||||||||||||||||||||||
Corporate equity securities | $ | 1,442,347 | $ | 96,947 | $ | 38 | $ | - | $ | 1,539,332 | |||||||||||||||||||||||
Corporate debt securities | - | 1,389,312 | - | - | 1,389,312 | ||||||||||||||||||||||||||||
U.S. government and federal agency securities | 1,428,746 | 250,387 | - | - | 1,679,133 | ||||||||||||||||||||||||||||
Sovereign obligations | 1,395,355 | 591,624 | - | - | 1,986,979 | ||||||||||||||||||||||||||||
Residential mortgage-backed securities (5) | - | 228,251 | - | - | 228,251 | ||||||||||||||||||||||||||||
Loans | - | 205,516 | 1,711 | - | 207,227 | ||||||||||||||||||||||||||||
Derivatives (5) | 547,605 | 1,753,716 | 9,516 | (2,068,750) | 242,087 | ||||||||||||||||||||||||||||
Physical commodities | - | 183,142 | - | - | 183,142 | ||||||||||||||||||||||||||||
Total financial instruments sold, not yet purchased | $ | 4,814,053 | $ | 4,698,895 | $ | 11,265 | $ | (2,068,750) | $ | 7,455,463 | |||||||||||||||||||||||
(1) | There were no transfers between Level 1 and Level 2 for the year ended November 30, 2012. | ||||||||||||||||||||||||||||||||
(2) | Represents counterparty and cash collateral netting across the levels of the fair value hierarchy for positions with the same counterparty. | ||||||||||||||||||||||||||||||||
(3) | Consists of Level 3 assets attributable to third party or employee noncontrolling interests in certain consolidated entities. | ||||||||||||||||||||||||||||||||
(4) | Cash and securities segregated and on deposit for regulatory purposes include U.S. government securities with a fair value of $404.3 million. | ||||||||||||||||||||||||||||||||
(5) | To-be-announced securities previously classified within Financial instruments owned - mortgage-backed securities and Financial instruments sold, not yet purchased – mortgage-backed securities, have been reclassified to Derivatives (assets) and Derivatives (liabilities), respectively. | ||||||||||||||||||||||||||||||||
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 or Level 3 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 of comparable size, 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 comprise 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. | ||||||||||||||||||||||||||||||||
Collateralized Debt Obligations | |||||||||||||||||||||||||||||||||
Collateralized debt obligations are measured based on prices observed for recently executed market transactions or based on valuations received from third party brokers and are categorized within Level 2 or Level 3 of the fair value hierarchy depending on the observability and significance of the pricing inputs. | |||||||||||||||||||||||||||||||||
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. Non-callable U.S. agency securities are generally categorized within Level 1 and callable U.S. agency securities are categorized within 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, 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: Agency residential mortgage-backed securities 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 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 or Level 3 of the fair value hierarchy. We also use vendor data in developing our assumptions, as appropriate. | ||||||||||||||||||||||||||||||||
— | Non-Agency Residential Mortgage-Backed Securities: 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: GNMA project loan bonds and 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 Commercial Mortgage-Backed Securities: Non-agency commercial mortgage-backed securities 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 and student loans and are categorized within Level 2 and Level 3 of the fair value hierarchy. Valuations are determined using pricing data obtained from external pricing services 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 market transaction data. Corporate loans categorized within Level 3 of the fair value hierarchy are measured based on market 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 GNMA Project and Construction Loans: Valuations of participation certificates in GNMA project and construction loans are based on observed market prices of recently executed purchases of similar loans which are then used to derive a market implied spread, which in turn is used as the primary input in estimating the fair value of loans at the measurement date. The loan participation certificates are categorized within Level 2 of the fair value hierarchy given the observability and volume of recently executed transactions. | ||||||||||||||||||||||||||||||||
— | Project Loans: Valuation of project loans are based on benchmarks of prices for recently executed transactions of related realized collateralized securities and are categorized within Level 2 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 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, 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. | |||||||||||||||||||||||||||||||||
Physical Commodities | |||||||||||||||||||||||||||||||||
Physical commodities include base and precious metals and are measured using observable inputs including spot prices and published indices. Physical commodities are categorized within Level 2 of the fair value hierarchy. To facilitate the trading in precious metals we undertake leasing of such precious metals. The fees earned or paid for such leases are recorded as Principal transaction revenues on the Consolidated Statements of Earnings. | |||||||||||||||||||||||||||||||||
Investments at Fair Value and Investments in Managed Funds | |||||||||||||||||||||||||||||||||
Investments at fair value 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 fair value based on the net asset value of the funds provided by the fund managers and are categorized within Level 2 or Level 3 of 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 and at November 30, 2012, shares in non-U.S. exchanges and clearing houses. Fair value for the insurance contracts is determined using a third party and is categorized within Level 3 of the fair value hierarchy. Fair value for the shares in non-U.S. exchanges and clearing houses is determined based on recent transactions or third party model valuations and is categorized within Level 2 or 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 at November 30, 2013 and 2012 (in thousands): | |||||||||||||||||||||||||||||||||
Successor | |||||||||||||||||||||||||||||||||
30-Nov-13 | |||||||||||||||||||||||||||||||||
Fair Value (7) | Unfunded | Redemption Frequency | |||||||||||||||||||||||||||||||
Commitments | (if currently eligible) | ||||||||||||||||||||||||||||||||
Equity Long/Short Hedge Funds (1) | $ | 20,927 | $ | - | Monthly, Quarterly | ||||||||||||||||||||||||||||
High Yield Hedge Funds(2) | 244 | - | — | ||||||||||||||||||||||||||||||
Fund of Funds(3) | 494 | 94 | — | ||||||||||||||||||||||||||||||
Equity Funds(4) | 66,495 | 40,816 | — | ||||||||||||||||||||||||||||||
Convertible Bond Funds(5) | 3,473 | - | At Will | ||||||||||||||||||||||||||||||
Other Investments(6) | - | - | Bi-Monthly | ||||||||||||||||||||||||||||||
Total(8) | $ | 91,633 | $ | 40,910 | |||||||||||||||||||||||||||||
Predecessor | |||||||||||||||||||||||||||||||||
30-Nov-12 | |||||||||||||||||||||||||||||||||
Fair Value (7) | Unfunded | Redemption Frequency | |||||||||||||||||||||||||||||||
Commitments | (if currently eligible) | ||||||||||||||||||||||||||||||||
Equity Long/Short Hedge Funds (1) | $ | 19,554 | $ | - | Monthly, Quarterly | ||||||||||||||||||||||||||||
High Yield Hedge Funds(2) | 612 | - | — | ||||||||||||||||||||||||||||||
Fund of Funds(3) | 604 | 106 | — | ||||||||||||||||||||||||||||||
Equity Funds(4) | 69,223 | 59,272 | — | ||||||||||||||||||||||||||||||
Convertible Bond Funds(5) | 3,002 | - | At Will | ||||||||||||||||||||||||||||||
Other Investments(6) | 19 | - | Bi-Monthly | ||||||||||||||||||||||||||||||
Total(8) | $ | 93,014 | $ | 59,378 | |||||||||||||||||||||||||||||
-1 | This category includes investments in hedge funds that invest, long and short, in equity securities in domestic and international markets in both the public and private sectors. At November 30, 2013 and 2012, investments representing approximately 98% and 96%, respectively, of the fair value of investments in this category are redeemable with 30 - 65 days prior written notice, and includes an investment in a private asset management fund managed by us with a fair value of $0.5 million at November 30, 2012. The remaining investments in this category cannot be redeemed as they are in liquidation and distributions will be received through the liquidation of the underlying assets of the funds. We are unable to estimate when the underlying assets will be liquidated. | ||||||||||||||||||||||||||||||||
-2 | Includes investments in funds that invest in 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. The underlying assets of the funds are being liquidated and we are unable to estimate when the underlying assets will be fully liquidated. | ||||||||||||||||||||||||||||||||
-3 | Includes investments in fund of funds that invest in various private equity funds. At November 30, 2013 and 2012, approximately 98% and 94%, respectively, of the fair value of investments in this category are managed by us and have no redemption provisions, instead distributions are received through the liquidation of the underlying assets of the fund of funds, which are estimated to be liquidated in approximately two years. For the remaining investments we have requested redemption; however, we are unable to estimate when these funds will be received. | ||||||||||||||||||||||||||||||||
-4 | At November 30, 2013 and 2012, investments representing approximately 99% and 98%, 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. The remaining investments are in liquidation and we are unable to estimate when the underlying assets will be fully liquidated. At November 30, 2013 and 2012, this category includes investments in equity funds managed by us with a fair value of $54.4 million and $55.6 million and unfunded commitments of $39.2 million and $56.9 million, respectively. | ||||||||||||||||||||||||||||||||
-5 | Investment in the Jefferies Umbrella Fund, an open-ended investment company managed by us that invests primarily in convertible bonds. The investment is redeemable with 5 days prior written notice. | ||||||||||||||||||||||||||||||||
-6 | Other investments at November 30, 2012 included investments in funds that invest in commodity futures and options contracts, which were sold in fiscal 2013 as a result of the spin-off of CoreCommodity Management, LLC. | ||||||||||||||||||||||||||||||||
-7 | Fair value has been estimated using the net asset value derived from each of the funds’ capital statements. | ||||||||||||||||||||||||||||||||
-8 | Investments at fair value in the Consolidated Statements of Financial Condition at November 30, 2013 and 2012 include $66.9 million and $91.8 million, respectively, of direct investments which do not have the characteristics of investment companies and therefore not included within this table. We have unfunded commitments to such investments of $3.3 million in aggregate at November 30, 2013. | ||||||||||||||||||||||||||||||||
Other Secured Financings | |||||||||||||||||||||||||||||||||
Other secured financings include the notes issued by consolidated VIEs, which are classified as Level 2 within the fair value hierarchy. Fair value is based on recent transaction prices. In addition, at November 30. 2013, Other secured financings includes $8.7 million related to transfers of loans accounted for as secured financings rather than as sales. At November 30, 2012, Other secured financings includes mortgage-backed securities issued by a VIE for which we are deemed the primary beneficiary, categorized within Level 3 of the fair value hierarchy and measured using a discounted cashflow model with discount yield being a significant input. | |||||||||||||||||||||||||||||||||
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 2 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. | |||||||||||||||||||||||||||||||||
Pricing Information | |||||||||||||||||||||||||||||||||
At November 30, 2013 and 2012, our Financial instruments owned and Financial instruments sold, not yet purchased are measured using different valuation bases as follows: | |||||||||||||||||||||||||||||||||
Successor | Predecessor | ||||||||||||||||||||||||||||||||
November 30, 2013 | November 30, 2012 | ||||||||||||||||||||||||||||||||
Financial | Financial | Financial | Financial | ||||||||||||||||||||||||||||||
Instruments Owned | Instruments Sold, | Instruments Owned | Instruments Sold, | ||||||||||||||||||||||||||||||
Not Yet | Not Yet | ||||||||||||||||||||||||||||||||
Purchased | Purchased | ||||||||||||||||||||||||||||||||
Exchange closing prices | 12% | 25% | 11% | 19% | |||||||||||||||||||||||||||||
Recently observed transaction prices | 5% | 4% | 5% | 6% | |||||||||||||||||||||||||||||
External pricing services | 68% | 66% | 70% | 71% | |||||||||||||||||||||||||||||
Broker quotes | 3% | 3% | 1% | 0% | |||||||||||||||||||||||||||||
Valuation techniques | 12% | 2% | 13% | 4% | |||||||||||||||||||||||||||||
100% | 100% | 100% | 100% | ||||||||||||||||||||||||||||||
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 November 30, 2013 (in thousands): | |||||||||||||||||||||||||||||||||
Successor | |||||||||||||||||||||||||||||||||
Nine Months Ended November 30, 2013 | |||||||||||||||||||||||||||||||||
Balance, | Total gains/ | Purchases | Sales | Settlements | Net | Balance, | |||||||||||||||||||||||||||
February 28, | losses | transfers | November 30, | Change in | |||||||||||||||||||||||||||||
2013 | (realized and | into/ (out | 2013 | unrealized gains/ | |||||||||||||||||||||||||||||
unrealized) | of) | (losses) relating | |||||||||||||||||||||||||||||||
-1 | Level 3 | to instruments | |||||||||||||||||||||||||||||||
still held at | |||||||||||||||||||||||||||||||||
November 30, | |||||||||||||||||||||||||||||||||
2013 (1) | |||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||
Financial instruments owned: | |||||||||||||||||||||||||||||||||
Corporate equity securities | $ | 13,234 | $ | 1,551 | $ | 3,583 | $ | -7,141 | $- | $ | -1,343 | $ | 9,884 | $ | -419 | ||||||||||||||||||
Corporate debt securities | 31,820 | -2,454 | 31,014 | -34,125 | - | -589 | 25,666 | -2,749 | |||||||||||||||||||||||||
Collateralized debt obligations | 24,736 | -2,309 | 45,437 | -32,874 | - | 2,226 | 37,216 | -8,384 | |||||||||||||||||||||||||
Residential mortgage-backed securities | 169,426 | -4,897 | 89,792 | -150,807 | -11,007 | 12,985 | 105,492 | -6,932 | |||||||||||||||||||||||||
Commercial mortgage-backed securities | 17,794 | (4,469) | 20,130 | -13,538 | -100 | -2,249 | 17,568 | -3,794 | |||||||||||||||||||||||||
Other asset-backed securities | 1,292 | -4,535 | 105,291 | (104,711) | - | 15,274 | 12,611 | -3,497 | |||||||||||||||||||||||||
Loans and other receivables | 170,986 | 15,008 | 287,757 | -115,231 | -211,805 | -825 | 145,890 | 13,402 | |||||||||||||||||||||||||
Investments, at fair value | 75,067 | 1,678 | 28,594 | -102 | -5,012 | 1,017 | 101,242 | 1,705 | |||||||||||||||||||||||||
Investments in managed funds | 59,976 | 9,863 | 15,651 | -17 | -28,188 | - | 57,285 | 9,863 | |||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||
Financial instruments sold, not yet purchased: | |||||||||||||||||||||||||||||||||
Corporate equity securities | $ | 38 | $- | $- | $- | $- | $- | $ | 38 | $- | |||||||||||||||||||||||
Residential mortgage-backed securities | 1,542 | -1,542 | - | - | - | - | - | - | |||||||||||||||||||||||||
Net derivatives (2) | 11,185 | 4,408 | - | -300 | -8,515 | 127 | 6,905 | 1,609 | |||||||||||||||||||||||||
Loans | 7,398 | 2,959 | (16,027) | 28,065 | 67 | - | 22,462 | -2,970 | |||||||||||||||||||||||||
-1 | Realized and unrealized gains/losses are reported in Principal transactions in the Consolidated Statements of Earnings. | ||||||||||||||||||||||||||||||||
-2 | Net derivatives represent Financial instruments owned – Derivatives and Financial instruments sold, not yet purchased – Derivatives. | ||||||||||||||||||||||||||||||||
In addition to the above changes in the fair value of our financial assets and liabilities that have been categorized within Level 3 of the fair value hierarchy, during the nine months ended November 30, 2013, secured financings of $8.7 million were issued. | |||||||||||||||||||||||||||||||||
Analysis of Level 3 Assets and Liabilities for the Nine Months Ended November 30, 2013 | |||||||||||||||||||||||||||||||||
During the nine months ended November 30, 2013, transfers of assets of $82.4 million from Level 2 to Level 3 of the fair value hierarchy are attributed to: | |||||||||||||||||||||||||||||||||
— | Non-agency residential mortgage-backed securities of $58.8 million and other asset-backed securities of $16.4 million for which no recent trade activity was observed for purposes of determining observable inputs; | ||||||||||||||||||||||||||||||||
— | Loans and other receivables of $0.8 million due to a lower number of contributors comprising vendor quotes to support classification within Level 2. | ||||||||||||||||||||||||||||||||
— | Corporate equity securities of $2.3 million, corporate debt securities of $0.2 million and investments at fair value of $1.0 million due to lack of observable market transactions; | ||||||||||||||||||||||||||||||||
— | Collateralized debt obligations of $2.8 million which have little to no transparency in trade activity; | ||||||||||||||||||||||||||||||||
During the nine months ended November 30, 2013, transfers of assets of $55.9 million from Level 3 to Level 2 are attributed to: | |||||||||||||||||||||||||||||||||
— | Non-agency residential mortgage-backed securities of $45.9 million, commercial mortgage-backed securities of $2.2 million and other asset-backed securities of $1.1 million for which market trades were observed in the period for either identical or similar securities; | ||||||||||||||||||||||||||||||||
— | Collateralized debt obligations of $0.6 million and loans and other receivables of $1.7 million due to a greater number of contributors for certain vendor quotes supporting classification into Level 2; | ||||||||||||||||||||||||||||||||
— | Corporate equity securities of $3.6 million and corporate debt securities of $0.8 million due to an increase in observable market transactions. | ||||||||||||||||||||||||||||||||
During the nine months ended November 30, 2013, there were no transfers of liabilities from Level 2 to Level 3 and there were $0.1 million transfers of net derivative liabilities from Level 3 to Level 2 due to an increase in observable inputs used in the valuing of derivative contracts. | |||||||||||||||||||||||||||||||||
Net gains on Level 3 assets were $9.4 million and net losses on Level 3 liabilities were $5.8 million for the nine months ended November 30, 2013, respectively. Net gains on Level 3 assets were primarily due to increased valuations of certain corporate equity securities, loans and other receivables, investments at fair value and investments in managed funds, partially offset by a decrease in valuation of certain corporate debt securities, collateralized debt obligations, residential and commercial mortgage-backed securities and other asset-backed securities. Net losses on Level 3 liabilities were primarily due to increased valuations of certain derivative instruments and loan positions. | |||||||||||||||||||||||||||||||||
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 February 28, 2013 (in thousands): | |||||||||||||||||||||||||||||||||
Predecessor | |||||||||||||||||||||||||||||||||
Three Months Ended February 28, 2013 (3) | |||||||||||||||||||||||||||||||||
Balance, | Total gains/ | Purchases | Sales | Settlements | Net | Balance, | Change in | ||||||||||||||||||||||||||
November 30, | losses | transfers | February 28, | unrealized gains/ | |||||||||||||||||||||||||||||
2012 | (realized and | into/ (out | 2013 | (losses) relating | |||||||||||||||||||||||||||||
unrealized) | of) | to instruments | |||||||||||||||||||||||||||||||
-1 | Level 3 | still held at | |||||||||||||||||||||||||||||||
February 28, | |||||||||||||||||||||||||||||||||
2013 (1) | |||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||
Financial instruments owned: | |||||||||||||||||||||||||||||||||
Corporate equity securities | $ | 16,815 | $ | 200 | $ | 707 | $ | 109 | $ | - | $ | -4,597 | $ | 13,234 | $ | 172 | |||||||||||||||||
Corporate debt securities | 3,631 | 7,836 | 11,510 | -1,918 | - | 10,761 | 31,820 | 7,833 | |||||||||||||||||||||||||
Collateralized debt obligations | 31,255 | 3,584 | 4,406 | -17,374 | - | 2,865 | 24,736 | -1,165 | |||||||||||||||||||||||||
Residential mortgage-backed securities | 156,069 | 11,906 | 132,773 | -130,143 | -6,057 | 4,878 | 169,426 | 4,511 | |||||||||||||||||||||||||
Commercial mortgage-backed securities | 30,202 | -995 | 2,280 | -2,866 | -1,188 | -9,639 | 17,794 | -2,059 | |||||||||||||||||||||||||
Other asset-backed securities | 1,114 | 90 | 1,627 | -1,342 | -19 | -178 | 1,292 | 39 | |||||||||||||||||||||||||
Loans and other receivables | 180,393 | (8,682) | 105,650 | (29,828) | (61,407) | (15,140) | 170,986 | (12,374) | |||||||||||||||||||||||||
Investments, at fair value | 83,897 | 961 | 5,952 | -4,923 | -9,721 | -1,099 | 75,067 | 1,171 | |||||||||||||||||||||||||
Investments in managed funds | 57,763 | -363 | 11,068 | - | -8,492 | - | 59,976 | -363 | |||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||
Financial instruments sold, not yet purchased: | |||||||||||||||||||||||||||||||||
Corporate equity securities | $ | 38 | $ | - | $ | - | $ | - | $ | - | $ | - | $ | 38 | $ | - | |||||||||||||||||
Residential mortgage-backed securities | - | 25 | -73,846 | 75,363 | - | - | 1,542 | -19 | |||||||||||||||||||||||||
Net derivatives (2) | 9,188 | 2,648 | - | - | - | -651 | 11,185 | 2,648 | |||||||||||||||||||||||||
Loans | 1,711 | - | -1,711 | 7,398 | - | - | 7,398 | - | |||||||||||||||||||||||||
-1 | Realized and unrealized gains/losses are reported in Principal transactions in the Consolidated Statements of Earnings. | ||||||||||||||||||||||||||||||||
-2 | Net derivatives represent Financial instruments owned – Derivatives and Financial instruments sold, not yet purchased – Derivatives. | ||||||||||||||||||||||||||||||||
-3 | There were no issuances during the three months ended February 28, 2013. | ||||||||||||||||||||||||||||||||
Analysis of Level 3 Assets and Liabilities for the Three Months Ended February 28, 2013 | |||||||||||||||||||||||||||||||||
During the three months ended February 28, 2013, transfers of assets of $100.5 million from Level 2 to Level 3 of the fair value hierarchy are attributed to: | |||||||||||||||||||||||||||||||||
— | Non-agency residential mortgage-backed securities of $78.4 million and commercial mortgage-backed securities of $1.3 million for which no recent trade activity was observed for purposes of determining observable inputs; | ||||||||||||||||||||||||||||||||
— | Corporate debt securities of $10.8 million and corporate equity securities of $0.1 million due to lack of observable market transactions; | ||||||||||||||||||||||||||||||||
— | Collateralized debt obligations of $5.3 million which have little to no transparency in trade activity; | ||||||||||||||||||||||||||||||||
— | Loans and other receivables of $4.8 million due to a lower number of contributors comprising vendor quotes to support classification within Level 2. | ||||||||||||||||||||||||||||||||
During the three months ended February 28, 2013, transfers of assets of $112.7 million from Level 3 to Level 2 are attributed to: | |||||||||||||||||||||||||||||||||
— | Non-agency residential mortgage-backed securities of $73.5 million, commercial mortgage-backed securities of $10.9 million and $0.2 million of other asset-backed securities for which market trades were observed in the period for either identical or similar securities; | ||||||||||||||||||||||||||||||||
— | Loans and other receivables of $19.9 million and collateralized debt obligations of $2.4 million due to a greater number of contributors for certain vendor quotes supporting classification into Level 2; | ||||||||||||||||||||||||||||||||
— | Corporate equity securities of $4.7 million due to an increase in observable market transactions. | ||||||||||||||||||||||||||||||||
During the three months ended February 28, 2013, there were no transfers of liabilities from Level 2 to Level 3 and there were $0.7 million transfers of net derivative liabilities from Level 3 to Level 2 due to an increase in observable significant inputs used in valuing the derivative contracts. | |||||||||||||||||||||||||||||||||
Net gains on Level 3 assets were $14.5 million and net losses on Level 3 liabilities were $2.7 million for the three months ended February 28, 2013. Net gains on Level 3 assets were primarily due to increased valuations of certain residential mortgage-backed securities, corporate debt securities, collateralized debt obligations and investments at fair value partially offset by a decrease in valuation of certain loans and other receivables, commercial mortgage backed securities and investments in managed funds. Net losses on Level 3 liabilities were primarily due to increased valuations of certain derivative instruments. | |||||||||||||||||||||||||||||||||
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 year ended November 30, 2012 (in thousands): | |||||||||||||||||||||||||||||||||
Predecessor | |||||||||||||||||||||||||||||||||
Year Ended November 30, 2012 (3) | |||||||||||||||||||||||||||||||||
Balance, | Total gains/ | Purchases | Sales | Settlements | Net | Balance, | |||||||||||||||||||||||||||
November 30, | losses | transfers | November 30, | Change in | |||||||||||||||||||||||||||||
2011 | (realized and | into/ (out | 2012 | unrealized gains/ | |||||||||||||||||||||||||||||
unrealized) | of) | (losses) relating | |||||||||||||||||||||||||||||||
-1 | Level 3 | to instruments | |||||||||||||||||||||||||||||||
still held at | |||||||||||||||||||||||||||||||||
November 30, | |||||||||||||||||||||||||||||||||
2012 (1) | |||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||
Financial instruments owned: | |||||||||||||||||||||||||||||||||
Corporate equity securities | $ | 13,489 | $ | -4,167 | $ | 14,760 | $ | -7,878 | $ | - | $ | 611 | $ | 16,815 | $ | -6,199 | |||||||||||||||||
Corporate debt securities | 48,140 | -1,651 | 34,814 | -69,969 | -1,276 | -6,427 | 3,631 | -1,286 | |||||||||||||||||||||||||
Collateralized debt obligations | 47,988 | 4,882 | 4,369 | -64,915 | -3,892 | 42,823 | 31,255 | -1,524 | |||||||||||||||||||||||||
Municipal securities | 6,904 | -74 | - | -1,449 | - | -5,381 | - | - | |||||||||||||||||||||||||
Sovereign obligations | 140 | - | - | - | - | -140 | - | - | |||||||||||||||||||||||||
Residential mortgage-backed securities | 149,965 | 36,183 | 266,692 | -278,068 | -58,005 | 39,302 | 156,069 | -6,445 | |||||||||||||||||||||||||
Commercial mortgage-backed securities | 52,407 | -7,715 | 14,058 | -23,797 | -1,241 | -3,510 | 30,202 | -6,042 | |||||||||||||||||||||||||
Other asset-backed securities | 3,284 | -20 | 8,749 | -8,627 | -52 | -2,220 | 1,114 | -32 | |||||||||||||||||||||||||
Loans and other receivables | 97,291 | -2,475 | 299,929 | -104,155 | -143,960 | 33,763 | 180,393 | -4,335 | |||||||||||||||||||||||||
Investments, at fair value | 78,326 | 14,965 | 4,060 | -6 | -13,448 | - | 83,897 | 13,642 | |||||||||||||||||||||||||
Investments in managed funds | 70,740 | -11,102 | 12,683 | - | -14,558 | - | 57,763 | -11,101 | |||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||
Financial instruments sold, not yet purchased: | |||||||||||||||||||||||||||||||||
Corporate equity securities | $ | - | $ | 38 | $ | - | $ | - | $ | - | $ | - | $ | 38 | $ | 38 | |||||||||||||||||
Corporate debt securities | 74 | -15 | -59 | - | - | - | - | - | |||||||||||||||||||||||||
Net derivatives (2) | 9,285 | 2,505 | -389 | - | - | -2,213 | 9,188 | 3,728 | |||||||||||||||||||||||||
Loans | 10,157 | - | -10,157 | 1,711 | - | - | 1,711 | - | |||||||||||||||||||||||||
-1 | Realized and unrealized gains/losses are reported in Principal transactions in the Consolidated Statements of Earnings. | ||||||||||||||||||||||||||||||||
-2 | Net derivatives represent Financial instruments owned – Derivatives and Financial instruments sold, not yet purchased – Derivatives. | ||||||||||||||||||||||||||||||||
-3 | There were no issuances during the year ended November 30, 2012. | ||||||||||||||||||||||||||||||||
Analysis of Level 3 Assets and Liabilities for the Year Ended November 30, 2012 | |||||||||||||||||||||||||||||||||
During the year ended November 30, 2012, transfers of assets of $180.6 million from Level 2 to Level 3 are attributed to: | |||||||||||||||||||||||||||||||||
— | Non-agency residential mortgage-backed securities of $53.4 million and commercial mortgage-backed securities of $11.7 million for which no recent trade activity was observed for purposes of determining observable inputs; | ||||||||||||||||||||||||||||||||
— | Loans and other receivables of $62.2 million due to a lower number of contributors comprising vendor quotes to support classification within Level 2 as less market interest likely existed for the specific loans during the period; | ||||||||||||||||||||||||||||||||
— | Collateralized debt obligations of $51.0 million which have little to no transparency in trade activity; and | ||||||||||||||||||||||||||||||||
— | Corporate debt securities of $1.3 million and corporate equity securities of $0.9 million due to lack of observable market transactions. | ||||||||||||||||||||||||||||||||
During the year ended November 30, 2012, transfers of assets of $81.8 million from Level 3 to Level 2 are attributed to: | |||||||||||||||||||||||||||||||||
— | Loans and other receivables of $28.4 million and collateralized debt obligations of $8.2 million due to a greater number of contributors for certain vendor quotes supporting classification into Level 2; | ||||||||||||||||||||||||||||||||
— | Commercial mortgage-backed securities of $15.2 million, non-agency residential mortgage-backed securities of $14.1 million and $2.4 million of other asset-backed securities for which market trades were observed in the period for either identical or similar securities or for which vendor prices were corroborated to actual market transactions; and | ||||||||||||||||||||||||||||||||
— | Corporate debt securities of $7.8 million and municipal securities of $5.4 million due to increased observability of trades in certain debt and municipal securities. | ||||||||||||||||||||||||||||||||
During the year ended November 30, 2012 there were no transfers of liabilities from Level 2 to Level 3 and there were $2.2 million transfers of net derivative liabilities from Level 3 to Level 2 due to an increase in observable significant inputs used in valuing the derivative contracts. | |||||||||||||||||||||||||||||||||
Net gains on Level 3 assets were $28.8 million and net losses on Level 3 liabilities were $2.5 million for the year ended November 30, 2012. Net gains on Level 3 assets were primarily due to increased valuations of certain residential mortgage-backed securities, investments at fair value and collateralized debt obligations, partially offset by a decreased in valuation of certain investments in managed funds, commercial mortgage backed securities, loans and other receivables, and corporate debt securities. Net losses on Level 3 liabilities were primarily due to increased valuations of certain derivative instruments. | |||||||||||||||||||||||||||||||||
Components or portions of interest rate and credit risk related to mortgage-backed securities categorized within Level 3 of the fair value hierarchy are frequently economically hedged with U.S. Treasury and Eurodollar futures and short U.S. Treasury securities, which are categorized within Level 1 liabilities, and with interest rate swaps and, to a lesser extent, index credit default swaps categorized within Level 2 assets or liabilities. Accordingly, a portion of the gains and losses on mortgage-backed securities reported in Level 3 are offset by gains and losses from the economic hedges attributed to instruments categorized within Level 1 and Level 2. Economic hedging is often executed on a macro-basis for a given asset class rather than an instrument-specific basis. Valuation inputs and prices for hedging instruments categorized within Level 1 and Level 2 provide a level of observability used in valuing Level 3 mortgage-backed securities; however, other inputs, such as prepayment, default rates and other credit specific factors are significant to the valuation and are not derived from the prices of the hedging instruments. Basis risk differences may also arise between the Level 3 mortgage-backed securities and the Level 1 and Level 2 hedging instruments due to the underlying interest rates and the underlying credits comprising the referenced credit index. Hedge effectiveness is limited by factors that include idiosyncratic collateral performance and basis risk as well as the sizing of the macro-hedge. | |||||||||||||||||||||||||||||||||
Quantitative Information about Significant Unobservable Inputs used in Level 3 Fair Value Measurements at November 30, 2013 and 2012 | |||||||||||||||||||||||||||||||||
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 quarters 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. | |||||||||||||||||||||||||||||||||
Successor | |||||||||||||||||||||||||||||||||
November 30, 2013 | |||||||||||||||||||||||||||||||||
Financial Instruments | Fair Value | Valuation | Significant | Input / Range | Weighted | ||||||||||||||||||||||||||||
Owned | (in thousands) | Technique | Unobservable | Average | |||||||||||||||||||||||||||||
Input(s) | |||||||||||||||||||||||||||||||||
Corporate equity securities | $ | 8,034 | |||||||||||||||||||||||||||||||
Non-exchange traded securities | Market approach | EBITDA (a) multiple | 4.0 to 5.5 | 4.53 | |||||||||||||||||||||||||||||
Warrants | Option model | Volatility | 36% | ||||||||||||||||||||||||||||||
Corporate debt securities | $ | 17,699 | |||||||||||||||||||||||||||||||
Scenario analysis | Estimated recovery percentage | 24% | |||||||||||||||||||||||||||||||
Comparable pricing | Comparable bond or loan price | $69.10 to $70.50 | $69.91 | ||||||||||||||||||||||||||||||
Market approach | Yield | 13% | |||||||||||||||||||||||||||||||
Collateralized debt obligations | $ | 34,316 | |||||||||||||||||||||||||||||||
Discounted cash flows | Constant prepayment rate | 0% to 20% | 13% | ||||||||||||||||||||||||||||||
Constant default rate | 2% to 3% | 2% | |||||||||||||||||||||||||||||||
Loss severity | 30% to 85% | 38% | |||||||||||||||||||||||||||||||
Yield | 3% to 91% | 28% | |||||||||||||||||||||||||||||||
Residential mortgage-backed securities | $ | 105,492 | |||||||||||||||||||||||||||||||
Discounted cash flows | Constant prepayment rate | 2% to 50% | 11% | ||||||||||||||||||||||||||||||
Constant default rate | 1% to 100% | 17% | |||||||||||||||||||||||||||||||
Loss severity | 30% to 90% | 48% | |||||||||||||||||||||||||||||||
Yield | 0% to 20% | 7% | |||||||||||||||||||||||||||||||
Commercial mortgage-backed securities | $ | 17,568 | |||||||||||||||||||||||||||||||
Discounted cash flows | Yield | 12% to 20% | 14% | ||||||||||||||||||||||||||||||
Cumulative loss rate | 5% to 28.2% | 11% | |||||||||||||||||||||||||||||||
Other asset-backed securities | $ | 12,611 | |||||||||||||||||||||||||||||||
Discounted cash flows | Constant prepayment rate | 4% to 30% | 17% | ||||||||||||||||||||||||||||||
Constant default rate | 2% to 11% | 7% | |||||||||||||||||||||||||||||||
Loss severity | 40% to 92% | 64% | |||||||||||||||||||||||||||||||
Yield | 3% to 29% | 18% | |||||||||||||||||||||||||||||||
Loans and other receivables | $ | 101,931 | |||||||||||||||||||||||||||||||
Comparable pricing | Comparable bond or loan price | $91 to $101 | $98.90 | ||||||||||||||||||||||||||||||
Market approach | Yield | 8.75% to 13.5% | 10% | ||||||||||||||||||||||||||||||
EBITDA (a) multiple | 6.9 | ||||||||||||||||||||||||||||||||
Scenario analysis | Estimated recovery percentage | 16.9% to 92% | 74% | ||||||||||||||||||||||||||||||
Derivatives | $ | 1,493 | |||||||||||||||||||||||||||||||
Loan commitments | Comparable pricing | Comparable bond or loan price | $100.88 | ||||||||||||||||||||||||||||||
Investments at fair value | $ | 30,203 | |||||||||||||||||||||||||||||||
Private equity securities | Comparable pricing | Comparable share price | $414 | ||||||||||||||||||||||||||||||
Market approach | Discount rate | 15% to 30% | 23% | ||||||||||||||||||||||||||||||
Financial Instruments | Fair Value | Valuation Technique | Significant | Input / Range | Weighted | ||||||||||||||||||||||||||||
Sold, Not Yet Purchased | (in thousands) | Unobservable | Average | ||||||||||||||||||||||||||||||
Input(s) | |||||||||||||||||||||||||||||||||
Derivatives | $ | 8,398 | |||||||||||||||||||||||||||||||
Equity options | Option model | Volatility | 36.25% to 41% | 39% | |||||||||||||||||||||||||||||
Loans | 8,106 | ||||||||||||||||||||||||||||||||
Comparable pricing | Comparable bond or loan price | $101.88 | |||||||||||||||||||||||||||||||
(a) Earnings before interest, taxes, depreciation and amortization (“EBITDA”). | |||||||||||||||||||||||||||||||||
Predecessor | |||||||||||||||||||||||||||||||||
November 30, 2012 | |||||||||||||||||||||||||||||||||
Financial Instruments Owned | Fair Value | Valuation | Range | ||||||||||||||||||||||||||||||
(in thousands) | Technique | Significant | |||||||||||||||||||||||||||||||
Unobservable | |||||||||||||||||||||||||||||||||
Input(s) | |||||||||||||||||||||||||||||||||
Corporate equity securities | $ | 16,815 | |||||||||||||||||||||||||||||||
Non-exchange traded securities | Market approach | EBITDA (a) multiple | 4.0 to 16.3 | ||||||||||||||||||||||||||||||
Scenario analysis | Estimated recovery percentage | 35% | |||||||||||||||||||||||||||||||
Warrants | Option model | Volatility | 39% | ||||||||||||||||||||||||||||||
Collateralized debt obligations | $ | 26,705 | |||||||||||||||||||||||||||||||
Discounted cash flows | Constant prepayment rate | 0% to 5% | |||||||||||||||||||||||||||||||
Constant default rate | 0% to 10% | ||||||||||||||||||||||||||||||||
Loss severity | 13% to 75% | ||||||||||||||||||||||||||||||||
Yield | 10% to 35% | ||||||||||||||||||||||||||||||||
Residential mortgage-backed securities | $ | 156,069 | |||||||||||||||||||||||||||||||
Discounted cash flows | Constant prepayment rate | 0% to 25% | |||||||||||||||||||||||||||||||
Constant default rate | 0% to 50% | ||||||||||||||||||||||||||||||||
Loss severity | 0% to 80% | ||||||||||||||||||||||||||||||||
Yield | 1% to 50% | ||||||||||||||||||||||||||||||||
Commercial mortgage-backed securities | $ | 30,202 | |||||||||||||||||||||||||||||||
Discounted cash flows | Yield | 22% to 57% | |||||||||||||||||||||||||||||||
Cumulative loss rate | 2% to 20% | ||||||||||||||||||||||||||||||||
Loans and other receivables | $ | 153,365 | |||||||||||||||||||||||||||||||
Comparable pricing | Comparable bond or loan price | $81.88 to $101.25 | |||||||||||||||||||||||||||||||
Discounted cash flows | Yield | 19% | |||||||||||||||||||||||||||||||
Cumulative loss rate | 0% | ||||||||||||||||||||||||||||||||
Market approach | Yield | 5% to 54% | |||||||||||||||||||||||||||||||
EBITDA (a) multiple | 8.3 | ||||||||||||||||||||||||||||||||
Scenario analysis | Estimated recovery percentage | 15% | |||||||||||||||||||||||||||||||
Investments at fair value | $ | 32,751 | |||||||||||||||||||||||||||||||
Private equity securities | Market approach | EBITDA (a) multiple | 6.6 | ||||||||||||||||||||||||||||||
Comparable pricing | Comparable share price | $400.00 | |||||||||||||||||||||||||||||||
Scenario analysis | Estimated recovery percentage | 50% | |||||||||||||||||||||||||||||||
Financial Instruments Sold, | Fair Value | Valuation | Significant | Range | |||||||||||||||||||||||||||||
Not Yet Purchased | (in thousands) | Technique | Unobservable | ||||||||||||||||||||||||||||||
Input(s) | |||||||||||||||||||||||||||||||||
Derivatives | $ | (9,516 | ) | ||||||||||||||||||||||||||||||
Equity options | Option model | Volatility | 39% | ||||||||||||||||||||||||||||||
Loan commitments | Comparable pricing | Comparable bond or loan price | $ | 101.13 | |||||||||||||||||||||||||||||
(a) Earnings before interest, taxes, depreciation and amortization (“EBITDA”). | |||||||||||||||||||||||||||||||||
The fair values of certain Level 3 assets and liabilities that were determined based on third-party pricing information, unadjusted past transaction prices, reported net asset value or a percentage of the reported enterprise fair value are excluded from the above table. At November 30, 2013 and 2012, asset exclusions consisted of $127.7 million and $82.7 million, respectively, primarily comprised of investments in private equity securities, investments in reinsurance contracts, certain collateralized debt obligations and corporate loans. At November 30, 2013 and 2012, liability exclusions consisted of $14.4 million and $14.4 million, respectively of corporate loan commitments. | |||||||||||||||||||||||||||||||||
Sensitivity of Fair Values to Changes in Significant Unobservable Inputs | |||||||||||||||||||||||||||||||||
For recurring fair value measurements categorized within Level 3 of the fair value hierarchy, the sensitivity of the fair value measurement to changes in significant unobservable inputs and interrelationships between those unobservable inputs (if any) are described below: | |||||||||||||||||||||||||||||||||
— | Private equity securities, corporate debt securities, loans and other receivables and loan commitments using comparable pricing valuation techniques. A significant increase (decrease) in the comparable share, bond or loan price in isolation would result in a significant higher (lower) fair value measurement. | ||||||||||||||||||||||||||||||||
— | Non-exchange traded securities, corporate debt securities and loans and other receivables using a market approach valuation technique. A significant increase (decrease) in the EBITDA or other multiples in isolation would result in a significantly higher (lower) fair value measurement. A significant increase (decrease) in the yield of a corporate debt security, loan and other receivable would result in a significantly lower (higher) fair value measurement. A significant increase (decrease) in the discount rate of a private equity security would result in a significantly lower (higher) fair value measurement. | ||||||||||||||||||||||||||||||||
— | Corporate debt securities and loans and other receivables using scenario analysis. A significant increase (decrease) in the possible recovery rates of the cash flow outcomes underlying the investment would result in a significantly higher (lower) fair value measurement for the financial instrument. | ||||||||||||||||||||||||||||||||
— | Collateralized debt obligations, residential and commercial mortgage-backed securities and other asset-backed securities using a discounted cash flow valuation technique. A significant increase (decrease) in isolation in the constant default rate, loss severities or cumulative loss rate and discount rate would result in a significantly lower (higher) fair value measurement. The impact of changes in the constant prepayment rate would have differing impacts depending on the capital structure of the security. A significant increase (decrease) in the loan or bond yield would result in a significant lower (higher) fair value measurement. | ||||||||||||||||||||||||||||||||
— | Derivative equity options and equity warrants using an option model. A significant increase (decrease) in volatility would result in a significant higher (lower) fair value measurement. | ||||||||||||||||||||||||||||||||
Fair Value Option Election | |||||||||||||||||||||||||||||||||
We have elected the fair value option for all loans and loan commitments made by our capital markets businesses. These loans and loan commitments include loans entered into by our investment banking division in connection with client bridge financing and loan syndications, loans purchased by our leveraged credit trading desk as part of its bank loan trading activities and mortgage loan commitments and fundings in connection with mortgage-backed securitization activities. Loans and loan commitments originated or purchased by our leveraged credit and mortgage-backed businesses are managed on a fair value basis. Loans are included in Financial instruments owned and loan commitments are included in Financial instruments owned-derivatives and Financial instruments sold, not yet purchased – derivatives on the Consolidated Statements of Financial Condition. The fair value option election is not applied to loans made to affiliate entities as such loans are entered into as part of ongoing, strategic business ventures. Loans to affiliate entities are included within Loans to and investments in related parties on the Consolidated Statements of Financial Condition and are accounted for on an amortized cost basis. We have elected the fair value option for our investment in Knight Capital Group, Inc., which is included in Financial Instruments owned – Corporate equity securities on the Consolidated Statement of Financial Condition. See Note 12, Investments for further details regarding our investment in Knight Capital Group, Inc. We have also elected the fair value option for certain financial instruments held by subsidiaries as the investments are risk managed by us on a fair value basis. The fair value option has also been elected for certain secured financings that arise in connection with our securitization activities and other structural financings. Other secured financings, Receivables – Brokers, dealers and clearing organizations, Receivables – Customers, Receivables – Fees, interest and other, Payables – Brokers, dealers and clearing organizations and Payables – Customers, are not accounted for at fair value; however, the recorded amounts approximate fair value due to their liquid or short-term nature. | |||||||||||||||||||||||||||||||||
The following is a summary of gains (losses) due to changes in instrument specific credit risk on loans and other receivables and loan commitments measured at fair value under the fair value option (in thousands): | |||||||||||||||||||||||||||||||||
Successor | Predecessor | ||||||||||||||||||||||||||||||||
Nine Months Ended | Three Months Ended | Year Ended | |||||||||||||||||||||||||||||||
November 30, 2013 | February 28, 2013 | November 30, 2012 | |||||||||||||||||||||||||||||||
Financial Instruments Owned: | |||||||||||||||||||||||||||||||||
Loans and other receivables | $ | 15,327 | $ | 3,924 | $ | 24,547 | |||||||||||||||||||||||||||
Financial Instruments Sold: | |||||||||||||||||||||||||||||||||
Loans | $ | (32) | $ | - | $ | (55) | |||||||||||||||||||||||||||
Loan commitments | (1,007) | (2,746) | (7,155) | ||||||||||||||||||||||||||||||
The following is a summary of the amount by which contractual principal exceeds fair value for loans and other receivables measured at fair value under the fair value option (in thousands): | |||||||||||||||||||||||||||||||||
Successor | Predecessor | ||||||||||||||||||||||||||||||||
November 30, | November 30, | ||||||||||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||||||||||
Financial Instruments Owned: | |||||||||||||||||||||||||||||||||
Loans and other receivables (2) | $ | 264,896 | $ | 256,271 | |||||||||||||||||||||||||||||
Loans greater than 90 days past due (1) (2) | - | 10,433 | |||||||||||||||||||||||||||||||
-1 | The aggregate fair value of loans that were 90 or more days past due was $0 and $34.7 million at November 30, 2013 and 2012. | ||||||||||||||||||||||||||||||||
-2 | Interest income is recognized separately from other changes in fair value and is included within Interest revenues on the Consolidated Statements of Earnings. | ||||||||||||||||||||||||||||||||
There were no loan receivables on nonaccrual status at November 30, 2013 and 2012. |
Derivative_Financial_Instrumen
Derivative Financial Instruments | 12 Months Ended | ||||||||||||||||||||
Nov. 30, 2013 | |||||||||||||||||||||
Derivative Instruments And Hedging Activities Disclosure [Abstract] | ' | ||||||||||||||||||||
Derivative Financial Instruments | ' | ||||||||||||||||||||
Note 8. 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 – derivatives and Financial instruments sold, not yet purchased – derivatives net of cash paid or received under credit support agreements and on a net counterparty basis when a legal right to offset exists under a master netting agreement. Net realized and unrealized gains and losses are recognized in Principal transactions 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 7, Fair Value Disclosures and Note 22, Commitments, Contingencies and Guarantees for additional disclosures about derivative 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 master netting agreements and collateral arrangements with counterparties. These agreements provide us with the ability to offset a counterparty’s rights and obligations, request additional collateral when necessary or liquidate the collateral in the event of counterparty default. | |||||||||||||||||||||
The following tables present the fair value and related number of derivative contracts at November 30, 2013 and 2012 categorized by type of derivative contract. Prior to November 30, 2013, the fair value of forward purchase and sale contracts of to-be-announced securities were presented within Financial instruments owned – Mortgage- and asset-backed securities and Financial instruments sold, not yet purchased – Mortgage- and asset-backed securities. As of November 30, 2013, such contracts are presented within Financial instruments owned – Derivatives and Financial instruments sold, not yet purchased – Derivatives as interest rate contracts and Interest rate swaps, forwards and options with the impact of counterparty netting reflected as applicable under generally accepted accounting principles. Financial information presented as of November 30, 2012 has been conformed to this presentation. The fair value of assets/liabilities related to derivative contracts represents our receivable/payable for derivative financial instruments, gross of counterparty netting and cash collateral received and pledged (in thousands, except contract amounts): | |||||||||||||||||||||
Successor | |||||||||||||||||||||
30-Nov-13 | |||||||||||||||||||||
Assets | Liabilities | ||||||||||||||||||||
Fair Value | Number of | Fair Value | Number of | ||||||||||||||||||
Contracts | Contracts | ||||||||||||||||||||
Interest rate contracts | $ | 1,165,976 | 63,967 | $ | 1,131,166 | 77,338 | |||||||||||||||
Foreign exchange contracts | 653,772 | 118,707 | 693,658 | 112,417 | |||||||||||||||||
Equity contracts | 501,784 | 1,742,343 | 474,985 | 1,800,603 | |||||||||||||||||
Commodity contracts | 141,280 | 797,529 | 173,119 | 788,717 | |||||||||||||||||
Credit contracts: centrally cleared swaps | 49,531 | 49 | 51,632 | 46 | |||||||||||||||||
Credit contracts: other credit derivatives | 2,339 | 16 | 8,130 | 19 | |||||||||||||||||
Total | 2,514,682 | 2,532,690 | |||||||||||||||||||
Counterparty/cash-collateral netting | (2,253,589) | (2,352,611) | |||||||||||||||||||
Total per Consolidated Statement of Financial Condition | $ | 261,093 | $ | 180,079 | |||||||||||||||||
Predecessor | |||||||||||||||||||||
30-Nov-12 | |||||||||||||||||||||
Assets | Liabilities | ||||||||||||||||||||
Fair Value | Number of | Fair Value | Number of | ||||||||||||||||||
Contracts | Contracts | ||||||||||||||||||||
Interest rate contracts | $ | 1,053,974 | 69,966 | $ | 1,134,620 | 92,586 | |||||||||||||||
Foreign exchange contracts | 387,325 | 118,958 | 357,277 | 116,758 | |||||||||||||||||
Equity contracts | 577,964 | 1,526,127 | 528,979 | 1,396,213 | |||||||||||||||||
Commodity contracts | 265,703 | 754,987 | 278,660 | 728,696 | |||||||||||||||||
Credit contracts | 4,448 | 13 | 11,301 | 40 | |||||||||||||||||
Total | 2,289,414 | 2,310,837 | |||||||||||||||||||
Counterparty/cash-collateral netting | (1,921,122) | (2,068,750) | |||||||||||||||||||
Total per Consolidated Statement of Financial Condition | $ | 368,292 | $ | 242,087 | |||||||||||||||||
The following table presents unrealized and realized gains (losses) on derivative contracts for the nine months ended November 30, 2013, three months ended February 28, 2013 and for the years ended November 30, 2012 and 2011 (in thousands): | |||||||||||||||||||||
Predecessor | |||||||||||||||||||||
Successor | |||||||||||||||||||||
Gains (Losses) | Nine Months Ended | Three Months | Year Ended | Year Ended | |||||||||||||||||
November 30, 2013 | Ended | November 30, 2012 | November 30, 2011 | ||||||||||||||||||
February 28, 2013 | |||||||||||||||||||||
Interest rate contracts | $ | 132,661 | $ | 38,936 | $ | (35,524) | $ | (204,403) | |||||||||||||
Foreign exchange contracts | 4,937 | 11,895 | 9,076 | 2,243 | |||||||||||||||||
Equity contracts | 3,783 | (22,021) | (83,817) | (279,488) | |||||||||||||||||
Commodity contracts | 45,546 | 19,585 | 77,285 | 74,282 | |||||||||||||||||
Credit contracts | (12,850) | (3,742) | (20,059) | 17,621 | |||||||||||||||||
Total | $ | 174,077 | $ | 44,653 | $ | (53,039) | $ | (389,745) | |||||||||||||
OTC Derivatives. The following tables set forth by remaining contract maturity the fair value of OTC derivative assets and liabilities as of November 30, 2013 (in thousands): | |||||||||||||||||||||
Successor | |||||||||||||||||||||
OTC Derivative Assets (1) (2) (4) | |||||||||||||||||||||
0 – 12 Months | 1 – 5 Years | Greater Than | Cross-Maturity | Total | |||||||||||||||||
5 Years | Netting (3) | ||||||||||||||||||||
Commodity swaps, options and forwards | $ | 43,519 | $ | 699 | $ | - | $ | (198) | $ | 44,020 | |||||||||||
Credit default swaps | - | - | 413 | 413 | |||||||||||||||||
Equity swaps and options | 4,394 | - | - | - | 4,394 | ||||||||||||||||
Total return swaps | 948 | - | - | - | 948 | ||||||||||||||||
Foreign currency forwards, swaps and options | 89,072 | 37,798 | 52 | (11,192) | 115,730 | ||||||||||||||||
Interest rate swaps, options and forwards | 96,983 | 89,255 | 128,983 | (51,990) | 263,231 | ||||||||||||||||
Total | $ | 234,916 | $ | 127,752 | $ | 129,448 | $ | (63,380) | 428,736 | ||||||||||||
Cross product counterparty netting | (2,086) | ||||||||||||||||||||
Total OTC derivative assets included in Financial instruments owned | $ | 426,650 | |||||||||||||||||||
-1 | At November 30, 2013, we held exchange traded derivative assets and other credit agreements with a fair value of $43.1 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 November 30, 2013, cash collateral received was $208.6 million. | ||||||||||||||||||||
-3 | Amounts represent the netting of receivable balances with payable balances for the same counterparty within product category across maturity categories. | ||||||||||||||||||||
-4 | Derivative fair values include counterparty netting within product category. | ||||||||||||||||||||
Successor | |||||||||||||||||||||
OTC Derivative Liabilities (1) (2) (4) | |||||||||||||||||||||
0 – 12 Months | 1 – 5 Years | Greater Than | Cross-Maturity | Total | |||||||||||||||||
5 Years | Netting (3) | ||||||||||||||||||||
Commodity swaps, options and forwards | $ | 69,380 | $ | 203 | $ | - | $ | (198) | $ | 69,385 | |||||||||||
Credit default swaps | 174 | 3,539 | 1,263 | - | 4,976 | ||||||||||||||||
Equity swaps and options | - | - | 3,332 | - | 3,332 | ||||||||||||||||
Total return swaps | 5,002 | - | - | - | 5,002 | ||||||||||||||||
Foreign currency forwards, swaps and options | 117,044 | 47,258 | - | (8,608) | 155,694 | ||||||||||||||||
Interest rate swaps, options and forwards | 24,142 | 124,352 | 136,683 | (51,990) | 233,187 | ||||||||||||||||
Total | $ | 215,742 | $ | 175,352 | $ | 141,278 | $ | (60,796) | 471,576 | ||||||||||||
Cross product counterparty netting | (2,086) | ||||||||||||||||||||
Total OTC derivative liabilities included in Financial instruments sold, not yet purchased | $ | 469,490 | |||||||||||||||||||
-1 | At November 30, 2013, we held exchange traded derivative liabilities and other credit agreements with a fair value of $18.2 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 November 30, 2013, cash collateral pledged was $307.7 million. | ||||||||||||||||||||
-3 | Amounts represent the netting of receivable balances with payable balances for the same counterparty within product category across maturity categories. | ||||||||||||||||||||
-4 | Derivative fair values include counterparty netting within product category. | ||||||||||||||||||||
At November 30, 2013, 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 | $ | 251,967 | |||||||||||||||||||
BBB- to BBB+ | 18,541 | ||||||||||||||||||||
BB+ or lower | 95,072 | ||||||||||||||||||||
Unrated | 61,070 | ||||||||||||||||||||
Total | $ | 426,650 | |||||||||||||||||||
-1 | We utilize internal credit ratings determined by our Risk Management. 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 November 30, 2013 and 2012 is $170.2 million and $164.8 million, respectively, for which we have posted collateral of $127.7 million and $129.2 million, respectively, in the normal course of business. If the credit-risk-related contingent features underlying these agreements were triggered on November 30, 2013 and 2012, we would have been required to post an additional $49.4 million and $38.1 million, respectively, of collateral to our counterparties. |
Collateralized_Transactions
Collateralized Transactions | 12 Months Ended | ||||||||
Nov. 30, 2013 | |||||||||
Text Block [Abstract] | ' | ||||||||
Collateralized Transactions | ' | ||||||||
Note 9. 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 manage our exposure to credit risk associated with these transactions by entering into master netting agreements. We also 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. | |||||||||
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 November 30, 2013 and 2012, the approximate fair value of securities received as collateral by us that may be sold or repledged was $21.9 billion and $21.1 billion, respectively. The fair value of securities received as collateral at November 30, 2013 and 2012 that pertains to our securities financing activities at November 30, 2013 and 2012 are as follows (in thousands): | |||||||||
Successor | Predecessor | ||||||||
November 30, | November 30, | ||||||||
2013 | 2012 | ||||||||
Carrying amount: | |||||||||
Securities purchased under agreements to resell | $ | 3,746,920 | $ | 3,357,602 | |||||
Securities borrowed | 5,359,846 | 5,094,679 | |||||||
Securities received as collateral | 11,063 | - | |||||||
Total assets on Consolidated Statement of Financial Condition | 9,117,829 | 8,452,281 | |||||||
Netting of securities purchased under agreements to resell (1) | 8,968,529 | 9,982,752 | |||||||
18,086,358 | 18,435,033 | ||||||||
Fair value of additional collateral received (2) | 3,866,577 | 2,683,767 | |||||||
Fair value of securities received as collateral | $ | 21,952,935 | $ | 21,118,800 | |||||
-1 | Represents the netting of securities purchased under agreements to resell with securities sold under agreements to repurchase balances for the same counterparty under legally enforceable netting agreements. | ||||||||
-2 | Includes 1) collateral received from customers for margin balances unrelated to arrangements for securities purchased under agreements to resell or securities borrowed with a fair value of $1,182.1 million and $1,252.6 million at November 30, 2013 and 2012, respectively, of which $596.2 million and $727.7 million had been rehypothecated, 2) collateral received on securities for securities transactions of $2,656.9 million and $1,378.8 million at November 30, 2013 and 2012, respectively and 3) collateral received in excess of the reverse repurchase and securities borrowed contract amounts. | ||||||||
At November 30, 2013 and 2012, a substantial portion of the securities received by us had been sold or repledged. | |||||||||
In instances where we receive securities as collateral in connection with securities-for-securities transactions in which we are the lender of securities and are permitted to sell or repledge the securities received as collateral, we report the fair value of the collateral received and the related obligation to return the collateral in the Consolidated Statements of Financial Condition. At November 30, 2013 and 2012, $11.1 million and $-0-, respectively, were reported as Securities received as collateral and as Obligation to return securities received as collateral. |
Securitization_Activities
Securitization Activities | 12 Months Ended | ||||||||||||||||
Nov. 30, 2013 | |||||||||||||||||
Text Block [Abstract] | ' | ||||||||||||||||
Securitization Activities | ' | ||||||||||||||||
Note 10. Securitization Activities | |||||||||||||||||
We engage in securitization activities related to corporate loans, commercial mortgage 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 variable interest entities; however we generally do not consolidate the SPEs as we are not considered the primary beneficiary for these SPEs. See Note 11, Variable Interest Entities for further discussion on variable interest entities 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. Revenues subsequent to such identification and isolation, including revenues recognized from the sales of the beneficial interests to investors, are reflected as net underwriting revenues. If we have not relinquished control over the transferred assets, the assets continue to be recognized in Financial instruments owned and a corresponding secured borrowing is recognized in Other secured financings. The carrying value of assets and liabilities resulting from transfers made as part of our securitization activities for which we have not relinquished control over the related assets was $8.7 million and $8.7 million, respectively, at November 30, 2013. The related liabilities do not have recourse to our general credit. As of November 30, 2012, there were no outstanding transfers made as part of our securitization activities for which we have not relinquished control over the related assets. | |||||||||||||||||
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), which are included within Financial instruments owned. 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): | |||||||||||||||||
Successor | Predecessor | ||||||||||||||||
Nine Months | Three Months | Year Ended | Year Ended | ||||||||||||||
Ended | Ended | November 30, 2012 | November 30, 2011 | ||||||||||||||
November 30, 2013 | February 28, 2013 | ||||||||||||||||
Transferred assets | $ | 4,592.5 | $ | 2,735.2 | $ | 10,869.8 | $ | 12,539.6 | |||||||||
Proceeds on new securitizations | 4,609.0 | 2,751.3 | 10,910.8 | 12,611.0 | |||||||||||||
Net revenues | 10.7 | 12.9 | 35.4 | 82.7 | |||||||||||||
Cash flows received on retained interests | $ | 35.6 | $ | 32.3 | $ | 64.3 | $ | 103.6 | |||||||||
Assets received as proceeds in the form of mortgage-backed-securities or collateralized loan obligations issued by the SPEs have been initially categorized as Level 2 within the fair value hierarchy. For further information on fair value measurements and the fair value hierarchy, refer to Note 2, Summary of Significant Accounting Policies and Note 7, Fair Value Disclosures. We have no explicit or implicit arrangements to provide additional financial support to these SPEs and have no liabilities related to these SPEs at November 30, 2013 and 2012. 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 – Mortgage- and asset-backed securities. To the extent the securities purchased through these market-marking activities meet specific thresholds and we are not deemed to be the primary beneficiary of the variable interest entity, these securities are included in agency and non-agency mortgage- and asset-backed securitizations in the nonconsolidated variable interest entities table presented in Note 11, Variable Interest Entities. | |||||||||||||||||
The following tables summarize our retained interests in SPEs where we transferred assets and have continuing involvement and received sale accounting treatment (in millions): | |||||||||||||||||
Successor | |||||||||||||||||
As of November 30, 2013 | |||||||||||||||||
Securitization Type | Total Assets | Retained | |||||||||||||||
Interests | |||||||||||||||||
U.S. government agency residential mortgage-backed securities | $ | 11,518.4 | $ | 281.3 | |||||||||||||
U.S. government agency commercial mortgage-backed securities | 5,385.6 | 96.8 | |||||||||||||||
Collateralized loan obligations | 728.5 | 9.0 | |||||||||||||||
Predecessor | |||||||||||||||||
As of November 30, 2012 | |||||||||||||||||
Securitization Type | Total Assets | Retained | |||||||||||||||
Interests | |||||||||||||||||
U.S. government agency residential mortgage-backed securities | $ | 3,791.5 | $ | 335.2 | |||||||||||||
U.S. government agency commercial mortgage-backed securities | 2,193.4 | 28.9 | |||||||||||||||
We do not have any derivative contracts executed in connection with these securitization activities. 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 - Mortgage- and asset-backed securities on our Consolidated Statements of Financial Condition. |
Variable_Interest_Entities
Variable Interest Entities | 12 Months Ended | ||||||||||||||||||||
Nov. 30, 2013 | |||||||||||||||||||||
Text Block [Abstract] | ' | ||||||||||||||||||||
Variable Interest Entities | ' | ||||||||||||||||||||
Note 11. Variable Interest Entities | |||||||||||||||||||||
Variable interest entities (“VIEs”) are entities in which equity investors lack the characteristics of a controlling financial interest or do not have sufficient equity at risk for the entity to finance its activities without additional subordinated financial support. VIEs are consolidated by the primary beneficiary. The primary beneficiary is the party who has the power to direct the activities of a variable interest entity 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. | |||||||||||||||||||||
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. In determining whether we are the party with the power to direct the VIE’s most significant activities, we first identify the activities of the VIE that most significantly impact its economic performance. Our considerations in determining the VIE’s most significant activities primarily include, but are not limited to, the VIE’s purpose and design and the risks passed through to investors. We then assess whether we have the power to direct those significant activities. Our considerations in determining whether we have the power to direct the VIE’s most significant activities include, but are not limited to, 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 most significant activities is shared, we assess whether we are the party with the power over the majority of the significant activities. If we are the party with the power over the majority of the significant activities, we meet the “power” criteria of the primary beneficiary. If we do not have the power over a majority of the 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. Our variable interests in VIEs include debt and equity interests, commitments and certain fees. Our involvement with VIEs arises primarily from: | |||||||||||||||||||||
— | Purchases of mortgage-backed securities and collateralized debt and loan obligations in connection with our trading and secondary market making activities, | ||||||||||||||||||||
— | Retained interests held as a result of securitization activities as part of primary market making activities, including the resecuritizations of mortgage-backed securities and the securitization of corporate loans, | ||||||||||||||||||||
— | Financing of agency and non-agency mortgage-securities through financing vehicles utilizing master repurchase agreements, | ||||||||||||||||||||
— | Prior to the merger of Jefferies High Yield Holdings, LLC with Jefferies on April 1, 2013, ownership of debt, equity and partnership interests in Jefferies High Yield Holdings, LLC and related entities, | ||||||||||||||||||||
— | Management and performance fees in the Jefferies Umbrella Fund, and | ||||||||||||||||||||
— | Loans to and investments in investment fund vehicles. | ||||||||||||||||||||
Consolidated VIEs | |||||||||||||||||||||
The following table presents information about the assets and liabilities of our consolidated VIEs, which are presented within our Consolidated Statements of Financial Condition in the respective asset and liability categories, as of November 30, 2013 and 2012. 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. We have aggregated our consolidated VIEs based upon principal business activity. | |||||||||||||||||||||
Successor | Predecessor | ||||||||||||||||||||
(in millions) | 30-Nov-13 | 30-Nov-12 | |||||||||||||||||||
Other | High Yield | Securitization | Other | ||||||||||||||||||
Securitization | Vehicles | ||||||||||||||||||||
Vehicles | |||||||||||||||||||||
Cash | $ | — | $ | 0.2 | $ | 388.1 | $ | — | $ | 0.2 | |||||||||||
Financial instruments owned | 97.5 | 0.4 | 894.2 | 10.0 | 0.5 | ||||||||||||||||
Securities borrowed | — | — | 372.1 | — | — | ||||||||||||||||
Securities purchased under agreement to resell (3) | 195.1 | — | — | 60.0 | — | ||||||||||||||||
Receivable from brokers and dealers | — | — | 264.5 | — | — | ||||||||||||||||
Other | 2.3 | — | 11.4 | — | — | ||||||||||||||||
$ | 294.9 | $ | 0.6 | $ | 1,930.3 | $ | 70.0 | $ | 0.7 | ||||||||||||
$ | — | $ | — | $ | 526.1 | $ | — | $ | — | ||||||||||||
Financial instruments sold, not yet purchased | |||||||||||||||||||||
Securities loaned | — | — | 112.0 | — | — | ||||||||||||||||
Payable to brokers and dealers | — | — | 201.2 | — | — | ||||||||||||||||
Mandatorily redeemable interests (1) | — | — | 1,076.0 | — | — | ||||||||||||||||
Other secured financings (2) | 292.5 | — | — | 70.0 | — | ||||||||||||||||
Other | 2.1 | 0.2 | 15.0 | — | 0.2 | ||||||||||||||||
$ | 294.6 | $ | 0.2 | $ | 1,930.3 | $ | 70.0 | $ | 0.2 | ||||||||||||
-1 | After consolidation, which eliminates our interests and the interests of our consolidated subsidiaries, JSOP and JESOP, the carrying amount of the mandatorily redeemable financial interests pertaining to the above VIEs included within Mandatorily redeemable preferred interests of consolidated subsidiaries was approximately $348.1 million at November 30, 2012. These amounts represent the portion of the mandatorily redeemable preferred interests held by our joint venture partner. | ||||||||||||||||||||
-2 | Approximately $66.5 million and $7.7 million of the secured financing represents an amount held by us in inventory and is eliminated in consolidation at November 30, 2013 and 2012, respectively. | ||||||||||||||||||||
-3 | Securities purchased under agreement to resell represent an amount due under a collateralized transaction on a related consolidated entity, which is eliminated in consolidation. | ||||||||||||||||||||
High Yield. We have historically conducted our high yield secondary market trading activities through Jefferies High Yield Trading, LLC (“JHYT”) and Jefferies Leveraged Credit Products, LLC (“JLCP”). JHYT was a registered broker-dealer engaged in the secondary sales and trading of high yield and special situation securities, including bank debt, post-reorganization equity, public and private equity, equity derivatives and other financial instruments. JHYT made markets in high yield and distressed securities and provided research coverage on these types of securities. JLCP was engaged in the trading of bank debt, credit default swaps and trade claims. JHYT and JLCP were wholly owned subsidiaries of JHYH. As of November 30, 2012, we owned voting and non-voting interests in JHYH and had entered into management, clearing, and other services agreements with JHYH. We and Leucadia each had the right to nominate two of a total of four directors to JHYH’s board of directors. Further, two funds managed by us, JSOP and JESOP, were also investors in JHYH. We determined that JHYH, JSOP and JESOP met the definition of a variable interest entity and, as the primary beneficiary of JHYH, JSOP and JESOP, consolidated JHYH (and the assets, liabilities and results of operations of its wholly owned subsidiaries JHYT and JLCP), JSOP and JESOP. At November 30, 2012, the carrying amount of our variable interest was $389.4 million, which consists of our debt, equity and partnership interests in JHYH, JSOP and JESOP, which were eliminated in consolidation. | |||||||||||||||||||||
On April 1, 2013, we merged JHYH and JHYT into Jefferies with Jefferies as the surviving entity. In addition, JLCP became a wholly-owned subsidiary of Jefferies Group LLC. Accordingly, the high yield entities that were consolidated VIEs no longer exist at November 30, 2013. See Note 17, Noncontrolling Interests and Mandatorily Redeemable Preferred Interests of Consolidated Subsidiaries for further discussion of JSOP, JESOP and the mandatorily redeemable interests in JHYH. | |||||||||||||||||||||
Effective March 1, 2013, we deconsolidated JSOP and JESOP following their liquidation and dissolution and we redeemed third party interest in JSOP and JESOP for cash of $347.6 million after giving effect to redemption of their respective interests in JHYH for cash, equal to the valuation of JHYH as of February 28, 2013. There was no gain or loss recognized on the deconsolidation of JSOP and JESOP. | |||||||||||||||||||||
Securitization Vehicles. We are the primary beneficiary of a securitization vehicle to which we transferred a corporate loan and retained a portion of the securities issued by the securitization vehicle. Our variable interests in this vehicle consists of the securities retained. The assets of the VIE consist of a corporate loan, which is available for the benefit of the vehicle’s beneficial interest holders. The creditors of the VIE do not have recourse to our general credit. During the nine months ended November 30, 2013, securities held in a securitization vehicle for which we were the primary beneficiary were redeemed. Upon redemption, we determined that we are no longer the primary beneficiary and we deconsolidated the securitization vehicle during the period. The assets of this VIE consisted of a project loan, and our variable interests in this vehicle consisted of the securities and a contractual servicing fee. | |||||||||||||||||||||
We are also the primary beneficiary of mortgage-backed financing vehicles to which we sell agency and non-agency residential and commercial 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. 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. | |||||||||||||||||||||
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. | |||||||||||||||||||||
Nonconsolidated VIEs | |||||||||||||||||||||
We also hold variable interests in VIEs in which we are not the primary beneficiary and do not have the power to direct the activities that most significantly impact their economic performance and, accordingly, do not consolidate. We have not provided financial or other support to these VIEs during the Successor period nine months ended November 30, 2013, and Predecessor periods three months ended February 28, 2013 and year ended November 30, 2012. We have no explicit or implicit arrangements to provide additional financial support to these VIEs and, other than as discussed below, have no liabilities related to these VIEs at November 30, 2013 and November 30, 2012. | |||||||||||||||||||||
The following tables present information about nonconsolidated VIEs in which we had variable interests aggregated by principal business activity. The tables include VIEs where we have determined that the maximum exposure to loss is greater than specific thresholds or meets certain other criteria. | |||||||||||||||||||||
Successor | |||||||||||||||||||||
30-Nov-13 | |||||||||||||||||||||
Variable Interests | |||||||||||||||||||||
(in millions) | Financial Statement | Maximum exposure | VIE Assets | ||||||||||||||||||
Carrying Amount | to loss | ||||||||||||||||||||
Collateralized loan obligations | $ | 11.9 | -2 | $ | 11.9 | -4 | $ | 1,122.3 | |||||||||||||
Agency mortgage- and asset-backed securitizations (1) | 1,226.0 | -2 | 1,226.0 | -4 | 5,857.3 | ||||||||||||||||
Non-agency mortgage- and asset-backed securitizations (1) | 840.1 | -2 | 840.1 | -4 | 78,070.8 | ||||||||||||||||
Asset management vehicle | 3.5 | -3 | 3.5 | -4 | 454.2 | ||||||||||||||||
Private equity vehicles | 40.8 | -3 | 68.8 | 89.4 | |||||||||||||||||
Total | $ | 2,122.3 | $ | 2,150.3 | $ | 85,594.0 | |||||||||||||||
(1) | VIE assets represent the unpaid principal balance of the assets in these vehicles at November 30, 2013 and represent the underlying assets that provide the cash flows supporting our variable interests. | ||||||||||||||||||||
(2) | Consists of debt securities accounted for at fair value, which are included within Financial instruments owned. | ||||||||||||||||||||
(3) | Consists of equity interests and loans, which are included within Investments in managed funds and Loans to and investments in related parties. | ||||||||||||||||||||
(4) | Our maximum exposure to loss in these non-consolidated VIEs is limited to our investment, which is represented by the financial statement carrying amount of our purchased or retained interests. | ||||||||||||||||||||
Predecessor | |||||||||||||||||||||
30-Nov-12 | |||||||||||||||||||||
Variable Interests | |||||||||||||||||||||
(in millions) | Financial Statement | Maximum | VIE Assets | ||||||||||||||||||
Carrying Amount | exposure to loss | ||||||||||||||||||||
Collateralized loan obligations | $ | 5.3 | -2 | $ | 5.3 | -4 | $ | 499.7 | |||||||||||||
Agency mortgage- and asset-backed securitizations (1) | 1,579.1 | -2 | 1,579.1 | -4 | 6,396.60 | ||||||||||||||||
Non-agency mortgage- and asset-backed securitizations (1) | 814.1 | -2 | 814.1 | -4 | 54,436.20 | ||||||||||||||||
Asset management vehicle | 3.0 | -3 | 3.0 | -4 | 505.3 | ||||||||||||||||
Private equity vehicles | 55.0 | -3 | 107.7 | 82.1 | |||||||||||||||||
Total | $ | 2,456.5 | $ | 2,509.2 | $ | 61,919.90 | |||||||||||||||
(1) | VIE assets represent the unpaid principal balance of the assets in these vehicles at November 30, 2012 and represent the underlying assets that provide the cash flows supporting our variable interests. | ||||||||||||||||||||
(2) | Consists of debt securities accounted for at fair value, which are included within Financial instruments owned. | ||||||||||||||||||||
(3) | Consists of equity interests and loans, which are included within Investments in managed funds and Loans to and investments in related parties. | ||||||||||||||||||||
(4) | Our maximum exposure to loss in these non-consolidated VIEs is limited to our investment, which is represented by the financial statement carrying amount of our purchased or retained interests. | ||||||||||||||||||||
Collateralized Loan Obligations. We acted as transferor and underwriter in several collateralized loan obligation (“CLOs”) transactions during the periods presented and retained securities representing variable interests in the CLOs. Assets collateralizing the CLOs include bank loans, participation interests and sub-investment grade and senior secured U.S. loans. In addition, we own variable interests in CLOs previously managed by us. These CLOs represent interests in assets consisting primarily of senior secured loans, unsecured loans and high yield bonds. Our exposure to loss from these entities is limited to our investments in the debt securities held. Regarding the CLOs previously managed by us, our variable interests consists of debt securities (with a fair value of $2.9 million and $5.3 million at November 30, 2013 and 2012, respectively) and a right to a portion of the CLOs’ management and incentive fees. Management and incentives fees are accrued as the amounts become realizable. | |||||||||||||||||||||
During the year ended November 30, 2012, we sold our variable interests in Babson Loan Opportunity CLO, Ltd., a third party managed CLO, with assets consisting primarily of senior secured loans, unsecured loans and high yield bonds. Prior to the sale our variable interests in this VIE consisted of a direct interest and an indirect interest via Jefferies Finance, LLC in the debt securities of this CLO. Our exposure to loss was limited to our investments in the debt securities. We had no exposure to loss related to this VIE as of November 30, 2012. | |||||||||||||||||||||
Mortgage- and Asset-Backed Vehicles. In connection with our trading and market making activities, we buy and sell mortgage- and asset-backed securities. Mortgage- and asset-backed securities issued by securitization entities are generally considered variable interests in VIEs. A substantial portion of our variable interests in mortgage- and asset-backed VIEs are sponsored by unrelated third parties. The variable interests consist entirely of mortgage- and asset-backed securities and are accounted for at fair value and included in Financial instruments owned on our Consolidated Statements of Financial Condition. In addition to the agency mortgage- and asset-backed securities, non-agency mortgage- and asset-backed securities and collateralized loan obligations presented in the above table, we owned additional securities issued by securitization SPEs for which the maximum exposure to loss is less than specific thresholds. These additional securities were acquired in connection with our secondary market making activities and our securitization activities. Total securities issued by securitization SPEs at November 30, 2013 consist of the following (in millions): | |||||||||||||||||||||
Nonagency | Agency | Total | |||||||||||||||||||
Variable interests in collateralized loan obligations | $ | 11.9 | $ | - | $ | 11.9 | |||||||||||||||
Variable interests in agency mortgage- and asset-backed securitizations | - | 1,226.0 | 1,226.0 | ||||||||||||||||||
Variable interests in nonagency mortgage- and asset-backed securitizations | 840.1 | - | 840.1 | ||||||||||||||||||
Additional securities in connection with trading and market making activities: | |||||||||||||||||||||
Residential mortgage-backed securities | 55.1 | 1,668.2 | 1,723.3 | ||||||||||||||||||
Commercial mortgage-backed securities | 27.9 | 581.9 | 609.8 | ||||||||||||||||||
Collateralized debt obligations | 27.9 | - | 27.9 | ||||||||||||||||||
Other asset-backed securities | 34.1 | - | 34.1 | ||||||||||||||||||
Total mortgage- and asset-backed securities on the Consolidated Statement of Financial Condition | $ | 997.0 | $ | 3,476.1 | $ | 4,473.1 | |||||||||||||||
In addition, we entered into an agreement to sell at a fixed price corporate loans and the ownership interest in an entity holding such corporate loans to a CLO, which we have determined represents a variable interest in the CLO. At November 30, 2013, the carrying value of our variable interest in the CLO was a liability of $167,000, which was recorded to Financial instruments sold, not yet purchased, at fair value – Derivatives on the Consolidated Statement of Financial Condition, and our maximum exposure to loss under the forward sale agreement was approximately $76.9 million. | |||||||||||||||||||||
Asset Management Vehicle. We manage the Jefferies Umbrella Fund, an “umbrella structure” company that enables investors to choose between one or more investment objectives by investing in one or more sub-funds within the same structure. The assets of the Jefferies Umbrella Fund primarily consist of convertible bonds. Accounting changes to consolidation standards under generally accepted accounting principles have been deferred for entities that are considered to be investment companies; accordingly, consolidation continues to be determined under a risk and reward model. The Jefferies Umbrella Fund is subject to the deferral guidance and we are not the primary beneficiary as of November 30, 2013 and 2012 under the risk and reward model. Our variable interests in the Jefferies Umbrella Fund consist of equity interests, management fees and performance fees. | |||||||||||||||||||||
Private Equity Vehicles. On July 26, 2010, we committed to invest equity of up to $75.0 million in Jefferies SBI USA Fund L.P. (the “SBI USA Fund”). As of November 30, 2013 and 2012, we funded approximately $47.0 million and $27.1 million, respectively, of our commitment. The carrying amount of our equity investment was $39.2 million and $20.8 million at November 30, 2013 and 2012, respectively. Our exposure to loss is limited to our equity commitment. The SBI USA Fund has assets consisting primarily of private equity and equity related investments. | |||||||||||||||||||||
We have variable interests in Jefferies Employees Partners IV, LLC (“JEP IV”) consisting of an equity investment and, at November 30, 2012, an equity investment and a $37.5 million loan commitment. The carrying amount of our equity investment was $1.6 million and $1.5 million at November 30, 2013 and 2012, respectively. As of November 30, 2012, we had funded approximately $32.7 million of the principal balance, which is included in Loans to and investments in related parties on our Consolidated Statement of Financial Condition. During the year ended November 30, 2013, our loan was repaid and we no longer have a loan commitment to JEP IV at November 30, 2013. Our exposure to loss is limited to, in aggregate, our equity investment and, in 2012, the aggregate amount of our loan commitment. JEP IV has assets consisting primarily of private equity and equity related investments. |
Investments
Investments | 12 Months Ended | ||||||||
Nov. 30, 2013 | |||||||||
Investments Schedule [Abstract] | ' | ||||||||
Investments | ' | ||||||||
Note 12. Investments | |||||||||
We have investments in Jefferies Finance, LLC (“Jefferies Finance”), Jefferies LoanCore LLC (“Jefferies LoanCore”) and KCG Holdings, Inc. (“Knight Capital”). Our investment in Knight Capital is accounted for at fair value by electing the fair value option available under U.S. GAAP and is included in Financial instruments owned, at fair value – Corporate equity securities on the Consolidated Statement of Financial Condition with changes in fair value recognized in Principal transaction revenues on the Consolidated Statement of Earnings. 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. | |||||||||
Jefferies Finance | |||||||||
On October 7, 2004, we entered into an agreement with Babson Capital Management LLC (“Babson Capital”) and Massachusetts Mutual Life Insurance Company (“MassMutual”) 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, with Babson Capital providing primary credit analytics and portfolio management services. Jefferies Finance can 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, including loans that are performing, stressed and distressed loan obligations. | |||||||||
As of November 30, 2013, we and MassMutual each have equity commitments to Jefferies Finance of $600.0 million for a total commitment of $1.2 billion, reflecting a $100.0 million increase in the commitment by each partner in March 2013. As of November 30, 2013, we have funded $337.3 million of our $600.0 million commitment, leaving $262.7 million unfunded. The investment commitment is scheduled to mature on March 1, 2016 with automatic one year extensions subject to a 60 day termination notice by either party. As of November 30, 2012, we had funded $107.5 million of our $500.0 million commitment, leaving $392.5 million unfunded. | |||||||||
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 committed Secured Revolving Credit Facility is $700.0 million at November 30, 2013, having been reduced by $300.0 million in March 2013. The facility is scheduled to mature on March 1, 2016 with automatic one year extensions subject to a 60 day termination notice by either party. At November 30, 2013, we have funded $123.8 million of our $350.0 million commitment. At November 30, 2012, we had funded $125.0 million of our $500.0 million commitment. During the nine months ended November 30, 2013 and three months ended February 28, 2013, $1.5 million and $4.1 million of interest income and $1.2 million and $0.3 million of unfunded commitment fees, respectively, are included in the Consolidated Statement of Earnings related to the Secured Revolving Credit Facility. During the year ended November 30, 2012, we earned interest income of $8.4 million and unfunded commitment fees of $1.8 million, respectively. | |||||||||
The following is a summary of selected financial information for Jefferies Finance as of November 30, 2013 and 2012 (in millions): | |||||||||
November 30, | November 30, | ||||||||
2013 | 2012 | ||||||||
Total assets | $ | 3,269.50 | $ | 1,730.40 | |||||
Total liabilities | 2,594.30 | 1,188.20 | |||||||
Total equity | 675.2 | 542.2 | |||||||
Our total equity balance | 337.6 | 271.1 | |||||||
The net earnings of Jefferies Finance were $133.0 million, $128.6 million and $88.4 million for the years ended November 30, 2013, 2012 and 2011, 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 net underwriting fees of $125.8 million during the nine months ended November 30, 2013, $39.9 million during the three months ended February 28, 2013 and $123.1 million and $60.8 million during the years ended November 30, 2012 and 2011, respectively, recognized in Investment banking revenues on the Consolidated Statements of Earnings. In addition, we paid fees to Jefferies Finance regarding certain loans originated by Jefferies Finance of $12.0 million during the nine months ended November 30, 2013, $0.8 million during the three months ended February 28, 2013, and $8.7 million and $21.5 million during the years ended November 30, 2012 and 2012, respectively, which are recognized within Business development expenses on the Consolidated Statements of Earnings. | |||||||||
During the years ended November 30, 2012 and 2011, we purchased participation certificates in loans originated by Jefferies Finance of $900.0 million and $477.2 million, respectively, which were redeemed in full during the same periods. | |||||||||
Under a service agreement, we charged Jefferies Finance $14.2 million for certain administrative services for the nine months ended November 30, 2013, $15.7 million during the three months ended February 28, 2013, and $26.8 million and $20.9 million for the years ended November 30, 2012 and 2011, respectively. Receivables from Jefferies Finance, included within Other assets on the Consolidated Statements of Financial Condition, were $31.1 million and $32.1 million at November 30, 2013 and 2012, respectively. | |||||||||
Jefferies LoanCore | |||||||||
On February 23, 2011, we entered into a joint venture agreement with the Government of Singapore Investment Corporation and LoanCore, LLC and formed Jefferies LoanCore, a commercial real estate finance company. Jefferies LoanCore originates and purchases commercial real estate loans throughout the United States with the support of the investment banking and securitization capabilities of Jefferies and the real estate and mortgage investment expertise of the Government of Singapore Investment Corporation and LoanCore, LLC. Jefferies LoanCore has aggregate equity commitments of $600.0 million. As of November 30, 2013 and 2012, we have funded $175.5 million and $110.0 million, respectively, of our $291.0 million equity commitment and have a 48.5% voting interest in Jefferies LoanCore. | |||||||||
The following is a summary of selected financial information for Jefferies LoanCore as of November 30, 2013 and 2012 (in millions): | |||||||||
November 30, | November 30, | ||||||||
2013 | 2012 | ||||||||
Total assets | $ | 974.9 | $ | 372.0 | |||||
Total liabilities | 507.9 | 98.4 | |||||||
Total equity | 467.0 | 273.6 | |||||||
Our total equity balance | 226.5 | 132.7 | |||||||
The net earnings of Jefferies LoanCore were $85.2 million and $84.2 million for the years ended November 30, 2013 and 2012, respectively, and a loss of $2.6 million for the period from February 23, 2011 through November 30, 2011. | |||||||||
Under a service agreement, we charged Jefferies LoanCore $0.5 for administrative services for the nine months ended November 30, 2013, $0.6 million for the three months ended February 28, 2013 and $0.5 million and $0.3 million for the year ended November 30, 2012 and the period from February 23, 2011 through November 30, 2011, respectively. Receivables from Jefferies LoanCore, included within Other assets on the Consolidated Statements of Financial Condition, were $230,000 and $37,000, at November 30, 2013 and 2012, respectively. | |||||||||
Jefferies LoanCore enters into derivative transactions with us to hedge its loan portfolio. As of November 30, 2013 and 2012, the aggregate net fair value of derivative transactions outstanding with Jefferies LoanCore was $-0- million and $0.7 million, respectively, and is included within Financial instruments owned on the Consolidated Statement of Financial Condition. On derivative transactions with Jefferies LoanCore, we recognized a net gain of $3.6 million for the nine months ended November 30, 2013, a net gain of $0.2 million during the three months ended February 28, 2013 and a net gain of $25.6 million during the year ended November 30, 2012, which are included in Principal transactions revenue on the Consolidated Statements of Earnings. | |||||||||
Knight Capital | |||||||||
On August 6, 2012, we entered into a Securities Purchase Agreement with Knight Capital, a publicly-traded global financial services firm, (“the Agreement”). Under the Agreement, we purchased preferred stock in exchange for cash consideration of $125.0 million. The preferred stock consisted of 24,876 shares of Series A-1 Cumulative Perpetual Convertible Preferred Stock (“Series A-1 Shares”) and 100,124 shares of Series A-2 Non-voting Cumulative Perpetual Convertible Preferred Stock (“Series A-2 Shares”) (collectively the “Series A Securities”). Each Series A-1 Share is convertible into shares of common stock at the conversion rate of 666.667 shares of common stock. Each Series A-2 Share is convertible into one Series A-1 Share. On August 29, 2012, we exercised our conversion options and converted our holding of Series A Securities to common stock of Knight Capital. On July 1, 2013, Knight Capital Group, Inc. merged with GETCO Holding Company, LLC (the merged company referred to as “KCG Holdings, Inc.”). In connection with the consummation of the merger, we received cash consideration of $3.75 per share, or approximately $192.0 million, with respect to approximately 63% of our holdings in Knight Capital Group, Inc. and stock consideration of one third of a share of KCG Holdings, Inc. common stock for each share of Knight Capital common stock for the remainder of our holdings. As of November 30, 2013, we owned approximately 13% of the outstanding common stock of KCG Holdings, Inc. | |||||||||
We elected to record our investment in Knight Capital at fair value under the fair value option as the investment was acquired as part of our capital markets activities. The valuation of our investment at November 30, 2013 is based on the closing exchange price of Knight Capital’s common stock and included within Level 1 of the fair value hierarchy. Changes in the fair value of our investment of $19.5 million for the nine months ended November 30, 2013, $26.5 million for three months ended February 28, 2013, and $151.9 million for the year ended November 30, 2012, are recognized in Revenues - Principal transactions on the Consolidated Statement of Earnings. | |||||||||
The following is a summary of selected financial information for Knight Capital as of September 30, 2013 and December 31, 2012, the most recently available public financial information for the company (in millions): | |||||||||
September 30, | December 31, | ||||||||
2013 | 2012 | ||||||||
Total assets | $ | 13,293.3 | $ | 1,687.5 | |||||
Total liabilities | 11,780.3 | 1,032.8 | |||||||
Total equity and convertible preferred stock | 1,513.0 | 654.7 | |||||||
For the three and nine months ended September 30, 2013 and for the year ended December 31, 2012, Knight Capital reported net income of 226.8 million, $137.5 million and a net loss of $347.1 million, respectively. | |||||||||
We have separately entered into securities lending transactions with Knight Capital in the normal course of our capital markets activities. At November 30, 2013, the balances of securities borrowed and securities loaned were $11.0 million and $22.7 million, respectively and at November 30, 2012, $9.3 million and $20.9 million, respectively. During the nine months ended November 30, 2013, we earned a fee of $10.0 million in connection with a $535.0 million senior secured credit agreement provided by Jefferies Finance in connection with financing the merger of Knight Capital and GETCO Holding Company, LLC. In connection with Knight Capital’s capital raising transaction in the third quarter of fiscal 2012, we recognized an advisory fee of $20.0 million which is included within Investment banking revenues on the Consolidated Statement of Earnings. |
Goodwill_and_Other_Intangible_
Goodwill and Other Intangible Assets | 12 Months Ended | ||||||||||||||||||||||
Nov. 30, 2013 | |||||||||||||||||||||||
Goodwill And Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||||||||||
Goodwill and Other Intangible Assets | ' | ||||||||||||||||||||||
Note 13. Goodwill and Other Intangible Assets | |||||||||||||||||||||||
In connection with the Merger, goodwill of $1.7 billion was recorded on March 1, 2013. In addition, as of March 1, 2013, certain existing intangible assets and new intangible assets were identified and recorded at their fair values. See Note 4, Leucadia Merger and Related Transactions for further information. | |||||||||||||||||||||||
Goodwill | |||||||||||||||||||||||
The following table presents goodwill resulting from the Merger attributed to our reportable segments: | |||||||||||||||||||||||
November 30, 2013 | November 30, 2012 | ||||||||||||||||||||||
Capital Markets | $ | 1,717,246 | $ | 365,670 | |||||||||||||||||||
Asset Management | 5,100 | - | |||||||||||||||||||||
Total goodwill | $ | 1,722,346 | $ | 365,670 | |||||||||||||||||||
The following table is a summary of the changes to goodwill for the nine months ended November 30, 2013, three months ended February 28, 2013 and year ended November 30, 2012 (in thousands): | |||||||||||||||||||||||
Successor | Predecessor | ||||||||||||||||||||||
Nine Months Ended | Three Months Ended | Year Ended | |||||||||||||||||||||
November 30, 2013 | 28-Feb-13 | November 30, 2012 | |||||||||||||||||||||
Balance, at beginning of period | $ | 1,720,380 | $ | 365,670 | $ | 365,574 | |||||||||||||||||
Less: Disposal | (5,700) | (2) | |||||||||||||||||||||
Add: Contingent consideration | - | 2,394 | - | ||||||||||||||||||||
Add: Translation adjustments | 7,666 | (1,287) | 96 | ||||||||||||||||||||
Balance, at end of period | $ | 1,722,346 | $ | 366,777 | (1) | $ | 365,670 | ||||||||||||||||
(1) Predecessor Company goodwill as of February 28, 2013 was reduced to $-0- as of March 1, 2013, as a result of purchase accounting adjustments. | |||||||||||||||||||||||
(2) During the nine months ended November 2013, we restructured our commodity asset management business and no longer have a controlling financial interest and accordingly do not consolidate. In addition, we sold Jefferies International Management Limited to Leucadia. Accordingly, goodwill associated with these entities was included in the net assets disposed of in the transactions. | |||||||||||||||||||||||
Contingent consideration recorded during the three months ended February 28, 2013 relates to the lapse of certain conditions as specified in the purchase agreements associated with an acquisition in 2007. | |||||||||||||||||||||||
Goodwill Impairment Testing | |||||||||||||||||||||||
Goodwill associated with the merger is allocated to related reporting units, which are determined based on financial information provided to management in connection with its management of the businesses. A reporting unit is an operating segment or one level below an operating segment. As part of the push down of the acquisition method of accounting for the Merger and the resulting creation of a new Successor reporting entity, our annual goodwill impairment testing date is designated as August 1. Prior to the merger, our annual goodwill impairment test date was June 1. | |||||||||||||||||||||||
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 fair value of the net assets of the reporting unit. | |||||||||||||||||||||||
Allocated equity plus goodwill and allocated 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 and, for certain reporting units, a net asset value method. 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 as of August 1, 2013. | |||||||||||||||||||||||
Our annual goodwill impairment testing as of August 1, 2013 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 substantially in excess of their carrying amounts based on current projections. Goodwill allocated to these reporting units is $1,665.3 million of total goodwill of $1,722.3 million at November 30, 2013. For the remaining less significant reporting units, which contain approximately 3.3% of our total goodwill, 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 | |||||||||||||||||||||||
The following tables present the gross carrying amount, accumulated amortization, net carrying amount and weighted average amortization period of identifiable intangible assets as of November 30, 2013 and 2012 (in thousands): | |||||||||||||||||||||||
Successor | |||||||||||||||||||||||
30-Nov-13 | |||||||||||||||||||||||
Gross cost | Impairment | Accumulated | Net carrying | Weighted | |||||||||||||||||||
losses | amortization | amount | average | ||||||||||||||||||||
remaining | |||||||||||||||||||||||
lives (years) | |||||||||||||||||||||||
Customer relationships (1) | $ | 136,740 | $ | - | $ | (17,567) | $ | 119,173 | 14.8 | ||||||||||||||
Trade name | 132,967 | - | (2,966) | 130,001 | 34.3 | ||||||||||||||||||
Exchange and clearing organization membership interests and registrations (2) | 15,294 | (378) | - | 14,916 | N/A | ||||||||||||||||||
$ | 285,001 | $ | (378) | $ | (20,533) | $ | 264,090 | ||||||||||||||||
Predecessor | |||||||||||||||||||||||
30-Nov-12 | |||||||||||||||||||||||
Gross cost | Impairment | Accumulated | Net carrying | Weighted | |||||||||||||||||||
losses | amortization | amount | average | ||||||||||||||||||||
remaining | |||||||||||||||||||||||
lives (years) | |||||||||||||||||||||||
Customer relationships | $ | 10,542 | $ | - | $ | (4,107) | 6,435 | 7.9 | |||||||||||||||
Trade name | 1,680 | - | (1,287) | 393 | 3.5 | ||||||||||||||||||
Other | 100 | - | (15) | 85 | 12.8 | ||||||||||||||||||
Exchange and clearing organization membership interests and registrations | 11,219 | (2,873) | - | $ | 8,346 | N/A | |||||||||||||||||
$ | 23,541 | $ | (2,873) | $ | (5,409) | $ | 15,259 | ||||||||||||||||
(1) The gross cost and accumulated amortization of customer relationships has been reduced by $132,000 and $5,500 respectively, as these customer relationships related to our commodity asset management business, which we restructured in September 2013 and for which we no longer own a controlling financial interest and do not consolidate at November 30, 2013. | |||||||||||||||||||||||
(2) The gross cost of exchange and clearing organization membership interests and registrations has been reduced by $255,000 as these registrations relate to asset management businesses which we restructured or sold during the nine months ended November 30, 2013. | |||||||||||||||||||||||
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, as of August 1. We elected to perform a quantitative assessment of membership interests and registrations that have available quoted sales prices, and a qualitative assessment of the remainder of our intangible assets. In applying our quantitative assessment, we recognized an impairment loss of $378,000 on certain exchange memberships based on a decline in fair value at August 1, 2013 as observed based on quoted sales prices. 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 since the most recent valuation date of March 1, 2013 as part of acquisition accounting, we have concluded that it is not more likely than not that the intangible assets are impaired. Prior to our merger with Leucadia, our annual impairment testing date was June 1. | |||||||||||||||||||||||
During the second fiscal quarter of 2012, as a result of a significant decline in the fair value of our exchange and clearing organization membership interests and registrations we recognized an impairment loss of $2.9 million. Fair values were based on prices of public sales which had declined over the past year. | |||||||||||||||||||||||
For intangible assets with a finite life, aggregate amortization expense amounted to $20.5 million for the nine months ended November 30, 2013, $0.4 million for the three months ended February 28, 2013 and $2.3 million and $1.4 million for the years ended November 30, 2012 and 2011, respectively, which is included in Other expenses on the Consolidated Statements of Earnings. | |||||||||||||||||||||||
Estimated future amortization expense for the next five fiscal years are as follows (in thousands): | |||||||||||||||||||||||
Fiscal year | Estimated future | ||||||||||||||||||||||
amortization expense | |||||||||||||||||||||||
2014 | $ | 12,668 | |||||||||||||||||||||
2015 | 12,668 | ||||||||||||||||||||||
2016 | 12,668 | ||||||||||||||||||||||
2017 | 12,668 | ||||||||||||||||||||||
2018 | 12,668 | ||||||||||||||||||||||
Mortgage Servicing Rights | |||||||||||||||||||||||
On November 30, 2012, we sold substantially all of our mortgage servicing rights for military housing for approximately $30.9 million; and on May 20, 2013, we sold the remaining servicing rights for $2.0 million. | |||||||||||||||||||||||
Mortgage servicing rights for military housing mortgage loans were accounted for as an intangible asset and included within Other assets in the Consolidated Statements of Financial Condition. The mortgage servicing rights were amortized over the period of the estimated net servicing income, which is reported in Other revenues in the Consolidated Statements of Earnings. We provided no credit support in connection with the servicing of these loans and were not required to make servicing advances on the loans in the underlying portfolios. We determined that the servicing rights represented one class of servicing rights based on the availability of market inputs to measure the fair value of the asset and our treatment of the asset as one aggregate pool for risk management purposes. We earned no fees related to these servicing rights during the nine months ended November 30, 2013, $114,000 during the three months ended February 28, 2013 and $3.7 million and $4.1 million during the years ended November 30, 2012 and 2011, respectively. | |||||||||||||||||||||||
The following presents the activity in the balance of these servicing rights for the nine months ended November 30, 2013, three months ended February 28, 2013 and year ended November 30, 2012 (in thousands): | |||||||||||||||||||||||
Successor | Predecessor | ||||||||||||||||||||||
Nine Months Ended | Three Months Ended | Twelve Months Ended | |||||||||||||||||||||
November 30, 2013 | February 28, 2013 | November 30, 2012 | |||||||||||||||||||||
Balance, beginning of period | $ | 2,000 | $ | 805 | $ | 8,202 | |||||||||||||||||
Add: Acquisition | - | - | 162 | ||||||||||||||||||||
Less: Sales, net | (2,000) | - | (6,959) | ||||||||||||||||||||
Less: Pay down | - | - | (211) | ||||||||||||||||||||
Less: Amortization | - | (10) | (389) | ||||||||||||||||||||
Balance, end of period | $ | - | $ | 795 | $ | 805 | |||||||||||||||||
ShortTerm_Borrowings
Short-Term Borrowings | 12 Months Ended |
Nov. 30, 2013 | |
Debt Disclosure [Abstract] | ' |
Short-Term Borrowings | ' |
Note 14. Short-Term Borrowings | |
Bank loans represent short-term borrowings that are payable on demand and generally bear interest at a spread over the federal funds rate. Unsecured 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. Bank loans at November 30, 2013 and November 30, 2012 totaled $12.0 million and $150.0 million, respectively, of which $12.0 million and $100.0 million at November 30, 2013 and 2012 is secured financing. At November 30, 2013, the interest rate on short-term borrowings outstanding is 0.66%. Average daily bank loans outstanding for the nine months ended November 30, 2013, the three months ended February 28, 2013 and the year ended November 30, 2012 are $43.3 million, $110.0 million and $66.4 million, respectively. |
LongTerm_Debt
Long-Term Debt | 12 Months Ended | ||||||||
Nov. 30, 2013 | |||||||||
Debt Disclosure [Abstract] | ' | ||||||||
Long-Term Debt | ' | ||||||||
Note 15. Long-Term Debt | |||||||||
In conjunction with pushdown accounting for the Merger with Leucadia on March 1, 2013, we recorded our long-term debt at its then current fair value of $6.1 billion, which included $536.5 million of excess of the fair value over the total principal amount of our debt at March 1, 2013, in aggregate. The premium is being amortized to interest expense using the effective yield method over the remaining lives of the underlying debt obligations. See Note 4, Leucadia Merger and Related Transactions for further information. | |||||||||
The following summarizes our long-term debt carrying values (including unamortized discounts and premiums and valuation adjustment, where applicable) at November 30, 2013 and 2012 (in thousands): | |||||||||
Successor | Predecessor | ||||||||
Unsecured Long-Term Debt | November 30, | November 30, | |||||||
2013 | 2012 | ||||||||
5.875% Senior Notes, due June 8, 2014 (effective interest rate of 1.51%) | $ | 255,676 | $ | 249,564 | |||||
3.875% Senior Notes, due November 9, 2015 (effective interest rate of 2.17%) | 516,204 | 499,382 | |||||||
5.5% Senior Notes, due March 15, 2016 (effective interest rate of 2.52%) | 373,178 | 349,248 | |||||||
5.125% Senior Notes, due April 13, 2018 (effective interest rate of 3.46%) | 854,011 | 771,450 | |||||||
8.5% Senior Notes, due July 15, 2019 (effective interest rate of 4.00%) | 858,425 | 706,990 | |||||||
6.875% Senior Notes, due April 15, 2021 (effective interest rate of 4.40%) | 866,801 | 743,945 | |||||||
2.25% Euro Medium Term Notes, due July 13, 2022 (effective rate of 3.82%) | 4,792 | 3,708 | |||||||
5.125% Senior Notes, due January 20, 2023 (effective interest rate of 4.55%) | 625,626 | - | |||||||
6.45% Senior Debentures, due June 8, 2027 (effective interest rate of 5.46%) | 383,224 | 346,792 | |||||||
3.875% Convertible Senior Debentures, due November 1, 2029 (effective interest rate of 3.50%) (1) | 359,281 | 290,617 | |||||||
6.25% Senior Debentures, due January 15, 2036 (effective interest rate of 6.03%) | 513,343 | 492,904 | |||||||
6.50% Senior Notes, due January 20, 2043 (effective interest rate of 6.09%) | 422,245 | - | |||||||
$ | 6,032,806 | $ | 4,454,600 | ||||||
Secured Long-Term Debt | |||||||||
Credit facility, due August 26, 2014 | 200,000 | 350,007 | |||||||
$ | 6,232,806 | $ | 4,804,607 | ||||||
-1 | As a result of the Merger with Leucadia on March 1, 2013, the value of the 3.875% Convertible Senior debentures at November 30, 2013 includes the fair value of the conversion feature of $9.6 million. The change in fair value of the conversion feature is included within Revenues – Principal transactions in the Consolidated Statement of Earnings and amounted to a gain of $6.9 million for the nine months ended November 30, 2013. | ||||||||
On January 15, 2013, we issued $1.0 billion in senior unsecured long-term debt, comprising 5.125% Senior Notes, due 2023 and 6.5% Senior Notes, due 2043. The 5.125% Senior Notes were issued with a principal amount of $600.0 million and we received proceeds of $595.6 million. The 6.5% Senior Notes were issued with a principal amount of $400.0 million and we received proceeds of $391.7 million. | |||||||||
On July 13, 2012, under our Euro Medium Term Note Program (“EMTN Program”) we issued senior unsecured notes with a principal amount of €4.0 million which bear interest at 2.25% per annum and mature on July 13, 2022. Proceeds net of original issue discount amounted to €2.8 million. | |||||||||
On April 19, 2012, we issued an additional $200.0 million aggregate principal amount of our 6.875% Senior Notes due April 15, 2021. Proceeds before underwriting discount and expenses amounted to $197.7 million. The total aggregate principal amount issued under this series of notes is $750.0 million. | |||||||||
Our U.S. broker-dealer, from time to time, makes a market in our long-term debt securities (i.e., purchases and sells our long-term debt securities). During November and December 2011, there was extreme volatility in the price of our debt and a significant amount of secondary trading volume through our market-making desk. Given the volume of activity and significant price volatility, purchases and sales of our Senior Notes due 2018 and Convertible Senior Debentures due 2029 were treated as debt extinguishments and reissuances of debt, respectively. We recognized a gain of $9.9 million and $20.2 million on debt extinguishment which is reported in Other revenues for the year ended November 30, 2012 and 2011, respectively. Discounts arose as a result of the repurchase and subsequent reissuance of our debt below par during November and December 2011 which was being amortized over the remaining life of the debt using the effective yield method. The unamortized balance at November 30, 2012 amounted to $32.2 million and the residual unamortized balance of $30.9 million at February 28, 2013, was reduced to $-0- on March 1, 2013 by application of the acquisition method of accounting. | |||||||||
In October 2009, we issued 3.875% convertible senior debentures due 2029 (the “debentures”) with an aggregate principal amount of $345.0 million. Upon completion of the Merger with Leucadia, the debentures remain issued and outstanding but are now convertible into common shares of Leucadia. Other than the conversion into Leucadia common shares, the terms of the debenture remain the same. As of December 12, 2013, each $1,000 debenture is currently convertible into 21.9727 shares of Leucadia’s common stock (equivalent to a conversion price of approximately $45.51 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 5 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. As of the merger, 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, as of March 1, 2013, 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 on the Consolidated Statement of Financial Condition. | |||||||||
Secured Long-Term Debt - On August 26, 2011, we entered into a committed senior secured revolving credit facility (“Credit Facility”) with a group of commercial banks in U.S. dollars, Euros and Sterling, for an aggregate committed amount of $950.0 million with availability subject to one or more borrowing bases and of which $250.0 million can be borrowed by Jefferies Bache Limited without a borrowing base requirement. The borrowers under the Credit Facility are Jefferies Bache Financial Services, Inc., Jefferies Bache, LLC and Jefferies Bache Limited. The Credit Facility is guaranteed by Jefferies Group LLC and contains certain financial covenants, including, but not limited to, restrictions on future indebtedness of our subsidiaries, requires Jefferies Group LLC and certain of our subsidiaries to maintain specified level of tangible net worth and liquidity amounts and to maintain specified levels of regulated capital. The Credit Facility terminates on August 26, 2014. Interest is based on, in the case of U.S. dollar borrowings, the Federal funds rate or the London Interbank Offered Rate or, in the case of Euro and Sterling borrowings, the Euro Interbank Offered Rate and the London Interbank Offered Rate, respectively. At November 30, 2013 and 2012, borrowings under the Credit Facility were denominated in U.S. dollar and we were in compliance with debt covenants under the Credit Facility. |
Mandatorily_Redeemable_Convert
Mandatorily Redeemable Convertible Preferred Stock | 12 Months Ended |
Nov. 30, 2013 | |
Equity [Abstract] | ' |
Mandatorily Redeemable Convertible Preferred Stock | ' |
Note 16. Mandatorily Redeemable Convertible Preferred Stock | |
As of February 28, 2013 and November 30, 2012, we had issued and outstanding 125,000 shares of 3.25% Series A Convertible Cumulative Preferred Stock, all of which were held by controlled affiliates of MassMutual. The preferred stock was callable beginning in 2016 at a price of $1,000 per share plus accrued interest and matured in 2036. Dividends paid on the Series A Convertible Cumulative Preferred Stock were recorded as a component of Interest expense as the preferred stock is treated as debt for accounting purposes. For tax purposes, the dividend is not tax-deductible because the Series A Convertible Cumulative Preferred Stock are considered “equity”. | |
On March 1, 2013, pursuant to the merger with Leucadia, the Series A Convertible Cumulative Preferred Stock was exchanged for a comparable series of convertible preferred shares of Leucadia. The assumption by Leucadia of our convertible cumulative preferred stock is considered part of the purchase price and resulted in an increase in member’s equity. See Note 4. Leucadia Merger and Related Transactions for further details. |
Noncontrolling_Interests_and_M
Noncontrolling Interests and Mandatorily Redeemable Preferred Interests of Consolidated Subsidiaries | 12 Months Ended | ||||||||
Nov. 30, 2013 | |||||||||
Noncontrolling Interest [Abstract] | ' | ||||||||
Noncontrolling Interests and Mandatorily Redeemable Preferred Interests of Consolidated Subsidiaries | ' | ||||||||
Note 17. Noncontrolling Interests and Mandatorily Redeemable Preferred Interests of Consolidated Subsidiaries | |||||||||
Noncontrolling Interests | |||||||||
Noncontrolling interests represent equity interests in consolidated subsidiaries that are not attributable, either directly or indirectly, to us (i.e., minority interests). The following table presents noncontrolling interests at November 30, 2013 and 2012 (in thousands): | |||||||||
Successor | Predecessor | ||||||||
November 30, | November 30, | ||||||||
2013 | 2012 | ||||||||
JSOP | $ | - | $ | 303,178 | |||||
JESOP | - | 35,239 | |||||||
Other (1) | 117,154 | 8,321 | |||||||
Noncontrolling interests | $ | 117,154 | $ | 346,738 | |||||
-1 | Other includes asset management entities and investment vehicles set up for the benefit of our employees, and at November 30, 2013 includes an investment of $75.0 million by Leucadia in a consolidated asset management entity. | ||||||||
Noncontrolling ownership interests in consolidated subsidiaries are presented in the accompanying Consolidated Statement of Financial Condition within Equity as a component separate from Member’s equity. Net Earnings in the accompanying Consolidated Statements of Earnings includes earnings attributable to both our equity investor and the noncontrolling interests. There has been no other comprehensive income or loss attributed to noncontrolling interests for the nine months ended November 30, 2013, three months ended February 28, 2013 and year ended November 30, 2012 because all other comprehensive income or loss is attributed to us. On March 1, 2013, ownership interests in JSOP and JESOP were redeemed at the carrying value of the interests as of February 28, 2013 and the entities dissolved at no gain or loss to us. Residual cash redemption payments were made in the fourth quarter of 2013. | |||||||||
Mandatorily Redeemable Preferred Interests of Consolidated Subsidiaries | |||||||||
Interests in consolidated subsidiaries that meet the definition of mandatorily redeemable financial instruments require liability classification and remeasurement at the estimated amount of cash that would be due and payable to settle such interests under the applicable entity’s organization agreement. On April 1, 2013, mandatorily redeemable financial instruments, representing Leucadia’s member’s equity interests held in Jefferies High Yield Holdings, LLC (“JHYH”), were redeemed and subsequently contributed back to us by Leucadia as additional equity in Jefferies Group LLC. | |||||||||
Prior to redemption, the mandatorily redeemable financial instruments, representing equity interests in JHYH and entitled to a pro rata share of the profits and losses of JHYH, were reported within liabilities as Mandatorily redeemable preferred interests of consolidated subsidiaries on the Consolidated Statement of Financial Condition. Changes to these mandatorily redeemable financial instruments were reflected as Interest on mandatorily redeemable preferred interests of consolidated subsidiaries within Net revenues on our Consolidated Statements of Earnings. The carrying amount of the Mandatorily redeemable preferred interests of consolidated subsidiaries was approximately $348.1 million at November 30, 2012. |
Benefit_Plans
Benefit Plans | 12 Months Ended | ||||||||||||
Nov. 30, 2013 | |||||||||||||
Compensation And Retirement Disclosure [Abstract] | ' | ||||||||||||
Benefit Plans | ' | ||||||||||||
Note 18. 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. As a minimum, amortization of unrecognized net gain or loss included in Accumulated other comprehensive income (excluding asset gains and losses not yet reflected in market-related value) are included as a component of net pension cost for a year if, as of the beginning of the year, that unrecognized net gain or loss exceeds 10% of the greater of the projected benefit obligation or the market-related value of plan assets. 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. | |||||||||||||
Employer Contributions – Our funding policy is to contribute to the U.S. Pension Plan at least the minimum amount required for funding purposes under applicable employee benefit and tax laws. We contributed $3.0 million to the plan during the year ended November 30, 2013. We do not expect to make any contributions to the plan in the year ended November 30, 2014. | |||||||||||||
The following tables summarize the changes in the projected benefit obligation, the fair value of the assets and the funded status of the plan (in thousands): | |||||||||||||
Year Ended November 30, | |||||||||||||
Change in projected benefit obligation | 2013 | 2012 | |||||||||||
Projected benefit obligation, beginning of period | $ | 53,433 | $ | 50,487 | |||||||||
Service cost | 225 | 175 | |||||||||||
Interest cost | 2,201 | 2,342 | |||||||||||
Actuarial (gains) losses | (5,046) | 4,424 | |||||||||||
Administrative expenses paid | (296) | (236) | |||||||||||
Benefits paid | (2,262) | (596) | |||||||||||
Settlements | - | (3,163) | |||||||||||
Projected benefit obligation, end of period | $ | 48,255 | $ | 53,433 | |||||||||
Change in plan assets | |||||||||||||
Fair value of assets, beginning of period | $ | 39,902 | $ | 36,457 | |||||||||
Employer contributions | 3,000 | 2,000 | |||||||||||
Benefit payments made | (2,262) | (596) | |||||||||||
Administrative expenses paid | (296) | (236) | |||||||||||
Actual return on plan assets | 7,072 | 5,440 | |||||||||||
Settlements | - | (3,163) | |||||||||||
Fair value of assets, end of period | $ | 47,416 | $ | 39,902 | |||||||||
Deficit at end of period | $ | (839) | $ | (13,531) | |||||||||
The amounts recognized in our Consolidated Statements of Financial Condition are as follows (in thousands): | |||||||||||||
November 30, | |||||||||||||
2013 | 2012 | ||||||||||||
Accumulated benefit obligation | $ | 48,255 | $ | 53,433 | |||||||||
Projected benefit obligation for service rendered to date | 48,255 | 53,433 | |||||||||||
Plan assets, at fair value | 47,416 | 39,902 | |||||||||||
Deficit | (839) | (13,531) | |||||||||||
Unrecognized net (gain) loss | (6,268) | 17,761 | |||||||||||
Prepaid benefit cost | (7,107) | 4,230 | |||||||||||
Accumulated other comprehensive income (loss), before taxes | 6,268 | (17,761) | |||||||||||
Pension liability | $ | (839) | $ | (13,531) | |||||||||
The following tables summarizes the components of net periodic pension cost and other amounts recognized in other comprehensive income excluding taxes (in thousands): | |||||||||||||
Year Ended November 30, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Components of net periodic pension cost: | |||||||||||||
Service cost | $ | 225 | $ | 175 | $ | 175 | |||||||
Interest cost on projected benefit obligation | 2,201 | 2,342 | 2,366 | ||||||||||
Expected return on plan assets | (2,698) | (2,513) | (2,578) | ||||||||||
Net amortization | 326 | 1,334 | 894 | ||||||||||
Settlement losses (1) | — | 1,051 | — | ||||||||||
Net periodic pension cost | $ | 54 | $ | 2,389 | $ | 857 | |||||||
-1 | Of the $2.4 million in net periodic pension cost for the year ended November 30, 2012, $1.1 million is due to previously unrecognized losses associated with the projected pension obligation as the cost of all settlements in fiscal 2012 for terminated employees exceeded current year interest and service costs. | ||||||||||||
Year Ended November 30, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Amounts recognized in other comprehensive income | |||||||||||||
Net (gain) loss arising during the period | $ | (9,419) | $ | 1,498 | $ | 5,618 | |||||||
Amortization of net loss | (326) | (1,334) | -894 | ||||||||||
Settlements during the period | - | (1,051) | - | ||||||||||
Total recognized in Other comprehensive income | $ | (9,745) | $ | (887) | $ | 4,724 | |||||||
Net amount recognized in net periodic benefit cost and Other comprehensive income | $ | (9,691) | $ | 1,502 | $ | 5,581 | |||||||
The amounts in accumulated other comprehensive income that have not yet been recognized as components of net periodic benefit cost include $(6.3) million, $17.8 million and $18.6 million as of November 30, 2013, 2012 and 2011, respectively. | |||||||||||||
On a weighted average basis, the following are assumptions used to determine the actuarial present value of the projected benefit obligation and net periodic pension benefit cost: | |||||||||||||
Year Ended November 30, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Discount rate | 5.10% | 4.00% | 4.75% | ||||||||||
Expected long-term rate of return on plan assets | 6.75% | 6.75% | 7.00% | ||||||||||
Expected Benefit Payments - Expected benefit payments for each of the next five fiscal years and in the aggregate for the five fiscal years thereafter are as follows (in thousands): | |||||||||||||
2014 | $ | 1,383 | |||||||||||
2015 | 1,806 | ||||||||||||
2016 | 3,685 | ||||||||||||
2017 | 2,518 | ||||||||||||
2018 | 2,230 | ||||||||||||
2019 through 2023 | 17,705 | ||||||||||||
Plan Assets - The following table presents the fair value of plan assets as of November 30, 2013 and 2012 by level within the fair value hierarchy (in thousands): | |||||||||||||
As of November 30, 2013 | |||||||||||||
Level 1 | Level 2 | Total | |||||||||||
Plan assets (1): | |||||||||||||
Cash and cash equivalents | $ | 931 | $ | — | $ | 931 | |||||||
Listed equity securities (2) | 27,663 | — | 27,663 | ||||||||||
Fixed income securities: | |||||||||||||
Corporate debt securities | — | 7,743 | 7,743 | ||||||||||
Foreign corporate debt securities | — | 1,140 | 1,140 | ||||||||||
U.S. government securities | 4,055 | — | 4,055 | ||||||||||
Agency mortgage-backed securities | — | 3,949 | 3,949 | ||||||||||
Commercial mortgage-backed securities | — | 1,280 | 1,280 | ||||||||||
Asset-backed securities | — | 461 | 461 | ||||||||||
Other | — | 194 | 194 | ||||||||||
$ | 32,649 | $ | 14,767 | $ | 47,416 | ||||||||
(1) There are no plan assets classified within Level 3 of the fair value hierarchy. | |||||||||||||
(2) Listed equity securities are diversified across a spectrum of primarily U.S. large-cap companies. | |||||||||||||
As of November 30, 2012 | |||||||||||||
Level 1 | Level 2 | Total | |||||||||||
Plan assets (1): | |||||||||||||
Cash and cash equivalents | $ | 849 | $ | — | $ | 849 | |||||||
Listed equity securities (2) | 20,321 | — | 20,321 | ||||||||||
Fixed income securities: | |||||||||||||
Corporate debt securities | — | 8,037 | 8,037 | ||||||||||
Foreign corporate debt securities | — | 345 | 345 | ||||||||||
U.S. government securities | 4,618 | — | 4,618 | ||||||||||
Agency mortgage-backed securities | — | 3,774 | 3,774 | ||||||||||
Commercial mortgage-backed securities | — | 1,419 | 1,419 | ||||||||||
Asset-backed securities | — | 524 | 524 | ||||||||||
Other | — | 15 | 15 | ||||||||||
$ | 25,788 | $ | 14,114 | $ | 39,902 | ||||||||
(1) There are no plan assets classified within Level 3 of the fair value hierarchy. | |||||||||||||
(2) Listed equity securities are diversified across a spectrum of primarily U.S. large-cap companies. | |||||||||||||
Valuation technique and inputs - The following is a description of the valuation techniques and inputs used in measuring plan assets accounted for at fair value on a recurring basis: | |||||||||||||
— | Cash equivalents are valued at cost, which approximates fair value and are categorized in Level 1 of the fair value hierarchy; | ||||||||||||
— | Listed equity securities are valued using the quoted prices in active markets for identical assets; | ||||||||||||
— | Fixed income securities: | ||||||||||||
¡ | Corporate debt, mortgage- and asset-backed securities and other securities valuations use data readily available to all market participants and use inputs available for substantially the full term of the security. Valuation inputs include benchmark yields, reported trades, broker dealer quotes, issuer spreads, two sided markets, benchmark securities, bids, offers, reference data, and industry and economic events; | ||||||||||||
¡ | U.S. government and agency securities valuations generally include quoted bid prices in active markets for identical or similar assets. | ||||||||||||
Investment Policies and Strategies - Assets in the plan are invested under guidelines adopted by the Administrative Committee of the Plan. Because the Plan exists to provide a vehicle for funding future benefit obligations, the investment objectives of the portfolio take into account the nature and timing of future plan liabilities. The policy recognizes that the portfolio’s long-term investment performance and its ability to meet the plan’s overall objectives are dependent on the strategic asset allocation which includes adequate diversification among assets classes. | |||||||||||||
The target allocation of plan assets for 2014 is approximately 50% equities and 50% fixed income securities. The target asset allocation was determined based on the risk tolerance characteristics of the plan and, at times, may be adjusted to achieve the plan’s investment objective and to minimize any concentration of investment risk. The Administrative Committee evaluates the asset allocation strategy and adjusts the allocation if warranted based upon market conditions and the impact of the investment strategy on future contribution requirements. The expected long-term rate of return assumption is based on an analysis of historical experience of the portfolio and the summation of prospective returns for each asset class in proportion to the fund’s current asset allocation. | |||||||||||||
The equity portfolio may invest up to 5% of the market value of the portfolio in any one company and may invest up to 10% of the market value of the portfolio in any one sector or up to two times the percentage weighting of any one sector as defined by the S&P 500 or the Russell 1000 Value indices, whichever is higher. Permissible investments specified under the equity portfolio of the plan include equity securities of U.S. and non-U.S. incorporated entities and private placement securities issued pursuant to Rule 144A. At least 75% of the market value of the fixed income portfolio must be invested in investment grade securities rated BBB-/Baa3, including cash and cash equivalents. Permissible investments specified under the fixed income portfolio of the plan include: public or private debt obligations issued or guaranteed by U.S. or foreign issuers; preferred, hybrid, mortgage or asset-backed securities; senior loans; and derivatives and foreign currency exchange contracts. | |||||||||||||
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. As part of purchase accounting, a liability of $21.8 million was recognized on July 1, 2011 as a pension obligation within Accrued expenses and other liabilities. 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 are included in Financial Instruments owned – Investments at fair value in the Consolidated Statements of Financial Condition and has a fair value of $19.7 million and $18.6 million at November 30, 2013 and 2012, respectively. We expect to pay the pension obligation 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 provisions and assumptions used in the German Pension Plan are based on local conditions in Germany. We did not contribute to the plan during the years ended November 30, 2013 and 2012. | |||||||||||||
The following tables summarize the changes in the projected benefit obligation and the components of net periodic pension cost (in thousands): | |||||||||||||
Year Ended November 30, | |||||||||||||
2013 | 2012 | ||||||||||||
Change in projected benefit obligation | |||||||||||||
Projected benefit obligation, beginning of period | $ | 24,509 | $ | 19,799 | |||||||||
Service cost | 67 | 36 | |||||||||||
Interest cost | 902 | 1,027 | |||||||||||
Actuarial losses | 1,033 | 5,413 | |||||||||||
Benefits paid | (1,245) | (1,121) | |||||||||||
Currency adjustment | 1,102 | (645) | |||||||||||
Projected benefit obligation, end of period | $ | 26,368 | $ | 24,509 | |||||||||
Year Ended November 30, | Five Months Ended | ||||||||||||
November 30, | |||||||||||||
Components of net periodic pension cost | 2013 | 2012 | 2011 | ||||||||||
Service cost | $ | 67 | $ | 36 | $ | 15 | |||||||
Interest cost on projected benefit obligation | 902 | 1,027 | 434 | ||||||||||
Net amortization | 179 | - | - | ||||||||||
Net periodic pension cost | $ | 1,148 | $ | 1,063 | $ | 449 | |||||||
The accumulated benefit obligation at November 30, 2013 and November 30, 2012 is $26.4 million and $24.5 million, respectively. The amount in accumulated Other comprehensive income at November 30, 2013 and 2012 is a debit of $1.0 million and a debit of $4.4 million, respectively. The following are assumptions used to determine the actuarial present value of the projected benefit obligation and net periodic pension benefit cost for the year ended November 30, 2013 and 2012: | |||||||||||||
Year Ended November 30, | |||||||||||||
2013 | 2012 | ||||||||||||
Projected benefit obligation | |||||||||||||
Discount rate | 3.40% | 3.60% | |||||||||||
Rate of compensation increase | 3.00% | 3.00% | |||||||||||
Net periodic pension benefit cost | |||||||||||||
Discount rate | 3.60% | 5.60% | |||||||||||
Rate of compensation increase | 3.00% | 3.00% | |||||||||||
Expected Benefit Payments - Expected benefit payments for each of the next five fiscal years and in the aggregate for the five fiscal years thereafter are as follows (in thousands): | |||||||||||||
2014 | 1,374 | ||||||||||||
2015 | 1,399 | ||||||||||||
2016 | 1,417 | ||||||||||||
2017 | 1,395 | ||||||||||||
2018 | 1,391 | ||||||||||||
2019 through 2023 | 7,908 |
Compensation_Plans
Compensation Plans | 12 Months Ended |
Nov. 30, 2013 | |
Compensation Related Costs [Abstract] | ' |
Compensation Plans | ' |
Note 19. Compensation Plans | |
Prior to the Merger, we sponsored the following share-based compensation plans: incentive compensation plan, employee stock purchase plan and the deferred compensation plan. Subsequent to the merger with Leucadia, sponsorship of share-based compensation plans was transferred to Leucadia, with outstanding share-based awards relating to Leucadia common shares and future awards to 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 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 following are descriptions of the compensation plans and the activity of such plans for the nine months ended November 30, 2013 (Successor Period), three months ended February 28, 2013 (Predecessor period) and the years ended November 30, 2012 and 2011 (Predecessor period): | |
Incentive Compensation Plan. The Incentive Compensation Plan (“Incentive Plan”) allows 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, RSUs, dividend equivalents or other share-based awards. In connection with the merger with Leucadia, the Incentive Plan was amended to provide for awards to be issued relating to shares of Leucadia, our parent company as of March 1, 2013. Share-based awards outstanding at March 1, 2013 were converted into awards for shares of Leucadia at the Exchange Ratio, with all such awards subject to the same terms and conditions that existed prior to the merger (except for the elimination of fractional shares). | |
The Incentive Plan allows for grants of restricted stock awards, whereby employees are granted restricted common shares subject to a risk of forfeiture. The Incentive Plan also allows for grants of 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. | |
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 both performance and service conditions. These awards granted to senior executives are amortized over the service period as we have determined that it is probable that the performance condition will be achieved. | |
During the year ended November 30, 2011, we granted restricted stock and RSUs as part of year-end compensation. Restricted stock and RSUs granted as part of year-end compensation were not subject to service requirements that employees must fulfill in exchange for the right to those awards. As such, employees who terminate their employment or are terminated without cause may continue to vest in year-end compensation awards, so long as the awards are not forfeited as a result of the other forfeiture provisions of those awards (e.g. competition). We determined that the service inception date preceded the grant date for restricted stock and RSUs granted as part of year-end compensation, and, as such, the compensation expense associated with these awards was accrued over the one-year period prior to the grant date. For the year ended November 30, 2011, we recognized compensation expense of $64.0 million related to restricted stock and restricted stock units granted as part of our 2011 year end compensation. | |
In 2011, we offered our employees the option to receive the stock portion of their year-end compensation in the form of either shares or cash, with the cash amount being equal to 75% of the grant-date amount of the stock that an employee would otherwise receive. The election resulted in a decrease to share-based compensation expense of approximately $23.3 million, as certain employees elected to receive reduced cash awards in lieu of the full grant-date amount of the shares. This offset increased cash compensation expense by approximately $17.5 million. The net effect of this election on total compensation and benefits expense was a reduction of approximately $5.8 million. While these cash awards were fully expensed in 2011, they legally vest in future periods. | |
The total compensation cost associated with restricted stock and RSUs amounted to $64.4 million for the nine months ended November 30, 2013 (Successor period), $22.3 million for the three months ended February 28, 2013 (Predecessor period) and $83.8 million and $134.1 million for the years ended November 30, 2012 and 2011 (Predecessor period), respectively. Total compensation cost includes the amortization of sign-on, retention and senior executive awards, less forfeitures and clawbacks. In 2011, total compensation cost includes year-end compensation awards. | |
The net tax benefit (deficiency) related to share-based compensation plans recognized in additional paid-in capital was $2.9 million for the nine months ended November 30, 2013 (Successor period), ($18.0) million for the three months ended February 28, 2013 (Predecessor period) and $19.8 million and $32.2 million for the years ended November 30, 2012 and 2011 (Predecessor period), respectively. | |
The fair values of outstanding restricted stock and RSUs with future service requirements were remeasured as part of the acquisition accounting, resulting in an increase of approximately $45.1 million to the unrecognized compensation cost allocated to us at March 1, 2013. As of November 30, 2013, we had $165.2 million of total unrecognized compensation cost allocated to us related to nonvested share-based awards, which is expected to be recognized over a remaining weighted average vesting period of approximately 2.5 years. | |
Employee Stock Purchase Plan. There is also an Employee Stock Purchase Plan (“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 (since the merger) and permitted purchase of Jefferies Group, Inc. common stock (prior to the merger). 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 (since the merger) and in Jefferies Group, Inc. common stock (prior to the merger) (“DCP shares”), or by allocating among any combination of other investment funds available under the Deferred Compensation Plan. In connection with the merger with Leucadia on March 1, 2013, the Deferred Compensation Plan was amended and deferrals denominated as DCP shares became settleable by delivery of Leucadia common shares. 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 transactions and changes in the corresponding deferral compensation liability are reflected as Compensation and benefits expense in our Consolidated Statements of Earnings. | |
Additionally, we recognize compensation cost related to the discount provided to employees in electing to defer compensation in DCP shares. This compensation cost was approximately $111,000 for the nine months ended November 30, 2013 (Successor period), $72,000 for the three months ended February 28, 2013 (Predecessor period) and $197,000 and $297,000 for the years ended November 30, 2012 and 2011 (Predecessor period), respectively. | |
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. The compensation cost related to this plan was $3.2 million for the nine months ended November 30, 2013, $2.6 million for the three months ended February 28, 2013 and $5.7 million and $6.0 million for the years ended November 30, 2012 and 2011, respectively. | |
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 ranging from one to eight years, with an approximate average term of three years. We amortize these awards to compensation expense over the relevant service period. The compensation cost associated with these awards amounted to $132.6 million for the nine months ended November 30, 2013, and for the Predecessor periods $44.7 million for the three months ended February 28, 2013 and $194.4 million and $119.2 million for the years ended November 30, 2012 and 2011, respectively. At November 30, 2013 and November 30, 2012, the remaining unamortized amount of these awards was $185.0 million and $198.9 million, respectively and is included within Other assets on the Consolidated Statements of Financial Condition. |
Earnings_per_Share
Earnings per Share | 12 Months Ended | ||||||||||||||||||
Nov. 30, 2013 | |||||||||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||||||||
Earnings per Share | ' | ||||||||||||||||||
Note 20. Earnings per Share | |||||||||||||||||||
Earnings per share data is not provided for the nine months ended November 30, 2013 (Successor period) as we are now a limited liability company and wholly-owned subsidiary of Leucadia. The following is a reconciliation of the numerators and denominators of the Basic and Diluted earnings per common share computations for the three months ended February 28, 2013 and the years ended November 30, 2012 and 2011 (in thousands, except per share amounts): | |||||||||||||||||||
Predecessor | |||||||||||||||||||
Three Months Ended | Year Ended | Year Ended | |||||||||||||||||
28-Feb-13 | November 30, 2012 | November 30, 2011 | |||||||||||||||||
Earnings for basic earnings per common share: | |||||||||||||||||||
Net earnings | $ | 90,842 | $ | 323,149 | $ | 286,368 | |||||||||||||
Net earnings to noncontrolling interests | 10,704 | 40,740 | 1,750 | ||||||||||||||||
Net earnings to common shareholders | 80,138 | 282,409 | 284,618 | ||||||||||||||||
Less: Allocation of earnings to participating securities (1) | 5,890 | 17,392 | 13,822 | ||||||||||||||||
Net earnings available to common shareholders | $ | 74,248 | $ | 265,017 | $ | 270,796 | |||||||||||||
Earnings for diluted earnings per common share: | |||||||||||||||||||
Net earnings | $ | 90,842 | $ | 323,149 | $ | 286,368 | |||||||||||||
Net earnings to noncontrolling interests | 10,704 | 40,740 | 1,750 | ||||||||||||||||
Net earnings to common shareholders | 80,138 | 282,409 | 284,618 | ||||||||||||||||
Add: Mandatorily redeemable convertible preferred stock dividends | 1,016 | 4,063 | 4,063 | ||||||||||||||||
Less: Allocation of earnings to participating securities (1) | 5,882 | 17,407 | 13,823 | ||||||||||||||||
Net earnings available to common shareholders | $ | 75,272 | $ | 269,065 | $ | 274,858 | |||||||||||||
Shares: | |||||||||||||||||||
Average common shares used in basic computation | 213,732 | 215,989 | 211,056 | ||||||||||||||||
Stock options | 2 | 2 | 7 | ||||||||||||||||
Mandatorily redeemable convertible preferred stock | 4,110 | 4,110 | 4,108 | ||||||||||||||||
Convertible debt | — | — | — | ||||||||||||||||
Average common shares used in diluted computation | 217,844 | 220,101 | 215,171 | ||||||||||||||||
Earnings per common share: | |||||||||||||||||||
Basic | $ | 0.35 | $ | 1.23 | $ | 1.28 | |||||||||||||
Diluted | $ | 0.35 | $ | 1.22 | $ | 1.28 | |||||||||||||
-1 | Represents dividends declared during the period on participating securities plus an allocation of undistributed earnings to participating securities. Net losses are not allocated to participating securities. Participating securities represent restricted stock and restricted stock units for which requisite service has not yet been rendered and amounted to weighted average shares of 16,756,000, 14,123,000 and 10,667,000 for the three months ended February 28, 2013 and the years ended November 30, 2012 and 2011, respectively. Dividends declared on participating securities during the three months ended February 28, 2013 and the years ended November 30, 2012 and 2011 amounted to approximately $1.3 million, $4.3 million and $3.4 million, respectively. Undistributed earnings are allocated to participating securities based upon their right to share in earnings if all earnings for the period had been distributed. | ||||||||||||||||||
Our ability to pay distributions to Leucadia is subject to the restrictions set forth in certain financial covenants associated with the $950.0 million Credit Facility as described in Note 15, Long-Term Debt and the governing provisions of the Delaware Limited Liability Company Act. Prior to the Merger restrictions on our ability to pay dividends on our common stock were subject to the dividend preference terms of our Series A convertible preferred stock, certain financial covenants associated with the $950.0 million Credit Facility as described in Note 15, Long-Term Debt and the governing provisions of the Delaware General Corporation Law. | |||||||||||||||||||
Dividends per share of common stock declared during the quarter are reflected below: | |||||||||||||||||||
1st Quarter | 2nd Quarter | 3rd Quarter | 4th Quarter | ||||||||||||||||
2013 | $ | 0.075 | N/a | N/a | N/a | ||||||||||||||
2012 | $ | 0.075 | $ | 0.075 | $ | 0.075 | $ | 0.075 |
Income_Taxes
Income Taxes | 12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||
Nov. 30, 2013 | |||||||||||||||||||||||||||||||||||||||||||||
Income Tax Disclosure [Abstract] | ' | ||||||||||||||||||||||||||||||||||||||||||||
Income Taxes | ' | ||||||||||||||||||||||||||||||||||||||||||||
Note 21. Income Taxes | |||||||||||||||||||||||||||||||||||||||||||||
Total income taxes for the nine months ended November 30, 2013, the three month ended February 28, 2013 and the years ended November 30, 2012 and 2011 were allocated as follows (in thousands): | |||||||||||||||||||||||||||||||||||||||||||||
Successor | Predecessor | ||||||||||||||||||||||||||||||||||||||||||||
Nine Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||||||||||||||||||||||||||||||||||||
30-Nov-13 | 28-Feb-13 | November 30, 2012 | November 30, 2011 | ||||||||||||||||||||||||||||||||||||||||||
Income tax expense | $ | 94,686 | $ | 48,645 | $ | 168,646 | $ | 132,966 | |||||||||||||||||||||||||||||||||||||
Stockholders’ equity, for compensation expense for tax purposes (in excess of) / less than amounts recognized for financial reporting purposes | $ | (2,873) | $ | 17,965 | $ | (19,789) | $ | (32,200) | |||||||||||||||||||||||||||||||||||||
The provision for income tax expense consists of the following components (in thousands): | |||||||||||||||||||||||||||||||||||||||||||||
Successor | Predecessor | ||||||||||||||||||||||||||||||||||||||||||||
Nine Months | Three Months | Year Ended | Year Ended | ||||||||||||||||||||||||||||||||||||||||||
Ended | Ended | November 30, | November 30, | ||||||||||||||||||||||||||||||||||||||||||
November 30, | February 28, | ||||||||||||||||||||||||||||||||||||||||||||
2013 | 2013 | 2012 | 2011 | ||||||||||||||||||||||||||||||||||||||||||
Current: | |||||||||||||||||||||||||||||||||||||||||||||
U.S. Federal | $ | 50,089 | $ | 22,936 | $ | 62,710 | $ | 65,702 | |||||||||||||||||||||||||||||||||||||
U.S. state and local | 6,263 | (3,176) | 18,520 | 28,644 | |||||||||||||||||||||||||||||||||||||||||
Foreign | 7,050 | (1,950) | 2,773 | 8,443 | |||||||||||||||||||||||||||||||||||||||||
63,402 | 17,810 | 84,003 | 102,789 | ||||||||||||||||||||||||||||||||||||||||||
Deferred: | |||||||||||||||||||||||||||||||||||||||||||||
U.S. Federal | 25,262 | 17,392 | 79,224 | 7,637 | |||||||||||||||||||||||||||||||||||||||||
U.S. state and local | 8,868 | 9,761 | 13,006 | (694) | |||||||||||||||||||||||||||||||||||||||||
Foreign | (2,846) | 3,682 | (7,587) | 23,234 | |||||||||||||||||||||||||||||||||||||||||
31,284 | 30,835 | 84,643 | 30,177 | ||||||||||||||||||||||||||||||||||||||||||
$ | 94,686 | $ | 48,645 | $ | 168,646 | $ | 132,966 | ||||||||||||||||||||||||||||||||||||||
Income tax expense differed from the amounts computed by applying the U.S. Federal statutory income tax rate of 35% to earnings before income taxes as a result of the following (in thousands): | |||||||||||||||||||||||||||||||||||||||||||||
Successor | Predecessor | ||||||||||||||||||||||||||||||||||||||||||||
Nine Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||||||||||||||||||||||||||||||||||||
November 30, | February 28, | November 30, | November 30, | ||||||||||||||||||||||||||||||||||||||||||
2013 | 2013 | 2012 | 2011 | ||||||||||||||||||||||||||||||||||||||||||
Amount | Percent | Amount | Percent | Amount | Percent | Amount | Percent | ||||||||||||||||||||||||||||||||||||||
Computed expected income taxes | $ | 92,504 | 35.0 | % | $ | 48,820 | 35.0 | % | $ | 172,128 | 35.0 | % | $ | 146,767 | 35.0 | % | |||||||||||||||||||||||||||||
Increase (decrease) in income taxes resulting from: | |||||||||||||||||||||||||||||||||||||||||||||
State and city income taxes, net of Federal income tax benefit | 9,835 | 3.7 | 4,280 | 3.1 | 20,492 | 4.2 | 18,168 | 4.3 | |||||||||||||||||||||||||||||||||||||
Bargain purchase gain on the acquisition of the Global Commodities Group | - | - | - | - | - | - | (18,363) | (4.4) | |||||||||||||||||||||||||||||||||||||
Income allocated to Noncontrolling interest, not subject to tax | (2,946) | (1.1) | (3,553) | (2.5) | (14,161) | (2.9) | (613) | (0.1) | |||||||||||||||||||||||||||||||||||||
Foreign rate differential | (4,750) | (1.8) | (2,993) | (2.2) | (7,528) | (1.5) | (11,736) | (2.8) | |||||||||||||||||||||||||||||||||||||
Fines and penalties | 4,900 | 1.9 | - | - | - | - | - | - | |||||||||||||||||||||||||||||||||||||
Other, net | (4,857) | (1.9) | 2,091 | 1.5 | (2,285) | (0.5) | (1,257) | (0.3) | |||||||||||||||||||||||||||||||||||||
Total income taxes | $ | 94,686 | 35.8 | % | $ | 48,645 | 34.9 | % | $ | 168,646 | 34.3 | % | $ | 132,966 | 31.7 | % | |||||||||||||||||||||||||||||
The following table presents a reconciliation of gross unrecognized tax benefits (in thousands): | |||||||||||||||||||||||||||||||||||||||||||||
Successor | Predecessor | ||||||||||||||||||||||||||||||||||||||||||||
Nine Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||||||||||||||||||||||||||||||||||||
November 30, 2013 | 28-Feb-13 | November 30, 2012 | November 30, 2011 | ||||||||||||||||||||||||||||||||||||||||||
Balance at beginning of period | $ | 129,010 | $ | 110,539 | $ | 79,779 | $ | 52,852 | |||||||||||||||||||||||||||||||||||||
Increases based on tax positions related to the current period | 8,748 | 7,185 | 30,671 | 14,159 | |||||||||||||||||||||||||||||||||||||||||
Increases based on tax positions related to prior periods | 7,383 | 15,356 | 7,549 | 14,696 | |||||||||||||||||||||||||||||||||||||||||
Decreases based on tax positions related to prior periods | (18,297) | (4,070) | (5,893) | (1,808) | |||||||||||||||||||||||||||||||||||||||||
Decreases related to settlements with taxing authorities | - | - | (487) | (120) | |||||||||||||||||||||||||||||||||||||||||
Decreases related to a lapse of applicable statutes of limitation | - | - | (1,080) | - | |||||||||||||||||||||||||||||||||||||||||
Balance at end of period | $ | 126,844 | $ | 129,010 | $ | 110,539 | $ | 79,779 | |||||||||||||||||||||||||||||||||||||
The total amount of unrecognized benefit that, if recognized, would favorably affect the effective tax rate was $85.5 million and $72.4 million (net of federal benefits of taxes) at November 30, 2013 and 2012, 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. Net interest expense related to income tax liabilities was $5.8 million for the nine months ended November 30, 2013. For the three months ended February 28, 2013 and the years ended November 30, 2012 and November 30, 2011, interest expense was $1.8 million, $4.5 million and $4.4 million, respectively. As of November 30, 2013 and November 30, 2012, we had interest accrued of approximately $22.9 million and $15.3 million, respectively, included in Accrued expenses and other liabilities. No material penalties were accrued for the periods ended November 30, 2013 and November 30, 2012. | |||||||||||||||||||||||||||||||||||||||||||||
The cumulative tax effects of temporary differences that give rise to significant portions of the deferred tax assets and liabilities at November 30, 2013 and 2012 are presented below (in thousands): | |||||||||||||||||||||||||||||||||||||||||||||
Successor | Predecessor | ||||||||||||||||||||||||||||||||||||||||||||
November 30, | November 30, | ||||||||||||||||||||||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||||||||||||||||||||||
Deferred tax assets: | |||||||||||||||||||||||||||||||||||||||||||||
Compensation and benefits | $ | 373,964 | $ | 333,318 | |||||||||||||||||||||||||||||||||||||||||
Net operating loss | 24,147 | 22,447 | |||||||||||||||||||||||||||||||||||||||||||
Long-term debt | 191,274 | - | |||||||||||||||||||||||||||||||||||||||||||
Other | 86,336 | 30,932 | |||||||||||||||||||||||||||||||||||||||||||
Sub-total | 675,721 | 386,697 | |||||||||||||||||||||||||||||||||||||||||||
Valuation allowance | (11,140) | (11,754) | |||||||||||||||||||||||||||||||||||||||||||
Total deferred tax assets | 664,581 | 374,943 | |||||||||||||||||||||||||||||||||||||||||||
Deferred tax liabilities: | |||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | - | 37,370 | |||||||||||||||||||||||||||||||||||||||||||
Amortization of intangibles | 98,798 | 62,617 | |||||||||||||||||||||||||||||||||||||||||||
Other | 30,842 | 47,811 | |||||||||||||||||||||||||||||||||||||||||||
Total deferred tax liabilities | 129,640 | 147,798 | |||||||||||||||||||||||||||||||||||||||||||
Net deferred tax asset, included in Other assets | $ | 534,941 | $ | 227,145 | |||||||||||||||||||||||||||||||||||||||||
The valuation allowance represents the portion of our deferred tax assets for which it is more likely than not that the benefit of such items will not be realized. We believe that the realization of the net deferred tax asset of $534.9 million is more likely than not based on expectations of future taxable income in the jurisdictions in which we operate. | |||||||||||||||||||||||||||||||||||||||||||||
At November 30, 2013, we had gross net operating loss carryforwards in Asia, primarily Japan, and in Europe, primarily the United Kingdom, of approximately $89.1 million, in aggregate. The Japanese losses begin to expire in the year 2017 while the United Kingdom losses have an unlimited carryforward period. A deferred tax asset of $4.6 million related to net operating losses in Asia has been fully offset by a valuation allowance. The remaining valuation allowance relates to deferred tax assets resulting from operating losses in various jurisdictions as well as compensation, capital losses, and tax credits in the United Kingdom. | |||||||||||||||||||||||||||||||||||||||||||||
At November 30, 2013, there is a net current tax payable of $28.5 million, which includes a gross payable to our Parent of $61.2 million. The offsetting balance reflects receivables from various taxing authorities. At November 30, 2012, there was a net current tax receivable of $69.8 million from various taxing authorities. | |||||||||||||||||||||||||||||||||||||||||||||
At November 30, 2013, we had approximately $134.0 million of earnings attributable to foreign subsidiaries for which no U.S. Federal income tax provision has been recorded because these earnings are permanently invested abroad. Accordingly, a deferred tax liability of approximately $35.0 million has not been recorded with respect to these earnings. | |||||||||||||||||||||||||||||||||||||||||||||
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. It is reasonably possible that, within the next twelve months, statutes of limitation will expire which would have the effect of reducing the balance of unrecognized tax benefits by $3.3 million. | |||||||||||||||||||||||||||||||||||||||||||||
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 | 2006 | ||||||||||||||||||||||||||||||||||||||||||||
United Kingdom | 2012 | ||||||||||||||||||||||||||||||||||||||||||||
California | 2006 | ||||||||||||||||||||||||||||||||||||||||||||
Connecticut | 2006 | ||||||||||||||||||||||||||||||||||||||||||||
Massachusetts | 2006 | ||||||||||||||||||||||||||||||||||||||||||||
New Jersey | 2007 | ||||||||||||||||||||||||||||||||||||||||||||
New York State | 2001 | ||||||||||||||||||||||||||||||||||||||||||||
New York City | 2003 |
Commitments_Contingencies_and_
Commitments, Contingencies and Guarantees | 12 Months Ended | ||||||||||||||||||||||||||||
Nov. 30, 2013 | |||||||||||||||||||||||||||||
Commitments And Contingencies Disclosure [Abstract] | ' | ||||||||||||||||||||||||||||
Commitments, Contingencies and Guarantees | ' | ||||||||||||||||||||||||||||
Note 22. Commitments, Contingencies and Guarantees | |||||||||||||||||||||||||||||
Commitments | |||||||||||||||||||||||||||||
The following table summarizes our commitments associated with our capital market and asset management business activities at November 30, 2013 (in millions): | |||||||||||||||||||||||||||||
Expected Maturity Date | |||||||||||||||||||||||||||||
2014 | 2015 | 2016 | 2018 | 2020 | Maximum | ||||||||||||||||||||||||
and | and | and | Payout | ||||||||||||||||||||||||||
2017 | 2019 | Later | |||||||||||||||||||||||||||
Equity commitments (1) | $ | 1.8 | $ | 7.4 | $ | 0.8 | $ | - | $ | 418.2 | $ | 428.2 | |||||||||||||||||
Loan commitments (1) | 33.2 | 19.0 | 322.6 | 92.8 | - | 467.6 | |||||||||||||||||||||||
Mortgage-related commitments | 819.9 | 492.9 | 202.8 | - | - | 1,515.6 | |||||||||||||||||||||||
Forward starting reverse repos and repos | 702.3 | - | - | - | - | 702.3 | |||||||||||||||||||||||
$ | 1,557.2 | $ | 519.3 | $ | 526.2 | $ | 92.8 | $ | 418.2 | $ | 3,113.7 | ||||||||||||||||||
-1 | Equity and loan commitments are presented by contractual maturity date. The amounts are however available on demand. | ||||||||||||||||||||||||||||
The table below presents our credit exposure from our loan commitments, including funded amounts, summarized by period of expiration as of November 30, 2013. Credit exposure is based on the external credit ratings of the underlyings or referenced assets of our loan commitments. Since commitments associated with these business activities may expire unused, they do not necessarily reflect the actual future cash funding requirements (in millions): | |||||||||||||||||||||||||||||
Credit Ratings | 0 – 12 Months | 1 – 5 Years | Greater Than | Total | Corporate | Corporate Lending | |||||||||||||||||||||||
5 Years | Corporate | Lending | Commitments (3) | ||||||||||||||||||||||||||
Lending | Exposure at Fair | ||||||||||||||||||||||||||||
Exposure (1) | Value (2) | ||||||||||||||||||||||||||||
Non-investment grade | $ | - | $ | 79.1 | $ | - | $ | 79.1 | $ | 9.5 | $ | 69.6 | |||||||||||||||||
Unrated | 35.6 | 669.1 | - | 704.7 | 306.7 | 398.0 | |||||||||||||||||||||||
Total | $ | 35.6 | $ | 748.2 | $ | - | $ | 783.8 | $ | 316.2 | $ | 467.6 | |||||||||||||||||
-1 | Total corporate lending exposure represents the potential loss assuming the fair value of funded loans and lending commitments were zero. | ||||||||||||||||||||||||||||
-2 | The corporate lending exposure at fair value includes $321.1 million of funded loans included in Financial instruments owned – Loans and Loans to and investments in related parties, and a $4.9 million net liability related to lending commitments recorded in Financial instruments sold – Derivatives and Financial instruments owned – Derivatives in the Consolidated Statement of Financial Condition as of November 30, 2013. | ||||||||||||||||||||||||||||
-3 | Represents the notional amount of unfunded lending commitments. | ||||||||||||||||||||||||||||
Equity Commitments. We have commitments to invest $600.0 million and $291.0 million in Jefferies Finance and Jefferies LoanCore as of November 30, 2013, and have funded $337.3 million and $175.5 million, respectively. See Note 12, Investments for additional information regarding these investments. | |||||||||||||||||||||||||||||
As of November 30, 2013, we have committed to invest $5.9 million in Jefferies Capital Partners LLC, the manager of Jefferies Capital Partners IV L.P., Jefferies Capital Partners V L.P. and a related parallel fund, the SBI USA Fund (Jefferies Capital Partners V L.P. and the SBI USA Fund are collectively “Fund V”). As of November 30, 2013, we have funded approximately $1.0 million of our commitment to Jefferies Capital Partners LLC, leaving $4.9 million unfunded. | |||||||||||||||||||||||||||||
We have committed to invest in aggregate up to $85.0 million in Fund V, private equity funds managed by a team led by Brian P. Friedman, one of our directors and Chairman of the Executive Committee, comprised of up to $75.0 million in the SBI USA Fund and $10.0 million in Jefferies Capital Partners V L.P. As of November 30, 2013, we have funded approximately $47.0 million and $6.3 million of our commitments to the SBI USA Fund and Jefferies Capital Partners V L.P., respectively, leaving approximately $31.7 million unfunded in aggregate. | |||||||||||||||||||||||||||||
We have committed to invest up to $45.9 million in Jefferies Capital Partners IV L.P. and $3.1 million in JCP IV LLC, the General Partner of Jefferies Capital Partners IV L.P. As of November 30, 2013, we have funded approximately $38.7 million and $2.3 million of our commitments to Jefferies Capital Partners IV L.P. and JCP IV LLC, respectively, leaving approximately $8.0 million unfunded in aggregate. | |||||||||||||||||||||||||||||
As of November 30, 2013, we had other equity commitments to invest up to $30.8 million in various other investments of which $5.4 million remained unfunded. | |||||||||||||||||||||||||||||
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. 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. As of November 30, 2013, we had $241.4 million of outstanding loan commitments to clients. | |||||||||||||||||||||||||||||
On March 1, 2011, we and MassMutual entered into a secured revolving credit facility with Jefferies Finance, to be funded equally, to support loan underwritings by Jefferies Finance. At November 30, 2013, the facility of $700.0 million, is scheduled to mature on March 1, 2016 with automatic one year extensions subject to a 60 day termination notice by either party. As of November 30, 2013, we have funded $123.8 million of our $350.0 million commitment to LoanCore. | |||||||||||||||||||||||||||||
The unfunded loan commitments to Jefferies Finance of $226.2 million is unrated and included in the total unrated lending commitments of $398.0 million presented in the table above. | |||||||||||||||||||||||||||||
Mortgage-Related Commitments. We enter into forward contracts to purchase mortgage participation certificates and mortgage-backed securities. 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 the Federal National Mortgage Association (Fannie Mae), the Federal Home Loan Mortgage Corporation (Freddie Mac) or the Government National Mortgage Association (Ginnie Mae). We frequently securitize the mortgage participation certificates and mortgage-backed securities. The fair value of mortgage-related commitments recorded in the Consolidated Statement of Financial Condition was $54.2 million at November 30, 2013. | |||||||||||||||||||||||||||||
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. | |||||||||||||||||||||||||||||
Leases. As lessee, we lease certain premises and equipment under noncancelable agreements expiring at various dates through 2029 which are operating leases. In January 2013, we amended our lease agreement for our global executive offices and principal administrative offices in New York to extend the term through 2029. At November 30, 2013, future minimum aggregate lease payments for all noncancelable operating leases for fiscal years ended November 30, 2014 through 2018 and the aggregate amount thereafter, are as follows (in thousands): | |||||||||||||||||||||||||||||
Fiscal Year | Gross | Sub-Leases | Net | ||||||||||||||||||||||||||
2014 | $ | 69,823 | $ | 5,283 | $ | 64,540 | |||||||||||||||||||||||
2015 | 53,774 | 2,639 | 51,135 | ||||||||||||||||||||||||||
2016 | 58,273 | 2,493 | 55,780 | ||||||||||||||||||||||||||
2017 | 56,505 | 577 | 55,928 | ||||||||||||||||||||||||||
2018 | 54,004 | 23 | 53,981 | ||||||||||||||||||||||||||
Thereafter | 446,106 | - | 446,106 | ||||||||||||||||||||||||||
Total | $ | 738,485 | $ | 11,015 | $ | 727,470 | |||||||||||||||||||||||
Rental expense, net of subleases, amounted to $43.2 million, $12.1 million, $48.4 million and $44.3 million for the nine months ended November 30, 2013, three months ended February 28, 2013, and the years ended November 30, 2012 and 2011, respectively. | |||||||||||||||||||||||||||||
During 2012, we entered into a master sale and leaseback agreement under which we sold and have leased back existing and additional new equipment supplied by the lessor. The transaction resulted in a gain of $2.0 million, which is being amortized into earnings in proportion to and is reflected net against the leased equipment. The lease may be terminated on September 30, 2017 for a termination cost of the present value of the remaining lease payments plus a residual value. If not terminated early, the lease term is approximately five years from the start of the supply of new and additional equipment, which commenced on various dates in 2013 and continues into 2014. At November 30, 2013, minimum future lease payments are as follows (in thousands): | |||||||||||||||||||||||||||||
Fiscal Year | |||||||||||||||||||||||||||||
2014 | $ | 3,887 | |||||||||||||||||||||||||||
2015 | 3,887 | ||||||||||||||||||||||||||||
2016 | 3,887 | ||||||||||||||||||||||||||||
2017 | 3,887 | ||||||||||||||||||||||||||||
2018 | 1,583 | ||||||||||||||||||||||||||||
2019 | 167 | ||||||||||||||||||||||||||||
Net minimum lease payments | 17,298 | ||||||||||||||||||||||||||||
Less amount representing interest | 1,508 | ||||||||||||||||||||||||||||
Present value of net minimum lease payments | $ | 15,790 | |||||||||||||||||||||||||||
Contingencies | |||||||||||||||||||||||||||||
Seven putative class action lawsuits have been filed in New York and Delaware concerning the merger transactions whereby Jefferies Group LLC became a wholly owned subsidiary of Leucadia. The class actions, filed on behalf of our shareholders prior to the merger transaction, name as defendants Jefferies Group, Inc., the members of the board of directors of Jefferies Group, Inc., Leucadia and, in certain of the actions, certain merger-related subsidiaries. The actions allege that the directors breached their fiduciary duties in connection with the merger transaction by engaging in a flawed process and agreeing to sell Jefferies Group, Inc. for inadequate consideration pursuant to an agreement that contains improper deal protection terms. The actions allege that Jefferies Group, Inc. and Leucadia aided and abetted the directors’ breach of fiduciary duties. The actions filed in New York have been stayed, the actions filed in Delaware are proceeding and the claims against certain of the directors have been dismissed. We are unable to predict the outcome of this litigation or to estimate the amount of or range of any reasonably possible loss. | |||||||||||||||||||||||||||||
Jefferies has reached a non-prosecution agreement in principle with the United States Attorney for the District of Connecticut and a settlement agreement in principle with the Securities and Exchange Commission (“SEC”), which remains subject to review and approval by the SEC Commissioners, relating to an investigation of the purchases and sales of mortgage-backed securities. That investigation arose from a matter that came to light in late 2011, at which time the Company terminated a mortgage-backed-securities trader who was then indicted by the United States Attorney for the District of Connecticut in January 2013 and separately charged in a civil complaint by the SEC. Those agreements in principle include an aggregate $25.0 million payment, of which approximately $11.0 million are payments to trading counterparties impacted by those activities, approximately $10 million of which is a fine payable to the U.S. Attorney’s Office, and approximately $4.0 million of which is a fine payable to the SEC. At November 30, 2013, we have reserved approximately $22.4 million relating to remaining amounts we estimate to be paid related to this matter. | |||||||||||||||||||||||||||||
Guarantees | |||||||||||||||||||||||||||||
Derivative Contracts. Our dealer activities cause us to 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 November 30, 2013 (in millions): | |||||||||||||||||||||||||||||
Expected Maturity Date | |||||||||||||||||||||||||||||
Guarantee Type | 2014 | 2015 | 2016 | 2018 | 2020 | Notional/ | |||||||||||||||||||||||
and | and | and | Maximum | ||||||||||||||||||||||||||
2017 | 2019 | Later | Payout | ||||||||||||||||||||||||||
Derivative contracts - non-credit related | $ | 841,439.9 | $ | 4,695.2 | $ | 14.7 | $ | 1.2 | $ | 532.4 | $ | 846,683.4 | |||||||||||||||||
Written derivative contracts - credit related | - | - | - | 2,708.1 | - | 2,708.1 | |||||||||||||||||||||||
Total derivative contracts | $ | 841,439.9 | $ | 4,695.2 | $ | 14.7 | $ | 2,709.3 | $ | 532.4 | $ | 849,391.5 | |||||||||||||||||
At November 30, 2013 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/Baa | Below | Unrated | Notional/ | |||||||||||||||||||||||
Aaa | Investment | Maximum | |||||||||||||||||||||||||||
Grade | Payout | ||||||||||||||||||||||||||||
Credit related derivative contracts: | |||||||||||||||||||||||||||||
Index credit default swaps | $ | 2,678.6 | $ | - | $ | - | $ | - | $ | - | $ | - | $ | 2,678.6 | |||||||||||||||
Single name credit default swaps | - | 3.0 | 2.5 | 24.0 | - | - | 29.5 | ||||||||||||||||||||||
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 November 30, 2013, the fair value of derivative contracts meeting the definition of a guarantee is approximately $229.5 million. | |||||||||||||||||||||||||||||
Stand by Letters of Credit. At November 30, 2013, we provided guarantees to certain counterparties in the form of standby letters of credit in the amount of $32.0 million, which expire within one year. Stand by 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 | 12 Months Ended | ||||||||||||
Nov. 30, 2013 | |||||||||||||
Text Block [Abstract] | ' | ||||||||||||
Net Capital Requirements | ' | ||||||||||||
Note 23. 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 Net Capital Rule (“Rule 15c3-1”), which requires the maintenance of minimum net capital and which may limit distributions from the broker-dealers. Jefferies and Jefferies Execution have elected to calculate minimum capital requirements under the alternative method as permitted by Rule 15c3-1. Jefferies Bache, LLC is registered as a Futures Commission Merchant and is subject to Rule 1.17 of the Commodities Futures Trading Commission (“CFTC”). Our designated self-regulatory organization is FINRA for our U.S. broker-dealers and the Chicago Mercantile Exchange for Jefferies Bache, LLC. Subsequent to the closing of the merger with Leucadia, Jefferies High Yield Trading merged with Jefferies and voluntarily withdrew its registration with the SEC as a broker-dealer on April 2, 2013 and resigned as a member of FINRA. | |||||||||||||
As of November 30, 2013, Jefferies and Jefferies Execution and Jefferies Bache, LLC’s net capital, adjusted net capital, and excess net capital were as follows (in thousands): | |||||||||||||
Net Capital | Excess Net Capital | ||||||||||||
Jefferies | $ | 891,487 | $ | 841,539 | |||||||||
Jefferies Execution | 4,487 | 4,237 | |||||||||||
Adjusted Net Capital | Excess Net Capital | ||||||||||||
Jefferies Bache, LLC | $ | 197,957 | $ | 86,293 | |||||||||
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 and Jefferies Bache Limited which are subject to the regulatory supervision and requirements of the Financial Conduct Authority in the United Kingdom (“U.K.”). | |||||||||||||
The regulatory capital requirements referred to above may restrict our ability to withdraw capital from our subsidiaries. |
Segment_Reporting
Segment Reporting | 12 Months Ended | ||||||||||||||||
Nov. 30, 2013 | |||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||
Segment Reporting | ' | ||||||||||||||||
Note 24. 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 comprised 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 for the nine months ended November 30, 2013, and three months ended February 28, 2013 and the years ended November 30, 2012 and 2011 (in millions): | |||||||||||||||||
Successor | Predecessor | ||||||||||||||||
Nine Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||||||||
November 30, 2013 | February 28, 2013 (1) | November 30, 2012 | November 30, 2011 | ||||||||||||||
Capital Markets: | |||||||||||||||||
Net revenues | $ | 2,074.1 | $ | 807.6 | $ | 3,034.7 | $ | 2,530.7 | |||||||||
Expenses | $ | 1,840.4 | $ | 660.6 | $ | 2,496.4 | $ | 2,123.1 | |||||||||
Asset Management: | |||||||||||||||||
Net revenues | $ | 66.6 | $ | 10.9 | $ | 27.0 | $ | 46.2 | |||||||||
Expenses | $ | 32.6 | $ | 7.5 | $ | 30.6 | $ | 30.9 | |||||||||
Total: | |||||||||||||||||
Net revenues | $ | 2,140.7 | $ | 818.5 | $ | 3,061.7 | $ | 2,576.9 | |||||||||
Expenses | $ | 1,873.0 | $ | 668.1 | $ | 2,527.0 | $ | 2,154.0 | |||||||||
-1 | Our consolidated net earnings for the three months ended February 28, 2013 reflects an adjustment of $5.3 million, after tax, from that reported in the Form 10-Q for the three months ended February 28, 2013, to correct for the effect of an overstatement of professional service fees of $8.5 million relating to the Merger with Leucadia. We evaluated the effects of this error and concluded that it is not material to the previously issued Quarterly Report on Form 10-Q for the three month period ended February 28, 2013. Nevertheless, in the table above we have revised our consolidated expenses for the three month period ended February 28, 2013 to correct for the effect of this error and appropriately reflected the $8.5 million of professional service fees as an expense in the nine months ended November 30, 2013. | ||||||||||||||||
The following table summarizes our total assets by segment as of November 30, 2013 and 2012 (in millions): | |||||||||||||||||
Successor | Predecessor | ||||||||||||||||
November 30, 2013 | November 30, 2012 | ||||||||||||||||
Segment Assets: | |||||||||||||||||
Capital Markets | $ | 39,276.8 | $ | 35,588.6 | |||||||||||||
Asset Management | 900.2 | 704.9 | |||||||||||||||
Total assets | $ | 40,177.0 | $ | 36,293.5 | |||||||||||||
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 for the Successor period nine months ended November 30, 2013 and the Predecessor periods three months ended February 28, 2013 and the years ended November 30, 2012 and 2011, were as follows (in thousands): | |||||||||||||||||
Successor | Predecessor | ||||||||||||||||
Nine Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||||||||
November 30, 2013 | February 28, 2013 | November 30, 2012 | November 30, 2011 | ||||||||||||||
Americas (1) | $ | 1,646,174 | $ | 661,600 | $ | 2,507,839 | $ | 2,046,644 | |||||||||
Europe (2) | 448,181 | 135,135 | 450,823 | 504,292 | |||||||||||||
Asia | 46,326 | 21,809 | 102,990 | 26,009 | |||||||||||||
$ | 2,140,681 | $ | 818,544 | $ | 3,061,652 | $ | 2,576,945 | ||||||||||
Net revenues | |||||||||||||||||
-1 | Substantially all relates to U.S. results. | ||||||||||||||||
-2 | Substantially all relates to U.K. results. |
Related_Party_Transactions
Related Party Transactions | 12 Months Ended | ||||||||||||||||||||
Nov. 30, 2013 | |||||||||||||||||||||
Related Party Transactions [Abstract] | ' | ||||||||||||||||||||
Related Party Transactions | ' | ||||||||||||||||||||
Note 25. Related Party Transactions | |||||||||||||||||||||
Jefferies Capital Partners and JEP IV Related Funds. We have loans to and/or equity investments in private equity funds and in Jefferies Capital Partners, LLC, the manager of the Jefferies Capital Partners 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 November 30, 2013 (Successor period) and November 30, 2012 (Predecessor period), loans to and/or equity investments in Private Equity Related Funds were in aggregate $61.7 million and $104.2 million, respectively. The following table presents interest income earned on loans to Private Equity Related Funds and other revenues and investment income related to net gains and losses on our investment in Private Equity Related Funds (in thousands): | |||||||||||||||||||||
Successor | Predecessor | ||||||||||||||||||||
Nine Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||||||||||||
November 30, 2013 | February 28, 2013 | November 30, 2012 | November 30, 2011 | ||||||||||||||||||
Interest income | $ | 852 | $ | 516 | $ | 3,100 | $ | 3,100 | |||||||||||||
Other revenues and investment income (loss) | 9,294 | 947 | (8,500) | 9,200 | |||||||||||||||||
For further information regarding our commitments and funded amounts to Private Equity Related Funds, see Note 22, Commitments, Contingencies and Guarantees. | |||||||||||||||||||||
Berkadia Commercial Mortgage, LLC. At November 30, 2013 and November 30, 2012, we have commitments to purchase $300.0 million and $411.6 million, respectively, in agency commercial mortgage-backed securities from Berkadia Commercial Mortgage, LLC, which is partially owned by Leucadia. | |||||||||||||||||||||
Officers, Directors and Employees. At November 30, 2013 (Successor period) and November 30, 2012 (Predecessor period), we had $13.9 million and $16.3 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. | |||||||||||||||||||||
Leucadia. During the three months ended February 28, 2013, and the years ended November 30, 2012 and 2011, we received commissions and commission equivalents for providing brokerage services to Leucadia and its affiliates of $5,000, $9.8 million and $7.2 million, respectively, which is recorded in Commission income on the Consolidated Statements of Earnings. Further, under a service agreement, we charge Leucadia for certain administrative services which, for the nine months ended November 30, 2013 amounted to $16.7 million. As of November 30, 2013, we had a payable to Leucadia of $6.7 million, which is included within Other liabilities on the Consolidated Statement of Financial Condition. | |||||||||||||||||||||
During 2013, we sold 100% of our interests in Jefferies International Management Limited (“JIML”), our special situations asset management business, to Leucadia for consideration of $2.3 million in the form of an intercompany loan receivable from Leucadia. The net assets of JIML that were transferred were $2.3 million, including goodwill of $400,000. No gain or loss was recognized on the sale. | |||||||||||||||||||||
During the nine months ended November 30, 2013 and the three months ended February 28, 2013, we distributed to Leucadia approximately $0 and $61,000, respectively, and $5.4 million and $9.0 million for the year ended November 30, 2012 and 2011, respectively. During the nine months ended November 30, 2013, Leucadia invested $75.0 million in an asset management entity that is consolidated by us. See Note 17, Noncontrolling Interests and Mandatorily Redeemable Preferred Interests of Consolidated Subsidiaries. | |||||||||||||||||||||
In addition, see Note 4, Leucadia Merger and Related Transactions for information regarding the merger on March 1, 2013. | |||||||||||||||||||||
For information on transactions with our equity method investees, see Note 12, Investments. |
Selected_Quarterly_Financial_D
Selected Quarterly Financial Data (Unaudited) | 12 Months Ended | ||||||||||||||||||||||||||||||||
Nov. 30, 2013 | |||||||||||||||||||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | ||||||||||||||||||||||||||||||||
Selected Quarterly Financial Data (Unaudited) | ' | ||||||||||||||||||||||||||||||||
Note 26. Selected Quarterly Financial Data (Unaudited) | |||||||||||||||||||||||||||||||||
The following is a summary of unaudited quarterly statements of earnings for the Successor period nine months ended November 30, 2013, and the Predecessor periods three months ended February 28, 2013 and year ended November 30, 2012 (in thousands, except per share amounts): | |||||||||||||||||||||||||||||||||
Successor | Predecessor | ||||||||||||||||||||||||||||||||
Three Months Ended (1) | |||||||||||||||||||||||||||||||||
November 30, | August 31, | May 31, | February 28, | ||||||||||||||||||||||||||||||
2013 | 2013 | 2013 | 2013 | ||||||||||||||||||||||||||||||
Total revenues | $ | 1,139,157 | $ | 710,682 | $ | 869,901 | $ | 1,021,960 | |||||||||||||||||||||||||
Net revenues | 950,548 | 531,695 | 658,438 | 818,544 | |||||||||||||||||||||||||||||
Earnings before income taxes | 175,660 | 23,382 | 65,253 | 139,487 | |||||||||||||||||||||||||||||
Earnings attributable to Jefferies Group LLC | 109,943 | 11,740 | 39,508 | 80,138 | |||||||||||||||||||||||||||||
Earnings per common share: | |||||||||||||||||||||||||||||||||
Basic | N/a | N/a | N/a | $ | 0.35 | ||||||||||||||||||||||||||||
Diluted | $ | N/a | N/a | N/a | $ | 0.35 | |||||||||||||||||||||||||||
Three Months Ended (1) | |||||||||||||||||||||||||||||||||
November 30, | August 31, | May 31, | February 29, | ||||||||||||||||||||||||||||||
2012 | 2012 | 2012 | 2012 | ||||||||||||||||||||||||||||||
Total revenues | $ | 989,009 | $ | 961,293 | $ | 962,531 | $ | 1,021,240 | |||||||||||||||||||||||||
Net revenues | 784,588 | 755,179 | 727,490 | 794,395 | |||||||||||||||||||||||||||||
Earnings before income taxes | 113,975 | 122,369 | 106,582 | 148,869 | |||||||||||||||||||||||||||||
Earnings to common shareholders | 71,604 | 70,171 | 63,498 | 77,136 | |||||||||||||||||||||||||||||
Earnings per common share: | |||||||||||||||||||||||||||||||||
Basic | $ | 0.31 | $ | 0.31 | $ | 0.28 | $ | 0.33 | |||||||||||||||||||||||||
Diluted | $ | 0.31 | $ | 0.31 | $ | 0.28 | $ | 0.33 | |||||||||||||||||||||||||
-1 | Adjustments have been made to amounts presented in previous filings. For further information refer to Note 1 in the Notes to the Consolidated Financial Statements. | ||||||||||||||||||||||||||||||||
The following tables set forth the effects of the adjustments on major captions within our Consolidated Statement of Earnings for the quarters in 2013 and 2012. | |||||||||||||||||||||||||||||||||
Successor | Predecessor | ||||||||||||||||||||||||||||||||
Three Months Ended | |||||||||||||||||||||||||||||||||
31-Aug-13 | 31-May-13 | ||||||||||||||||||||||||||||||||
28-Feb-13 | |||||||||||||||||||||||||||||||||
(in thousands) | As | Adjusted | As | Adjusted | As | Adjusted | |||||||||||||||||||||||||||
Previously | Previously | Previously | |||||||||||||||||||||||||||||||
Reported | Reported | Reported | |||||||||||||||||||||||||||||||
Commissions revenues | $ | 138,736 | $ | 153,402 | $ | 146,848 | $ | 162,759 | $ | 131,083 | $ | 146,240 | |||||||||||||||||||||
Total revenues | 696,016 | 710,682 | 853,990 | 869,901 | 1,006,803 | 1,021,960 | |||||||||||||||||||||||||||
Net revenues | 517,029 | 531,695 | 642,527 | 658,438 | 803,387 | 818,544 | |||||||||||||||||||||||||||
Net revenues, less mandatorily redeemable preferred interest | 517,029 | 531,695 | 639,159 | 655,070 | 792,426 | 807,583 | |||||||||||||||||||||||||||
Floor brokerage and clearing fees | 34,500 | 49,166 | 32,991 | 48,902 | 30,998 | 46,155 | |||||||||||||||||||||||||||
Other expenses | 34,012 | 34,012 | 18,720 | 18,720 | 14,475 | 14,475 | |||||||||||||||||||||||||||
Total non-compensation expenses | 199,876 | 214,542 | 200,026 | 215,937 | 178,722 | 193,879 | |||||||||||||||||||||||||||
Total non-interest expenses | 493,647 | 508,313 | 573,906 | 589,817 | 652,939 | 668,096 | |||||||||||||||||||||||||||
Earnings before income taxes | 23,382 | 23,382 | 65,253 | 65,253 | 139,487 | 139,487 | |||||||||||||||||||||||||||
Income tax expense | 8,493 | 8,493 | 25,007 | 25,007 | 48,645 | 48,645 | |||||||||||||||||||||||||||
Net earnings | 14,889 | 14,889 | 40,246 | 40,246 | 90,842 | 90,842 | |||||||||||||||||||||||||||
Net earnings attributable to Jefferies Group LLC | 11,740 | 11,740 | 39,508 | 39,508 | 80,138 | 80,138 | |||||||||||||||||||||||||||
Predecessor | |||||||||||||||||||||||||||||||||
Three Months Ended | |||||||||||||||||||||||||||||||||
30-Nov-12 | 31-Aug-12 | 31-May-12 | |||||||||||||||||||||||||||||||
28-Feb-12 | |||||||||||||||||||||||||||||||||
(in thousands) | As | Adjusted | As | Adjusted | As | Adjusted | As | Adjusted | |||||||||||||||||||||||||
Previously | Previously | Previously | Previously | ||||||||||||||||||||||||||||||
Reported | Reported | Reported | Reported | ||||||||||||||||||||||||||||||
Commissions revenues | $ | 127,074 | $ | 142,813 | $ | 119,200 | $ | 135,441 | $ | 121,796 | $ | 138,255 | $ | 117,499 | $ | 131,928 | |||||||||||||||||
Total revenues | 973,270 | 989,009 | 945,052 | 961,293 | 946,072 | 962,531 | 1,006,811 | 1,021,240 | |||||||||||||||||||||||||
Net revenues | 768,849 | 784,588 | 738,938 | 755,179 | 711,031 | 727,490 | 779,966 | 794,395 | |||||||||||||||||||||||||
Net revenues, less mandatorily redeemable preferred interest | 760,570 | 776,309 | 730,634 | 746,875 | 706,575 | 723,034 | 758,122 | 772,551 | |||||||||||||||||||||||||
Floor brokerage and clearing fees | 29,106 | 44,845 | 30,280 | 46,521 | 32,921 | 49,380 | 27,838 | 42,267 | |||||||||||||||||||||||||
Other expenses | 16,480 | 16,480 | 12,433 | 12,433 | 18,587 | 18,587 | 14,998 | 14,998 | |||||||||||||||||||||||||
Total non-compensation expenses | 186,191 | 201,930 | 167,874 | 184,115 | 176,452 | 192,911 | 162,792 | 177,221 | |||||||||||||||||||||||||
Total non-interest expenses | 646,595 | 662,334 | 608,265 | 624,506 | 599,993 | 616,452 | 609,253 | 623,682 | |||||||||||||||||||||||||
Earnings before income taxes | 113,975 | 113,975 | 122,369 | 122,369 | 106,582 | 106,582 | 148,869 | 148,869 | |||||||||||||||||||||||||
Income tax expense | 34,243 | 34,243 | 44,048 | 44,048 | 38,203 | 38,203 | 52,152 | 52,152 | |||||||||||||||||||||||||
Net earnings | 79,732 | 79,732 | 78,321 | 78,321 | 68,379 | 68,379 | 96,717 | 96,717 | |||||||||||||||||||||||||
Net earnings attributable to common shareholders | 71,604 | 71,604 | 70,171 | 70,171 | 63,498 | 63,498 | 77,136 | 77,136 |
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 12 Months Ended | ||
Nov. 30, 2013 | |||
Accounting Policies [Abstract] | ' | ||
Revenue Recognition Policies | ' | ||
Revenue Recognition Policies | |||
Commissions. 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. The commissions and related expenses on client transactions executed by Jefferies Bache, LLC, a futures commission merchant, are recorded on a half-turn basis. | |||
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 transactions in the Consolidated Statements of Earnings on a trade date basis. Fees received on loans carried at fair value are also recorded within Principal transactions. | |||
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 transactions in the Consolidated Statements of Earnings rather than as a component of interest revenue or expense. We account for our short-term borrowings, long-term borrowings and our mandatorily redeemable convertible preferred stock 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 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. In addition, certain financial instruments used for initial and variation margin purposes with clearing and depository organizations are recorded in this caption. Jefferies Bache, LLC, as a futures commission merchant, is obligated by rules mandated by the Commodities Futures Trading Commission under the Commodities Exchange Act, to segregate or set aside cash or qualified securities to satisfy such regulations, which regulations have been promulgated to protect customer assets. 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. | |||
Financial Instruments | ' | ||
Financial Instruments | |||
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 transactions 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 as of 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 whose fair value have been derived using a model where inputs to the model 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 as of 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 as of 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 valued and that fair value measurements are reliable. 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 is comprised of our Chief Financial Officer, Global Controller, Global Head of Product Control, 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 sources independent of Jefferies, 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 is charged with the final conclusions as to 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 concluded upon 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 of the trading desks’ 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; and the documentation includes benchmarking the assumptions underlying the valuation rationale against relevant analytic data. | |||
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. We have a process whereby we challenge the appropriateness of pricing information obtained from external data providers (including independent pricing services and brokers) in order 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 independent pricing services or broker quotes are utilized 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 not based on unobservable inputs or proprietary models. For mortgage- and other asset-backed securities and collateralized debt obligations, our independent pricing service uses 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. Where a pricing model is to be 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 with gains or losses included in Asset management fees and investment income 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 12, Investments, and Note 25, Related Party Transactions, for additional information regarding certain of these investments. | |||
Receivable from and Payable to Customers | ' | ||
Receivable from and Payable to Customers | |||
Receivable from and payable to customers includes amounts receivable and payable on cash and margin transactions. Securities owned by customers and held as collateral for these receivables are not reflected in the accompanying consolidated financial statements. Receivable from officers and directors included within this financial statement line item represents balances arising from their individual security transactions. These transactions are subject to the same regulations as customer transactions and are provided on substantially the same terms. | |||
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 income 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 generally accepted accounting principles. 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, which was increased to its fair market value in the allocation of the purchase price on March 1, 2013. The revised carrying values of internally developed software ready for its intended use are depreciated over the remaining useful life. See Note 4, Leucadia Merger and Related Transactions for more information regarding the allocation of the purchase price. | |||
As of November 30, 2013 and 2012, furniture, fixtures and equipment amounted to $278.5 million and $266.2 million, respectively, and leasehold improvements amounted to $134.1 million and $133.1 million, respectively. Accumulated depreciation and amortization was $210.1 million and $213.3 million as of November 30, 2013 and 2012, respectively. Included within furniture, fixtures and equipment is equipment recorded under capital leases with a cost of $ $19.5 million at November 30, 2013 and 2012, which is being amortized over the lease term. | |||
Depreciation and amortization expense amounted to $38.8 million for the nine months ended November 30, 2013, $12.9 million for the three months ended February 28, 2013 and $50.5 million and $43.7 million for the years ended November 30, 2012 and 2011, respectively. | |||
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. | |||
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 capitalization, 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. Refer to Note 13, Goodwill and Other Intangible Assets, for further information on our assessment of goodwill. | |||
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. Subsequent reversal of impairment losses is not permitted. 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 | |||
Prior to the Merger we filed a consolidated U.S. federal income tax return, which included all of our qualifying subsidiaries. Post Merger, 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. For the Successor period, 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. | |||
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 carry-forwards. 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 for the Merger, 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. In the Successor period, Jefferies provides deferred taxes on its temporary differences and on any carryforwards that it could claim on its 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 benefit related to Leucadia dividends and dividend equivalents paid on nonvested share-based payment awards are recognized as an increase to Additional paid-in capital. These amounts are included in tax benefits for issuance of share-based awards on the Consolidated Statements of Changes in Equity. | |||
We record uncertain tax positions using a two-step process: (i) we determine whether it is more likely than not that the tax positions 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. At November 30, 2013, we have reserved approximately $22.4 million relating to an investigation of the purchases and sales of mortgage-backed securities that in January 2014 resulted in a non-prosecution agreement reached in principle with the United States Attorney for the District of Connecticut and a settlement agreement in principle with the Securities and Exchange Commission, which remains subject to review and approval by the SEC Commissioners. 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 transactions in the Consolidated Statements of Earnings. | |||
Earnings per Common Share | ' | ||
Earnings per Common Share | |||
As a single member limited liability company, earnings per share is not calculated for Jefferies Group LLC (the Successor company). | |||
Prior to the Merger, Jefferies Group, Inc. (the Predecessor company) had common shares and other common share equivalents outstanding. For the Predecessor periods, basic earnings per share (“EPS”) is computed by dividing net earnings available to common shareholders by the weighted average number of common shares outstanding and certain other shares committed to be, but not yet issued. Net earnings available to common shareholders represent net earnings to common shareholders reduced by the allocation of earnings to participating securities. Losses are not allocated to participating securities. Common shares outstanding and certain other shares committed to be, but not yet issued, include restricted stock and restricted stock units (“RSUs”) for which no future service is required. For Predecessor periods, diluted EPS is computed by dividing net earnings available to common shareholders plus dividends on dilutive mandatorily redeemable convertible preferred stock by the weighted average number of common shares outstanding and certain other shares committed to be, but not yet issued, plus all dilutive common stock equivalents outstanding during the period. Unvested share-based payment awards that contain nonforfeitable rights to dividends or dividend equivalents (whether paid or unpaid) are participating securities and, therefore, are included in the earnings allocation in computing earnings per share under the two-class method of earning per share. Restricted stock and RSUs granted as part of our share-based compensation contain nonforfeitable rights to dividends and dividend equivalents, respectively, and therefore, prior to the requisite service being rendered for the right to retain the award, restricted stock and RSUs meet the definition of a participating security. As such, Basic and Diluted earnings per share are calculated under the two-class method. | |||
Securitization Activities | ' | ||
Securitization Activities | |||
We engage in securitization activities related to corporate 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. |
Organization_and_Basis_of_Pres1
Organization and Basis of Presentation (Tables) | 12 Months Ended | ||||||||||||||||
Nov. 30, 2013 | |||||||||||||||||
Accounting Policies [Abstract] | ' | ||||||||||||||||
Consolidated Statement of Earnings | ' | ||||||||||||||||
The following sets forth the effects of the adjustments on affected line items within our previously reported Consolidated Statements of Earnings for 2012 and 2011. There is no effect on our Consolidated Statement of Financial Condition as of November 30, 2012, Consolidated Statements of Changes in Stockholders’ Equity for the years 2012 and 2011 and Consolidated Statements of Cash Flows for the years 2012 and 2011. | |||||||||||||||||
Consolidated Statement of Earnings | |||||||||||||||||
Year Ended November 30, | |||||||||||||||||
2012 | 2011 | ||||||||||||||||
(in thousands) | As | Adjusted | As | Adjusted | |||||||||||||
Previously | Previously | ||||||||||||||||
Reported | Reported | ||||||||||||||||
Commissions revenues | $ | 485,569 | $ | 548,437 | $ | 534,726 | $ | 562,858 | |||||||||
Total revenues | 3,871,205 | 3,934,073 | 3,529,638 | 3,557,770 | |||||||||||||
Net revenues | 2,998,784 | 3,061,652 | 2,548,813 | 2,576,945 | |||||||||||||
Net revenues, less mandatorily redeemable preferred interest | 2,955,901 | 3,018,769 | 2,545,191 | 2,573,323 | |||||||||||||
Floor brokerage and clearing fees | 120,145 | 183,013 | 126,313 | 154,445 | |||||||||||||
Total non-compensation expenses | 693,308 | 756,176 | 643,253 | 671,385 | |||||||||||||
Total non-interest expenses | 2,464,106 | 2,526,974 | 2,125,857 | 2,153,989 |
Leucadia_Merger_and_Related_Tr1
Leucadia Merger and Related Transactions (Tables) | 12 Months Ended | ||||
Nov. 30, 2013 | |||||
Business Combinations [Abstract] | ' | ||||
Summary Computation of Purchase Price and Fair Values Assigned to Assets and Liabilities | ' | ||||
The summary computation of the purchase price and the fair values assigned to the assets and liabilities are presented as follows (in thousands except share amounts): | |||||
Purchase Price | |||||
Jefferies common stock outstanding | 205,368,031 | ||||
Less: Jefferies common stock owned by Leucadia | (58,006,024) | ||||
Jefferies common stock acquired by Leucadia | 147,362,007 | ||||
Exchange ratio | 0.81 | ||||
Leucadia’s shares issued (excluding for Jefferies shares held by Leucadia) | 119,363,226 | ||||
Less: restricted shares issued for share-based payment awards (1) | (6,894,856) | ||||
Leucadia’s shares issued, excluding share-based payment awards | 112,468,370 | ||||
Closing price of Leucadia’s common stock (2) | $ | 26.90 | |||
Fair value of common shares acquired by Leucadia | 3,025,399 | ||||
Fair value of 3.25% cumulative convertible preferred shares (3) | 125,000 | ||||
Fair value of shares-based payment awards (4) | 343,811 | ||||
Fair value of Jefferies shares owned by Leucadia (5) | 1,259,891 | ||||
Total purchase price | $ | 4,754,101 | |||
-1 | Represents shares of restricted stock included in Jefferies common stock outstanding that contained a future service requirement as of March 1, 2013. | ||||
-2 | The value of the shares of common stock exchanged with Jefferies shareholders was based upon the closing price of Leucadia’s common stock at February 28, 2013, the last trading day prior to the date of acquisition. | ||||
-3 | Represents Leucadia’s 3.25% Cumulative Convertible Preferred Shares issued in exchange for Jefferies Group, Inc.’s 3.25% Series A-1 Convertible Cumulative Preferred Stock. | ||||
-4 | The fair value of share-based payment awards is calculated in accordance with ASC 718, Compensation – Stock Compensation. Share-based payment awards attributable to pre-combination service are included as part of the total purchase price. Share-based payment awards attributable to pre-combination service is estimated based on the ratio of the pre-combination service performed to the original service period of the award. | ||||
-5 | The fair value of Jefferies shares owned by Leucadia was based upon a price of $21.72, the closing price of Jefferies common stock at February 28, 2013. | ||||
Assets Acquired and Liabilities Assumed by Major Class | ' | ||||
Assets acquired (1): | |||||
Cash and cash equivalents | $ | 3,017,958 | |||
Cash and securities segregated | 3,728,742 | ||||
Financial instruments owned, at fair value | 16,413,535 | ||||
Investments in managed funds | 59,976 | ||||
Loans to and investments in related parties | 766,893 | ||||
Securities borrowed | 5,315,488 | ||||
Securities purchased under agreements to resell | 3,578,366 | ||||
Securities received as collateral | 25,338 | ||||
Receivables: | |||||
Brokers, dealers and clearing organizations | 2,444,085 | ||||
Customers | 1,045,251 | ||||
Fees, interest and other | 225,555 | ||||
Premises and equipment | 192,603 | ||||
Indefinite-lived intangible exchange memberships and licenses (2) | 15,551 | ||||
Finite-lived intangible customer relationships (2)(3) | 136,002 | ||||
Finite-lived trade name (2)(4) | 131,299 | ||||
Other assets | 939,600 | ||||
Total assets | $ | 38,036,242 | |||
Liabilities assumed (1): | |||||
Short-term borrowings | $ | 100,000 | |||
Financial instruments sold, not yet purchased, at fair value | 9,766,876 | ||||
Securities loaned | 1,902,687 | ||||
Securities sold under agreements to repurchase | 7,976,492 | ||||
Other secured financings | 122,294 | ||||
Obligation to return securities received as collateral | 25,338 | ||||
Payables: | |||||
Brokers, dealers and clearing organizations | 1,787,055 | ||||
Customers | 5,450,781 | ||||
Accrued expenses and other liabilities | 793,843 | ||||
Long-term debt | 6,362,024 | ||||
Mandatorily redeemable preferred interests | 358,951 | ||||
Total liabilities | $ | 34,646,341 | |||
Noncontrolling interests | 356,180 | ||||
Fair value of net assets acquired, excluding goodwill (1) | $ | 3,033,721 | |||
Goodwill (1) | $ | 1,720,380 | |||
-1 | Modifications to the purchase price allocation have been made since the initial presentation included in our Quarterly Report on Form 10-Q for the three months ended May 31, 2013, which reflect additional information obtained about the fair value of the assets acquired and liabilities assumed. These modifications include adjustments of $4.8 million to reduce the fair value of the total assets acquired and $14.0 million to increase the total liabilities assumed at March 1, 2013. The impact of the adjustments resulted in an increase of goodwill of $18.8 million from the previously presented balance of $1,701.6 million in our Quarterly Report on Form 10-Q for the three months ended May 31, 2013 to $1,720.4 million as reflected in this table. | ||||
-2 | Intangible assets are recorded within Other assets on the Consolidated Statement of Financial Condition. | ||||
-3 | The fair value of the finite-lived customer relationships will be amortized on a straight line basis over a weighted average useful life of approximately 14.4 years. | ||||
-4 | The fair value of the finite-lived trade name will be amortized on a straight line basis over a useful life of 35 years. |
Cash_Cash_Equivalents_and_Shor1
Cash, Cash Equivalents and Short-Term Investments (Tables) | 12 Months Ended | ||||||||||||
Nov. 30, 2013 | |||||||||||||
Cash And Cash Equivalents [Abstract] | ' | ||||||||||||
Schedule of Cash, Cash Equivalents and Short-Term Investments | ' | ||||||||||||
The following are financial instruments classified as cash and cash equivalents that are deemed by us to be generally readily convertible into cash as of November 30, 2013 and November 30, 2012 (in thousands): | |||||||||||||
Successor | Predecessor | ||||||||||||
November 30, | November 30, | ||||||||||||
2013 | 2012 | ||||||||||||
Cash and cash equivalents: | |||||||||||||
Cash in banks | $ | 880,443 | $ | 1,038,664 | |||||||||
Money market investments | 2,680,676 | 1,653,931 | |||||||||||
Total cash and cash equivalents | $ | 3,561,119 | $ | 2,692,595 | |||||||||
Cash and securities segregated (1) | $ | 3,616,602 | $ | 4,082,595 | |||||||||
-1 | Consists of deposits at exchanges and clearing organizations, as well as deposits in accordance with Rule 15c3-3 of the Securities Exchange Act of 1934, which subjects Jefferies as a broker-dealer carrying client accounts to requirements related to maintaining cash or qualified securities in a segregated reserve account for the exclusive benefit of its clients, and Jefferies Bache, LLC which, as a futures commission merchant, is subject to the segregation requirements pursuant to the Commodity Exchange Act. |
Fair_Value_Disclosures_Tables
Fair Value Disclosures (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||||
Nov. 30, 2013 | |||||||||||||||||||||||||||||||||
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 as of November 30, 2013 and 2012 by level within the fair value hierarchy (in thousands): | |||||||||||||||||||||||||||||||||
Successor | |||||||||||||||||||||||||||||||||
30-Nov-13 | |||||||||||||||||||||||||||||||||
Level 1 (1) | Level 2 (1) | Level 3 | Counterparty and | Total | |||||||||||||||||||||||||||||
Cash Collateral | |||||||||||||||||||||||||||||||||
Netting (2) | |||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||
Financial instruments owned: | |||||||||||||||||||||||||||||||||
Corporate equity securities | $ | 1,913,220 | $ | 175,493 | $ | 9,884 | $ | - | $ | 2,098,597 | |||||||||||||||||||||||
Corporate debt securities | - | 2,957,102 | 25,666 | - | 2,982,768 | ||||||||||||||||||||||||||||
Collateralized debt obligations | - | 182,095 | 37,216 | - | 219,311 | ||||||||||||||||||||||||||||
U.S. government and federal agency securities | 2,293,221 | 40,389 | - | - | 2,333,610 | ||||||||||||||||||||||||||||
Municipal securities | - | 664,054 | - | - | 664,054 | ||||||||||||||||||||||||||||
Sovereign obligations | 1,458,803 | 889,685 | - | - | 2,348,488 | ||||||||||||||||||||||||||||
Residential mortgage-backed securities | - | 2,932,268 | 105,492 | - | 3,037,760 | ||||||||||||||||||||||||||||
Commercial mortgage-backed securities | - | 1,130,410 | 17,568 | - | 1,147,978 | ||||||||||||||||||||||||||||
Other asset-backed securities | - | 55,475 | 12,611 | - | 68,086 | ||||||||||||||||||||||||||||
Loans and other receivables | - | 1,203,238 | 145,890 | - | 1,349,128 | ||||||||||||||||||||||||||||
Derivatives | 40,952 | 2,472,237 | 1,493 | (2,253,589) | 261,093 | ||||||||||||||||||||||||||||
Investments at fair value | - | 40 | 101,242 | - | 101,282 | ||||||||||||||||||||||||||||
Physical commodities | - | 37,888 | - | - | 37,888 | ||||||||||||||||||||||||||||
Total financial instruments owned | $ | 5,706,196 | $ | 12,740,374 | $ | 457,062 | $ | (2,253,589) | $ | 16,650,043 | |||||||||||||||||||||||
Cash and cash equivalents | $ | 3,561,119 | $ | - | $ | - | $ | - | $ | 3,561,119 | |||||||||||||||||||||||
Investments in managed funds | $ | - | $ | - | $ | 57,285 | $ | - | $ | 57,285 | |||||||||||||||||||||||
Cash and securities segregated and on deposit for regulatory purposes (3) | $ | 3,612,602 | $ | - | $ | - | $ | - | $ | 3,612,602 | |||||||||||||||||||||||
Securities received as collateral | $ | 11,063 | $ | - | $ | - | $ | - | $ | 11,063 | |||||||||||||||||||||||
Total Level 3 assets | $ | 514,347 | |||||||||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||
Financial instruments sold, not yet purchased: | |||||||||||||||||||||||||||||||||
Corporate equity securities | $ | 1,782,903 | $ | 40,358 | $ | 38 | $ | - | $ | 1,823,299 | |||||||||||||||||||||||
Corporate debt securities | - | 1,346,078 | - | - | 1,346,078 | ||||||||||||||||||||||||||||
U.S. government and federal agency securities | 1,324,326 | - | - | - | 1,324,326 | ||||||||||||||||||||||||||||
Sovereign obligations | 1,360,269 | 471,088 | - | - | 1,831,357 | ||||||||||||||||||||||||||||
Residential mortgage-backed securities | - | 34,691 | - | - | 34,691 | ||||||||||||||||||||||||||||
Loans | - | 672,838 | 22,462 | - | 695,300 | ||||||||||||||||||||||||||||
Derivatives | 43,829 | 2,480,463 | 8,398 | (2,352,611) | 180,079 | ||||||||||||||||||||||||||||
Physical commodities | - | 36,483 | - | - | 36,483 | ||||||||||||||||||||||||||||
Total financial instruments sold, not yet purchased | $ | 4,511,327 | $ | 5,081,999 | $ | 30,898 | $ | (2,352,611) | $ | 7,271,613 | |||||||||||||||||||||||
Obligation to return securities received as collateral | $ | 11,063 | $ | - | $ | - | $ | - | $ | 11,063 | |||||||||||||||||||||||
Other secured financings | $ | - | $ | 31,000 | $ | 8,711 | $ | - | $ | 39,711 | |||||||||||||||||||||||
Embedded conversion option | $ | - | $ | 9,574 | $ | - | $ | - | $ | 9,574 | |||||||||||||||||||||||
-1 | During the nine months ended November 30, 2013, we transferred listed equity options with a fair value of $403.0 million within Financial instruments owned and $423.0 million within Financial instruments sold, not yet purchased from Level 1 to Level 2 as adjustments to the exchange closing price are necessary to best reflect the fair value of the population at its exit price. | ||||||||||||||||||||||||||||||||
-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 include U.S. government securities with a fair value of $304.2 million. | ||||||||||||||||||||||||||||||||
Predecessor | |||||||||||||||||||||||||||||||||
30-Nov-12 | |||||||||||||||||||||||||||||||||
Level 1 (1) | Level 2 (1) | Level 3 | Counterparty and | Total | |||||||||||||||||||||||||||||
Cash Collateral | |||||||||||||||||||||||||||||||||
Netting (2) | |||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||
Financial instruments owned: | |||||||||||||||||||||||||||||||||
Corporate equity securities | $ | 1,608,715 | $ | 137,245 | $ | 16,815 | $ | - | $ | 1,762,775 | |||||||||||||||||||||||
Corporate debt securities | - | 3,034,515 | 3,631 | - | 3,038,146 | ||||||||||||||||||||||||||||
Collateralized debt obligations | - | 87,239 | 31,255 | - | 118,494 | ||||||||||||||||||||||||||||
U.S. government and federal agency securities | 1,720,617 | 115,310 | - | - | 1,835,927 | ||||||||||||||||||||||||||||
Municipal securities | - | 619,969 | - | - | 619,969 | ||||||||||||||||||||||||||||
Sovereign obligations | 1,722,044 | 975,810 | - | - | 2,697,854 | ||||||||||||||||||||||||||||
Residential mortgage-backed securities (5) | - | 3,997,390 | 156,069 | - | 4,153,459 | ||||||||||||||||||||||||||||
Commercial mortgage-backed securities (5) | - | 1,001,581 | 30,202 | - | 1,031,783 | ||||||||||||||||||||||||||||
Other asset-backed securities | - | 93,228 | 1,114 | - | 94,342 | ||||||||||||||||||||||||||||
Loans and other receivables | - | 497,918 | 180,393 | - | 678,311 | ||||||||||||||||||||||||||||
Derivatives (5) | 615,024 | 1,674,062 | 328 | (1,921,122) | 368,292 | ||||||||||||||||||||||||||||
Investments at fair value | - | 43,126 | 83,897 | - | 127,023 | ||||||||||||||||||||||||||||
Physical commodities | - | 144,016 | - | - | 144,016 | ||||||||||||||||||||||||||||
Total financial instruments owned | $ | 5,666,400 | $ | 12,421,409 | $ | 503,704 | $ | (1,921,122) | $ | 16,670,391 | |||||||||||||||||||||||
Level 3 financial instruments for which the firm does not bear economic exposure (3) | (53,289) | ||||||||||||||||||||||||||||||||
Level 3 financial instruments for which the firm bears economic exposure | $ | 450,415 | |||||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 2,692,595 | $ | - | $ | - | $ | - | $ | 2,692,595 | |||||||||||||||||||||||
Investments in managed funds | $ | - | $ | - | $ | 57,763 | $ | - | $ | 57,763 | |||||||||||||||||||||||
Cash and securities segregated and on deposit for regulatory purposes (4) | $ | 4,082,595 | $ | - | $ | - | $ | - | $ | 4,082,595 | |||||||||||||||||||||||
Total Level 3 assets for which the firm bears economic exposure | $ | 508,178 | |||||||||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||
Financial instruments sold, not yet purchased: | |||||||||||||||||||||||||||||||||
Corporate equity securities | $ | 1,442,347 | $ | 96,947 | $ | 38 | $ | - | $ | 1,539,332 | |||||||||||||||||||||||
Corporate debt securities | - | 1,389,312 | - | - | 1,389,312 | ||||||||||||||||||||||||||||
U.S. government and federal agency securities | 1,428,746 | 250,387 | - | - | 1,679,133 | ||||||||||||||||||||||||||||
Sovereign obligations | 1,395,355 | 591,624 | - | - | 1,986,979 | ||||||||||||||||||||||||||||
Residential mortgage-backed securities (5) | - | 228,251 | - | - | 228,251 | ||||||||||||||||||||||||||||
Loans | - | 205,516 | 1,711 | - | 207,227 | ||||||||||||||||||||||||||||
Derivatives (5) | 547,605 | 1,753,716 | 9,516 | (2,068,750) | 242,087 | ||||||||||||||||||||||||||||
Physical commodities | - | 183,142 | - | - | 183,142 | ||||||||||||||||||||||||||||
Total financial instruments sold, not yet purchased | $ | 4,814,053 | $ | 4,698,895 | $ | 11,265 | $ | (2,068,750) | $ | 7,455,463 | |||||||||||||||||||||||
(1) | There were no transfers between Level 1 and Level 2 for the year ended November 30, 2012. | ||||||||||||||||||||||||||||||||
(2) | Represents counterparty and cash collateral netting across the levels of the fair value hierarchy for positions with the same counterparty. | ||||||||||||||||||||||||||||||||
(3) | Consists of Level 3 assets attributable to third party or employee noncontrolling interests in certain consolidated entities. | ||||||||||||||||||||||||||||||||
(4) | Cash and securities segregated and on deposit for regulatory purposes include U.S. government securities with a fair value of $404.3 million. | ||||||||||||||||||||||||||||||||
(5) | To-be-announced securities previously classified within Financial instruments owned - mortgage-backed securities and Financial instruments sold, not yet purchased – mortgage-backed securities, have been reclassified to Derivatives (assets) and Derivatives (liabilities), respectively. | ||||||||||||||||||||||||||||||||
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 at November 30, 2013 and 2012 (in thousands): | |||||||||||||||||||||||||||||||||
Successor | |||||||||||||||||||||||||||||||||
30-Nov-13 | |||||||||||||||||||||||||||||||||
Fair Value (7) | Unfunded | Redemption Frequency | |||||||||||||||||||||||||||||||
Commitments | (if currently eligible) | ||||||||||||||||||||||||||||||||
Equity Long/Short Hedge Funds (1) | $ | 20,927 | $ | - | Monthly, Quarterly | ||||||||||||||||||||||||||||
High Yield Hedge Funds(2) | 244 | - | — | ||||||||||||||||||||||||||||||
Fund of Funds(3) | 494 | 94 | — | ||||||||||||||||||||||||||||||
Equity Funds(4) | 66,495 | 40,816 | — | ||||||||||||||||||||||||||||||
Convertible Bond Funds(5) | 3,473 | - | At Will | ||||||||||||||||||||||||||||||
Other Investments(6) | - | - | Bi-Monthly | ||||||||||||||||||||||||||||||
Total(8) | $ | 91,633 | $ | 40,910 | |||||||||||||||||||||||||||||
Predecessor | |||||||||||||||||||||||||||||||||
30-Nov-12 | |||||||||||||||||||||||||||||||||
Fair Value (7) | Unfunded | Redemption Frequency | |||||||||||||||||||||||||||||||
Commitments | (if currently eligible) | ||||||||||||||||||||||||||||||||
Equity Long/Short Hedge Funds (1) | $ | 19,554 | $ | - | Monthly, Quarterly | ||||||||||||||||||||||||||||
High Yield Hedge Funds(2) | 612 | - | — | ||||||||||||||||||||||||||||||
Fund of Funds(3) | 604 | 106 | — | ||||||||||||||||||||||||||||||
Equity Funds(4) | 69,223 | 59,272 | — | ||||||||||||||||||||||||||||||
Convertible Bond Funds(5) | 3,002 | - | At Will | ||||||||||||||||||||||||||||||
Other Investments(6) | 19 | - | Bi-Monthly | ||||||||||||||||||||||||||||||
Total(8) | $ | 93,014 | $ | 59,378 | |||||||||||||||||||||||||||||
-1 | This category includes investments in hedge funds that invest, long and short, in equity securities in domestic and international markets in both the public and private sectors. At November 30, 2013 and 2012, investments representing approximately 98% and 96%, respectively, of the fair value of investments in this category are redeemable with 30 - 65 days prior written notice, and includes an investment in a private asset management fund managed by us with a fair value of $0.5 million at November 30, 2012. The remaining investments in this category cannot be redeemed as they are in liquidation and distributions will be received through the liquidation of the underlying assets of the funds. We are unable to estimate when the underlying assets will be liquidated. | ||||||||||||||||||||||||||||||||
-2 | Includes investments in funds that invest in 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. The underlying assets of the funds are being liquidated and we are unable to estimate when the underlying assets will be fully liquidated. | ||||||||||||||||||||||||||||||||
-3 | Includes investments in fund of funds that invest in various private equity funds. At November 30, 2013 and 2012, approximately 98% and 94%, respectively, of the fair value of investments in this category are managed by us and have no redemption provisions, instead distributions are received through the liquidation of the underlying assets of the fund of funds, which are estimated to be liquidated in approximately two years. For the remaining investments we have requested redemption; however, we are unable to estimate when these funds will be received. | ||||||||||||||||||||||||||||||||
-4 | At November 30, 2013 and 2012, investments representing approximately 99% and 98%, 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. The remaining investments are in liquidation and we are unable to estimate when the underlying assets will be fully liquidated. At November 30, 2013 and 2012, this category includes investments in equity funds managed by us with a fair value of $54.4 million and $55.6 million and unfunded commitments of $39.2 million and $56.9 million, respectively. | ||||||||||||||||||||||||||||||||
-5 | Investment in the Jefferies Umbrella Fund, an open-ended investment company managed by us that invests primarily in convertible bonds. The investment is redeemable with 5 days prior written notice. | ||||||||||||||||||||||||||||||||
-6 | Other investments at November 30, 2012 included investments in funds that invest in commodity futures and options contracts, which were sold in fiscal 2013 as a result of the spin-off of CoreCommodity Management, LLC. | ||||||||||||||||||||||||||||||||
-7 | Fair value has been estimated using the net asset value derived from each of the funds’ capital statements. | ||||||||||||||||||||||||||||||||
-8 | Investments at fair value in the Consolidated Statements of Financial Condition at November 30, 2013 and 2012 include $66.9 million and $91.8 million, respectively, of direct investments which do not have the characteristics of investment companies and therefore not included within this table. We have unfunded commitments to such investments of $3.3 million in aggregate at November 30, 2013. | ||||||||||||||||||||||||||||||||
Summary of Valuation Bases (Pricing Information) for Financial Instruments | ' | ||||||||||||||||||||||||||||||||
At November 30, 2013 and 2012, our Financial instruments owned and Financial instruments sold, not yet purchased are measured using different valuation bases as follows: | |||||||||||||||||||||||||||||||||
Successor | Predecessor | ||||||||||||||||||||||||||||||||
November 30, 2013 | November 30, 2012 | ||||||||||||||||||||||||||||||||
Financial | Financial | Financial | Financial | ||||||||||||||||||||||||||||||
Instruments Owned | Instruments Sold, | Instruments Owned | Instruments Sold, | ||||||||||||||||||||||||||||||
Not Yet | Not Yet | ||||||||||||||||||||||||||||||||
Purchased | Purchased | ||||||||||||||||||||||||||||||||
Exchange closing prices | 12% | 25% | 11% | 19% | |||||||||||||||||||||||||||||
Recently observed transaction prices | 5% | 4% | 5% | 6% | |||||||||||||||||||||||||||||
External pricing services | 68% | 66% | 70% | 71% | |||||||||||||||||||||||||||||
Broker quotes | 3% | 3% | 1% | 0% | |||||||||||||||||||||||||||||
Valuation techniques | 12% | 2% | 13% | 4% | |||||||||||||||||||||||||||||
100% | 100% | 100% | 100% | ||||||||||||||||||||||||||||||
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 November 30, 2013 (in thousands): | |||||||||||||||||||||||||||||||||
Successor | |||||||||||||||||||||||||||||||||
Nine Months Ended November 30, 2013 | |||||||||||||||||||||||||||||||||
Balance, | Total gains/ | Purchases | Sales | Settlements | Net | Balance, | |||||||||||||||||||||||||||
February 28, | losses | transfers | November 30, | Change in | |||||||||||||||||||||||||||||
2013 | (realized and | into/ (out | 2013 | unrealized gains/ | |||||||||||||||||||||||||||||
unrealized) | of) | (losses) relating | |||||||||||||||||||||||||||||||
-1 | Level 3 | to instruments | |||||||||||||||||||||||||||||||
still held at | |||||||||||||||||||||||||||||||||
November 30, | |||||||||||||||||||||||||||||||||
2013 (1) | |||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||
Financial instruments owned: | |||||||||||||||||||||||||||||||||
Corporate equity securities | $ | 13,234 | $ | 1,551 | $ | 3,583 | $ | -7,141 | $- | $ | -1,343 | $ | 9,884 | $ | -419 | ||||||||||||||||||
Corporate debt securities | 31,820 | -2,454 | 31,014 | -34,125 | - | -589 | 25,666 | -2,749 | |||||||||||||||||||||||||
Collateralized debt obligations | 24,736 | -2,309 | 45,437 | -32,874 | - | 2,226 | 37,216 | -8,384 | |||||||||||||||||||||||||
Residential mortgage-backed securities | 169,426 | -4,897 | 89,792 | -150,807 | -11,007 | 12,985 | 105,492 | -6,932 | |||||||||||||||||||||||||
Commercial mortgage-backed securities | 17,794 | (4,469) | 20,130 | -13,538 | -100 | -2,249 | 17,568 | -3,794 | |||||||||||||||||||||||||
Other asset-backed securities | 1,292 | -4,535 | 105,291 | (104,711) | - | 15,274 | 12,611 | -3,497 | |||||||||||||||||||||||||
Loans and other receivables | 170,986 | 15,008 | 287,757 | -115,231 | -211,805 | -825 | 145,890 | 13,402 | |||||||||||||||||||||||||
Investments, at fair value | 75,067 | 1,678 | 28,594 | -102 | -5,012 | 1,017 | 101,242 | 1,705 | |||||||||||||||||||||||||
Investments in managed funds | 59,976 | 9,863 | 15,651 | -17 | -28,188 | - | 57,285 | 9,863 | |||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||
Financial instruments sold, not yet purchased: | |||||||||||||||||||||||||||||||||
Corporate equity securities | $ | 38 | $- | $- | $- | $- | $- | $ | 38 | $- | |||||||||||||||||||||||
Residential mortgage-backed securities | 1,542 | -1,542 | - | - | - | - | - | - | |||||||||||||||||||||||||
Net derivatives (2) | 11,185 | 4,408 | - | -300 | -8,515 | 127 | 6,905 | 1,609 | |||||||||||||||||||||||||
Loans | 7,398 | 2,959 | (16,027) | 28,065 | 67 | - | 22,462 | -2,970 | |||||||||||||||||||||||||
-1 | Realized and unrealized gains/losses are reported in Principal transactions 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 February 28, 2013 (in thousands): | |||||||||||||||||||||||||||||||||
Predecessor | |||||||||||||||||||||||||||||||||
Three Months Ended February 28, 2013 (3) | |||||||||||||||||||||||||||||||||
Balance, | Total gains/ | Purchases | Sales | Settlements | Net | Balance, | Change in | ||||||||||||||||||||||||||
November 30, | losses | transfers | February 28, | unrealized gains/ | |||||||||||||||||||||||||||||
2012 | (realized and | into/ (out | 2013 | (losses) relating | |||||||||||||||||||||||||||||
unrealized) | of) | to instruments | |||||||||||||||||||||||||||||||
-1 | Level 3 | still held at | |||||||||||||||||||||||||||||||
February 28, | |||||||||||||||||||||||||||||||||
2013 (1) | |||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||
Financial instruments owned: | |||||||||||||||||||||||||||||||||
Corporate equity securities | $ | 16,815 | $ | 200 | $ | 707 | $ | 109 | $ | - | $ | -4,597 | $ | 13,234 | $ | 172 | |||||||||||||||||
Corporate debt securities | 3,631 | 7,836 | 11,510 | -1,918 | - | 10,761 | 31,820 | 7,833 | |||||||||||||||||||||||||
Collateralized debt obligations | 31,255 | 3,584 | 4,406 | -17,374 | - | 2,865 | 24,736 | -1,165 | |||||||||||||||||||||||||
Residential mortgage-backed securities | 156,069 | 11,906 | 132,773 | -130,143 | -6,057 | 4,878 | 169,426 | 4,511 | |||||||||||||||||||||||||
Commercial mortgage-backed securities | 30,202 | -995 | 2,280 | -2,866 | -1,188 | -9,639 | 17,794 | -2,059 | |||||||||||||||||||||||||
Other asset-backed securities | 1,114 | 90 | 1,627 | -1,342 | -19 | -178 | 1,292 | 39 | |||||||||||||||||||||||||
Loans and other receivables | 180,393 | (8,682) | 105,650 | (29,828) | (61,407) | (15,140) | 170,986 | (12,374) | |||||||||||||||||||||||||
Investments, at fair value | 83,897 | 961 | 5,952 | -4,923 | -9,721 | -1,099 | 75,067 | 1,171 | |||||||||||||||||||||||||
Investments in managed funds | 57,763 | -363 | 11,068 | - | -8,492 | - | 59,976 | -363 | |||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||
Financial instruments sold, not yet purchased: | |||||||||||||||||||||||||||||||||
Corporate equity securities | $ | 38 | $ | - | $ | - | $ | - | $ | - | $ | - | $ | 38 | $ | - | |||||||||||||||||
Residential mortgage-backed securities | - | 25 | -73,846 | 75,363 | - | - | 1,542 | -19 | |||||||||||||||||||||||||
Net derivatives (2) | 9,188 | 2,648 | - | - | - | -651 | 11,185 | 2,648 | |||||||||||||||||||||||||
Loans | 1,711 | - | -1,711 | 7,398 | - | - | 7,398 | - | |||||||||||||||||||||||||
-1 | Realized and unrealized gains/losses are reported in Principal transactions in the Consolidated Statements of Earnings. | ||||||||||||||||||||||||||||||||
-2 | Net derivatives represent Financial instruments owned – Derivatives and Financial instruments sold, not yet purchased – Derivatives. | ||||||||||||||||||||||||||||||||
-3 | There were no issuances during the three months ended February 28, 2013. | ||||||||||||||||||||||||||||||||
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 year ended November 30, 2012 (in thousands): | |||||||||||||||||||||||||||||||||
Predecessor | |||||||||||||||||||||||||||||||||
Year Ended November 30, 2012 (3) | |||||||||||||||||||||||||||||||||
Balance, | Total gains/ | Purchases | Sales | Settlements | Net | Balance, | |||||||||||||||||||||||||||
November 30, | losses | transfers | November 30, | Change in | |||||||||||||||||||||||||||||
2011 | (realized and | into/ (out | 2012 | unrealized gains/ | |||||||||||||||||||||||||||||
unrealized) | of) | (losses) relating | |||||||||||||||||||||||||||||||
-1 | Level 3 | to instruments | |||||||||||||||||||||||||||||||
still held at | |||||||||||||||||||||||||||||||||
November 30, | |||||||||||||||||||||||||||||||||
2012 (1) | |||||||||||||||||||||||||||||||||
Assets: | |||||||||||||||||||||||||||||||||
Financial instruments owned: | |||||||||||||||||||||||||||||||||
Corporate equity securities | $ | 13,489 | $ | -4,167 | $ | 14,760 | $ | -7,878 | $ | - | $ | 611 | $ | 16,815 | $ | -6,199 | |||||||||||||||||
Corporate debt securities | 48,140 | -1,651 | 34,814 | -69,969 | -1,276 | -6,427 | 3,631 | -1,286 | |||||||||||||||||||||||||
Collateralized debt obligations | 47,988 | 4,882 | 4,369 | -64,915 | -3,892 | 42,823 | 31,255 | -1,524 | |||||||||||||||||||||||||
Municipal securities | 6,904 | -74 | - | -1,449 | - | -5,381 | - | - | |||||||||||||||||||||||||
Sovereign obligations | 140 | - | - | - | - | -140 | - | - | |||||||||||||||||||||||||
Residential mortgage-backed securities | 149,965 | 36,183 | 266,692 | -278,068 | -58,005 | 39,302 | 156,069 | -6,445 | |||||||||||||||||||||||||
Commercial mortgage-backed securities | 52,407 | -7,715 | 14,058 | -23,797 | -1,241 | -3,510 | 30,202 | -6,042 | |||||||||||||||||||||||||
Other asset-backed securities | 3,284 | -20 | 8,749 | -8,627 | -52 | -2,220 | 1,114 | -32 | |||||||||||||||||||||||||
Loans and other receivables | 97,291 | -2,475 | 299,929 | -104,155 | -143,960 | 33,763 | 180,393 | -4,335 | |||||||||||||||||||||||||
Investments, at fair value | 78,326 | 14,965 | 4,060 | -6 | -13,448 | - | 83,897 | 13,642 | |||||||||||||||||||||||||
Investments in managed funds | 70,740 | -11,102 | 12,683 | - | -14,558 | - | 57,763 | -11,101 | |||||||||||||||||||||||||
Liabilities: | |||||||||||||||||||||||||||||||||
Financial instruments sold, not yet purchased: | |||||||||||||||||||||||||||||||||
Corporate equity securities | $ | - | $ | 38 | $ | - | $ | - | $ | - | $ | - | $ | 38 | $ | 38 | |||||||||||||||||
Corporate debt securities | 74 | -15 | -59 | - | - | - | - | - | |||||||||||||||||||||||||
Net derivatives (2) | 9,285 | 2,505 | -389 | - | - | -2,213 | 9,188 | 3,728 | |||||||||||||||||||||||||
Loans | 10,157 | - | -10,157 | 1,711 | - | - | 1,711 | - | |||||||||||||||||||||||||
-1 | Realized and unrealized gains/losses are reported in Principal transactions in the Consolidated Statements of Earnings. | ||||||||||||||||||||||||||||||||
-2 | Net derivatives represent Financial instruments owned – Derivatives and Financial instruments sold, not yet purchased – Derivatives. | ||||||||||||||||||||||||||||||||
-3 | There were no issuances during the year ended November 30, 2012. | ||||||||||||||||||||||||||||||||
Quantitative Information about Significant Unobservable Inputs Used in Level 3 Fair Value Measurements | ' | ||||||||||||||||||||||||||||||||
The disclosed inputs when compared with the inputs as disclosed in other quarters 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. | |||||||||||||||||||||||||||||||||
Successor | |||||||||||||||||||||||||||||||||
November 30, 2013 | |||||||||||||||||||||||||||||||||
Financial Instruments | Fair Value | Valuation | Significant | Input / Range | Weighted | ||||||||||||||||||||||||||||
Owned | (in thousands) | Technique | Unobservable | Average | |||||||||||||||||||||||||||||
Input(s) | |||||||||||||||||||||||||||||||||
Corporate equity securities | $ | 8,034 | |||||||||||||||||||||||||||||||
Non-exchange traded securities | Market approach | EBITDA (a) multiple | 4.0 to 5.5 | 4.53 | |||||||||||||||||||||||||||||
Warrants | Option model | Volatility | 36% | ||||||||||||||||||||||||||||||
Corporate debt securities | $ | 17,699 | |||||||||||||||||||||||||||||||
Scenario analysis | Estimated recovery percentage | 24% | |||||||||||||||||||||||||||||||
Comparable pricing | Comparable bond or loan price | $69.10 to $70.50 | $69.91 | ||||||||||||||||||||||||||||||
Market approach | Yield | 13% | |||||||||||||||||||||||||||||||
Collateralized debt obligations | $ | 34,316 | |||||||||||||||||||||||||||||||
Discounted cash flows | Constant prepayment rate | 0% to 20% | 13% | ||||||||||||||||||||||||||||||
Constant default rate | 2% to 3% | 2% | |||||||||||||||||||||||||||||||
Loss severity | 30% to 85% | 38% | |||||||||||||||||||||||||||||||
Yield | 3% to 91% | 28% | |||||||||||||||||||||||||||||||
Residential mortgage-backed securities | $ | 105,492 | |||||||||||||||||||||||||||||||
Discounted cash flows | Constant prepayment rate | 2% to 50% | 11% | ||||||||||||||||||||||||||||||
Constant default rate | 1% to 100% | 17% | |||||||||||||||||||||||||||||||
Loss severity | 30% to 90% | 48% | |||||||||||||||||||||||||||||||
Yield | 0% to 20% | 7% | |||||||||||||||||||||||||||||||
Commercial mortgage-backed securities | $ | 17,568 | |||||||||||||||||||||||||||||||
Discounted cash flows | Yield | 12% to 20% | 14% | ||||||||||||||||||||||||||||||
Cumulative loss rate | 5% to 28.2% | 11% | |||||||||||||||||||||||||||||||
Other asset-backed securities | $ | 12,611 | |||||||||||||||||||||||||||||||
Discounted cash flows | Constant prepayment rate | 4% to 30% | 17% | ||||||||||||||||||||||||||||||
Constant default rate | 2% to 11% | 7% | |||||||||||||||||||||||||||||||
Loss severity | 40% to 92% | 64% | |||||||||||||||||||||||||||||||
Yield | 3% to 29% | 18% | |||||||||||||||||||||||||||||||
Loans and other receivables | $ | 101,931 | |||||||||||||||||||||||||||||||
Comparable pricing | Comparable bond or loan price | $91 to $101 | $98.90 | ||||||||||||||||||||||||||||||
Market approach | Yield | 8.75% to 13.5% | 10% | ||||||||||||||||||||||||||||||
EBITDA (a) multiple | 6.9 | ||||||||||||||||||||||||||||||||
Scenario analysis | Estimated recovery percentage | 16.9% to 92% | 74% | ||||||||||||||||||||||||||||||
Derivatives | $ | 1,493 | |||||||||||||||||||||||||||||||
Loan commitments | Comparable pricing | Comparable bond or loan price | $100.88 | ||||||||||||||||||||||||||||||
Investments at fair value | $ | 30,203 | |||||||||||||||||||||||||||||||
Private equity securities | Comparable pricing | Comparable share price | $414 | ||||||||||||||||||||||||||||||
Market approach | Discount rate | 15% to 30% | 23% | ||||||||||||||||||||||||||||||
Financial Instruments | Fair Value | Valuation Technique | Significant | Input / Range | Weighted | ||||||||||||||||||||||||||||
Sold, Not Yet Purchased | (in thousands) | Unobservable | Average | ||||||||||||||||||||||||||||||
Input(s) | |||||||||||||||||||||||||||||||||
Derivatives | $ | 8,398 | |||||||||||||||||||||||||||||||
Equity options | Option model | Volatility | 36.25% to 41% | 39% | |||||||||||||||||||||||||||||
Loans | 8,106 | ||||||||||||||||||||||||||||||||
Comparable pricing | Comparable bond or loan price | $101.88 | |||||||||||||||||||||||||||||||
(a) Earnings before interest, taxes, depreciation and amortization (“EBITDA”). | |||||||||||||||||||||||||||||||||
Predecessor | |||||||||||||||||||||||||||||||||
November 30, 2012 | |||||||||||||||||||||||||||||||||
Financial Instruments Owned | Fair Value | Valuation | Range | ||||||||||||||||||||||||||||||
(in thousands) | Technique | Significant | |||||||||||||||||||||||||||||||
Unobservable | |||||||||||||||||||||||||||||||||
Input(s) | |||||||||||||||||||||||||||||||||
Corporate equity securities | $ | 16,815 | |||||||||||||||||||||||||||||||
Non-exchange traded securities | Market approach | EBITDA (a) multiple | 4.0 to 16.3 | ||||||||||||||||||||||||||||||
Scenario analysis | Estimated recovery percentage | 35% | |||||||||||||||||||||||||||||||
Warrants | Option model | Volatility | 39% | ||||||||||||||||||||||||||||||
Collateralized debt obligations | $ | 26,705 | |||||||||||||||||||||||||||||||
Discounted cash flows | Constant prepayment rate | 0% to 5% | |||||||||||||||||||||||||||||||
Constant default rate | 0% to 10% | ||||||||||||||||||||||||||||||||
Loss severity | 13% to 75% | ||||||||||||||||||||||||||||||||
Yield | 10% to 35% | ||||||||||||||||||||||||||||||||
Residential mortgage-backed securities | $ | 156,069 | |||||||||||||||||||||||||||||||
Discounted cash flows | Constant prepayment rate | 0% to 25% | |||||||||||||||||||||||||||||||
Constant default rate | 0% to 50% | ||||||||||||||||||||||||||||||||
Loss severity | 0% to 80% | ||||||||||||||||||||||||||||||||
Yield | 1% to 50% | ||||||||||||||||||||||||||||||||
Commercial mortgage-backed securities | $ | 30,202 | |||||||||||||||||||||||||||||||
Discounted cash flows | Yield | 22% to 57% | |||||||||||||||||||||||||||||||
Cumulative loss rate | 2% to 20% | ||||||||||||||||||||||||||||||||
Loans and other receivables | $ | 153,365 | |||||||||||||||||||||||||||||||
Comparable pricing | Comparable bond or loan price | $81.88 to $101.25 | |||||||||||||||||||||||||||||||
Discounted cash flows | Yield | 19% | |||||||||||||||||||||||||||||||
Cumulative loss rate | 0% | ||||||||||||||||||||||||||||||||
Market approach | Yield | 5% to 54% | |||||||||||||||||||||||||||||||
EBITDA (a) multiple | 8.3 | ||||||||||||||||||||||||||||||||
Scenario analysis | Estimated recovery percentage | 15% | |||||||||||||||||||||||||||||||
Investments at fair value | $ | 32,751 | |||||||||||||||||||||||||||||||
Private equity securities | Market approach | EBITDA (a) multiple | 6.6 | ||||||||||||||||||||||||||||||
Comparable pricing | Comparable share price | $400.00 | |||||||||||||||||||||||||||||||
Scenario analysis | Estimated recovery percentage | 50% | |||||||||||||||||||||||||||||||
Financial Instruments Sold, | Fair Value | Valuation | Significant | Range | |||||||||||||||||||||||||||||
Not Yet Purchased | (in thousands) | Technique | Unobservable | ||||||||||||||||||||||||||||||
Input(s) | |||||||||||||||||||||||||||||||||
Derivatives | $ | (9,516 | ) | ||||||||||||||||||||||||||||||
Equity options | Option model | Volatility | 39% | ||||||||||||||||||||||||||||||
Loan commitments | Comparable pricing | Comparable bond or loan price | $ | 101.13 | |||||||||||||||||||||||||||||
(a) Earnings before interest, taxes, depreciation and amortization (“EBITDA”). | |||||||||||||||||||||||||||||||||
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 and other receivables and loan commitments measured at fair value under the fair value option (in thousands): | |||||||||||||||||||||||||||||||||
Successor | Predecessor | ||||||||||||||||||||||||||||||||
Nine Months Ended | Three Months Ended | Year Ended | |||||||||||||||||||||||||||||||
November 30, 2013 | February 28, 2013 | November 30, 2012 | |||||||||||||||||||||||||||||||
Financial Instruments Owned: | |||||||||||||||||||||||||||||||||
Loans and other receivables | $ | 15,327 | $ | 3,924 | $ | 24,547 | |||||||||||||||||||||||||||
Financial Instruments Sold: | |||||||||||||||||||||||||||||||||
Loans | $ | (32) | $ | - | $ | (55) | |||||||||||||||||||||||||||
Loan commitments | (1,007) | (2,746) | (7,155) | ||||||||||||||||||||||||||||||
The following is a summary of the amount by which contractual principal exceeds fair value for loans and other receivables measured at fair value under the fair value option (in thousands): | |||||||||||||||||||||||||||||||||
Successor | Predecessor | ||||||||||||||||||||||||||||||||
November 30, | November 30, | ||||||||||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||||||||||
Financial Instruments Owned: | |||||||||||||||||||||||||||||||||
Loans and other receivables (2) | $ | 264,896 | $ | 256,271 | |||||||||||||||||||||||||||||
Loans greater than 90 days past due (1) (2) | - | 10,433 | |||||||||||||||||||||||||||||||
-1 | The aggregate fair value of loans that were 90 or more days past due was $0 and $34.7 million at November 30, 2013 and 2012. | ||||||||||||||||||||||||||||||||
-2 | Interest income is recognized separately from other changes in fair value and is included within Interest revenues on the Consolidated Statements of Earnings. |
Derivative_Financial_Instrumen1
Derivative Financial Instruments (Tables) | 12 Months Ended | ||||||||||||||||||||
Nov. 30, 2013 | |||||||||||||||||||||
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 November 30, 2013 and 2012 categorized by type of derivative contract. | |||||||||||||||||||||
Successor | |||||||||||||||||||||
30-Nov-13 | |||||||||||||||||||||
Assets | Liabilities | ||||||||||||||||||||
Fair Value | Number of | Fair Value | Number of | ||||||||||||||||||
Contracts | Contracts | ||||||||||||||||||||
Interest rate contracts | $ | 1,165,976 | 63,967 | $ | 1,131,166 | 77,338 | |||||||||||||||
Foreign exchange contracts | 653,772 | 118,707 | 693,658 | 112,417 | |||||||||||||||||
Equity contracts | 501,784 | 1,742,343 | 474,985 | 1,800,603 | |||||||||||||||||
Commodity contracts | 141,280 | 797,529 | 173,119 | 788,717 | |||||||||||||||||
Credit contracts: centrally cleared swaps | 49,531 | 49 | 51,632 | 46 | |||||||||||||||||
Credit contracts: other credit derivatives | 2,339 | 16 | 8,130 | 19 | |||||||||||||||||
Total | 2,514,682 | 2,532,690 | |||||||||||||||||||
Counterparty/cash-collateral netting | (2,253,589) | (2,352,611) | |||||||||||||||||||
Total per Consolidated Statement of Financial Condition | $ | 261,093 | $ | 180,079 | |||||||||||||||||
Predecessor | |||||||||||||||||||||
30-Nov-12 | |||||||||||||||||||||
Assets | Liabilities | ||||||||||||||||||||
Fair Value | Number of | Fair Value | Number of | ||||||||||||||||||
Contracts | Contracts | ||||||||||||||||||||
Interest rate contracts | $ | 1,053,974 | 69,966 | $ | 1,134,620 | 92,586 | |||||||||||||||
Foreign exchange contracts | 387,325 | 118,958 | 357,277 | 116,758 | |||||||||||||||||
Equity contracts | 577,964 | 1,526,127 | 528,979 | 1,396,213 | |||||||||||||||||
Commodity contracts | 265,703 | 754,987 | 278,660 | 728,696 | |||||||||||||||||
Credit contracts | 4,448 | 13 | 11,301 | 40 | |||||||||||||||||
Total | 2,289,414 | 2,310,837 | |||||||||||||||||||
Counterparty/cash-collateral netting | (1,921,122) | (2,068,750) | |||||||||||||||||||
Total per Consolidated Statement of Financial Condition | $ | 368,292 | $ | 242,087 | |||||||||||||||||
Unrealized and Realized Gains (Losses) on Derivative Contracts | ' | ||||||||||||||||||||
The following table presents unrealized and realized gains (losses) on derivative contracts for the nine months ended November 30, 2013, three months ended February 28, 2013 and for the years ended November 30, 2012 and 2011 (in thousands): | |||||||||||||||||||||
Predecessor | |||||||||||||||||||||
Successor | |||||||||||||||||||||
Gains (Losses) | Nine Months Ended | Three Months | Year Ended | Year Ended | |||||||||||||||||
November 30, 2013 | Ended | November 30, 2012 | November 30, 2011 | ||||||||||||||||||
February 28, 2013 | |||||||||||||||||||||
Interest rate contracts | $ | 132,661 | $ | 38,936 | $ | (35,524) | $ | (204,403) | |||||||||||||
Foreign exchange contracts | 4,937 | 11,895 | 9,076 | 2,243 | |||||||||||||||||
Equity contracts | 3,783 | (22,021) | (83,817) | (279,488) | |||||||||||||||||
Commodity contracts | 45,546 | 19,585 | 77,285 | 74,282 | |||||||||||||||||
Credit contracts | (12,850) | (3,742) | (20,059) | 17,621 | |||||||||||||||||
Total | $ | 174,077 | $ | 44,653 | $ | (53,039) | $ | (389,745) | |||||||||||||
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 as of November 30, 2013 (in thousands): | |||||||||||||||||||||
Successor | |||||||||||||||||||||
OTC Derivative Assets (1) (2) (4) | |||||||||||||||||||||
0 – 12 Months | 1 – 5 Years | Greater Than | Cross-Maturity | Total | |||||||||||||||||
5 Years | Netting (3) | ||||||||||||||||||||
Commodity swaps, options and forwards | $ | 43,519 | $ | 699 | $ | - | $ | (198) | $ | 44,020 | |||||||||||
Credit default swaps | - | - | 413 | 413 | |||||||||||||||||
Equity swaps and options | 4,394 | - | - | - | 4,394 | ||||||||||||||||
Total return swaps | 948 | - | - | - | 948 | ||||||||||||||||
Foreign currency forwards, swaps and options | 89,072 | 37,798 | 52 | (11,192) | 115,730 | ||||||||||||||||
Interest rate swaps, options and forwards | 96,983 | 89,255 | 128,983 | (51,990) | 263,231 | ||||||||||||||||
Total | $ | 234,916 | $ | 127,752 | $ | 129,448 | $ | (63,380) | 428,736 | ||||||||||||
Cross product counterparty netting | (2,086) | ||||||||||||||||||||
Total OTC derivative assets included in Financial instruments owned | $ | 426,650 | |||||||||||||||||||
-1 | At November 30, 2013, we held exchange traded derivative assets and other credit agreements with a fair value of $43.1 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 November 30, 2013, cash collateral received was $208.6 million. | ||||||||||||||||||||
-3 | Amounts represent the netting of receivable balances with payable balances for the same counterparty within product category across maturity categories. | ||||||||||||||||||||
-4 | Derivative fair values include counterparty netting within product category. | ||||||||||||||||||||
Successor | |||||||||||||||||||||
OTC Derivative Liabilities (1) (2) (4) | |||||||||||||||||||||
0 – 12 Months | 1 – 5 Years | Greater Than | Cross-Maturity | Total | |||||||||||||||||
5 Years | Netting (3) | ||||||||||||||||||||
Commodity swaps, options and forwards | $ | 69,380 | $ | 203 | $ | - | $ | (198) | $ | 69,385 | |||||||||||
Credit default swaps | 174 | 3,539 | 1,263 | - | 4,976 | ||||||||||||||||
Equity swaps and options | - | - | 3,332 | - | 3,332 | ||||||||||||||||
Total return swaps | 5,002 | - | - | - | 5,002 | ||||||||||||||||
Foreign currency forwards, swaps and options | 117,044 | 47,258 | - | (8,608) | 155,694 | ||||||||||||||||
Interest rate swaps, options and forwards | 24,142 | 124,352 | 136,683 | (51,990) | 233,187 | ||||||||||||||||
Total | $ | 215,742 | $ | 175,352 | $ | 141,278 | $ | (60,796) | 471,576 | ||||||||||||
Cross product counterparty netting | (2,086) | ||||||||||||||||||||
Total OTC derivative liabilities included in Financial instruments sold, not yet purchased | $ | 469,490 | |||||||||||||||||||
-1 | At November 30, 2013, we held exchange traded derivative liabilities and other credit agreements with a fair value of $18.2 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 November 30, 2013, cash collateral pledged was $307.7 million. | ||||||||||||||||||||
-3 | Amounts represent the netting of receivable balances with payable balances for the same counterparty within product category across maturity categories. | ||||||||||||||||||||
-4 | Derivative fair values include counterparty netting within product category. | ||||||||||||||||||||
Counterparty Credit Quality with Respect to Fair Value of OTC Derivatives Assets | ' | ||||||||||||||||||||
At November 30, 2013, 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 | $ | 251,967 | |||||||||||||||||||
BBB- to BBB+ | 18,541 | ||||||||||||||||||||
BB+ or lower | 95,072 | ||||||||||||||||||||
Unrated | 61,070 | ||||||||||||||||||||
Total | $ | 426,650 | |||||||||||||||||||
-1 | We utilize internal credit ratings determined by our Risk Management. 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) | 12 Months Ended | ||||||||
Nov. 30, 2013 | |||||||||
Text Block [Abstract] | ' | ||||||||
Fair Value of Securities Received as Collateral | ' | ||||||||
The fair value of securities received as collateral at November 30, 2013 and 2012 that pertains to our securities financing activities at November 30, 2013 and 2012 are as follows (in thousands): | |||||||||
Successor | Predecessor | ||||||||
November 30, | November 30, | ||||||||
2013 | 2012 | ||||||||
Carrying amount: | |||||||||
Securities purchased under agreements to resell | $ | 3,746,920 | $ | 3,357,602 | |||||
Securities borrowed | 5,359,846 | 5,094,679 | |||||||
Securities received as collateral | 11,063 | - | |||||||
Total assets on Consolidated Statement of Financial Condition | 9,117,829 | 8,452,281 | |||||||
Netting of securities purchased under agreements to resell (1) | 8,968,529 | 9,982,752 | |||||||
18,086,358 | 18,435,033 | ||||||||
Fair value of additional collateral received (2) | 3,866,577 | 2,683,767 | |||||||
Fair value of securities received as collateral | $ | 21,952,935 | $ | 21,118,800 | |||||
-1 | Represents the netting of securities purchased under agreements to resell with securities sold under agreements to repurchase balances for the same counterparty under legally enforceable netting agreements. | ||||||||
-2 | Includes 1) collateral received from customers for margin balances unrelated to arrangements for securities purchased under agreements to resell or securities borrowed with a fair value of $1,182.1 million and $1,252.6 million at November 30, 2013 and 2012, respectively, of which $596.2 million and $727.7 million had been rehypothecated, 2) collateral received on securities for securities transactions of $2,656.9 million and $1,378.8 million at November 30, 2013 and 2012, respectively and 3) collateral received in excess of the reverse repurchase and securities borrowed contract amounts. |
Securitization_Activities_Tabl
Securitization Activities (Tables) | 12 Months Ended | ||||||||||||||||
Nov. 30, 2013 | |||||||||||||||||
Text Block [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): | |||||||||||||||||
Successor | Predecessor | ||||||||||||||||
Nine Months | Three Months | Year Ended | Year Ended | ||||||||||||||
Ended | Ended | November 30, 2012 | November 30, 2011 | ||||||||||||||
November 30, 2013 | February 28, 2013 | ||||||||||||||||
Transferred assets | $ | 4,592.5 | $ | 2,735.2 | $ | 10,869.8 | $ | 12,539.6 | |||||||||
Proceeds on new securitizations | 4,609.0 | 2,751.3 | 10,910.8 | 12,611.0 | |||||||||||||
Net revenues | 10.7 | 12.9 | 35.4 | 82.7 | |||||||||||||
Cash flows received on retained interests | $ | 35.6 | $ | 32.3 | $ | 64.3 | $ | 103.6 | |||||||||
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): | |||||||||||||||||
Successor | |||||||||||||||||
As of November 30, 2013 | |||||||||||||||||
Securitization Type | Total Assets | Retained | |||||||||||||||
Interests | |||||||||||||||||
U.S. government agency residential mortgage-backed securities | $ | 11,518.4 | $ | 281.3 | |||||||||||||
U.S. government agency commercial mortgage-backed securities | 5,385.6 | 96.8 | |||||||||||||||
Collateralized loan obligations | 728.5 | 9.0 | |||||||||||||||
Predecessor | |||||||||||||||||
As of November 30, 2012 | |||||||||||||||||
Securitization Type | Total Assets | Retained | |||||||||||||||
Interests | |||||||||||||||||
U.S. government agency residential mortgage-backed securities | $ | 3,791.5 | $ | 335.2 | |||||||||||||
U.S. government agency commercial mortgage-backed securities | 2,193.4 | 28.9 |
Variable_Interest_Entities_Tab
Variable Interest Entities (Tables) | 12 Months Ended | ||||||||||||||||||||
Nov. 30, 2013 | |||||||||||||||||||||
Assets and Liabilities of Consolidated VIEs Prior to Consolidation | ' | ||||||||||||||||||||
The following table presents information about the assets and liabilities of our consolidated VIEs, which are presented within our Consolidated Statements of Financial Condition in the respective asset and liability categories, as of November 30, 2013 and 2012. 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. We have aggregated our consolidated VIEs based upon principal business activity. | |||||||||||||||||||||
Successor | Predecessor | ||||||||||||||||||||
(in millions) | 30-Nov-13 | 30-Nov-12 | |||||||||||||||||||
Other | High Yield | Securitization | Other | ||||||||||||||||||
Securitization | Vehicles | ||||||||||||||||||||
Vehicles | |||||||||||||||||||||
Cash | $ | — | $ | 0.2 | $ | 388.1 | $ | — | $ | 0.2 | |||||||||||
Financial instruments owned | 97.5 | 0.4 | 894.2 | 10.0 | 0.5 | ||||||||||||||||
Securities borrowed | — | — | 372.1 | — | — | ||||||||||||||||
Securities purchased under agreement to resell (3) | 195.1 | — | — | 60.0 | — | ||||||||||||||||
Receivable from brokers and dealers | — | — | 264.5 | — | — | ||||||||||||||||
Other | 2.3 | — | 11.4 | — | — | ||||||||||||||||
$ | 294.9 | $ | 0.6 | $ | 1,930.3 | $ | 70.0 | $ | 0.7 | ||||||||||||
$ | — | $ | — | $ | 526.1 | $ | — | $ | — | ||||||||||||
Financial instruments sold, not yet purchased | |||||||||||||||||||||
Securities loaned | — | — | 112.0 | — | — | ||||||||||||||||
Payable to brokers and dealers | — | — | 201.2 | — | — | ||||||||||||||||
Mandatorily redeemable interests (1) | — | — | 1,076.0 | — | — | ||||||||||||||||
Other secured financings (2) | 292.5 | — | — | 70.0 | — | ||||||||||||||||
Other | 2.1 | 0.2 | 15.0 | — | 0.2 | ||||||||||||||||
$ | 294.6 | $ | 0.2 | $ | 1,930.3 | $ | 70.0 | $ | 0.2 | ||||||||||||
-1 | After consolidation, which eliminates our interests and the interests of our consolidated subsidiaries, JSOP and JESOP, the carrying amount of the mandatorily redeemable financial interests pertaining to the above VIEs included within Mandatorily redeemable preferred interests of consolidated subsidiaries was approximately $348.1 million at November 30, 2012. These amounts represent the portion of the mandatorily redeemable preferred interests held by our joint venture partner. | ||||||||||||||||||||
-2 | Approximately $66.5 million and $7.7 million of the secured financing represents an amount held by us in inventory and is eliminated in consolidation at November 30, 2013 and 2012, respectively. | ||||||||||||||||||||
-3 | Securities purchased under agreement to resell represent an amount due under a collateralized transaction on a related consolidated entity, which is eliminated in consolidation. | ||||||||||||||||||||
Variable Interest Entity Not Primary Beneficiary [Member] | ' | ||||||||||||||||||||
Non-Consolidated Variable Interest Entities | ' | ||||||||||||||||||||
The following tables present information about nonconsolidated VIEs in which we had variable interests aggregated by principal business activity. The tables include VIEs where we have determined that the maximum exposure to loss is greater than specific thresholds or meets certain other criteria. | |||||||||||||||||||||
Successor | |||||||||||||||||||||
30-Nov-13 | |||||||||||||||||||||
Variable Interests | |||||||||||||||||||||
(in millions) | Financial Statement | Maximum exposure | VIE Assets | ||||||||||||||||||
Carrying Amount | to loss | ||||||||||||||||||||
Collateralized loan obligations | $ | 11.9 | -2 | $ | 11.9 | -4 | $ | 1,122.3 | |||||||||||||
Agency mortgage- and asset-backed securitizations (1) | 1,226.0 | -2 | 1,226.0 | -4 | 5,857.3 | ||||||||||||||||
Non-agency mortgage- and asset-backed securitizations (1) | 840.1 | -2 | 840.1 | -4 | 78,070.8 | ||||||||||||||||
Asset management vehicle | 3.5 | -3 | 3.5 | -4 | 454.2 | ||||||||||||||||
Private equity vehicles | 40.8 | -3 | 68.8 | 89.4 | |||||||||||||||||
Total | $ | 2,122.3 | $ | 2,150.3 | $ | 85,594.0 | |||||||||||||||
(1) | VIE assets represent the unpaid principal balance of the assets in these vehicles at November 30, 2013 and represent the underlying assets that provide the cash flows supporting our variable interests. | ||||||||||||||||||||
(2) | Consists of debt securities accounted for at fair value, which are included within Financial instruments owned. | ||||||||||||||||||||
(3) | Consists of equity interests and loans, which are included within Investments in managed funds and Loans to and investments in related parties. | ||||||||||||||||||||
(4) | Our maximum exposure to loss in these non-consolidated VIEs is limited to our investment, which is represented by the financial statement carrying amount of our purchased or retained interests. | ||||||||||||||||||||
Predecessor | |||||||||||||||||||||
30-Nov-12 | |||||||||||||||||||||
Variable Interests | |||||||||||||||||||||
(in millions) | Financial Statement | Maximum | VIE Assets | ||||||||||||||||||
Carrying Amount | exposure to loss | ||||||||||||||||||||
Collateralized loan obligations | $ | 5.3 | -2 | $ | 5.3 | -4 | $ | 499.7 | |||||||||||||
Agency mortgage- and asset-backed securitizations (1) | 1,579.1 | -2 | 1,579.1 | -4 | 6,396.60 | ||||||||||||||||
Non-agency mortgage- and asset-backed securitizations (1) | 814.1 | -2 | 814.1 | -4 | 54,436.20 | ||||||||||||||||
Asset management vehicle | 3.0 | -3 | 3.0 | -4 | 505.3 | ||||||||||||||||
Private equity vehicles | 55.0 | -3 | 107.7 | 82.1 | |||||||||||||||||
Total | $ | 2,456.5 | $ | 2,509.2 | $ | 61,919.90 | |||||||||||||||
(1) | VIE assets represent the unpaid principal balance of the assets in these vehicles at November 30, 2012 and represent the underlying assets that provide the cash flows supporting our variable interests. | ||||||||||||||||||||
(2) | Consists of debt securities accounted for at fair value, which are included within Financial instruments owned. | ||||||||||||||||||||
(3) | Consists of equity interests and loans, which are included within Investments in managed funds and Loans to and investments in related parties. | ||||||||||||||||||||
(4) | Our maximum exposure to loss in these non-consolidated VIEs is limited to our investment, which is represented by the financial statement carrying amount of our purchased or retained interests. | ||||||||||||||||||||
Summary of Securities Issued by Securitization Vehicles | ' | ||||||||||||||||||||
Total securities issued by securitization SPEs at November 30, 2013 consist of the following (in millions): | |||||||||||||||||||||
Nonagency | Agency | Total | |||||||||||||||||||
Variable interests in collateralized loan obligations | $ | 11.9 | $ | - | $ | 11.9 | |||||||||||||||
Variable interests in agency mortgage- and asset-backed securitizations | - | 1,226.0 | 1,226.0 | ||||||||||||||||||
Variable interests in nonagency mortgage- and asset-backed securitizations | 840.1 | - | 840.1 | ||||||||||||||||||
Additional securities in connection with trading and market making activities: | |||||||||||||||||||||
Residential mortgage-backed securities | 55.1 | 1,668.2 | 1,723.3 | ||||||||||||||||||
Commercial mortgage-backed securities | 27.9 | 581.9 | 609.8 | ||||||||||||||||||
Collateralized debt obligations | 27.9 | - | 27.9 | ||||||||||||||||||
Other asset-backed securities | 34.1 | - | 34.1 | ||||||||||||||||||
Total mortgage- and asset-backed securities on the Consolidated Statement of Financial Condition | $ | 997.0 | $ | 3,476.1 | $ | 4,473.1 |
Investments_Tables
Investments (Tables) | 12 Months Ended | ||||||||
Nov. 30, 2013 | |||||||||
Jefferies Finance, LLC [Member] | ' | ||||||||
Summary of Selected Financial Information | ' | ||||||||
The following is a summary of selected financial information for Jefferies Finance as of November 30, 2013 and 2012 (in millions): | |||||||||
November 30, | November 30, | ||||||||
2013 | 2012 | ||||||||
Total assets | $ | 3,269.50 | $ | 1,730.40 | |||||
Total liabilities | 2,594.30 | 1,188.20 | |||||||
Total equity | 675.2 | 542.2 | |||||||
Our total equity balance | 337.6 | 271.1 | |||||||
Jefferies LoanCore, LLC [Member] | ' | ||||||||
Summary of Selected Financial Information | ' | ||||||||
The following is a summary of selected financial information for Jefferies LoanCore as of November 30, 2013 and 2012 (in millions): | |||||||||
November 30, | November 30, | ||||||||
2013 | 2012 | ||||||||
Total assets | $ | 974.9 | $ | 372.0 | |||||
Total liabilities | 507.9 | 98.4 | |||||||
Total equity | 467.0 | 273.6 | |||||||
Our total equity balance | 226.5 | 132.7 | |||||||
Knight Capital Group, Inc. [Member] | ' | ||||||||
Summary of Selected Financial Information | ' | ||||||||
The following is a summary of selected financial information for Knight Capital as of September 30, 2013 and December 31, 2012, the most recently available public financial information for the company (in millions): | |||||||||
September 30, | December 31, | ||||||||
2013 | 2012 | ||||||||
Total assets | $ | 13,293.3 | $ | 1,687.5 | |||||
Total liabilities | 11,780.3 | 1,032.8 | |||||||
Total equity and convertible preferred stock | 1,513.0 | 654.7 |
Goodwill_and_Other_Intangible_1
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended | ||||||||||||||||||||||
Nov. 30, 2013 | |||||||||||||||||||||||
Goodwill And Intangible Assets Disclosure [Abstract] | ' | ||||||||||||||||||||||
Schedule of Goodwill Resulting from Merger Attributable to Reportable Segments | ' | ||||||||||||||||||||||
The following table presents goodwill resulting from the Merger attributed to our reportable segments: | |||||||||||||||||||||||
November 30, 2013 | November 30, 2012 | ||||||||||||||||||||||
Capital Markets | $ | 1,717,246 | $ | 365,670 | |||||||||||||||||||
Asset Management | 5,100 | - | |||||||||||||||||||||
Total goodwill | $ | 1,722,346 | $ | 365,670 | |||||||||||||||||||
Summary of Goodwill | ' | ||||||||||||||||||||||
The following table is a summary of the changes to goodwill for the nine months ended November 30, 2013, three months ended February 28, 2013 and year ended November 30, 2012 (in thousands): | |||||||||||||||||||||||
Successor | Predecessor | ||||||||||||||||||||||
Nine Months Ended | Three Months Ended | Year Ended | |||||||||||||||||||||
November 30, 2013 | 28-Feb-13 | November 30, 2012 | |||||||||||||||||||||
Balance, at beginning of period | $ | 1,720,380 | $ | 365,670 | $ | 365,574 | |||||||||||||||||
Less: Disposal | (5,700) | (2) | |||||||||||||||||||||
Add: Contingent consideration | - | 2,394 | - | ||||||||||||||||||||
Add: Translation adjustments | 7,666 | (1,287) | 96 | ||||||||||||||||||||
Balance, at end of period | $ | 1,722,346 | $ | 366,777 | (1) | $ | 365,670 | ||||||||||||||||
(1) Predecessor Company goodwill as of February 28, 2013 was reduced to $-0- as of March 1, 2013, as a result of purchase accounting adjustments. | |||||||||||||||||||||||
(2) During the nine months ended November 2013, we restructured our commodity asset management business and no longer have a controlling financial interest and accordingly do not consolidate. In addition, we sold Jefferies International Management Limited to Leucadia. Accordingly, goodwill associated with these entities was included in the net assets disposed of in the transactions. | |||||||||||||||||||||||
Summary of Intangible Assets | ' | ||||||||||||||||||||||
The following tables present the gross carrying amount, accumulated amortization, net carrying amount and weighted average amortization period of identifiable intangible assets as of November 30, 2013 and 2012 (in thousands): | |||||||||||||||||||||||
Successor | |||||||||||||||||||||||
30-Nov-13 | |||||||||||||||||||||||
Gross cost | Impairment | Accumulated | Net carrying | Weighted | |||||||||||||||||||
losses | amortization | amount | average | ||||||||||||||||||||
remaining | |||||||||||||||||||||||
lives (years) | |||||||||||||||||||||||
Customer relationships (1) | $ | 136,740 | $ | - | $ | (17,567) | $ | 119,173 | 14.8 | ||||||||||||||
Trade name | 132,967 | - | (2,966) | 130,001 | 34.3 | ||||||||||||||||||
Exchange and clearing organization membership interests and registrations (2) | 15,294 | (378) | - | 14,916 | N/A | ||||||||||||||||||
$ | 285,001 | $ | (378) | $ | (20,533) | $ | 264,090 | ||||||||||||||||
Predecessor | |||||||||||||||||||||||
30-Nov-12 | |||||||||||||||||||||||
Gross cost | Impairment | Accumulated | Net carrying | Weighted | |||||||||||||||||||
losses | amortization | amount | average | ||||||||||||||||||||
remaining | |||||||||||||||||||||||
lives (years) | |||||||||||||||||||||||
Customer relationships | $ | 10,542 | $ | - | $ | (4,107) | 6,435 | 7.9 | |||||||||||||||
Trade name | 1,680 | - | (1,287) | 393 | 3.5 | ||||||||||||||||||
Other | 100 | - | (15) | 85 | 12.8 | ||||||||||||||||||
Exchange and clearing organization membership interests and registrations | 11,219 | (2,873) | - | $ | 8,346 | N/A | |||||||||||||||||
$ | 23,541 | $ | (2,873) | $ | (5,409) | $ | 15,259 | ||||||||||||||||
(1) The gross cost and accumulated amortization of customer relationships has been reduced by $132,000 and $5,500 respectively, as these customer relationships related to our commodity asset management business, which we restructured in September 2013 and for which we no longer own a controlling financial interest and do not consolidate at November 30, 2013. | |||||||||||||||||||||||
(2) The gross cost of exchange and clearing organization membership interests and registrations has been reduced by $255,000 as these registrations relate to asset management businesses which we restructured or sold during the nine months ended November 30, 2013. | |||||||||||||||||||||||
Future Amortization Expense Related to Intangible Assets | ' | ||||||||||||||||||||||
Estimated future amortization expense for the next five fiscal years are as follows (in thousands): | |||||||||||||||||||||||
Fiscal year | Estimated future | ||||||||||||||||||||||
amortization expense | |||||||||||||||||||||||
2014 | $ | 12,668 | |||||||||||||||||||||
2015 | 12,668 | ||||||||||||||||||||||
2016 | 12,668 | ||||||||||||||||||||||
2017 | 12,668 | ||||||||||||||||||||||
2018 | 12,668 | ||||||||||||||||||||||
Mortgage Servicing Rights | ' | ||||||||||||||||||||||
The following presents the activity in the balance of these servicing rights for the nine months ended November 30, 2013, three months ended February 28, 2013 and year ended November 30, 2012 (in thousands): | |||||||||||||||||||||||
Successor | Predecessor | ||||||||||||||||||||||
Nine Months Ended | Three Months Ended | Twelve Months Ended | |||||||||||||||||||||
November 30, 2013 | February 28, 2013 | November 30, 2012 | |||||||||||||||||||||
Balance, beginning of period | $ | 2,000 | $ | 805 | $ | 8,202 | |||||||||||||||||
Add: Acquisition | - | - | 162 | ||||||||||||||||||||
Less: Sales, net | (2,000) | - | (6,959) | ||||||||||||||||||||
Less: Pay down | - | - | (211) | ||||||||||||||||||||
Less: Amortization | - | (10) | (389) | ||||||||||||||||||||
Balance, end of period | $ | - | $ | 795 | $ | 805 | |||||||||||||||||
LongTerm_Debt_Tables
Long-Term Debt (Tables) | 12 Months Ended | ||||||||
Nov. 30, 2013 | |||||||||
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 November 30, 2013 and 2012 (in thousands): | |||||||||
Successor | Predecessor | ||||||||
Unsecured Long-Term Debt | November 30, | November 30, | |||||||
2013 | 2012 | ||||||||
5.875% Senior Notes, due June 8, 2014 (effective interest rate of 1.51%) | $ | 255,676 | $ | 249,564 | |||||
3.875% Senior Notes, due November 9, 2015 (effective interest rate of 2.17%) | 516,204 | 499,382 | |||||||
5.5% Senior Notes, due March 15, 2016 (effective interest rate of 2.52%) | 373,178 | 349,248 | |||||||
5.125% Senior Notes, due April 13, 2018 (effective interest rate of 3.46%) | 854,011 | 771,450 | |||||||
8.5% Senior Notes, due July 15, 2019 (effective interest rate of 4.00%) | 858,425 | 706,990 | |||||||
6.875% Senior Notes, due April 15, 2021 (effective interest rate of 4.40%) | 866,801 | 743,945 | |||||||
2.25% Euro Medium Term Notes, due July 13, 2022 (effective rate of 3.82%) | 4,792 | 3,708 | |||||||
5.125% Senior Notes, due January 20, 2023 (effective interest rate of 4.55%) | 625,626 | - | |||||||
6.45% Senior Debentures, due June 8, 2027 (effective interest rate of 5.46%) | 383,224 | 346,792 | |||||||
3.875% Convertible Senior Debentures, due November 1, 2029 (effective interest rate of 3.50%) (1) | 359,281 | 290,617 | |||||||
6.25% Senior Debentures, due January 15, 2036 (effective interest rate of 6.03%) | 513,343 | 492,904 | |||||||
6.50% Senior Notes, due January 20, 2043 (effective interest rate of 6.09%) | 422,245 | - | |||||||
$ | 6,032,806 | $ | 4,454,600 | ||||||
Secured Long-Term Debt | |||||||||
Credit facility, due August 26, 2014 | 200,000 | 350,007 | |||||||
$ | 6,232,806 | $ | 4,804,607 | ||||||
-1 | As a result of the Merger with Leucadia on March 1, 2013, the value of the 3.875% Convertible Senior debentures at November 30, 2013 includes the fair value of the conversion feature of $9.6 million. The change in fair value of the conversion feature is included within Revenues – Principal transactions in the Consolidated Statement of Earnings and amounted to a gain of $6.9 million for the nine months ended November 30, 2013. |
Noncontrolling_Interests_and_M1
Noncontrolling Interests and Mandatorily Redeemable Preferred Interests of Consolidated Subsidiaries (Tables) | 12 Months Ended | ||||||||
Nov. 30, 2013 | |||||||||
Noncontrolling Interest [Abstract] | ' | ||||||||
Noncontrolling Interests | ' | ||||||||
The following table presents noncontrolling interests at November 30, 2013 and 2012 (in thousands): | |||||||||
Successor | Predecessor | ||||||||
November 30, | November 30, | ||||||||
2013 | 2012 | ||||||||
JSOP | $ | - | $ | 303,178 | |||||
JESOP | - | 35,239 | |||||||
Other (1) | 117,154 | 8,321 | |||||||
Noncontrolling interests | $ | 117,154 | $ | 346,738 | |||||
-1 | Other includes asset management entities and investment vehicles set up for the benefit of our employees, and at November 30, 2013 includes an investment of $75.0 million by Leucadia in a consolidated asset management entity. |
Benefit_Plans_Tables
Benefit Plans (Tables) | 12 Months Ended | ||||||||||||
Nov. 30, 2013 | |||||||||||||
Changes in Project Benefit Obligation | ' | ||||||||||||
The following tables summarize the changes in the projected benefit obligation, the fair value of the assets and the funded status of the plan (in thousands): | |||||||||||||
Year Ended November 30, | |||||||||||||
Change in projected benefit obligation | 2013 | 2012 | |||||||||||
Projected benefit obligation, beginning of period | $ | 53,433 | $ | 50,487 | |||||||||
Service cost | 225 | 175 | |||||||||||
Interest cost | 2,201 | 2,342 | |||||||||||
Actuarial (gains) losses | (5,046) | 4,424 | |||||||||||
Administrative expenses paid | (296) | (236) | |||||||||||
Benefits paid | (2,262) | (596) | |||||||||||
Settlements | - | (3,163) | |||||||||||
Projected benefit obligation, end of period | $ | 48,255 | $ | 53,433 | |||||||||
Changes in Fair Value of Plan Assets | ' | ||||||||||||
Change in plan assets | |||||||||||||
Fair value of assets, beginning of period | $ | 39,902 | $ | 36,457 | |||||||||
Employer contributions | 3,000 | 2,000 | |||||||||||
Benefit payments made | (2,262) | (596) | |||||||||||
Administrative expenses paid | (296) | (236) | |||||||||||
Actual return on plan assets | 7,072 | 5,440 | |||||||||||
Settlements | - | (3,163) | |||||||||||
Fair value of assets, end of period | $ | 47,416 | $ | 39,902 | |||||||||
Deficit at end of period | $ | (839) | $ | (13,531) | |||||||||
Pension Liability Recognized on Balance Sheet | ' | ||||||||||||
The amounts recognized in our Consolidated Statements of Financial Condition are as follows (in thousands): | |||||||||||||
November 30, | |||||||||||||
2013 | 2012 | ||||||||||||
Accumulated benefit obligation | $ | 48,255 | $ | 53,433 | |||||||||
Projected benefit obligation for service rendered to date | 48,255 | 53,433 | |||||||||||
Plan assets, at fair value | 47,416 | 39,902 | |||||||||||
Deficit | (839) | (13,531) | |||||||||||
Unrecognized net (gain) loss | (6,268) | 17,761 | |||||||||||
Prepaid benefit cost | (7,107) | 4,230 | |||||||||||
Accumulated other comprehensive income (loss), before taxes | 6,268 | (17,761) | |||||||||||
Pension liability | $ | (839) | $ | (13,531) | |||||||||
Components of Net Periodic Pension Costs and Amounts Recognized in Other Comprehensive Income | ' | ||||||||||||
The following tables summarizes the components of net periodic pension cost and other amounts recognized in other comprehensive income excluding taxes (in thousands): | |||||||||||||
Year Ended November 30, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Components of net periodic pension cost: | |||||||||||||
Service cost | $ | 225 | $ | 175 | $ | 175 | |||||||
Interest cost on projected benefit obligation | 2,201 | 2,342 | 2,366 | ||||||||||
Expected return on plan assets | (2,698) | (2,513) | (2,578) | ||||||||||
Net amortization | 326 | 1,334 | 894 | ||||||||||
Settlement losses (1) | — | 1,051 | — | ||||||||||
Net periodic pension cost | $ | 54 | $ | 2,389 | $ | 857 | |||||||
-1 | Of the $2.4 million in net periodic pension cost for the year ended November 30, 2012, $1.1 million is due to previously unrecognized losses associated with the projected pension obligation as the cost of all settlements in fiscal 2012 for terminated employees exceeded current year interest and service costs. | ||||||||||||
Year Ended November 30, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Amounts recognized in other comprehensive income | |||||||||||||
Net (gain) loss arising during the period | $ | (9,419) | $ | 1,498 | $ | 5,618 | |||||||
Amortization of net loss | (326) | (1,334) | -894 | ||||||||||
Settlements during the period | - | (1,051) | - | ||||||||||
Total recognized in Other comprehensive income | $ | (9,745) | $ | (887) | $ | 4,724 | |||||||
Net amount recognized in net periodic benefit cost and Other comprehensive income | $ | (9,691) | $ | 1,502 | $ | 5,581 | |||||||
Assumptions Used to Determine the Present Value of the Projected Benefit Obligations and Net Periodic Pension Costs | ' | ||||||||||||
On a weighted average basis, the following are assumptions used to determine the actuarial present value of the projected benefit obligation and net periodic pension benefit cost: | |||||||||||||
Year Ended November 30, | |||||||||||||
2013 | 2012 | 2011 | |||||||||||
Discount rate | 5.10% | 4.00% | 4.75% | ||||||||||
Expected long-term rate of return on plan assets | 6.75% | 6.75% | 7.00% | ||||||||||
Expected Benefit Payments | ' | ||||||||||||
Expected Benefit Payments - Expected benefit payments for each of the next five fiscal years and in the aggregate for the five fiscal years thereafter are as follows (in thousands): | |||||||||||||
2014 | $ | 1,383 | |||||||||||
2015 | 1,806 | ||||||||||||
2016 | 3,685 | ||||||||||||
2017 | 2,518 | ||||||||||||
2018 | 2,230 | ||||||||||||
2019 through 2023 | 17,705 | ||||||||||||
Summary of Fair Value of Plan Assets | ' | ||||||||||||
Plan Assets - The following table presents the fair value of plan assets as of November 30, 2013 and 2012 by level within the fair value hierarchy (in thousands): | |||||||||||||
As of November 30, 2013 | |||||||||||||
Level 1 | Level 2 | Total | |||||||||||
Plan assets (1): | |||||||||||||
Cash and cash equivalents | $ | 931 | $ | — | $ | 931 | |||||||
Listed equity securities (2) | 27,663 | — | 27,663 | ||||||||||
Fixed income securities: | |||||||||||||
Corporate debt securities | — | 7,743 | 7,743 | ||||||||||
Foreign corporate debt securities | — | 1,140 | 1,140 | ||||||||||
U.S. government securities | 4,055 | — | 4,055 | ||||||||||
Agency mortgage-backed securities | — | 3,949 | 3,949 | ||||||||||
Commercial mortgage-backed securities | — | 1,280 | 1,280 | ||||||||||
Asset-backed securities | — | 461 | 461 | ||||||||||
Other | — | 194 | 194 | ||||||||||
$ | 32,649 | $ | 14,767 | $ | 47,416 | ||||||||
(1) There are no plan assets classified within Level 3 of the fair value hierarchy. | |||||||||||||
(2) Listed equity securities are diversified across a spectrum of primarily U.S. large-cap companies. | |||||||||||||
As of November 30, 2012 | |||||||||||||
Level 1 | Level 2 | Total | |||||||||||
Plan assets (1): | |||||||||||||
Cash and cash equivalents | $ | 849 | $ | — | $ | 849 | |||||||
Listed equity securities (2) | 20,321 | — | 20,321 | ||||||||||
Fixed income securities: | |||||||||||||
Corporate debt securities | — | 8,037 | 8,037 | ||||||||||
Foreign corporate debt securities | — | 345 | 345 | ||||||||||
U.S. government securities | 4,618 | — | 4,618 | ||||||||||
Agency mortgage-backed securities | — | 3,774 | 3,774 | ||||||||||
Commercial mortgage-backed securities | — | 1,419 | 1,419 | ||||||||||
Asset-backed securities | — | 524 | 524 | ||||||||||
Other | — | 15 | 15 | ||||||||||
$ | 25,788 | $ | 14,114 | $ | 39,902 | ||||||||
(1) There are no plan assets classified within Level 3 of the fair value hierarchy. | |||||||||||||
(2) Listed equity securities are diversified across a spectrum of primarily U.S. large-cap companies. | |||||||||||||
International Pension Plan [Member] | ' | ||||||||||||
Changes in Project Benefit Obligation | ' | ||||||||||||
The following tables summarize the changes in the projected benefit obligation and the components of net periodic pension cost (in thousands): | |||||||||||||
Year Ended November 30, | |||||||||||||
2013 | 2012 | ||||||||||||
Change in projected benefit obligation | |||||||||||||
Projected benefit obligation, beginning of period | $ | 24,509 | $ | 19,799 | |||||||||
Service cost | 67 | 36 | |||||||||||
Interest cost | 902 | 1,027 | |||||||||||
Actuarial losses | 1,033 | 5,413 | |||||||||||
Benefits paid | (1,245) | (1,121) | |||||||||||
Currency adjustment | 1,102 | (645) | |||||||||||
Projected benefit obligation, end of period | $ | 26,368 | $ | 24,509 | |||||||||
Assumptions Used to Determine the Present Value of the Projected Benefit Obligations and Net Periodic Pension Costs | ' | ||||||||||||
The following are assumptions used to determine the actuarial present value of the projected benefit obligation and net periodic pension benefit cost for the year ended November 30, 2013 and 2012: | |||||||||||||
Year Ended November 30, | |||||||||||||
2013 | 2012 | ||||||||||||
Projected benefit obligation | |||||||||||||
Discount rate | 3.40% | 3.60% | |||||||||||
Rate of compensation increase | 3.00% | 3.00% | |||||||||||
Net periodic pension benefit cost | |||||||||||||
Discount rate | 3.60% | 5.60% | |||||||||||
Rate of compensation increase | 3.00% | 3.00% | |||||||||||
Expected Benefit Payments | ' | ||||||||||||
Expected Benefit Payments - Expected benefit payments for each of the next five fiscal years and in the aggregate for the five fiscal years thereafter are as follows (in thousands): | |||||||||||||
2014 | 1,374 | ||||||||||||
2015 | 1,399 | ||||||||||||
2016 | 1,417 | ||||||||||||
2017 | 1,395 | ||||||||||||
2018 | 1,391 | ||||||||||||
2019 through 2023 | 7,908 | ||||||||||||
Components of Net Periodic Pension Cost | ' | ||||||||||||
Year Ended November 30, | Five Months Ended | ||||||||||||
November 30, | |||||||||||||
Components of net periodic pension cost | 2013 | 2012 | 2011 | ||||||||||
Service cost | $ | 67 | $ | 36 | $ | 15 | |||||||
Interest cost on projected benefit obligation | 902 | 1,027 | 434 | ||||||||||
Net amortization | 179 | - | - | ||||||||||
Net periodic pension cost | $ | 1,148 | $ | 1,063 | $ | 449 | |||||||
Earnings_per_Share_Tables
Earnings per Share (Tables) | 12 Months Ended | ||||||||||||||||||
Nov. 30, 2013 | |||||||||||||||||||
Earnings Per Share [Abstract] | ' | ||||||||||||||||||
Basic and Diluted Earnings per Common Share | ' | ||||||||||||||||||
The following is a reconciliation of the numerators and denominators of the Basic and Diluted earnings per common share computations for the three months ended February 28, 2013 and the years ended November 30, 2012 and 2011 (in thousands, except per share amounts): | |||||||||||||||||||
Predecessor | |||||||||||||||||||
Three Months Ended | Year Ended | Year Ended | |||||||||||||||||
28-Feb-13 | November 30, 2012 | November 30, 2011 | |||||||||||||||||
Earnings for basic earnings per common share: | |||||||||||||||||||
Net earnings | $ | 90,842 | $ | 323,149 | $ | 286,368 | |||||||||||||
Net earnings to noncontrolling interests | 10,704 | 40,740 | 1,750 | ||||||||||||||||
Net earnings to common shareholders | 80,138 | 282,409 | 284,618 | ||||||||||||||||
Less: Allocation of earnings to participating securities (1) | 5,890 | 17,392 | 13,822 | ||||||||||||||||
Net earnings available to common shareholders | $ | 74,248 | $ | 265,017 | $ | 270,796 | |||||||||||||
Earnings for diluted earnings per common share: | |||||||||||||||||||
Net earnings | $ | 90,842 | $ | 323,149 | $ | 286,368 | |||||||||||||
Net earnings to noncontrolling interests | 10,704 | 40,740 | 1,750 | ||||||||||||||||
Net earnings to common shareholders | 80,138 | 282,409 | 284,618 | ||||||||||||||||
Add: Mandatorily redeemable convertible preferred stock dividends | 1,016 | 4,063 | 4,063 | ||||||||||||||||
Less: Allocation of earnings to participating securities (1) | 5,882 | 17,407 | 13,823 | ||||||||||||||||
Net earnings available to common shareholders | $ | 75,272 | $ | 269,065 | $ | 274,858 | |||||||||||||
Shares: | |||||||||||||||||||
Average common shares used in basic computation | 213,732 | 215,989 | 211,056 | ||||||||||||||||
Stock options | 2 | 2 | 7 | ||||||||||||||||
Mandatorily redeemable convertible preferred stock | 4,110 | 4,110 | 4,108 | ||||||||||||||||
Convertible debt | — | — | — | ||||||||||||||||
Average common shares used in diluted computation | 217,844 | 220,101 | 215,171 | ||||||||||||||||
Earnings per common share: | |||||||||||||||||||
Basic | $ | 0.35 | $ | 1.23 | $ | 1.28 | |||||||||||||
Diluted | $ | 0.35 | $ | 1.22 | $ | 1.28 | |||||||||||||
-1 | Represents dividends declared during the period on participating securities plus an allocation of undistributed earnings to participating securities. Net losses are not allocated to participating securities. Participating securities represent restricted stock and restricted stock units for which requisite service has not yet been rendered and amounted to weighted average shares of 16,756,000, 14,123,000 and 10,667,000 for the three months ended February 28, 2013 and the years ended November 30, 2012 and 2011, respectively. Dividends declared on participating securities during the three months ended February 28, 2013 and the years ended November 30, 2012 and 2011 amounted to approximately $1.3 million, $4.3 million and $3.4 million, respectively. Undistributed earnings are allocated to participating securities based upon their right to share in earnings if all earnings for the period had been distributed. | ||||||||||||||||||
Dividends per Share of Common Stock Declared | ' | ||||||||||||||||||
Dividends per share of common stock declared during the quarter are reflected below: | |||||||||||||||||||
1st Quarter | 2nd Quarter | 3rd Quarter | 4th Quarter | ||||||||||||||||
2013 | $ | 0.075 | N/a | N/a | N/a | ||||||||||||||
2012 | $ | 0.075 | $ | 0.075 | $ | 0.075 | $ | 0.075 |
Income_Taxes_Tables
Income Taxes (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||
Nov. 30, 2013 | |||||||||||||||||||||||||||||||||||||||||||||
Income Tax Disclosure [Abstract] | ' | ||||||||||||||||||||||||||||||||||||||||||||
Total Income Taxes Allocated | ' | ||||||||||||||||||||||||||||||||||||||||||||
Total income taxes for the nine months ended November 30, 2013, the three month ended February 28, 2013 and the years ended November 30, 2012 and 2011 were allocated as follows (in thousands): | |||||||||||||||||||||||||||||||||||||||||||||
Successor | Predecessor | ||||||||||||||||||||||||||||||||||||||||||||
Nine Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||||||||||||||||||||||||||||||||||||
30-Nov-13 | 28-Feb-13 | November 30, 2012 | November 30, 2011 | ||||||||||||||||||||||||||||||||||||||||||
Income tax expense | $ | 94,686 | $ | 48,645 | $ | 168,646 | $ | 132,966 | |||||||||||||||||||||||||||||||||||||
Stockholders’ equity, for compensation expense for tax purposes (in excess of) / less than amounts recognized for financial reporting purposes | $ | (2,873) | $ | 17,965 | $ | (19,789) | $ | -32,200 | |||||||||||||||||||||||||||||||||||||
Components of Provision for Income Tax Expense | ' | ||||||||||||||||||||||||||||||||||||||||||||
The provision for income tax expense consists of the following components (in thousands): | |||||||||||||||||||||||||||||||||||||||||||||
Successor | Predecessor | ||||||||||||||||||||||||||||||||||||||||||||
Nine Months | Three Months | Year Ended | Year Ended | ||||||||||||||||||||||||||||||||||||||||||
Ended | Ended | November 30, | November 30, | ||||||||||||||||||||||||||||||||||||||||||
November 30, | February 28, | ||||||||||||||||||||||||||||||||||||||||||||
2013 | 2013 | 2012 | 2011 | ||||||||||||||||||||||||||||||||||||||||||
Current: | |||||||||||||||||||||||||||||||||||||||||||||
U.S. Federal | $ | 50,089 | $ | 22,936 | $ | 62,710 | $ | 65,702 | |||||||||||||||||||||||||||||||||||||
U.S. state and local | 6,263 | (3,176) | 18,520 | 28,644 | |||||||||||||||||||||||||||||||||||||||||
Foreign | 7,050 | (1,950) | 2,773 | 8,443 | |||||||||||||||||||||||||||||||||||||||||
63,402 | 17,810 | 84,003 | 102,789 | ||||||||||||||||||||||||||||||||||||||||||
Deferred: | |||||||||||||||||||||||||||||||||||||||||||||
U.S. Federal | 25,262 | 17,392 | 79,224 | 7,637 | |||||||||||||||||||||||||||||||||||||||||
U.S. state and local | 8,868 | 9,761 | 13,006 | (694) | |||||||||||||||||||||||||||||||||||||||||
Foreign | (2,846) | 3,682 | (7,587) | 23,234 | |||||||||||||||||||||||||||||||||||||||||
31,284 | 30,835 | 84,643 | 30,177 | ||||||||||||||||||||||||||||||||||||||||||
$ | 94,686 | $ | 48,645 | $ | 168,646 | $ | 132,966 | ||||||||||||||||||||||||||||||||||||||
Reconciliation of Effective Tax Rate to U.S. Federal Statutory Income Tax Rate | ' | ||||||||||||||||||||||||||||||||||||||||||||
Income tax expense differed from the amounts computed by applying the U.S. Federal statutory income tax rate of 35% to earnings before income taxes as a result of the following (in thousands): | |||||||||||||||||||||||||||||||||||||||||||||
Successor | Predecessor | ||||||||||||||||||||||||||||||||||||||||||||
Nine Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||||||||||||||||||||||||||||||||||||
November 30, | February 28, | November 30, | November 30, | ||||||||||||||||||||||||||||||||||||||||||
2013 | 2013 | 2012 | 2011 | ||||||||||||||||||||||||||||||||||||||||||
Amount | Percent | Amount | Percent | Amount | Percent | Amount | Percent | ||||||||||||||||||||||||||||||||||||||
Computed expected income taxes | $ | 92,504 | 35.0 | % | $ | 48,820 | 35.0 | % | $ | 172,128 | 35.0 | % | $ | 146,767 | 35.0 | % | |||||||||||||||||||||||||||||
Increase (decrease) in income taxes resulting from: | |||||||||||||||||||||||||||||||||||||||||||||
State and city income taxes, net of Federal income tax benefit | 9,835 | 3.7 | 4,280 | 3.1 | 20,492 | 4.2 | 18,168 | 4.3 | |||||||||||||||||||||||||||||||||||||
Bargain purchase gain on the acquisition of the Global Commodities Group | - | - | - | - | - | - | (18,363) | (4.4) | |||||||||||||||||||||||||||||||||||||
Income allocated to Noncontrolling interest, not subject to tax | (2,946) | (1.1) | (3,553) | (2.5) | (14,161) | (2.9) | (613) | (0.1) | |||||||||||||||||||||||||||||||||||||
Foreign rate differential | (4,750) | (1.8) | (2,993) | (2.2) | (7,528) | (1.5) | (11,736) | (2.8) | |||||||||||||||||||||||||||||||||||||
Fines and penalties | 4,900 | 1.9 | - | - | - | - | - | - | |||||||||||||||||||||||||||||||||||||
Other, net | (4,857) | (1.9) | 2,091 | 1.5 | (2,285) | (0.5) | (1,257) | (0.3) | |||||||||||||||||||||||||||||||||||||
Total income taxes | $ | 94,686 | 35.8 | % | $ | 48,645 | 34.9 | % | $ | 168,646 | 34.3 | % | $ | 132,966 | 31.7 | % | |||||||||||||||||||||||||||||
Roll Forward of Gross Unrecognized Tax Benefits | ' | ||||||||||||||||||||||||||||||||||||||||||||
The following table presents a reconciliation of gross unrecognized tax benefits (in thousands): | |||||||||||||||||||||||||||||||||||||||||||||
Successor | Predecessor | ||||||||||||||||||||||||||||||||||||||||||||
Nine Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||||||||||||||||||||||||||||||||||||
November 30, 2013 | 28-Feb-13 | November 30, 2012 | November 30, 2011 | ||||||||||||||||||||||||||||||||||||||||||
Balance at beginning of period | $ | 129,010 | $ | 110,539 | $ | 79,779 | $ | 52,852 | |||||||||||||||||||||||||||||||||||||
Increases based on tax positions related to the current period | 8,748 | 7,185 | 30,671 | 14,159 | |||||||||||||||||||||||||||||||||||||||||
Increases based on tax positions related to prior periods | 7,383 | 15,356 | 7,549 | 14,696 | |||||||||||||||||||||||||||||||||||||||||
Decreases based on tax positions related to prior periods | (18,297) | (4,070) | (5,893) | (1,808) | |||||||||||||||||||||||||||||||||||||||||
Decreases related to settlements with taxing authorities | - | - | (487) | (120) | |||||||||||||||||||||||||||||||||||||||||
Decreases related to a lapse of applicable statutes of limitation | - | - | (1,080) | - | |||||||||||||||||||||||||||||||||||||||||
Balance at end of period | $ | 126,844 | $ | 129,010 | $ | 110,539 | $ | 79,779 | |||||||||||||||||||||||||||||||||||||
Significant Components of Deferred Tax Assets and Liabilities | ' | ||||||||||||||||||||||||||||||||||||||||||||
The cumulative tax effects of temporary differences that give rise to significant portions of the deferred tax assets and liabilities at November 30, 2013 and 2012 are presented below (in thousands): | |||||||||||||||||||||||||||||||||||||||||||||
Successor | Predecessor | ||||||||||||||||||||||||||||||||||||||||||||
November 30, | November 30, | ||||||||||||||||||||||||||||||||||||||||||||
2013 | 2012 | ||||||||||||||||||||||||||||||||||||||||||||
Deferred tax assets: | |||||||||||||||||||||||||||||||||||||||||||||
Compensation and benefits | $ | 373,964 | $ | 333,318 | |||||||||||||||||||||||||||||||||||||||||
Net operating loss | 24,147 | 22,447 | |||||||||||||||||||||||||||||||||||||||||||
Long-term debt | 191,274 | - | |||||||||||||||||||||||||||||||||||||||||||
Other | 86,336 | 30,932 | |||||||||||||||||||||||||||||||||||||||||||
Sub-total | 675,721 | 386,697 | |||||||||||||||||||||||||||||||||||||||||||
Valuation allowance | (11,140) | (11,754) | |||||||||||||||||||||||||||||||||||||||||||
Total deferred tax assets | 664,581 | 374,943 | |||||||||||||||||||||||||||||||||||||||||||
Deferred tax liabilities: | |||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | - | 37,370 | |||||||||||||||||||||||||||||||||||||||||||
Amortization of intangibles | 98,798 | 62,617 | |||||||||||||||||||||||||||||||||||||||||||
Other | 30,842 | 47,811 | |||||||||||||||||||||||||||||||||||||||||||
Total deferred tax liabilities | 129,640 | 147,798 | |||||||||||||||||||||||||||||||||||||||||||
Net deferred tax asset, included in Other assets | $ | 534,941 | $ | 227,145 | |||||||||||||||||||||||||||||||||||||||||
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 | 2006 | ||||||||||||||||||||||||||||||||||||||||||||
United Kingdom | 2012 | ||||||||||||||||||||||||||||||||||||||||||||
California | 2006 | ||||||||||||||||||||||||||||||||||||||||||||
Connecticut | 2006 | ||||||||||||||||||||||||||||||||||||||||||||
Massachusetts | 2006 | ||||||||||||||||||||||||||||||||||||||||||||
New Jersey | 2007 | ||||||||||||||||||||||||||||||||||||||||||||
New York State | 2001 | ||||||||||||||||||||||||||||||||||||||||||||
New York City | 2003 |
Commitments_Contingencies_and_1
Commitments, Contingencies and Guarantees (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||
Nov. 30, 2013 | |||||||||||||||||||||||||||||
Commitments And Contingencies Disclosure [Abstract] | ' | ||||||||||||||||||||||||||||
Commitments and Contingencies | ' | ||||||||||||||||||||||||||||
The following table summarizes our commitments associated with our capital market and asset management business activities at November 30, 2013 (in millions): | |||||||||||||||||||||||||||||
Expected Maturity Date | |||||||||||||||||||||||||||||
2014 | 2015 | 2016 | 2018 | 2020 | Maximum | ||||||||||||||||||||||||
and | and | and | Payout | ||||||||||||||||||||||||||
2017 | 2019 | Later | |||||||||||||||||||||||||||
Equity commitments (1) | $ | 1.8 | $ | 7.4 | $ | 0.8 | $ | - | $ | 418.2 | $ | 428.2 | |||||||||||||||||
Loan commitments (1) | 33.2 | 19.0 | 322.6 | 92.8 | - | 467.6 | |||||||||||||||||||||||
Mortgage-related commitments | 819.9 | 492.9 | 202.8 | - | - | 1,515.6 | |||||||||||||||||||||||
Forward starting reverse repos and repos | 702.3 | - | - | - | - | 702.3 | |||||||||||||||||||||||
$ | 1,557.2 | $ | 519.3 | $ | 526.2 | $ | 92.8 | $ | 418.2 | $ | 3,113.7 | ||||||||||||||||||
-1 | Equity and loan commitments are presented by contractual maturity date. The amounts are however available on demand. | ||||||||||||||||||||||||||||
Credit Exposure from Loan Commitments | ' | ||||||||||||||||||||||||||||
The table below presents our credit exposure from our loan commitments, including funded amounts, summarized by period of expiration as of November 30, 2013. Credit exposure is based on the external credit ratings of the underlyings or referenced assets of our loan commitments. Since commitments associated with these business activities may expire unused, they do not necessarily reflect the actual future cash funding requirements (in millions): | |||||||||||||||||||||||||||||
Credit Ratings | 0 – 12 Months | 1 – 5 Years | Greater Than | Total | Corporate | Corporate Lending | |||||||||||||||||||||||
5 Years | Corporate | Lending | Commitments (3) | ||||||||||||||||||||||||||
Lending | Exposure at Fair | ||||||||||||||||||||||||||||
Exposure (1) | Value (2) | ||||||||||||||||||||||||||||
Non-investment grade | $ | - | $ | 79.1 | $ | - | $ | 79.1 | $ | 9.5 | $ | 69.6 | |||||||||||||||||
Unrated | 35.6 | 669.1 | - | 704.7 | 306.7 | 398.0 | |||||||||||||||||||||||
Total | $ | 35.6 | $ | 748.2 | $ | - | $ | 783.8 | $ | 316.2 | $ | 467.6 | |||||||||||||||||
-1 | Total corporate lending exposure represents the potential loss assuming the fair value of funded loans and lending commitments were zero. | ||||||||||||||||||||||||||||
-2 | The corporate lending exposure at fair value includes $321.1 million of funded loans included in Financial instruments owned – Loans and Loans to and investments in related parties, and a $4.9 million net liability related to lending commitments recorded in Financial instruments sold – Derivatives and Financial instruments owned – Derivatives in the Consolidated Statement of Financial Condition as of November 30, 2013. | ||||||||||||||||||||||||||||
-3 | Represents the notional amount of unfunded lending commitments. | ||||||||||||||||||||||||||||
Future Minimum Lease Commitments for Noncancelable Operating Leases | ' | ||||||||||||||||||||||||||||
At November 30, 2013, future minimum aggregate lease payments for all noncancelable operating leases for fiscal years ended November 30, 2014 through 2018 and the aggregate amount thereafter, are as follows (in thousands): | |||||||||||||||||||||||||||||
Fiscal Year | Gross | Sub-Leases | Net | ||||||||||||||||||||||||||
2014 | $ | 69,823 | $ | 5,283 | $ | 64,540 | |||||||||||||||||||||||
2015 | 53,774 | 2,639 | 51,135 | ||||||||||||||||||||||||||
2016 | 58,273 | 2,493 | 55,780 | ||||||||||||||||||||||||||
2017 | 56,505 | 577 | 55,928 | ||||||||||||||||||||||||||
2018 | 54,004 | 23 | 53,981 | ||||||||||||||||||||||||||
Thereafter | 446,106 | - | 446,106 | ||||||||||||||||||||||||||
Total | $ | 738,485 | $ | 11,015 | $ | 727,470 | |||||||||||||||||||||||
Minimum Future Lease Payments | ' | ||||||||||||||||||||||||||||
At November 30, 2013, minimum future lease payments are as follows (in thousands): | |||||||||||||||||||||||||||||
Fiscal Year | |||||||||||||||||||||||||||||
2014 | $ | 3,887 | |||||||||||||||||||||||||||
2015 | 3,887 | ||||||||||||||||||||||||||||
2016 | 3,887 | ||||||||||||||||||||||||||||
2017 | 3,887 | ||||||||||||||||||||||||||||
2018 | 1,583 | ||||||||||||||||||||||||||||
2019 | 167 | ||||||||||||||||||||||||||||
Net minimum lease payments | 17,298 | ||||||||||||||||||||||||||||
Less amount representing interest | 1,508 | ||||||||||||||||||||||||||||
Present value of net minimum lease payments | $ | 15,790 | |||||||||||||||||||||||||||
Guarantees | ' | ||||||||||||||||||||||||||||
The following table summarizes the notional amounts associated with our derivative contracts meeting the definition of a guarantee under U.S. GAAP at November 30, 2013 (in millions): | |||||||||||||||||||||||||||||
Expected Maturity Date | |||||||||||||||||||||||||||||
Guarantee Type | 2014 | 2015 | 2016 | 2018 | 2020 | Notional/ | |||||||||||||||||||||||
and | and | and | Maximum | ||||||||||||||||||||||||||
2017 | 2019 | Later | Payout | ||||||||||||||||||||||||||
Derivative contracts - non-credit related | $ | 841,439.9 | $ | 4,695.2 | $ | 14.7 | $ | 1.2 | $ | 532.4 | $ | 846,683.4 | |||||||||||||||||
Written derivative contracts - credit related | - | - | - | 2,708.1 | - | 2,708.1 | |||||||||||||||||||||||
Total derivative contracts | $ | 841,439.9 | $ | 4,695.2 | $ | 14.7 | $ | 2,709.3 | $ | 532.4 | $ | 849,391.5 | |||||||||||||||||
External Credit Ratings of Underlying or Referenced Assets for Credit Related Derivatives Contracts | ' | ||||||||||||||||||||||||||||
At November 30, 2013 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/Baa | Below | Unrated | Notional/ | |||||||||||||||||||||||
Aaa | Investment | Maximum | |||||||||||||||||||||||||||
Grade | Payout | ||||||||||||||||||||||||||||
Credit related derivative contracts: | |||||||||||||||||||||||||||||
Index credit default swaps | $ | 2,678.6 | $ | - | $ | - | $ | - | $ | - | $ | - | $ | 2,678.6 | |||||||||||||||
Single name credit default swaps | - | 3.0 | 2.5 | 24.0 | - | - | 29.5 |
Net_Capital_Requirements_Table
Net Capital Requirements (Tables) | 12 Months Ended | ||||||||||||
Nov. 30, 2013 | |||||||||||||
Text Block [Abstract] | ' | ||||||||||||
Net Capital, Adjusted and Excess Net Capital | ' | ||||||||||||
As of November 30, 2013, Jefferies and Jefferies Execution and Jefferies Bache, LLC’s net capital, adjusted net capital, and excess net capital were as follows (in thousands): | |||||||||||||
Net Capital | Excess Net Capital | ||||||||||||
Jefferies | $ | 891,487 | $ | 841,539 | |||||||||
Jefferies Execution | 4,487 | 4,237 | |||||||||||
Adjusted Net Capital | Excess Net Capital | ||||||||||||
Jefferies Bache, LLC | $ | 197,957 | $ | 86,293 |
Segment_Reporting_Tables
Segment Reporting (Tables) | 12 Months Ended | ||||||||||||||||
Nov. 30, 2013 | |||||||||||||||||
Segment Reporting [Abstract] | ' | ||||||||||||||||
Net Revenues, Expenses and Total Assets by Segment | ' | ||||||||||||||||
Our net revenues and expenses by segment are summarized below for the nine months ended November 30, 2013, and three months ended February 28, 2013 and the years ended November 30, 2012 and 2011 (in millions): | |||||||||||||||||
Successor | Predecessor | ||||||||||||||||
Nine Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||||||||
November 30, 2013 | February 28, 2013 (1) | November 30, 2012 | November 30, 2011 | ||||||||||||||
Capital Markets: | |||||||||||||||||
Net revenues | $ | 2,074.1 | $ | 807.6 | $ | 3,034.7 | $ | 2,530.7 | |||||||||
Expenses | $ | 1,840.4 | $ | 660.6 | $ | 2,496.4 | $ | 2,123.1 | |||||||||
Asset Management: | |||||||||||||||||
Net revenues | $ | 66.6 | $ | 10.9 | $ | 27.0 | $ | 46.2 | |||||||||
Expenses | $ | 32.6 | $ | 7.5 | $ | 30.6 | $ | 30.9 | |||||||||
Total: | |||||||||||||||||
Net revenues | $ | 2,140.7 | $ | 818.5 | $ | 3,061.7 | $ | 2,576.9 | |||||||||
Expenses | $ | 1,873.0 | $ | 668.1 | $ | 2,527.0 | $ | 2,154.0 | |||||||||
-1 | Our consolidated net earnings for the three months ended February 28, 2013 reflects an adjustment of $5.3 million, after tax, from that reported in the Form 10-Q for the three months ended February 28, 2013, to correct for the effect of an overstatement of professional service fees of $8.5 million relating to the Merger with Leucadia. We evaluated the effects of this error and concluded that it is not material to the previously issued Quarterly Report on Form 10-Q for the three month period ended February 28, 2013. Nevertheless, in the table above we have revised our consolidated expenses for the three month period ended February 28, 2013 to correct for the effect of this error and appropriately reflected the $8.5 million of professional service fees as an expense in the nine months ended November 30, 2013. | ||||||||||||||||
The following table summarizes our total assets by segment as of November 30, 2013 and 2012 (in millions): | |||||||||||||||||
Successor | Predecessor | ||||||||||||||||
November 30, 2013 | November 30, 2012 | ||||||||||||||||
Segment Assets: | |||||||||||||||||
Capital Markets | $ | 39,276.8 | $ | 35,588.6 | |||||||||||||
Asset Management | 900.2 | 704.9 | |||||||||||||||
Total assets | $ | 40,177.0 | $ | 36,293.5 | |||||||||||||
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 for the Successor period nine months ended November 30, 2013 and the Predecessor periods three months ended February 28, 2013 and the years ended November 30, 2012 and 2011, were as follows (in thousands): | |||||||||||||||||
Successor | Predecessor | ||||||||||||||||
Nine Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||||||||
November 30, 2013 | February 28, 2013 | November 30, 2012 | November 30, 2011 | ||||||||||||||
Americas (1) | $ | 1,646,174 | $ | 661,600 | $ | 2,507,839 | $ | 2,046,644 | |||||||||
Europe (2) | 448,181 | 135,135 | 450,823 | 504,292 | |||||||||||||
Asia | 46,326 | 21,809 | 102,990 | 26,009 | |||||||||||||
$ | 2,140,681 | $ | 818,544 | $ | 3,061,652 | $ | 2,576,945 | ||||||||||
Net revenues | |||||||||||||||||
-1 | Substantially all relates to U.S. results. | ||||||||||||||||
-2 | Substantially all relates to U.K. results. |
Related_Party_Transactions_Tab
Related Party Transactions (Tables) | 12 Months Ended | ||||||||||||||||||||
Nov. 30, 2013 | |||||||||||||||||||||
Related Party Transactions [Abstract] | ' | ||||||||||||||||||||
Summary of Interest Income, Other Revenues and Investment Income to Private Equity Related Funds | ' | ||||||||||||||||||||
The following table presents interest income earned on loans to Private Equity Related Funds and other revenues and investment income related to net gains and losses on our investment in Private Equity Related Funds (in thousands): | |||||||||||||||||||||
Successor | Predecessor | ||||||||||||||||||||
Nine Months Ended | Three Months Ended | Year Ended | Year Ended | ||||||||||||||||||
November 30, 2013 | February 28, 2013 | November 30, 2012 | November 30, 2011 | ||||||||||||||||||
Interest income | $ | 852 | $ | 516 | $ | 3,100 | $ | 3,100 | |||||||||||||
Other revenues and investment income (loss) | 9,294 | 947 | (8,500) | 9,200 |
Selected_Quarterly_Financial_D1
Selected Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended | ||||||||||||||||||||||||||||||||
Nov. 30, 2013 | |||||||||||||||||||||||||||||||||
Quarterly Financial Information Disclosure [Abstract] | ' | ||||||||||||||||||||||||||||||||
Summary of Unaudited Quarterly Statements of Earnings | ' | ||||||||||||||||||||||||||||||||
The following is a summary of unaudited quarterly statements of earnings for the Successor period nine months ended November 30, 2013, and the Predecessor periods three months ended February 28, 2013 and year ended November 30, 2012 (in thousands, except per share amounts): | |||||||||||||||||||||||||||||||||
Successor | Predecessor | ||||||||||||||||||||||||||||||||
Three Months Ended (1) | |||||||||||||||||||||||||||||||||
November 30, | August 31, | May 31, | February 28, | ||||||||||||||||||||||||||||||
2013 | 2013 | 2013 | 2013 | ||||||||||||||||||||||||||||||
Total revenues | $ | 1,139,157 | $ | 710,682 | $ | 869,901 | $ | 1,021,960 | |||||||||||||||||||||||||
Net revenues | 950,548 | 531,695 | 658,438 | 818,544 | |||||||||||||||||||||||||||||
Earnings before income taxes | 175,660 | 23,382 | 65,253 | 139,487 | |||||||||||||||||||||||||||||
Earnings attributable to Jefferies Group LLC | 109,943 | 11,740 | 39,508 | 80,138 | |||||||||||||||||||||||||||||
Earnings per common share: | |||||||||||||||||||||||||||||||||
Basic | N/a | N/a | N/a | $ | 0.35 | ||||||||||||||||||||||||||||
Diluted | $ | N/a | N/a | N/a | $ | 0.35 | |||||||||||||||||||||||||||
Three Months Ended (1) | |||||||||||||||||||||||||||||||||
November 30, | August 31, | May 31, | February 29, | ||||||||||||||||||||||||||||||
2012 | 2012 | 2012 | 2012 | ||||||||||||||||||||||||||||||
Total revenues | $ | 989,009 | $ | 961,293 | $ | 962,531 | $ | 1,021,240 | |||||||||||||||||||||||||
Net revenues | 784,588 | 755,179 | 727,490 | 794,395 | |||||||||||||||||||||||||||||
Earnings before income taxes | 113,975 | 122,369 | 106,582 | 148,869 | |||||||||||||||||||||||||||||
Earnings to common shareholders | 71,604 | 70,171 | 63,498 | 77,136 | |||||||||||||||||||||||||||||
Earnings per common share: | |||||||||||||||||||||||||||||||||
Basic | $ | 0.31 | $ | 0.31 | $ | 0.28 | $ | 0.33 | |||||||||||||||||||||||||
Diluted | $ | 0.31 | $ | 0.31 | $ | 0.28 | $ | 0.33 | |||||||||||||||||||||||||
-1 | Adjustments have been made to amounts presented in previous filings. For further information refer to Note 1 in the Notes to the Consolidated Financial Statements. | ||||||||||||||||||||||||||||||||
Schedule of Effects of Adjustments on Major Captions within Consolidated Statement of Earnings | ' | ||||||||||||||||||||||||||||||||
The following tables set forth the effects of the adjustments on major captions within our Consolidated Statement of Earnings for the quarters in 2013 and 2012. | |||||||||||||||||||||||||||||||||
Successor | Predecessor | ||||||||||||||||||||||||||||||||
Three Months Ended | |||||||||||||||||||||||||||||||||
31-Aug-13 | 31-May-13 | ||||||||||||||||||||||||||||||||
28-Feb-13 | |||||||||||||||||||||||||||||||||
(in thousands) | As | Adjusted | As | Adjusted | As | Adjusted | |||||||||||||||||||||||||||
Previously | Previously | Previously | |||||||||||||||||||||||||||||||
Reported | Reported | Reported | |||||||||||||||||||||||||||||||
Commissions revenues | $ | 138,736 | $ | 153,402 | $ | 146,848 | $ | 162,759 | $ | 131,083 | $ | 146,240 | |||||||||||||||||||||
Total revenues | 696,016 | 710,682 | 853,990 | 869,901 | 1,006,803 | 1,021,960 | |||||||||||||||||||||||||||
Net revenues | 517,029 | 531,695 | 642,527 | 658,438 | 803,387 | 818,544 | |||||||||||||||||||||||||||
Net revenues, less mandatorily redeemable preferred interest | 517,029 | 531,695 | 639,159 | 655,070 | 792,426 | 807,583 | |||||||||||||||||||||||||||
Floor brokerage and clearing fees | 34,500 | 49,166 | 32,991 | 48,902 | 30,998 | 46,155 | |||||||||||||||||||||||||||
Other expenses | 34,012 | 34,012 | 18,720 | 18,720 | 14,475 | 14,475 | |||||||||||||||||||||||||||
Total non-compensation expenses | 199,876 | 214,542 | 200,026 | 215,937 | 178,722 | 193,879 | |||||||||||||||||||||||||||
Total non-interest expenses | 493,647 | 508,313 | 573,906 | 589,817 | 652,939 | 668,096 | |||||||||||||||||||||||||||
Earnings before income taxes | 23,382 | 23,382 | 65,253 | 65,253 | 139,487 | 139,487 | |||||||||||||||||||||||||||
Income tax expense | 8,493 | 8,493 | 25,007 | 25,007 | 48,645 | 48,645 | |||||||||||||||||||||||||||
Net earnings | 14,889 | 14,889 | 40,246 | 40,246 | 90,842 | 90,842 | |||||||||||||||||||||||||||
Net earnings attributable to Jefferies Group LLC | 11,740 | 11,740 | 39,508 | 39,508 | 80,138 | 80,138 | |||||||||||||||||||||||||||
Predecessor | |||||||||||||||||||||||||||||||||
Three Months Ended | |||||||||||||||||||||||||||||||||
30-Nov-12 | 31-Aug-12 | 31-May-12 | |||||||||||||||||||||||||||||||
28-Feb-12 | |||||||||||||||||||||||||||||||||
(in thousands) | As | Adjusted | As | Adjusted | As | Adjusted | As | Adjusted | |||||||||||||||||||||||||
Previously | Previously | Previously | Previously | ||||||||||||||||||||||||||||||
Reported | Reported | Reported | Reported | ||||||||||||||||||||||||||||||
Commissions revenues | $ | 127,074 | $ | 142,813 | $ | 119,200 | $ | 135,441 | $ | 121,796 | $ | 138,255 | $ | 117,499 | $ | 131,928 | |||||||||||||||||
Total revenues | 973,270 | 989,009 | 945,052 | 961,293 | 946,072 | 962,531 | 1,006,811 | 1,021,240 | |||||||||||||||||||||||||
Net revenues | 768,849 | 784,588 | 738,938 | 755,179 | 711,031 | 727,490 | 779,966 | 794,395 | |||||||||||||||||||||||||
Net revenues, less mandatorily redeemable preferred interest | 760,570 | 776,309 | 730,634 | 746,875 | 706,575 | 723,034 | 758,122 | 772,551 | |||||||||||||||||||||||||
Floor brokerage and clearing fees | 29,106 | 44,845 | 30,280 | 46,521 | 32,921 | 49,380 | 27,838 | 42,267 | |||||||||||||||||||||||||
Other expenses | 16,480 | 16,480 | 12,433 | 12,433 | 18,587 | 18,587 | 14,998 | 14,998 | |||||||||||||||||||||||||
Total non-compensation expenses | 186,191 | 201,930 | 167,874 | 184,115 | 176,452 | 192,911 | 162,792 | 177,221 | |||||||||||||||||||||||||
Total non-interest expenses | 646,595 | 662,334 | 608,265 | 624,506 | 599,993 | 616,452 | 609,253 | 623,682 | |||||||||||||||||||||||||
Earnings before income taxes | 113,975 | 113,975 | 122,369 | 122,369 | 106,582 | 106,582 | 148,869 | 148,869 | |||||||||||||||||||||||||
Income tax expense | 34,243 | 34,243 | 44,048 | 44,048 | 38,203 | 38,203 | 52,152 | 52,152 | |||||||||||||||||||||||||
Net earnings | 79,732 | 79,732 | 78,321 | 78,321 | 68,379 | 68,379 | 96,717 | 96,717 | |||||||||||||||||||||||||
Net earnings attributable to common shareholders | 71,604 | 71,604 | 70,171 | 70,171 | 63,498 | 63,498 | 77,136 | 77,136 |
Organization_and_Basis_of_Pres2
Organization and Basis of Presentation - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 0 Months Ended | 12 Months Ended | ||||||
Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2012 | Nov. 30, 2011 | Aug. 31, 2013 | 31-May-13 | Feb. 28, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2013 | |
Segment | Leucadia [Member] | Immaterial Restatement [Member] | 3.875% Convertible Senior Debentures due 2029 [Member] | Preferred Stock Subject to Mandatory Redemption [Member] | Preferred Stock Subject to Mandatory Redemption [Member] | Preferred Stock Subject to Mandatory Redemption [Member] | |||||||
Leucadia [Member] | Leucadia [Member] | ||||||||||||
Organization And Basis Of Presentation [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of operating segments | ' | ' | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of shares of Leucadia common stock received for each share of Jefferies common stock | ' | ' | 0.81 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Convertible Senior Debentures, interest rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3.88% | ' | ' | ' |
Convertible Senior Debentures, due date | ' | ' | ' | ' | ' | ' | ' | ' | ' | '2029 | ' | ' | ' |
Dividend of Series A Convertible Preferred Stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3.25% | 3.25% | 3.25% |
Litigation reserve | $17,000,000 | $17,000,000 | $17,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Decrease in banking receivables | 1,300,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Reduction in income taxes | 1,200,000 | ' | ' | ' | ' | ' | ' | ' | 4,400,000 | ' | ' | ' | ' |
Reduction in Net earnings | 14,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Purchase price allocation | ' | ' | ' | ' | ' | 4,400,000 | 4,400,000 | 1,720,380,000 | ' | ' | ' | ' | ' |
Increase in goodwill | ' | 4,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Commissions revenues and Floor brokerage and clearing fees | ' | ' | $60,600,000 | $62,900,000 | $28,100,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Organization_and_Basis_of_Pres3
Organization and Basis of Presentation - Consolidated Statement of Earnings (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||
In Thousands, unless otherwise specified | Nov. 30, 2012 | Aug. 31, 2012 | 31-May-12 | Feb. 29, 2012 | Nov. 30, 2013 | Nov. 30, 2012 | Nov. 30, 2011 |
Schedule Of Description Of Business [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Total revenues | $989,009 | $961,293 | $962,531 | $1,021,240 | ' | ' | ' |
Net revenues | 784,588 | 755,179 | 727,490 | 794,395 | ' | ' | ' |
Floor brokerage and clearing fees | ' | ' | ' | ' | 60,600 | 62,900 | 28,100 |
As Previously Reported [Member] | ' | ' | ' | ' | ' | ' | ' |
Schedule Of Description Of Business [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Commissions revenues | ' | ' | ' | ' | ' | 485,569 | 534,726 |
Total revenues | ' | ' | ' | ' | ' | 3,871,205 | 3,529,638 |
Net revenues | ' | ' | ' | ' | ' | 2,998,784 | 2,548,813 |
Net revenues, less mandatorily redeemable preferred interest | ' | ' | ' | ' | ' | 2,955,901 | 2,545,191 |
Floor brokerage and clearing fees | ' | ' | ' | ' | ' | 120,145 | 126,313 |
Total non-compensation expenses | ' | ' | ' | ' | ' | 693,308 | 643,253 |
Total non-interest expenses | ' | ' | ' | ' | ' | 2,464,106 | 2,125,857 |
Adjusted [Member] | ' | ' | ' | ' | ' | ' | ' |
Schedule Of Description Of Business [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Commissions revenues | ' | ' | ' | ' | ' | 548,437 | 562,858 |
Total revenues | ' | ' | ' | ' | ' | 3,934,073 | 3,557,770 |
Net revenues | ' | ' | ' | ' | ' | 3,061,652 | 2,576,945 |
Net revenues, less mandatorily redeemable preferred interest | ' | ' | ' | ' | ' | 3,018,769 | 2,573,323 |
Floor brokerage and clearing fees | ' | ' | ' | ' | ' | 183,013 | 154,445 |
Total non-compensation expenses | ' | ' | ' | ' | ' | 756,176 | 671,385 |
Total non-interest expenses | ' | ' | ' | ' | ' | $2,526,974 | $2,153,989 |
Summary_of_Significant_Account2
Summary of Significant Accounting Policies - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
In Millions, unless otherwise specified | Feb. 28, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2012 | Nov. 30, 2011 |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' | ' | ' |
Furniture, fixtures and equipment | ' | $278.50 | $278.50 | $266.20 | ' |
Leasehold improvements | ' | 134.1 | 134.1 | 133.1 | ' |
Accumulated depreciation and amortization | ' | 210.1 | 210.1 | 213.3 | ' |
Furniture, fixtures and equipment under capital leases | ' | 19.5 | 19.5 | 19.5 | ' |
Depreciation and amortization | 12.9 | 38.8 | ' | 50.5 | 43.7 |
Percentage of tax benefit realized upon ultimate settlement with taxing authority | ' | ' | 50.00% | ' | ' |
Investigation reserve | ' | $22.40 | $22.40 | ' | ' |
Minimum [Member] | ' | ' | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' | ' | ' |
Useful life of premises and equipment | ' | ' | '3 years | ' | ' |
Maximum [Member] | ' | ' | ' | ' | ' |
Summary Of Significant Accounting Policies [Line Items] | ' | ' | ' | ' | ' |
Useful life of premises and equipment | ' | ' | '10 years | ' | ' |
Leucadia_Merger_and_Related_Tr2
Leucadia Merger and Related Transactions - Additional Information (Detail) (USD $) | Aug. 31, 2013 | 31-May-13 | Feb. 28, 2013 | Feb. 28, 2013 | Feb. 28, 2013 | Mar. 31, 2013 | Nov. 30, 2013 | Nov. 30, 2012 | Feb. 28, 2013 | Feb. 28, 2013 | Feb. 28, 2013 | Feb. 28, 2013 | Nov. 30, 2013 | Nov. 30, 2013 |
3.25% Cumulative Convertible Preferred Shares [Member] | Series A-1 Convertible Cumulative Preferred Stock [Member] | Leucadia [Member] | Leucadia [Member] | Leucadia [Member] | Leucadia [Member] | Leucadia [Member] | Leucadia [Member] | Jefferies Group Inc. [Member] | Jefferies High Yield Holdings, LLC [Member] | 3.875% Convertible Senior Debentures due 2029 [Member] | 3.875% Convertible Senior Debentures due 2029 [Member] | |||
Successor [Member] | Successor [Member] | Predecessor [Member] | 3.25% Cumulative Convertible Preferred Shares [Member] | Series A-1 Convertible Cumulative Preferred Stock [Member] | Successor [Member] | Leucadia [Member] | ||||||||
Business Acquisition [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Exchange ratio | ' | ' | ' | ' | 0.81 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Convertible Cumulative Preferred Stock | ' | ' | ' | ' | $125,000,000 | ' | ' | ' | ' | $125,000,000 | $125,000,000 | ' | ' | ' |
Convertible Cumulative Preferred Stock, dividend rate | ' | ' | 3.25% | 3.25% | 3.25% | ' | ' | ' | ' | 3.25% | 3.25% | ' | ' | ' |
Debt instrument principal amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 345,000,000 |
Debt instrument interest rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3.88% | 3.88% |
Debt instrument maturity year | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '2029 |
Cost of assets acquired | ' | ' | ' | ' | 4,754,101,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Business acquisition transaction cost | ' | ' | ' | ' | ' | ' | 11,500,000 | 4,700,000 | 2,100,000 | ' | ' | ' | ' | ' |
Intangible assets, not including good will | ' | ' | ' | ' | 282,900,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Goodwill | 4,400,000 | 4,400,000 | ' | ' | 1,720,380,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Third party noncontrolling interests redeemed | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 347,600,000 | ' | ' |
Redeemable preferred interests | ' | ' | ' | ' | ' | $362,300,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Leucadia_Merger_and_Related_Tr3
Leucadia Merger and Related Transactions - Summary Computation of Purchase Price and Fair Values Assigned to Assets and Liabilities (Detail) (Leucadia [Member], USD $) | 3 Months Ended |
In Thousands, except Share data, unless otherwise specified | Feb. 28, 2013 |
Leucadia [Member] | ' |
Business Acquisition [Line Items] | ' |
Jefferies common stock outstanding | 205,368,031 |
Less: Jefferies common stock owned by Leucadia | -58,006,024 |
Jefferies common stock acquired by Leucadia | 147,362,007 |
Exchange ratio | 0.81 |
Leucadia's shares issued (excluding for Jefferies shares held by Leucadia) | 119,363,226 |
Less: restricted shares issued for share-based payment awards | -6,894,856 |
Leucadia's shares issued, excluding share-based payment awards | 112,468,370 |
Closing price of Leucadia's common stock | $26.90 |
Fair value of common shares acquired by Leucadia | $3,025,399 |
Fair value of 3.25% cumulative convertible preferred shares | 125,000 |
Fair value of shares-based payment awards | 343,811 |
Fair value of Jefferies shares owned by Leucadia | 1,259,891 |
Total purchase price | $4,754,101 |
Leucadia_Merger_and_Related_Tr4
Leucadia Merger and Related Transactions - Summary Computation of Purchase Price and Fair Values Assigned to Assets and Liabilities (Parenthetical) (Detail) (USD $) | 3 Months Ended |
Feb. 28, 2013 | |
Leucadia [Member] | ' |
Business Acquisition [Line Items] | ' |
Convertible Cumulative Preferred Stock, dividend rate | 3.25% |
Closing price common stock | $21.72 |
3.25% Cumulative Convertible Preferred Shares [Member] | ' |
Business Acquisition [Line Items] | ' |
Convertible Cumulative Preferred Stock, dividend rate | 3.25% |
3.25% Cumulative Convertible Preferred Shares [Member] | Leucadia [Member] | ' |
Business Acquisition [Line Items] | ' |
Convertible Cumulative Preferred Stock, dividend rate | 3.25% |
Series A-1 Convertible Cumulative Preferred Stock [Member] | ' |
Business Acquisition [Line Items] | ' |
Convertible Cumulative Preferred Stock, dividend rate | 3.25% |
Leucadia_Merger_and_Related_Tr5
Leucadia Merger and Related Transactions - Assets Acquired and Liabilities Assumed by Major Class (Detail) (USD $) | Aug. 31, 2013 | 31-May-13 | Feb. 28, 2013 | Feb. 28, 2013 | Feb. 28, 2013 |
In Thousands, unless otherwise specified | Leucadia [Member] | Leucadia [Member] | Leucadia [Member] | ||
Customer relationships [Member] | Trade names [Member] | ||||
Assets acquired: | ' | ' | ' | ' | ' |
Cash and cash equivalents | ' | ' | $3,017,958 | ' | ' |
Cash and securities segregated | ' | ' | 3,728,742 | ' | ' |
Financial instruments owned, at fair value | ' | ' | 16,413,535 | ' | ' |
Investments in managed funds | ' | ' | 59,976 | ' | ' |
Loans to and investments in related parties | ' | ' | 766,893 | ' | ' |
Securities borrowed | ' | ' | 5,315,488 | ' | ' |
Securities purchased under agreements to resell | ' | ' | 3,578,366 | ' | ' |
Securities received as collateral | ' | ' | 25,338 | ' | ' |
Brokers, dealers and clearing organizations | ' | ' | 2,444,085 | ' | ' |
Customers | ' | ' | 1,045,251 | ' | ' |
Fees, interest and other | ' | ' | 225,555 | ' | ' |
Premises and equipment | ' | ' | 192,603 | ' | ' |
Indefinite-lived intangible exchange memberships and licenses | ' | ' | 15,551 | ' | ' |
Finite-lived intangible assets | ' | ' | ' | 136,002 | 131,299 |
Other assets | ' | ' | 939,600 | ' | ' |
Total assets | ' | ' | 38,036,242 | ' | ' |
Liabilities assumed: | ' | ' | ' | ' | ' |
Short-term borrowings | ' | ' | 100,000 | ' | ' |
Financial instruments sold, not yet purchased, at fair value | ' | ' | 9,766,876 | ' | ' |
Securities loaned | ' | ' | 1,902,687 | ' | ' |
Securities sold under agreements to repurchase | ' | ' | 7,976,492 | ' | ' |
Other secured financings | ' | ' | 122,294 | ' | ' |
Obligation to return securities received as collateral | ' | ' | 25,338 | ' | ' |
Brokers, dealers and clearing organizations | ' | ' | 1,787,055 | ' | ' |
Customers | ' | ' | 5,450,781 | ' | ' |
Accrued expenses and other liabilities | ' | ' | 793,843 | ' | ' |
Long-term debt | ' | ' | 6,362,024 | ' | ' |
Mandatorily redeemable preferred interests | ' | ' | 358,951 | ' | ' |
Total liabilities | ' | ' | 34,646,341 | ' | ' |
Noncontrolling interests | ' | ' | 356,180 | ' | ' |
Fair value of net assets acquired, excluding goodwill | ' | ' | 3,033,721 | ' | ' |
Goodwill | $4,400 | $4,400 | $1,720,380 | ' | ' |
Leucadia_Merger_and_Related_Tr6
Leucadia Merger and Related Transactions - Assets Acquired and Liabilities Assumed by Major Class (Parenthetical) (Detail) (USD $) | Aug. 31, 2013 | 31-May-13 | Feb. 28, 2013 | Feb. 28, 2013 | Feb. 28, 2013 |
Leucadia [Member] | Customer relationships [Member] | Trade names [Member] | |||
Leucadia [Member] | Leucadia [Member] | ||||
Business Acquisition [Line Items] | ' | ' | ' | ' | ' |
Increase of goodwill | ' | ' | $18,800,000 | ' | ' |
Fair value of the assets acquired | ' | ' | 4,800,000 | ' | ' |
Fair value of the liabilities assumed | ' | ' | 14,000,000 | ' | ' |
Prior year acquired goodwill | ' | ' | 1,701,600,000 | ' | ' |
Goodwill | $4,400,000 | $4,400,000 | $1,720,380,000 | ' | ' |
Finite-lived intangible assets, weighted average useful life | ' | ' | ' | '14 years 4 months 24 days | ' |
Useful life of intangible assets | ' | ' | ' | ' | '35 years |
Acquisitions_Additional_Inform
Acquisitions - Additional Information (Detail) | 0 Months Ended | 12 Months Ended | 0 Months Ended | |
Jul. 01, 2011 | Nov. 30, 2013 | Feb. 01, 2012 | Feb. 01, 2012 | |
USD ($) | Hoare Govett [Member] | Hoare Govett [Member] | ||
USD ($) | GBP (£) | |||
Business Acquisition [Line Items] | ' | ' | ' | ' |
Business acquisition, maximum employee retention payments agreed by acquiree | ' | ' | ' | £ 1,900,000 |
Cash paid for acquisition | 422,000,000 | ' | ' | 1 |
Fair values of net assets acquired, including identifiable intangible assets | ' | ' | 300,000 | ' |
Purchase price of net assets acquired | ' | ' | 3,100,000 | ' |
Bargain purchase gain | 52,509,000 | ' | 3,400,000 | ' |
Fair value of intangible assets | ' | ' | 400,000 | ' |
Business acquisition deferred tax liability | ' | ' | $100,000 | ' |
Acquisition date | ' | 1-Jul-11 | ' | ' |
Percentage of equity interests acquired | 100.00% | ' | ' | ' |
Cash_Cash_Equivalents_and_Shor2
Cash, Cash Equivalents and Short-Term Investments - Schedule of Cash, Cash Equivalents and Short-Term Investments (Detail) (USD $) | Nov. 30, 2013 | Feb. 28, 2013 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 | Nov. 30, 2010 |
In Thousands, unless otherwise specified | Successor [Member] | Successor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] |
Cash and cash equivalents: | ' | ' | ' | ' | ' | ' |
Cash in banks | $880,443 | ' | ' | $1,038,664 | ' | ' |
Money market investments | 2,680,676 | ' | ' | 1,653,931 | ' | ' |
Total cash and cash equivalents | 3,561,119 | 3,017,958 | 3,017,958 | 2,692,595 | 2,393,797 | 2,188,998 |
Cash and securities segregated | $3,616,602 | ' | ' | $4,082,595 | ' | ' |
Fair_Value_Disclosures_Financi
Fair Value Disclosures - Financial Assets and Liabilities Accounted for at Fair Value on Recurring Basis (Detail) (USD $) | Nov. 30, 2013 | Nov. 30, 2012 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 | Nov. 30, 2010 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2013 | Feb. 28, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 |
In Thousands, unless otherwise specified | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | ||
Residential mortgage-backed securities [Member] | Commercial mortgage-backed securities [Member] | Other asset-backed securities [Member] | Level 1 [Member] | Level 2 [Member] | Level 2 [Member] | Level 2 [Member] | Level 2 [Member] | Level 3 [Member] | Level 3 [Member] | Level 3 [Member] | Level 3 [Member] | Counterparty and Cash Collateral Netting [Member] | Residential mortgage-backed securities [Member] | Commercial mortgage-backed securities [Member] | Other asset-backed securities [Member] | Level 1 [Member] | Level 1 [Member] | Level 1 [Member] | Level 1 [Member] | Level 2 [Member] | Level 2 [Member] | Level 2 [Member] | Level 2 [Member] | Level 3 [Member] | Level 3 [Member] | Level 3 [Member] | Level 3 [Member] | Counterparty and Cash Collateral Netting [Member] | Counterparty and Cash Collateral Netting [Member] | Counterparty and Cash Collateral Netting [Member] | Counterparty and Cash Collateral Netting [Member] | |||||||||
Residential mortgage-backed securities [Member] | Commercial mortgage-backed securities [Member] | Other asset-backed securities [Member] | Residential mortgage-backed securities [Member] | Commercial mortgage-backed securities [Member] | Other asset-backed securities [Member] | Residential mortgage-backed securities [Member] | Commercial mortgage-backed securities [Member] | Other asset-backed securities [Member] | Residential mortgage-backed securities [Member] | Commercial mortgage-backed securities [Member] | Other asset-backed securities [Member] | Residential mortgage-backed securities [Member] | Commercial mortgage-backed securities [Member] | Other asset-backed securities [Member] | Residential mortgage-backed securities [Member] | Commercial mortgage-backed securities [Member] | Other asset-backed securities [Member] | |||||||||||||||||||||||
Financial instruments owned: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Corporate equity securities | ' | ' | ' | $1,762,775 | ' | ' | ' | ' | ' | $1,608,715 | $137,245 | ' | ' | ' | $16,815 | ' | ' | ' | ' | $2,098,597 | ' | ' | ' | ' | $1,913,220 | ' | ' | ' | $175,493 | ' | ' | ' | $9,884 | ' | ' | ' | ' | ' | ' | ' |
Corporate debt securities | ' | ' | ' | 3,038,146 | ' | ' | ' | ' | ' | ' | 3,034,515 | ' | ' | ' | 3,631 | ' | ' | ' | ' | 2,982,768 | ' | ' | ' | ' | ' | ' | ' | ' | 2,957,102 | ' | ' | ' | 25,666 | ' | ' | ' | ' | ' | ' | ' |
Collateralized debt obligations | ' | ' | ' | 118,494 | ' | ' | ' | ' | ' | ' | 87,239 | ' | ' | ' | 31,255 | ' | ' | ' | ' | 219,311 | ' | ' | ' | ' | ' | ' | ' | ' | 182,095 | ' | ' | ' | 37,216 | ' | ' | ' | ' | ' | ' | ' |
U.S. government and federal agency securities | ' | ' | ' | 1,835,927 | ' | ' | ' | ' | ' | 1,720,617 | 115,310 | ' | ' | ' | ' | ' | ' | ' | ' | 2,333,610 | ' | ' | ' | ' | 2,293,221 | ' | ' | ' | 40,389 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Municipal securities | ' | ' | ' | 619,969 | ' | ' | ' | ' | ' | ' | 619,969 | ' | ' | ' | ' | ' | ' | ' | ' | 664,054 | ' | ' | ' | ' | ' | ' | ' | ' | 664,054 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sovereign obligations | ' | ' | ' | 2,697,854 | ' | ' | ' | ' | ' | 1,722,044 | 975,810 | ' | ' | ' | ' | ' | ' | ' | ' | 2,348,488 | ' | ' | ' | ' | 1,458,803 | ' | ' | ' | 889,685 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Mortgage- and asset-backed securities, assets | ' | ' | ' | 5,398,078 | ' | ' | 4,153,459 | 1,031,783 | 94,342 | ' | ' | 3,997,390 | 1,001,581 | 93,228 | ' | 156,069 | 30,202 | 1,114 | ' | 4,473,135 | ' | 3,037,760 | 1,147,978 | 68,086 | ' | ' | ' | ' | ' | 2,932,268 | 1,130,410 | 55,475 | ' | 105,492 | 17,568 | 12,611 | ' | ' | ' | ' |
Loans and other receivables | ' | ' | ' | 678,311 | ' | ' | ' | ' | ' | ' | 497,918 | ' | ' | ' | 180,393 | ' | ' | ' | ' | 1,349,128 | ' | ' | ' | ' | ' | ' | ' | ' | 1,203,238 | ' | ' | ' | 145,890 | ' | ' | ' | ' | ' | ' | ' |
Derivatives | ' | ' | ' | 368,292 | ' | ' | ' | ' | ' | 615,024 | 1,674,062 | ' | ' | ' | 328 | ' | ' | ' | -1,921,122 | 261,093 | ' | ' | ' | ' | 40,952 | ' | ' | ' | 2,472,237 | ' | ' | ' | 1,493 | ' | ' | ' | -2,253,589 | ' | ' | ' |
Investments at fair value | ' | ' | ' | 127,023 | ' | ' | ' | ' | ' | ' | 43,126 | ' | ' | ' | 83,897 | ' | ' | ' | ' | 101,282 | ' | ' | ' | ' | ' | ' | ' | ' | 40 | ' | ' | ' | 101,242 | ' | ' | ' | ' | ' | ' | ' |
Physical commodities | ' | ' | ' | 144,016 | ' | ' | ' | ' | ' | ' | 144,016 | ' | ' | ' | ' | ' | ' | ' | ' | 37,888 | ' | ' | ' | ' | ' | ' | ' | ' | 37,888 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total financial instruments owned | ' | ' | ' | 16,670,391 | ' | ' | ' | ' | ' | 5,666,400 | 12,421,409 | ' | ' | ' | 503,704 | ' | ' | ' | -1,921,122 | 16,650,043 | ' | ' | ' | ' | 5,706,196 | ' | ' | ' | 12,740,374 | ' | ' | ' | 457,062 | ' | ' | ' | -2,253,589 | ' | ' | ' |
Cash and cash equivalents | ' | ' | 3,017,958 | 2,692,595 | 2,393,797 | 2,188,998 | ' | ' | ' | 2,692,595 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,561,119 | 3,017,958 | ' | ' | ' | 3,561,119 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Investments in managed funds | ' | ' | ' | 57,763 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 57,763 | ' | ' | ' | ' | 57,285 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 57,285 | ' | ' | ' | ' | ' | ' | ' |
Cash and securities segregated and on deposit for regulatory purposes | ' | ' | ' | 4,082,595 | ' | ' | ' | ' | ' | 4,082,595 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,616,602 | ' | ' | ' | ' | 3,612,602 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Securities received as collateral | 11,100 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 11,063 | ' | ' | ' | ' | 11,063 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total Level 3 assets | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 508,178 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 514,347 | ' | ' | ' | ' | ' | ' | ' |
Financial instruments sold, not yet purchased: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Corporate equity securities | ' | ' | ' | 1,539,332 | ' | ' | ' | ' | ' | 1,442,347 | 96,947 | ' | ' | ' | 38 | ' | ' | ' | ' | 1,823,299 | ' | ' | ' | ' | 1,782,903 | ' | ' | ' | 40,358 | ' | ' | ' | 38 | ' | ' | ' | ' | ' | ' | ' |
Corporate debt securities | ' | ' | ' | 1,389,312 | ' | ' | ' | ' | ' | ' | 1,389,312 | ' | ' | ' | ' | ' | ' | ' | ' | 1,346,078 | ' | ' | ' | ' | ' | ' | ' | ' | 1,346,078 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
U.S. government and federal agency securities | ' | ' | ' | 1,679,133 | ' | ' | ' | ' | ' | 1,428,746 | 250,387 | ' | ' | ' | ' | ' | ' | ' | ' | 1,324,326 | ' | ' | ' | ' | 1,324,326 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Sovereign obligations | ' | ' | ' | 1,986,979 | ' | ' | ' | ' | ' | 1,395,355 | 591,624 | ' | ' | ' | ' | ' | ' | ' | ' | 1,831,357 | ' | ' | ' | ' | 1,360,269 | ' | ' | ' | 471,088 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Mortgage- and asset-backed securities, liabilities | ' | ' | ' | 228,251 | ' | ' | 228,251 | ' | ' | ' | ' | 228,251 | ' | ' | ' | ' | ' | ' | ' | 34,691 | ' | 34,691 | ' | ' | ' | ' | ' | ' | ' | 34,691 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Loans | ' | ' | ' | 207,227 | ' | ' | ' | ' | ' | ' | 205,516 | ' | ' | ' | 1,711 | ' | ' | ' | ' | 695,300 | ' | ' | ' | ' | ' | ' | ' | ' | 672,838 | ' | ' | ' | 22,462 | ' | ' | ' | ' | ' | ' | ' |
Derivatives | ' | ' | ' | 242,087 | ' | ' | ' | ' | ' | 547,605 | 1,753,716 | ' | ' | ' | 9,516 | ' | ' | ' | -2,068,750 | 180,079 | ' | ' | ' | ' | 43,829 | ' | ' | ' | 2,480,463 | ' | ' | ' | 8,398 | ' | ' | ' | -2,352,611 | ' | ' | ' |
Physical commodities | ' | ' | ' | 183,142 | ' | ' | ' | ' | ' | ' | 183,142 | ' | ' | ' | ' | ' | ' | ' | ' | 36,483 | ' | ' | ' | ' | ' | ' | ' | ' | 36,483 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total financial instruments sold, not yet purchased | ' | ' | ' | 7,455,463 | ' | ' | ' | ' | ' | 4,814,053 | 4,698,895 | ' | ' | ' | 11,265 | ' | ' | ' | -2,068,750 | 7,271,613 | ' | ' | ' | ' | 4,511,327 | ' | ' | ' | 5,081,999 | ' | ' | ' | 30,898 | ' | ' | ' | -2,352,611 | ' | ' | ' |
Obligation to return securities received as collateral | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 11,063 | ' | ' | ' | ' | 11,063 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Other secured financings | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 39,711 | ' | ' | ' | ' | ' | ' | ' | ' | 31,000 | ' | ' | ' | 8,711 | ' | ' | ' | ' | ' | ' | ' |
Embedded conversion option | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 9,574 | ' | ' | ' | ' | ' | ' | ' | ' | 9,574 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Level 3 financial instruments for which the firm does not bear economic exposure | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | -53,289 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Level 3 financial instruments for which the firm bears economic exposure | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $450,415 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair_Value_Disclosures_Financi1
Fair Value Disclosures - Financial Assets and Liabilities Accounted for at Fair Value on Recurring Basis (Parenthetical) (Detail) (USD $) | Nov. 30, 2012 | Nov. 30, 2013 |
In Millions, unless otherwise specified | Predecessor [Member] | Successor [Member] |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ' | ' |
Fair value of equity options transferred from Level 1 to Level 2 within Financial instruments owned | ' | $403 |
Fair value of equity options transferred from Level 1 to Level 2 within Financial instruments sold, not yet purchased | ' | 423 |
U.S. government securities at fair value segregated for regulatory purposes | $404.30 | $304.20 |
Fair_Value_Disclosures_Investm
Fair Value Disclosures - Investments Measured at Fair Value Based on Net Asset Value Per Share (Detail) (USD $) | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 |
In Thousands, unless otherwise specified | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] |
Equity Long/Short Hedge Funds [Member] | High Yield Hedge Funds [Member] | Fund of Funds [Member] | Equity Funds [Member] | Convertible Bond Funds [Member] | Other Investments [Member] | Equity Long/Short Hedge Funds [Member] | High Yield Hedge Funds [Member] | Fund of Funds [Member] | Equity Funds [Member] | Convertible Bond Funds [Member] | Other Investments [Member] | |||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair Value | $93,014 | $19,554 | $612 | $604 | $69,223 | $3,002 | $19 | $91,633 | $20,927 | $244 | $494 | $66,495 | $3,473 | ' |
Unfunded commitments | $59,378 | ' | ' | $106 | $59,272 | ' | ' | $40,910 | ' | ' | $94 | $40,816 | ' | ' |
Redemption Frequency (if currently eligible) | ' | 'Monthly, Quarterly | '- | '- | '- | 'At Will | 'Bi-Monthly | ' | 'Monthly, Quarterly | '- | '- | '- | 'At Will | 'Bi-Monthly |
Fair_Value_Disclosures_Investm1
Fair Value Disclosures - Investments Measured at Fair Value Based on Net Asset Value Per Share (Parenthetical) (Detail) (USD $) | Nov. 30, 2012 | Nov. 30, 2013 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 |
Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | |
Convertible Bonds [Member] | Equity Long/Short Hedge Funds [Member] | Fund of Funds [Member] | Private Equity Related Funds [Member] | Equity Funds [Member] | Investments Which are Not Investment Companies [Member] | Equity Long/Short Hedge Funds [Member] | Fund of Funds [Member] | Private Equity Related Funds [Member] | Equity Funds [Member] | Investments Which are Not Investment Companies [Member] | |||
Fair Value, Investments, Entities that Calculate Net Asset Value Per Share [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of redeemable investments | ' | ' | 96.00% | ' | ' | ' | ' | ' | 98.00% | ' | ' | ' | ' |
Notice period redemption of investment prior written notice period | ' | ' | ' | ' | ' | ' | ' | ' | '30-65 days | ' | ' | ' | ' |
Fair value of investments in equity funds | ' | ' | $500,000 | ' | ' | $55,600,000 | ' | ' | ' | ' | ' | $54,400,000 | ' |
Percentage of investments with no redemption provisions | ' | ' | ' | 94.00% | ' | ' | ' | ' | ' | 98.00% | ' | ' | ' |
Estimated period for the liquidation of the underlying assets, Maximum | ' | ' | ' | ' | ' | ' | ' | ' | ' | '2 years | '8 years | ' | ' |
Percentage of investments at fair value expected to liquidate | ' | ' | ' | ' | 98.00% | ' | ' | ' | ' | ' | 99.00% | ' | ' |
Estimated period for the liquidation of the underlying assets, Minimum | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '1 year | ' | ' |
Unfunded commitments | 59,378,000 | ' | ' | 106,000 | ' | 56,900,000 | ' | 40,910,000 | ' | 94,000 | ' | 39,200,000 | 3,300,000 |
Redeemable period of investments | ' | '5 days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Investments, at fair value | $127,023,000 | ' | ' | ' | ' | ' | $91,800,000 | $101,282,000 | ' | ' | ' | ' | $66,900,000 |
Fair_Value_Disclosures_Additio
Fair Value Disclosures - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | |
Feb. 28, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2012 | |
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items] | ' | ' | ' | ' |
Debt instrument maturity year | ' | ' | 1-Mar-16 | ' |
Transfers of assets from Level 2 to Level 3 | $100,500,000 | $82,400,000 | ' | $180,600,000 |
Issuances related in fair value of our financial assets and liabilities within Level 3 of fair value hierarchy for secured financings | ' | 8,700,000 | ' | ' |
Transfers of assets from Level 3 to Level 2 | 112,700,000 | 55,900,000 | ' | 81,800,000 |
Transfers of liabilities from Level 2 to Level 3 | 0 | 0 | ' | 0 |
Transfers of liabilities from Level 3 to Level 2 | 700,000 | 100,000 | ' | 2,200,000 |
Net gains/losses on Level 3 assets (realized and unrealized) | 14,500,000 | 9,400,000 | ' | 28,800,000 |
Net gains/losses on Level 3 liabilities (realized and unrealized) | 2,700,000 | 5,800,000 | ' | 2,500,000 |
Unadjusted net asset value of the funds | ' | ' | 127,700,000 | 82,700,000 |
Unadjusted net liability value of the funds | ' | ' | 14,400,000 | 14,400,000 |
Loan receivables on nonaccrual status | ' | 0 | 0 | 0 |
Level 2 [Member] | ' | ' | ' | ' |
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items] | ' | ' | ' | ' |
Other secured financings | ' | 8,700,000 | 8,700,000 | ' |
3.875% Convertible Senior Debentures due 2029 [Member] | Leucadia [Member] | ' | ' | ' | ' |
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items] | ' | ' | ' | ' |
Debt instrument interest rate | ' | 3.88% | 3.88% | ' |
Debt instrument maturity year | ' | 1-Nov-29 | ' | ' |
Volatility curve used in valuing embedded option | ' | '252 days | ' | ' |
Embedded Conversion Option [Member] | Leucadia [Member] | ' | ' | ' | ' |
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items] | ' | ' | ' | ' |
Debt instrument maturity year | ' | 1-Nov-17 | ' | ' |
Residential mortgage-backed securities [Member] | ' | ' | ' | ' |
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items] | ' | ' | ' | ' |
Transfers of assets from Level 2 to Level 3 | 78,400,000 | 58,800,000 | ' | 53,400,000 |
Transfers of assets from Level 3 to Level 2 | 73,500,000 | 45,900,000 | ' | 14,100,000 |
Commercial mortgage-backed securities [Member] | ' | ' | ' | ' |
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items] | ' | ' | ' | ' |
Transfers of assets from Level 2 to Level 3 | 1,300,000 | ' | ' | 11,700,000 |
Transfers of assets from Level 3 to Level 2 | 10,900,000 | 2,200,000 | ' | 15,200,000 |
Corporate debt securities [Member] | ' | ' | ' | ' |
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items] | ' | ' | ' | ' |
Transfers of assets from Level 2 to Level 3 | 10,800,000 | 2,300,000 | ' | 1,300,000 |
Transfers of assets from Level 3 to Level 2 | ' | 800,000 | ' | 7,800,000 |
Corporate equity securities [Member] | ' | ' | ' | ' |
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items] | ' | ' | ' | ' |
Transfers of assets from Level 2 to Level 3 | 100,000 | 200,000 | ' | 900,000 |
Transfers of assets from Level 3 to Level 2 | 4,700,000 | 3,600,000 | ' | ' |
Collateralized debt obligations [Member] | ' | ' | ' | ' |
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items] | ' | ' | ' | ' |
Transfers of assets from Level 2 to Level 3 | 5,300,000 | 2,800,000 | ' | 51,000,000 |
Transfers of assets from Level 3 to Level 2 | 2,400,000 | 1,700,000 | ' | 8,200,000 |
Loans and other receivables [Member] | ' | ' | ' | ' |
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items] | ' | ' | ' | ' |
Transfers of assets from Level 2 to Level 3 | 4,800,000 | 800,000 | ' | 62,200,000 |
Transfers of assets from Level 3 to Level 2 | 19,900,000 | 600,000 | ' | 28,400,000 |
Other asset-backed securities [Member] | ' | ' | ' | ' |
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items] | ' | ' | ' | ' |
Transfers of assets from Level 2 to Level 3 | ' | 16,400,000 | ' | ' |
Transfers of assets from Level 3 to Level 2 | 200,000 | 1,100,000 | ' | 2,400,000 |
Municipal Securities [Member] | ' | ' | ' | ' |
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items] | ' | ' | ' | ' |
Transfers of assets from Level 3 to Level 2 | ' | ' | ' | 5,400,000 |
Investments, at fair value [Member] | ' | ' | ' | ' |
Fair Value Assets And Liabilities Measured On Recurring Basis [Line Items] | ' | ' | ' | ' |
Transfers of assets from Level 2 to Level 3 | ' | $1,000,000 | ' | ' |
Fair_Value_Disclosures_Summary
Fair Value Disclosures - Summary of Valuation Bases (Pricing Information) for Financial Instruments (Detail) | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 |
Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | |
Exchange closing prices [Member] | Recently observed transaction prices [Member] | External pricing services [Member] | Broker quotes [Member] | Valuation techniques [Member] | Exchange closing prices [Member] | Recently observed transaction prices [Member] | External pricing services [Member] | Broker quotes [Member] | Valuation techniques [Member] | |||
Financial Instruments Owned And Sold Not Yet Purchased Measured Using Different Valuation Basis [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Financial Instruments Owned | 100.00% | 12.00% | 5.00% | 68.00% | 3.00% | 12.00% | 100.00% | 11.00% | 5.00% | 70.00% | 1.00% | 13.00% |
Financial Instruments Sold, Not Yet Purchased | 100.00% | 25.00% | 4.00% | 66.00% | 3.00% | 2.00% | 100.00% | 19.00% | 6.00% | 71.00% | 0.00% | 4.00% |
Fair_Value_Disclosures_Summary1
Fair Value Disclosures - Summary of Changes in Fair Value of Financial Assets Classified as Level 3 (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Feb. 28, 2013 | Nov. 30, 2013 | Nov. 30, 2012 |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Total gains/losses (realized and unrealized) | ($14,500) | ($9,400) | ($28,800) |
Corporate equity securities [Member] | Successor [Member] | ' | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Beginning Balance | ' | 13,234 | ' |
Total gains/losses (realized and unrealized) | ' | 1,551 | ' |
Purchases | ' | 3,583 | ' |
Sales | ' | -7,141 | ' |
Net transfers into/ (out of) Level 3 | ' | -1,343 | ' |
Ending Balance | ' | 9,884 | ' |
Change in unrealized gains/(losses) relating to instruments still held | ' | -419 | ' |
Corporate equity securities [Member] | Predecessor [Member] | ' | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Beginning Balance | 16,815 | ' | 13,489 |
Total gains/losses (realized and unrealized) | 200 | ' | -4,167 |
Purchases | 707 | ' | 14,760 |
Sales | 109 | ' | -7,878 |
Net transfers into/ (out of) Level 3 | -4,597 | ' | 611 |
Ending Balance | 13,234 | ' | 16,815 |
Change in unrealized gains/(losses) relating to instruments still held | 172 | ' | -6,199 |
Corporate debt securities [Member] | Successor [Member] | ' | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Beginning Balance | ' | 31,820 | ' |
Total gains/losses (realized and unrealized) | ' | -2,454 | ' |
Purchases | ' | 31,014 | ' |
Sales | ' | -34,125 | ' |
Net transfers into/ (out of) Level 3 | ' | -589 | ' |
Ending Balance | ' | 25,666 | ' |
Change in unrealized gains/(losses) relating to instruments still held | ' | -2,749 | ' |
Corporate debt securities [Member] | Predecessor [Member] | ' | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Beginning Balance | 3,631 | ' | 48,140 |
Total gains/losses (realized and unrealized) | 7,836 | ' | -1,651 |
Purchases | 11,510 | ' | 34,814 |
Sales | -1,918 | ' | -69,969 |
Settlements | ' | ' | -1,276 |
Net transfers into/ (out of) Level 3 | 10,761 | ' | -6,427 |
Ending Balance | 31,820 | ' | 3,631 |
Change in unrealized gains/(losses) relating to instruments still held | 7,833 | ' | -1,286 |
Collateralized debt obligations [Member] | Successor [Member] | ' | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Beginning Balance | ' | 24,736 | ' |
Total gains/losses (realized and unrealized) | ' | -2,309 | ' |
Purchases | ' | 45,437 | ' |
Sales | ' | -32,874 | ' |
Net transfers into/ (out of) Level 3 | ' | 2,226 | ' |
Ending Balance | ' | 37,216 | ' |
Change in unrealized gains/(losses) relating to instruments still held | ' | -8,384 | ' |
Collateralized debt obligations [Member] | Predecessor [Member] | ' | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Beginning Balance | 31,255 | ' | 47,988 |
Total gains/losses (realized and unrealized) | 3,584 | ' | 4,882 |
Purchases | 4,406 | ' | 4,369 |
Sales | -17,374 | ' | -64,915 |
Settlements | ' | ' | -3,892 |
Net transfers into/ (out of) Level 3 | 2,865 | ' | 42,823 |
Ending Balance | 24,736 | ' | 31,255 |
Change in unrealized gains/(losses) relating to instruments still held | -1,165 | ' | -1,524 |
Residential mortgage-backed securities [Member] | Successor [Member] | ' | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Beginning Balance | ' | 169,426 | ' |
Total gains/losses (realized and unrealized) | ' | -4,897 | ' |
Purchases | ' | 89,792 | ' |
Sales | ' | -150,807 | ' |
Settlements | ' | -11,007 | ' |
Net transfers into/ (out of) Level 3 | ' | 12,985 | ' |
Ending Balance | ' | 105,492 | ' |
Change in unrealized gains/(losses) relating to instruments still held | ' | -6,932 | ' |
Residential mortgage-backed securities [Member] | Predecessor [Member] | ' | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Beginning Balance | 156,069 | ' | 149,965 |
Total gains/losses (realized and unrealized) | 11,906 | ' | 36,183 |
Purchases | 132,773 | ' | 266,692 |
Sales | -130,143 | ' | -278,068 |
Settlements | -6,057 | ' | -58,005 |
Net transfers into/ (out of) Level 3 | 4,878 | ' | 39,302 |
Ending Balance | 169,426 | ' | 156,069 |
Change in unrealized gains/(losses) relating to instruments still held | 4,511 | ' | -6,445 |
Commercial mortgage-backed securities [Member] | Successor [Member] | ' | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Beginning Balance | ' | 17,794 | ' |
Total gains/losses (realized and unrealized) | ' | -4,469 | ' |
Purchases | ' | 20,130 | ' |
Sales | ' | -13,538 | ' |
Settlements | ' | -100 | ' |
Net transfers into/ (out of) Level 3 | ' | -2,249 | ' |
Ending Balance | ' | 17,568 | ' |
Change in unrealized gains/(losses) relating to instruments still held | ' | -3,794 | ' |
Commercial mortgage-backed securities [Member] | Predecessor [Member] | ' | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Beginning Balance | 30,202 | ' | 52,407 |
Total gains/losses (realized and unrealized) | -995 | ' | -7,715 |
Purchases | 2,280 | ' | 14,058 |
Sales | -2,866 | ' | -23,797 |
Settlements | -1,188 | ' | -1,241 |
Net transfers into/ (out of) Level 3 | -9,639 | ' | -3,510 |
Ending Balance | 17,794 | ' | 30,202 |
Change in unrealized gains/(losses) relating to instruments still held | -2,059 | ' | -6,042 |
Other asset-backed securities [Member] | Successor [Member] | ' | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Beginning Balance | ' | 1,292 | ' |
Total gains/losses (realized and unrealized) | ' | -4,535 | ' |
Purchases | ' | 105,291 | ' |
Sales | ' | -104,711 | ' |
Net transfers into/ (out of) Level 3 | ' | 15,274 | ' |
Ending Balance | ' | 12,611 | ' |
Change in unrealized gains/(losses) relating to instruments still held | ' | -3,497 | ' |
Other asset-backed securities [Member] | Predecessor [Member] | ' | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Beginning Balance | 1,114 | ' | 3,284 |
Total gains/losses (realized and unrealized) | 90 | ' | -20 |
Purchases | 1,627 | ' | 8,749 |
Sales | -1,342 | ' | -8,627 |
Settlements | -19 | ' | -52 |
Net transfers into/ (out of) Level 3 | -178 | ' | -2,220 |
Ending Balance | 1,292 | ' | 1,114 |
Change in unrealized gains/(losses) relating to instruments still held | 39 | ' | -32 |
Loans and other receivables [Member] | Successor [Member] | ' | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Beginning Balance | ' | 170,986 | ' |
Total gains/losses (realized and unrealized) | ' | 15,008 | ' |
Purchases | ' | 287,757 | ' |
Sales | ' | -115,231 | ' |
Settlements | ' | -211,805 | ' |
Net transfers into/ (out of) Level 3 | ' | -825 | ' |
Ending Balance | ' | 145,890 | ' |
Change in unrealized gains/(losses) relating to instruments still held | ' | 13,402 | ' |
Loans and other receivables [Member] | Predecessor [Member] | ' | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Beginning Balance | 180,393 | ' | 97,291 |
Total gains/losses (realized and unrealized) | -8,682 | ' | -2,475 |
Purchases | 105,650 | ' | 299,929 |
Sales | -29,828 | ' | -104,155 |
Settlements | -61,407 | ' | -143,960 |
Net transfers into/ (out of) Level 3 | -15,140 | ' | 33,763 |
Ending Balance | 170,986 | ' | 180,393 |
Change in unrealized gains/(losses) relating to instruments still held | -12,374 | ' | -4,335 |
Investments, at fair value [Member] | Successor [Member] | ' | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Beginning Balance | ' | 75,067 | ' |
Total gains/losses (realized and unrealized) | ' | 1,678 | ' |
Purchases | ' | 28,594 | ' |
Sales | ' | -102 | ' |
Settlements | ' | -5,012 | ' |
Net transfers into/ (out of) Level 3 | ' | 1,017 | ' |
Ending Balance | ' | 101,242 | ' |
Change in unrealized gains/(losses) relating to instruments still held | ' | 1,705 | ' |
Investments, at fair value [Member] | Predecessor [Member] | ' | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Beginning Balance | 83,897 | ' | 78,326 |
Total gains/losses (realized and unrealized) | 961 | ' | 14,965 |
Purchases | 5,952 | ' | 4,060 |
Sales | -4,923 | ' | -6 |
Settlements | -9,721 | ' | -13,448 |
Net transfers into/ (out of) Level 3 | -1,099 | ' | ' |
Ending Balance | 75,067 | ' | 83,897 |
Change in unrealized gains/(losses) relating to instruments still held | 1,171 | ' | 13,642 |
Investments in managed funds [Member] | Successor [Member] | ' | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Beginning Balance | ' | 59,976 | ' |
Total gains/losses (realized and unrealized) | ' | 9,863 | ' |
Purchases | ' | 15,651 | ' |
Sales | ' | -17 | ' |
Settlements | ' | -28,188 | ' |
Ending Balance | ' | 57,285 | ' |
Change in unrealized gains/(losses) relating to instruments still held | ' | 9,863 | ' |
Investments in managed funds [Member] | Predecessor [Member] | ' | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Beginning Balance | 57,763 | ' | 70,740 |
Total gains/losses (realized and unrealized) | -363 | ' | -11,102 |
Purchases | 11,068 | ' | 12,683 |
Settlements | -8,492 | ' | -14,558 |
Ending Balance | 59,976 | ' | 57,763 |
Change in unrealized gains/(losses) relating to instruments still held | -363 | ' | -11,101 |
Municipal securities [Member] | Predecessor [Member] | ' | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Beginning Balance | ' | ' | 6,904 |
Total gains/losses (realized and unrealized) | ' | ' | -74 |
Sales | ' | ' | -1,449 |
Net transfers into/ (out of) Level 3 | ' | ' | -5,381 |
Sovereign obligations [Member] | Predecessor [Member] | ' | ' | ' |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Beginning Balance | ' | ' | 140 |
Net transfers into/ (out of) Level 3 | ' | ' | ($140) |
Fair_Value_Disclosures_Summary2
Fair Value Disclosures - Summary of Changes in Fair Value of Financial Liabilities Classified as Level 3 (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended |
Feb. 28, 2013 | Nov. 30, 2013 | Nov. 30, 2012 | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Total gains/losses (realized and unrealized) | $2,700,000 | $5,800,000 | $2,500,000 |
Successor [Member] | Corporate equity securities [Member] | ' | ' | ' |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Ending Balance | 38,000 | 38,000 | ' |
Successor [Member] | Residential mortgage-backed securities [Member] | ' | ' | ' |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Beginning Balance | ' | 1,542,000 | ' |
Total gains/losses (realized and unrealized) | ' | -1,542,000 | ' |
Successor [Member] | Net derivatives [Member] | ' | ' | ' |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Beginning Balance | ' | 11,185,000 | ' |
Total gains/losses (realized and unrealized) | ' | 4,408,000 | ' |
Sales | ' | -300,000 | ' |
Settlements | ' | -8,515,000 | ' |
Net transfers into/ (out of) Level 3 | ' | 127,000 | ' |
Ending Balance | ' | 6,905,000 | ' |
Change in unrealized gains/(losses) relating to instruments still held | ' | 1,609,000 | ' |
Successor [Member] | Loans [Member] | ' | ' | ' |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Beginning Balance | ' | 7,398,000 | ' |
Total gains/losses (realized and unrealized) | ' | 2,959,000 | ' |
Purchases | ' | -16,027,000 | ' |
Sales | ' | 28,065,000 | ' |
Settlements | ' | 67,000 | ' |
Ending Balance | ' | 22,462,000 | ' |
Change in unrealized gains/(losses) relating to instruments still held | ' | -2,970,000 | ' |
Predecessor [Member] | Corporate equity securities [Member] | ' | ' | ' |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Beginning Balance | ' | ' | ' |
Total gains/losses (realized and unrealized) | ' | ' | 38,000 |
Purchases | ' | ' | ' |
Sales | ' | ' | ' |
Settlements | ' | ' | ' |
Net transfers into/ (out of) Level 3 | ' | ' | ' |
Ending Balance | 38,000 | ' | 38,000 |
Change in unrealized gains/(losses) relating to instruments still held | ' | ' | 38,000 |
Predecessor [Member] | Residential mortgage-backed securities [Member] | ' | ' | ' |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Total gains/losses (realized and unrealized) | 25,000 | ' | ' |
Purchases | -73,846,000 | ' | ' |
Sales | 75,363,000 | ' | ' |
Ending Balance | 1,542,000 | ' | ' |
Change in unrealized gains/(losses) relating to instruments still held | -19,000 | ' | ' |
Predecessor [Member] | Net derivatives [Member] | ' | ' | ' |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Beginning Balance | 9,188,000 | ' | 9,285,000 |
Total gains/losses (realized and unrealized) | 2,648,000 | ' | 2,505,000 |
Purchases | ' | ' | -389,000 |
Sales | ' | ' | ' |
Settlements | ' | ' | ' |
Net transfers into/ (out of) Level 3 | -651,000 | ' | -2,213,000 |
Ending Balance | 11,185,000 | ' | 9,188,000 |
Change in unrealized gains/(losses) relating to instruments still held | 2,648,000 | ' | 3,728,000 |
Predecessor [Member] | Loans [Member] | ' | ' | ' |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Beginning Balance | 1,711,000 | ' | 10,157,000 |
Total gains/losses (realized and unrealized) | ' | ' | ' |
Purchases | -1,711,000 | ' | -10,157,000 |
Sales | 7,398,000 | ' | 1,711,000 |
Settlements | ' | ' | ' |
Net transfers into/ (out of) Level 3 | ' | ' | ' |
Ending Balance | 7,398,000 | ' | 1,711,000 |
Change in unrealized gains/(losses) relating to instruments still held | ' | ' | ' |
Predecessor [Member] | Corporate debt securities [Member] | ' | ' | ' |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ' | ' | ' |
Beginning Balance | ' | ' | 74,000 |
Total gains/losses (realized and unrealized) | ' | ' | -15,000 |
Purchases | ' | ' | -59,000 |
Sales | ' | ' | ' |
Settlements | ' | ' | ' |
Net transfers into/ (out of) Level 3 | ' | ' | ' |
Ending Balance | ' | ' | ' |
Change in unrealized gains/(losses) relating to instruments still held | ' | ' | ' |
Fair_Value_Disclosures_Quantit
Fair Value Disclosures - Quantitative Information about Significant Unobservable Inputs Used in Level 3 Fair Value Measurements (Detail) (USD $) | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 |
Derivatives [Member] | Derivatives [Member] | Derivatives [Member] | Derivatives [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | |
Minimum [Member] | Loan commitments [Member] | Loan commitments [Member] | Private equity securities [Member] | Derivatives [Member] | Derivatives [Member] | Derivatives [Member] | Corporate equity securities [Member] | Corporate equity securities [Member] | Corporate equity securities [Member] | Corporate equity securities [Member] | Corporate equity securities [Member] | Corporate debt securities [Member] | Corporate debt securities [Member] | Corporate debt securities [Member] | Corporate debt securities [Member] | Corporate debt securities [Member] | Corporate debt securities [Member] | Collateralized debt obligations [Member] | Collateralized debt obligations [Member] | Collateralized debt obligations [Member] | Collateralized debt obligations [Member] | Collateralized debt obligations [Member] | Residential mortgage-backed securities [Member] | Residential mortgage-backed securities [Member] | Residential mortgage-backed securities [Member] | Residential mortgage-backed securities [Member] | Residential mortgage-backed securities [Member] | Commercial mortgage-backed securities [Member] | Commercial mortgage-backed securities [Member] | Commercial mortgage-backed securities [Member] | Other asset-backed securities [Member] | Other asset-backed securities [Member] | Other asset-backed securities [Member] | Other asset-backed securities [Member] | Other asset-backed securities [Member] | Loans and other receivables [Member] | Loans and other receivables [Member] | Loans and other receivables [Member] | Loans and other receivables [Member] | Loans and other receivables [Member] | Loans and other receivables [Member] | Loans and other receivables [Member] | Loans and other receivables [Member] | Loans and other receivables [Member] | Investments, at fair value [Member] | Investments, at fair value [Member] | Investments, at fair value [Member] | Investments, at fair value [Member] | Financial Instruments Sold, Not Yet Purchased [Member] | Financial Instruments Sold, Not Yet Purchased [Member] | Financial Instruments Sold, Not Yet Purchased [Member] | Corporate equity securities [Member] | Corporate equity securities [Member] | Corporate equity securities [Member] | Corporate equity securities [Member] | Corporate equity securities [Member] | Corporate equity securities [Member] | Collateralized debt obligations [Member] | Collateralized debt obligations [Member] | Collateralized debt obligations [Member] | Collateralized debt obligations [Member] | Residential mortgage-backed securities [Member] | Residential mortgage-backed securities [Member] | Residential mortgage-backed securities [Member] | Residential mortgage-backed securities [Member] | Residential mortgage-backed securities [Member] | Commercial mortgage-backed securities [Member] | Commercial mortgage-backed securities [Member] | Commercial mortgage-backed securities [Member] | Loans and other receivables [Member] | Loans and other receivables [Member] | Loans and other receivables [Member] | Loans and other receivables [Member] | Loans and other receivables [Member] | Loans and other receivables [Member] | Loans and other receivables [Member] | Loans and other receivables [Member] | Loans and other receivables [Member] | Investments, at fair value [Member] | Investments, at fair value [Member] | Investments, at fair value [Member] | Investments, at fair value [Member] | ||
Equity options [Member] | Maximum [Member] | Range Two [Member] | Equity options [Member] | Loan commitments [Member] | Loan commitments [Member] | Non-exchange traded securities [Member] | Non-exchange traded securities [Member] | Non-exchange traded securities [Member] | Warrants [Member] | Range One [Member] | Range Two [Member] | Range Three [Member] | Minimum [Member] | Maximum [Member] | Range One [Member] | Range Two [Member] | Range Three [Member] | Range Four [Member] | Range One [Member] | Range Two [Member] | Range Three [Member] | Range Four [Member] | Range One [Member] | Range Two [Member] | Range One [Member] | Range Two [Member] | Range Three [Member] | Range Four [Member] | Range One [Member] | Range Two [Member] | Range Three [Member] | Range Four [Member] | Minimum [Member] | Maximum [Member] | Range Five [Member] | Derivatives [Member] | Range Two [Member] | Private equity securities [Member] | Private equity securities [Member] | Derivatives [Member] | Derivatives [Member] | Derivatives [Member] | Derivatives [Member] | Non-exchange traded securities [Member] | Non-exchange traded securities [Member] | Non-exchange traded securities [Member] | Non-exchange traded securities [Member] | Warrants [Member] | Range One [Member] | Range Two [Member] | Range Three [Member] | Range One [Member] | Range Two [Member] | Range Three [Member] | Range Four [Member] | Range One [Member] | Range Two [Member] | Range One [Member] | Range Two [Member] | Range Three [Member] | Range Four [Member] | Minimum [Member] | Maximum [Member] | Range Five [Member] | Range Six [Member] | Private equity securities [Member] | Private equity securities [Member] | Private equity securities [Member] | Private equity securities [Member] | |||||||||||||||
Range One [Member] | Range One [Member] | Minimum [Member] | Maximum [Member] | Range One [Member] | Range One [Member] | Loan commitments [Member] | Equity options [Member] | Loan commitments [Member] | Range One [Member] | Range Two [Member] | Minimum [Member] | Maximum [Member] | Range One [Member] | Range One [Member] | Range Two [Member] | Range Three [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Range One [Member] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Fair Value Assets And Liabilities Measured On Unobservable Inputs [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Valuation Technique | ' | ' | ' | ' | ' | 'Option model | 'Comparable pricing | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 'Option model | 'Comparable pricing | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Market Value of Financial Instruments Sold, Not Yet Purchased | $8,398 | ' | $8,106 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $9,516,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Significant Unobservable Input(s) | ' | ' | ' | ' | ' | 'Volatility | 'Comparable bond or loan price | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 'Volatility | 'Comparable bond or loan price | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted Average | ' | ' | ' | ' | ' | 0.39 | ' | ' | ' | 4.53 | ' | ' | ' | ' | ' | 69.91 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 98.9 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Market Value of Financial Instruments Owned | ' | ' | ' | ' | ' | ' | 1,493,000 | ' | 8,034,000 | ' | ' | ' | ' | 17,699,000 | ' | ' | ' | ' | ' | 34,316,000 | ' | ' | ' | ' | 105,492,000 | ' | ' | ' | ' | 17,568,000 | ' | ' | 12,611,000 | ' | ' | ' | ' | 101,931,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 30,203,000 | ' | ' | ' | ' | ' | 16,815,000 | ' | ' | ' | ' | ' | 26,705,000 | ' | ' | ' | 156,069,000 | ' | ' | ' | ' | 30,202,000 | ' | ' | 153,365,000 | ' | ' | ' | ' | ' | ' | ' | ' | 32,751,000 | ' | ' | ' |
Valuation Technique | ' | ' | ' | ' | 'Market approach | ' | ' | 'Comparable pricing | ' | 'Market approach | ' | ' | 'Option model | ' | 'Scenario analysis | 'Comparable pricing | 'Market approach | ' | ' | ' | 'Discounted cash flows | ' | ' | ' | ' | 'Discounted cash flows | ' | ' | ' | ' | 'Discounted cash flows | ' | ' | 'Discounted cash flows | ' | ' | ' | ' | 'Comparable pricing | 'Market approach | ' | 'Scenario analysis | ' | ' | ' | ' | ' | ' | 'Comparable pricing | ' | ' | ' | ' | ' | 'Market approach | 'Scenario analysis | ' | ' | 'Option model | 'Discounted cash flows | ' | ' | ' | ' | 'Discounted cash flows | ' | ' | ' | ' | 'Discounted cash flows | ' | ' | 'Comparable pricing | 'Discounted cash flows | ' | 'Market approach | ' | ' | ' | 'Scenario analysis | ' | 'Market approach | 'Comparable pricing | 'Scenario analysis |
Significant Unobservable Input(s) | ' | ' | ' | ' | 'Discount rate | ' | ' | 'Comparable bond or loan price | ' | 'EBITDA multiple | ' | ' | 'Volatility | ' | 'Estimated recovery percentage | 'Comparable bond or loan price | 'Yield | ' | ' | ' | 'Constant prepayment rate | 'Constant default rate | 'Loss severity | 'Yield | ' | 'Constant prepayment rate | 'Constant default rate | 'Loss severity | 'Yield | ' | 'Yield | 'Cumulative loss rate | ' | 'Constant prepayment rate | 'Constant default rate | 'Loss severity | 'Yield | ' | 'Comparable bond or loan price | 'Yield | 'EBITDA multiple | 'Estimated recovery percentage | ' | ' | ' | ' | ' | ' | 'Comparable share price | ' | ' | ' | ' | ' | 'EBITDA multiple | 'Estimated recovery percentage | ' | ' | 'Volatility | 'Constant prepayment rate | 'Constant default rate | 'Loss severity | 'Yield | ' | 'Constant prepayment rate | 'Constant default rate | 'Loss severity | 'Yield | ' | 'Yield | 'Cumulative loss rate | ' | 'Comparable bond or loan price | 'Yield | 'Cumulative loss rate | 'Yield | ' | ' | 'EBITDA multiple | 'Estimated recovery percentage | ' | 'EBITDA multiple | 'Comparable share price | 'Estimated recovery percentage |
Fair Value Assumptions Expected Volatility | ' | 0.3625 | ' | 41 | ' | ' | ' | ' | ' | ' | ' | ' | 0.36 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 39 | ' | ' | ' | ' | ' | ' | 0.39 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Estimated recovery percentage | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 24.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 16.90% | 92.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 35.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 15.00% | ' | ' | ' | 50.00% |
Fair Value Inputs Yield | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 13.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 19.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Discount rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 15.00% | 30.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair Value Inputs, Earnings before Interest, Taxes, Depreciation, and Amortization Multiple | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4 | 5.5 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 6.9 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4 | 16.3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 8.3 | ' | ' | 6.6 | ' | ' |
Fair value inputs comparable bond or loan price | ' | ' | 101.88 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 69.1 | 70.5 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 91 | 101 | ' | 100.875 | ' | ' | ' | ' | ' | ' | 101.13 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 81.88 | 101.25 | ' | ' | ' | ' | ' | ' |
Fair value inputs comparable share price | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $414 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $400 | ' |
Range, Minimum | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.00% | 2.00% | 30.00% | 3.00% | ' | ' | 2.00% | 1.00% | 30.00% | 0.00% | ' | 12.00% | 5.00% | ' | 4.00% | 2.00% | 40.00% | 3.00% | ' | ' | 8.75% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.00% | 0.00% | 13.00% | 10.00% | ' | 0.00% | 0.00% | 0.00% | 1.00% | ' | 22.00% | 2.00% | ' | ' | ' | ' | 5.00% | ' | ' | ' | ' | ' | ' | ' | ' |
Range, Maximum | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 20.00% | 3.00% | 85.00% | 91.00% | ' | ' | 50.00% | 100.00% | 90.00% | 20.00% | ' | 20.00% | 28.20% | ' | 30.00% | 11.00% | 92.00% | 29.00% | ' | ' | 13.50% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 5.00% | 10.00% | 75.00% | 35.00% | ' | 25.00% | 50.00% | 80.00% | 50.00% | ' | 57.00% | 20.00% | ' | ' | ' | ' | 54.00% | ' | ' | ' | ' | ' | ' | ' | ' |
Weighted Average, percentage | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 13.00% | 2.00% | 38.00% | 28.00% | ' | 11.00% | 17.00% | 48.00% | 7.00% | ' | 14.00% | 11.00% | ' | 17.00% | 7.00% | 64.00% | 18.00% | ' | ' | 10.00% | ' | 74.00% | ' | ' | ' | ' | 23.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cumulative loss rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair_Value_Disclosures_Summary3
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 $) | 9 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | |||
In Thousands, unless otherwise specified | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2012 | Feb. 28, 2013 | Nov. 30, 2012 |
Successor [Member] | Successor [Member] | Successor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | |
Loans [Member] | Loan commitments [Member] | Loans [Member] | Loan commitments [Member] | Loan commitments [Member] | ||||
Financial Instruments Owned: | ' | ' | ' | ' | ' | ' | ' | ' |
Loans and other receivables | $15,327 | ' | ' | $3,924 | $24,547 | ' | ' | ' |
Financial Instruments Sold: | ' | ' | ' | ' | ' | ' | ' | ' |
Loan commitments | ' | ($32) | ($1,007) | ' | ' | ($55) | ($2,746) | ($7,155) |
Fair_Value_Disclosures_Summary4
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 $) | Nov. 30, 2013 | Nov. 30, 2012 |
In Thousands, unless otherwise specified | Successor [Member] | Predecessor [Member] |
Financial Instruments Owned: | ' | ' |
Loans and other receivables | $264,896 | $256,271 |
Loans greater than 90 days past due | ' | $10,433 |
Fair_Value_Disclosures_Summary5
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 (Parenthetical) (Detail) (USD $) | Nov. 30, 2013 | Nov. 30, 2012 |
In Millions, unless otherwise specified | Successor [Member] | Predecessor [Member] |
Gain (Loss) on Investments [Line Items] | ' | ' |
Aggregate fair value of loans | $0 | $34.70 |
Derivative_Financial_Instrumen2
Derivative Financial Instruments - Fair Value and Related Number of Derivative Contracts Categorized by Type of Derivative Contract (Detail) (USD $) | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 |
In Thousands, unless otherwise specified | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] |
Interest rate contracts [Member] | Foreign exchange contracts [Member] | Equity contracts [Member] | Commodity contracts [Member] | Credit contracts: centrally cleared swaps [Member] | Credit contracts: other credit derivatives [Member] | Interest rate contracts [Member] | Foreign exchange contracts [Member] | Equity contracts [Member] | Commodity contracts [Member] | Credit contracts [Member] | |||
Contract | Contract | Contract | Contract | Contract | Contract | Contract | Contract | Contract | Contract | Contract | |||
Derivatives, Fair Value [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair Value, Assets | $2,514,682 | $1,165,976 | $653,772 | $501,784 | $141,280 | $49,531 | $2,339 | $2,289,414 | $1,053,974 | $387,325 | $577,964 | $265,703 | $4,448 |
Number of Contracts, Assets | ' | 63,967 | 118,707 | 1,742,343 | 797,529 | 49 | 16 | ' | 69,966 | 118,958 | 1,526,127 | 754,987 | 13 |
Fair Value, Liabilities | 2,532,690 | 1,131,166 | 693,658 | 474,985 | 173,119 | 51,632 | 8,130 | 2,310,837 | 1,134,620 | 357,277 | 528,979 | 278,660 | 11,301 |
Number of Contracts, Liabilities | ' | 77,338 | 112,417 | 1,800,603 | 788,717 | 46 | 19 | ' | 92,586 | 116,758 | 1,396,213 | 728,696 | 40 |
Counterparty/cash-collateral netting, Assets | -2,253,589 | ' | ' | ' | ' | ' | ' | -1,921,122 | ' | ' | ' | ' | ' |
Counterparty/cash-collateral netting, Liabilities | -2,352,611 | ' | ' | ' | ' | ' | ' | -2,068,750 | ' | ' | ' | ' | ' |
Total Derivative Assets per Consolidated Statement of Financial Condition | 261,093 | ' | ' | ' | ' | ' | ' | 368,292 | ' | ' | ' | ' | ' |
Total Derivative Liabilities per Consolidated Statement of Financial Condition | $180,079 | ' | ' | ' | ' | ' | ' | $242,087 | ' | ' | ' | ' | ' |
Derivative_Financial_Instrumen3
Derivative Financial Instruments - Unrealized and Realized Gains (Losses) on Derivative Contracts (Detail) (USD $) | 9 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | |||||||||||
In Thousands, unless otherwise specified | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 |
Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | |
Interest rate contracts [Member] | Foreign exchange contracts [Member] | Equity contracts [Member] | Commodity contracts [Member] | Credit contracts [Member] | Interest rate contracts [Member] | Interest rate contracts [Member] | Interest rate contracts [Member] | Foreign exchange contracts [Member] | Foreign exchange contracts [Member] | Foreign exchange contracts [Member] | Equity contracts [Member] | Equity contracts [Member] | Equity contracts [Member] | Commodity contracts [Member] | Commodity contracts [Member] | Commodity contracts [Member] | Credit contracts [Member] | Credit contracts [Member] | Credit contracts [Member] | |||||
Derivative Instruments, Gain (Loss) [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unrealized and realized gains (losses) | $174,077 | $132,661 | $4,937 | $3,783 | $45,546 | ($12,850) | $44,653 | ($53,039) | ($389,745) | $38,936 | ($35,524) | ($204,403) | $11,895 | $9,076 | $2,243 | ($22,021) | ($83,817) | ($279,488) | $19,585 | $77,285 | $74,282 | ($3,742) | ($20,059) | $17,621 |
Derivative_Financial_Instrumen4
Derivative Financial Instruments - Remaining Contract Maturity of Fair Value of OTC Derivative Assets and Liabilities (Detail) (USD $) | Nov. 30, 2013 |
In Thousands, unless otherwise specified | |
Remaining Contract Maturity Of Fair Value Of Over Counter Derivative Assets And Liabilities [Line Items] | ' |
Total OTC derivative assets included in Financial instruments owned | $426,650 |
Successor [Member] | ' |
Remaining Contract Maturity Of Fair Value Of Over Counter Derivative Assets And Liabilities [Line Items] | ' |
OTC derivative assets having maturity period of 0 to 12 months | 234,916 |
OTC derivative assets having maturity period of 1 to 5 years | 127,752 |
OTC derivative assets having maturity period of greater than 5 years | 129,448 |
OTC derivative assets cross-maturity netting | -63,380 |
Total OTC derivative assets, net of cross-maturity netting | 428,736 |
Cross product counterparty netting | -2,086 |
Total OTC derivative assets included in Financial instruments owned | 426,650 |
OTC derivative liabilities having maturity period of 0 to 12 months | 215,742 |
OTC derivative liabilities having maturity period of 1 to 5 years | 175,352 |
OTC derivative liabilities having maturity period of greater than 5 years | 141,278 |
OTC derivative liabilities cross-maturity netting | -60,796 |
Total OTC derivative liabilities, net of cross-maturity netting | 471,576 |
Cross product counterparty netting | -2,086 |
Total OTC derivative liabilities included in Financial instruments sold, not yet purchased | 469,490 |
Successor [Member] | Commodity swaps, options and forwards [Member] | ' |
Remaining Contract Maturity Of Fair Value Of Over Counter Derivative Assets And Liabilities [Line Items] | ' |
OTC derivative assets having maturity period of 0 to 12 months | 43,519 |
OTC derivative assets having maturity period of 1 to 5 years | 699 |
OTC derivative assets having maturity period of greater than 5 years | ' |
OTC derivative assets cross-maturity netting | -198 |
Total OTC derivative assets, net of cross-maturity netting | 44,020 |
OTC derivative liabilities having maturity period of 0 to 12 months | 69,380 |
OTC derivative liabilities having maturity period of 1 to 5 years | 203 |
OTC derivative liabilities having maturity period of greater than 5 years | ' |
OTC derivative liabilities cross-maturity netting | -198 |
Total OTC derivative liabilities, net of cross-maturity netting | 69,385 |
Successor [Member] | Credit default swaps [Member] | ' |
Remaining Contract Maturity Of Fair Value Of Over Counter Derivative Assets And Liabilities [Line Items] | ' |
OTC derivative assets having maturity period of 0 to 12 months | ' |
OTC derivative assets having maturity period of 1 to 5 years | ' |
OTC derivative assets having maturity period of greater than 5 years | 413 |
OTC derivative assets cross-maturity netting | ' |
Total OTC derivative assets, net of cross-maturity netting | 413 |
OTC derivative liabilities having maturity period of 0 to 12 months | 174 |
OTC derivative liabilities having maturity period of 1 to 5 years | 3,539 |
OTC derivative liabilities having maturity period of greater than 5 years | 1,263 |
OTC derivative liabilities cross-maturity netting | ' |
Total OTC derivative liabilities, net of cross-maturity netting | 4,976 |
Successor [Member] | Equity swaps and options [Member] | ' |
Remaining Contract Maturity Of Fair Value Of Over Counter Derivative Assets And Liabilities [Line Items] | ' |
OTC derivative assets having maturity period of 0 to 12 months | 4,394 |
OTC derivative assets having maturity period of 1 to 5 years | ' |
OTC derivative assets having maturity period of greater than 5 years | ' |
OTC derivative assets cross-maturity netting | ' |
Total OTC derivative assets, net of cross-maturity netting | 4,394 |
OTC derivative liabilities having maturity period of 0 to 12 months | ' |
OTC derivative liabilities having maturity period of 1 to 5 years | ' |
OTC derivative liabilities having maturity period of greater than 5 years | 3,332 |
OTC derivative liabilities cross-maturity netting | ' |
Total OTC derivative liabilities, net of cross-maturity netting | 3,332 |
Successor [Member] | Total return swaps [Member] | ' |
Remaining Contract Maturity Of Fair Value Of Over Counter Derivative Assets And Liabilities [Line Items] | ' |
OTC derivative assets having maturity period of 0 to 12 months | 948 |
OTC derivative assets having maturity period of 1 to 5 years | ' |
OTC derivative assets having maturity period of greater than 5 years | ' |
OTC derivative assets cross-maturity netting | ' |
Total OTC derivative assets, net of cross-maturity netting | 948 |
OTC derivative liabilities having maturity period of 0 to 12 months | 5,002 |
OTC derivative liabilities having maturity period of 1 to 5 years | ' |
OTC derivative liabilities having maturity period of greater than 5 years | ' |
OTC derivative liabilities cross-maturity netting | ' |
Total OTC derivative liabilities, net of cross-maturity netting | 5,002 |
Successor [Member] | Foreign currency forwards, swaps and options [Member] | ' |
Remaining Contract Maturity Of Fair Value Of Over Counter Derivative Assets And Liabilities [Line Items] | ' |
OTC derivative assets having maturity period of 0 to 12 months | 89,072 |
OTC derivative assets having maturity period of 1 to 5 years | 37,798 |
OTC derivative assets having maturity period of greater than 5 years | 52 |
OTC derivative assets cross-maturity netting | -11,192 |
Total OTC derivative assets, net of cross-maturity netting | 115,730 |
OTC derivative liabilities having maturity period of 0 to 12 months | 117,044 |
OTC derivative liabilities having maturity period of 1 to 5 years | 47,258 |
OTC derivative liabilities having maturity period of greater than 5 years | ' |
OTC derivative liabilities cross-maturity netting | -8,608 |
Total OTC derivative liabilities, net of cross-maturity netting | 155,694 |
Successor [Member] | Interest rate swaps, options and forwards [Member] | ' |
Remaining Contract Maturity Of Fair Value Of Over Counter Derivative Assets And Liabilities [Line Items] | ' |
OTC derivative assets having maturity period of 0 to 12 months | 96,983 |
OTC derivative assets having maturity period of 1 to 5 years | 89,255 |
OTC derivative assets having maturity period of greater than 5 years | 128,983 |
OTC derivative assets cross-maturity netting | -51,990 |
Total OTC derivative assets, net of cross-maturity netting | 263,231 |
OTC derivative liabilities having maturity period of 0 to 12 months | 24,142 |
OTC derivative liabilities having maturity period of 1 to 5 years | 124,352 |
OTC derivative liabilities having maturity period of greater than 5 years | 136,683 |
OTC derivative liabilities cross-maturity netting | -51,990 |
Total OTC derivative liabilities, net of cross-maturity netting | $233,187 |
Derivative_Financial_Instrumen5
Derivative Financial Instruments - Remaining Contract Maturity of Fair Value of OTC Derivative Assets and Liabilities (Parenthetical) (Detail) (Successor [Member], USD $) | Nov. 30, 2013 |
In Millions, unless otherwise specified | |
Successor [Member] | ' |
Remaining Contract Maturity Of Fair Value Of Over Counter Derivative Assets And Liabilities [Line Items] | ' |
Exchange traded derivative assets | $43.10 |
Cash collateral received | 208.6 |
Exchange traded derivative liabilities, with fair value | 18.2 |
Cash collateral pledged | $307.70 |
Derivative_Financial_Instrumen6
Derivative Financial Instruments - Counterparty Credit Quality with Respect to Fair Value of OTC Derivatives Assets (Detail) (USD $) | Nov. 30, 2013 |
In Thousands, unless otherwise specified | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | ' |
Fair value of OTC derivatives assets, Counterparty credit quality, A- or higher | $251,967 |
Fair value of OTC derivatives assets, Counterparty credit quality, BBB- to BBB+ | 18,541 |
Fair value of OTC derivatives assets, Counterparty credit quality, BB+ or lower | 95,072 |
Fair value of OTC derivatives assets, Counterparty credit quality, Unrated | 61,070 |
Fair value of Over the Counter Derivatives Assets Counterparty credit quality | $426,650 |
Derivative_Financial_Instrumen7
Derivative Financial Instruments - Additional Information (Detail) (USD $) | Nov. 30, 2013 | Nov. 30, 2012 |
In Millions, unless otherwise specified | ||
Derivative Instruments And Hedging Activities Disclosure [Abstract] | ' | ' |
Fair value of derivative instruments in a liability position | $170.20 | $164.80 |
Collateral posted for derivative instruments in a liability position | 127.7 | 129.2 |
Additional collateral required for derivative instruments in a liability position | $49.40 | $38.10 |
Collateralized_Transactions_Ad
Collateralized Transactions - Additional Information (Detail) (USD $) | Nov. 30, 2013 | Nov. 30, 2012 |
In Thousands, unless otherwise specified | ||
Collateralized Securities Transactions [Abstract] | ' | ' |
Fair value of securities received as collateral | $21,952,935 | $21,118,800 |
Securities received as collateral | $11,100 | $0 |
Collateralized_Transactions_Fa
Collateralized Transactions - Fair Value of Securities Received as Collateral (Detail) (USD $) | Nov. 30, 2013 | Nov. 30, 2012 |
In Thousands, unless otherwise specified | ||
Collateralized Securities Transactions [Line Items] | ' | ' |
Securities received as collateral | $11,100 | $0 |
Fair value of securities received as collateral | -21,952,935 | -21,118,800 |
Successor [Member] | ' | ' |
Collateralized Securities Transactions [Line Items] | ' | ' |
Securities purchased under agreements to resell | 3,746,920 | ' |
Securities borrowed | 5,359,846 | ' |
Securities received as collateral | 11,063 | ' |
Total assets on Consolidated Statement of Financial Condition | 9,117,829 | ' |
Netting of securities purchased under agreements to resell | 8,968,529 | ' |
Total | 18,086,358 | ' |
Fair value of additional collateral received | 3,866,577 | ' |
Fair value of securities received as collateral | 21,952,935 | ' |
Predecessor [Member] | ' | ' |
Collateralized Securities Transactions [Line Items] | ' | ' |
Securities purchased under agreements to resell | ' | 3,357,602 |
Securities borrowed | ' | 5,094,679 |
Total assets on Consolidated Statement of Financial Condition | ' | 8,452,281 |
Netting of securities purchased under agreements to resell | ' | 9,982,752 |
Total | ' | 18,435,033 |
Fair value of additional collateral received | ' | 2,683,767 |
Fair value of securities received as collateral | ' | $21,118,800 |
Collateralized_Transactions_Fa1
Collateralized Transactions - Fair Value of Securities Received as Collateral (Parenthetical) (Detail) (USD $) | Nov. 30, 2013 | Nov. 30, 2012 |
In Millions, unless otherwise specified | Successor [Member] | Predecessor [Member] |
Collateralized Securities Transactions [Line Items] | ' | ' |
Fair value of collateral received | $1,182.10 | $1,252.60 |
Rehypothecated value | 596.2 | 727.7 |
Collateral received on securities for securities transactions | $2,656.90 | $1,378.80 |
Securitization_Activities_Addi
Securitization Activities - Additional Information (Detail) (USD $) | Nov. 30, 2013 |
In Millions, unless otherwise specified | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | ' |
Carrying value of assets | $8.70 |
Carrying value of liabilities | $8.70 |
Securitization_Activities_Acti
Securitization Activities - Activity Related to Securitizations Accounted for as Sales (Detail) (USD $) | 9 Months Ended | 3 Months Ended | 12 Months Ended | |
In Millions, unless otherwise specified | Nov. 30, 2013 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 |
Successor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | |
Securitization Vehicles [Line Items] | ' | ' | ' | ' |
Transferred assets | $4,592.50 | $2,735.20 | $10,869.80 | $12,539.60 |
Proceeds on new securitizations | 4,609 | 2,751.30 | 10,910.80 | 12,611 |
Net revenues | 10.7 | 12.9 | 35.4 | 82.7 |
Cash flows received on retained interests | $35.60 | $32.30 | $64.30 | $103.60 |
Securitization_Activities_Summ
Securitization Activities - Summary of Retained Interests in SPEs (Detail) (USD $) | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 |
In Millions, unless otherwise specified | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] |
U.S. government agency residential mortgage-backed securities [Member] | U.S. government agency commercial mortgage-backed securities [Member] | Collateralized loan obligations securitizations [Member] | U.S. government agency residential mortgage-backed securities [Member] | U.S. government agency commercial mortgage-backed securities [Member] | |||
Securitization Vehicles [Line Items] | ' | ' | ' | ' | ' | ' | ' |
Total RMBS securitization assets | $11,518.40 | ' | ' | ' | $3,791.50 | ' | ' |
Total CMBS securitization assets | 5,385.60 | ' | ' | ' | 2,193.40 | ' | ' |
Total Collateralized loan obligations | 728.5 | ' | ' | ' | ' | ' | ' |
Fair Value of Securitizations Initially Retained | ' | $281.30 | $96.80 | $9 | ' | $335.20 | $28.90 |
Variable_Interest_Entities_Ass
Variable Interest Entities - Assets and Liabilities of Consolidated VIEs Prior to Consolidation (Detail) (USD $) | Nov. 30, 2012 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 | Nov. 30, 2010 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2013 | Feb. 28, 2013 | Nov. 30, 2013 | Nov. 30, 2013 |
In Thousands, unless otherwise specified | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | |
Securitization Vehicles [Member] | Other [Member] | High Yield [Member] | Securitization Vehicles [Member] | Other [Member] | ||||||||
Assets and Liabilities of Consolidated VIEs [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Cash | ' | $3,017,958 | $2,692,595 | $2,393,797 | $2,188,998 | ' | $200 | $388,100 | $3,561,119 | $3,017,958 | ' | $200 |
Financial instruments owned | ' | ' | 16,670,391 | ' | ' | 10,000 | 500 | 894,200 | 16,650,043 | ' | 97,500 | 400 |
Securities borrowed | ' | ' | 5,094,679 | ' | ' | ' | ' | 372,100 | 5,359,846 | ' | ' | ' |
Securities purchased under agreement to resell | ' | ' | 3,357,602 | ' | ' | 60,000 | ' | ' | 3,746,920 | ' | 195,100 | ' |
Receivable from brokers and dealers | ' | ' | 1,424,027 | ' | ' | ' | ' | 264,500 | 2,119,279 | ' | ' | ' |
Other | ' | ' | 662,713 | ' | ' | ' | ' | 11,400 | 1,130,136 | ' | 2,300 | ' |
Total assets | ' | ' | 36,293,541 | ' | ' | 70,000 | 700 | 1,930,300 | 40,176,996 | ' | 294,900 | 600 |
Financial instruments sold, not yet purchased | ' | ' | 7,455,463 | ' | ' | ' | ' | 526,100 | 7,271,613 | ' | ' | ' |
Securities loaned | ' | ' | 1,934,355 | ' | ' | ' | ' | 112,000 | 2,506,122 | ' | ' | ' |
Payable to brokers and dealers | ' | ' | 2,819,677 | ' | ' | ' | ' | 201,200 | 1,281,253 | ' | ' | ' |
Mandatorily redeemable interests | 348,051 | ' | 348,051 | ' | ' | ' | ' | 1,076,000 | ' | ' | ' | ' |
Other secured financings | ' | ' | ' | ' | ' | 70,000 | ' | ' | ' | ' | 292,500 | ' |
Other | ' | ' | ' | ' | ' | ' | 200 | 15,000 | ' | ' | 2,100 | 200 |
Total liabilities | ' | ' | $32,510,788 | ' | ' | $70,000 | $200 | $1,930,300 | $34,755,322 | ' | $294,600 | $200 |
Variable_Interest_Entities_Ass1
Variable Interest Entities - Assets and Liabilities of Consolidated VIEs Prior to Consolidation (Parenthetical) (Detail) (USD $) | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2013 |
Predecessor [Member] | Securitization Vehicles [Member] | Securitization Vehicles [Member] | ||
Predecessor [Member] | Successor [Member] | |||
Assets and Liabilities of Consolidated VIEs [Line Items] | ' | ' | ' | ' |
Carrying amount of mandatorily redeemable preferred interest of consolidated subsidiaries | $348,051,000 | $348,051,000 | ' | ' |
Secured financing included in inventory and eliminated | ' | ' | $7,700,000 | $66,500,000 |
Variable_Interest_Entities_Con
Variable Interest Entities - Consolidated VIEs - Additional Information (Detail) (USD $) | Nov. 30, 2013 | Feb. 28, 2013 | Nov. 30, 2012 |
High Yield [Member] | High Yield [Member] | ||
Assets and Liabilities of Consolidated VIEs [Line Items] | ' | ' | ' |
Carrying amount of variable interest as debt, equity and partnership interest | $167,000 | ' | $389,400,000 |
Cash payable to redeemed third party interest in consolidated VIEs | ' | $347,600,000 | ' |
Variable_Interest_Entities_Non
Variable Interest Entities - Non consolidated VIEs - Additional Information (Detail) (USD $) | 12 Months Ended | |
Nov. 30, 2013 | Nov. 30, 2012 | |
Assets and Liabilities of Consolidated VIEs [Line Items] | ' | ' |
Additional financial support to securitization of vehicles | $0 | $0 |
Liabilities related to these securitization of vehicles | 0 | 0 |
Carrying value of our variable interest | 167,000 | ' |
Maximum exposure to loss under the forward sale agreement | 76,900,000 | ' |
Jefferies Employee Partners IV, LLC [Member] | ' | ' |
Assets and Liabilities of Consolidated VIEs [Line Items] | ' | ' |
Carrying amount of equity investment | 1,600,000 | 1,500,000 |
Funded loan commitments | ' | 32,700,000 |
Jefferies Employee Partners IV, LLC [Member] | Maximum [Member] | ' | ' |
Assets and Liabilities of Consolidated VIEs [Line Items] | ' | ' |
Aggregate principal amount of agreement | 0 | 37,500,000 |
USA Fund [Member] | ' | ' |
Assets and Liabilities of Consolidated VIEs [Line Items] | ' | ' |
Equity investment in Jefferies SBI USA Fund L.P. (the "USA Fund") | 75,000,000 | ' |
Funded Equity Commitments | 47,000,000 | 27,100,000 |
Carrying amount of equity investment | 39,200,000 | 20,800,000 |
Collateralized loan obligations securitizations [Member] | Variable Interest Entity Not Primary Beneficiary [Member] | ' | ' |
Assets and Liabilities of Consolidated VIEs [Line Items] | ' | ' |
Fair value of debt securities of variable interests entities | $2,900,000 | $5,300,000 |
Variable_Interest_Entities_Non1
Variable Interest Entities - Non-Consolidated Variable Interest Entities (Detail) (Variable Interest Entity Not Primary Beneficiary [Member], USD $) | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 |
In Millions, unless otherwise specified | Collateralized loan obligations securitizations [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] |
Collateralized loan obligations securitizations [Member] | Agency mortgage- and asset-backed securitizations [Member] | Non-agency mortgage- and asset-backed securitizations [Member] | Asset management vehicle [Member] | Private equity vehicles [Member] | Collateralized loan obligations securitizations [Member] | Agency mortgage- and asset-backed securitizations [Member] | Non-agency mortgage- and asset-backed securitizations [Member] | Asset management vehicle [Member] | Private equity vehicles [Member] | ||||
Assets and Liabilities of Consolidated VIEs [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Financial Statement Carrying Amount | $11.90 | $2,122.30 | $11.90 | $1,226 | $840.10 | $3.50 | $40.80 | $2,456.50 | $5.30 | $1,579.10 | $814.10 | $3 | $55 |
Maximum exposure to loss in non-consolidated VIEs | ' | 2,150.30 | 11.9 | 1,226 | 840.1 | 3.5 | 68.8 | 2,509.20 | 5.3 | 1,579.10 | 814.1 | 3 | 107.7 |
Size of the variable interest entity measured by total assets | ' | $85,594 | $1,122.30 | $5,857.30 | $78,070.80 | $454.20 | $89.40 | $61,919.90 | $499.70 | $6,396.60 | $54,436.20 | $505.30 | $82.10 |
Variable_Interest_Entities_Sum
Variable Interest Entities - Summary of Securities Issued by Securitization Vehicles (Detail) (Variable Interest Entity Not Primary Beneficiary [Member], USD $) | Nov. 30, 2013 |
In Millions, unless otherwise specified | |
Mortgage- and asset-backed securitization activity - Agency [Member] | ' |
Assets and Liabilities of Consolidated VIEs [Line Items] | ' |
Carrying Amount | $1,226 |
Mortgage- and asset- backed securitization activity - Non-agency [Member] | ' |
Assets and Liabilities of Consolidated VIEs [Line Items] | ' |
Carrying Amount | 840.1 |
Mortgage- and Asset-backed Vehicles [Member] | ' |
Assets and Liabilities of Consolidated VIEs [Line Items] | ' |
Carrying Amount | 4,473.10 |
Collateralized loan obligations securitizations [Member] | ' |
Assets and Liabilities of Consolidated VIEs [Line Items] | ' |
Carrying Amount | 11.9 |
Residential mortgage-backed securities [Member] | ' |
Assets and Liabilities of Consolidated VIEs [Line Items] | ' |
Carrying Amount | 1,723.30 |
Commercial mortgage-backed securities [Member] | ' |
Assets and Liabilities of Consolidated VIEs [Line Items] | ' |
Carrying Amount | 609.8 |
Collateralized debt obligations [Member] | ' |
Assets and Liabilities of Consolidated VIEs [Line Items] | ' |
Carrying Amount | 27.9 |
Other asset-backed securities [Member] | ' |
Assets and Liabilities of Consolidated VIEs [Line Items] | ' |
Carrying Amount | 34.1 |
Nonagency [Member] | ' |
Assets and Liabilities of Consolidated VIEs [Line Items] | ' |
Carrying Amount | 997 |
Nonagency [Member] | Mortgage- and asset-backed securitization activity - Agency [Member] | ' |
Assets and Liabilities of Consolidated VIEs [Line Items] | ' |
Carrying Amount | ' |
Nonagency [Member] | Mortgage- and asset- backed securitization activity - Non-agency [Member] | ' |
Assets and Liabilities of Consolidated VIEs [Line Items] | ' |
Carrying Amount | 840.1 |
Nonagency [Member] | Collateralized loan obligations securitizations [Member] | ' |
Assets and Liabilities of Consolidated VIEs [Line Items] | ' |
Carrying Amount | 11.9 |
Nonagency [Member] | Residential mortgage-backed securities [Member] | Mortgage- and asset- backed securitization activity - Non-agency [Member] | ' |
Assets and Liabilities of Consolidated VIEs [Line Items] | ' |
Carrying Amount | 55.1 |
Nonagency [Member] | Commercial mortgage-backed securities [Member] | Mortgage- and asset- backed securitization activity - Non-agency [Member] | ' |
Assets and Liabilities of Consolidated VIEs [Line Items] | ' |
Carrying Amount | 27.9 |
Nonagency [Member] | Collateralized debt obligations [Member] | Mortgage- and asset- backed securitization activity - Non-agency [Member] | ' |
Assets and Liabilities of Consolidated VIEs [Line Items] | ' |
Carrying Amount | 27.9 |
Nonagency [Member] | Other asset-backed securities [Member] | Mortgage- and asset- backed securitization activity - Non-agency [Member] | ' |
Assets and Liabilities of Consolidated VIEs [Line Items] | ' |
Carrying Amount | 34.1 |
Agency [Member] | ' |
Assets and Liabilities of Consolidated VIEs [Line Items] | ' |
Carrying Amount | 3,476.10 |
Agency [Member] | Mortgage- and asset-backed securitization activity - Agency [Member] | ' |
Assets and Liabilities of Consolidated VIEs [Line Items] | ' |
Carrying Amount | 1,226 |
Agency [Member] | Mortgage- and asset- backed securitization activity - Non-agency [Member] | ' |
Assets and Liabilities of Consolidated VIEs [Line Items] | ' |
Carrying Amount | ' |
Agency [Member] | Collateralized loan obligations securitizations [Member] | ' |
Assets and Liabilities of Consolidated VIEs [Line Items] | ' |
Carrying Amount | ' |
Agency [Member] | Residential mortgage-backed securities [Member] | Mortgage- and asset-backed securitization activity - Agency [Member] | ' |
Assets and Liabilities of Consolidated VIEs [Line Items] | ' |
Carrying Amount | 1,668.20 |
Agency [Member] | Commercial mortgage-backed securities [Member] | Mortgage- and asset-backed securitization activity - Agency [Member] | ' |
Assets and Liabilities of Consolidated VIEs [Line Items] | ' |
Carrying Amount | 581.9 |
Agency [Member] | Collateralized debt obligations [Member] | Mortgage- and asset-backed securitization activity - Agency [Member] | ' |
Assets and Liabilities of Consolidated VIEs [Line Items] | ' |
Carrying Amount | ' |
Agency [Member] | Other asset-backed securities [Member] | Mortgage- and asset-backed securitization activity - Agency [Member] | ' |
Assets and Liabilities of Consolidated VIEs [Line Items] | ' |
Carrying Amount | ' |
Investments_Jefferies_Finance_
Investments - Jefferies Finance - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Feb. 28, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2012 | Nov. 30, 2011 | |
Guarantee Obligations [Line Items] | ' | ' | ' | ' | ' |
Equity commitments to JFIN | ' | $600,000,000 | $600,000,000 | ' | ' |
Total committed equity capitalization of JIFN | ' | 1,200,000,000 | 1,200,000,000 | ' | ' |
Increase in equity commitment to JFIN | ' | 100,000,000 | 100,000,000 | ' | ' |
Funded portion of equity commitment to subsidiary | ' | 337,300,000 | 337,300,000 | 107,500,000 | ' |
Unfunded portion of equity commitment to subsidiary | ' | 262,700,000 | 262,700,000 | 392,500,000 | ' |
Investment maturity date | ' | 1-Mar-16 | ' | ' | ' |
Commitment | ' | ' | ' | 500,000,000 | ' |
Committed line of credit facility amount | ' | 700,000,000 | 700,000,000 | ' | ' |
Loan maturity description | ' | ' | 'Scheduled to mature on March 1, 2016 with automatic one year extensions subject to a 60 day termination notice by either party | ' | ' |
Extension period | ' | ' | '1 year | ' | ' |
Termination notice period | ' | ' | '60 days | ' | ' |
Loan commitment | ' | 350,000,000 | 350,000,000 | 500,000,000 | ' |
Interest income | ' | 1,500,000 | ' | ' | ' |
Unfunded commitment fees | ' | 1,200,000 | ' | ' | ' |
Funded portion of loan commitment | ' | 123,800,000 | 123,800,000 | 125,000,000 | ' |
Net underwriting fees paid by JFIN related to originations of loans by JFIN | 39,900,000 | 125,800,000 | ' | 123,100,000 | 60,800,000 |
Fees paid to JFIN related to origination of loans by JFIN | 800,000 | 12,000,000 | ' | 8,700,000 | 21,500,000 |
Payment for the purchase of participation certificates in loans originated by JFIN | ' | ' | ' | 900,000,000 | 477,200,000 |
Secured Revolving Credit Facility [Member] | ' | ' | ' | ' | ' |
Guarantee Obligations [Line Items] | ' | ' | ' | ' | ' |
Interest income | 4,100,000 | ' | ' | 8,400,000 | ' |
Unfunded commitment fees | 300,000 | ' | ' | 1,800,000 | ' |
Reduction [Member] | ' | ' | ' | ' | ' |
Guarantee Obligations [Line Items] | ' | ' | ' | ' | ' |
Committed line of credit facility amount | ' | 300,000,000 | 300,000,000 | ' | ' |
Jefferies Finance, LLC [Member] | ' | ' | ' | ' | ' |
Guarantee Obligations [Line Items] | ' | ' | ' | ' | ' |
Net income earnings | ' | ' | 133,000,000 | 128,600,000 | 88,400,000 |
Administrative services | 15,700,000 | 14,200,000 | ' | 26,800,000 | 20,900,000 |
Receivables from loan core under service agreement | ' | $31,100,000 | $31,100,000 | $32,100,000 | ' |
Investments_Summary_of_Selecte
Investments - Summary of Selected Financial Information for Jefferies Finance (Detail) (Jefferies Finance, LLC [Member], USD $) | Nov. 30, 2013 | Nov. 30, 2012 |
In Millions, unless otherwise specified | ||
Jefferies Finance, LLC [Member] | ' | ' |
Total assets | $3,269.50 | $1,730.40 |
Total liabilities | 2,594.30 | 1,188.20 |
Total equity | 675.2 | 542.2 |
Our total equity balance | $337.60 | $271.10 |
Investments_Jefferies_LoanCore
Investments - Jefferies LoanCore - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Feb. 28, 2013 | Nov. 30, 2013 | Nov. 30, 2011 | Nov. 30, 2013 | Nov. 30, 2012 | |
Guarantee Obligations [Line Items] | ' | ' | ' | ' | ' |
Aggregate commitment | ' | ' | ' | ' | $500,000,000 |
Equity commitment | ' | 600,000,000 | ' | 600,000,000 | ' |
Jefferies LoanCore, LLC [Member] | ' | ' | ' | ' | ' |
Guarantee Obligations [Line Items] | ' | ' | ' | ' | ' |
Aggregate commitment | ' | 600,000,000 | ' | 600,000,000 | ' |
Funded portion of equity commitment to subsidiary | ' | ' | ' | 175,500,000 | 110,000,000 |
Equity commitment | ' | 291,000,000 | ' | 291,000,000 | ' |
Percentage of the Variable Interest Entity's (VIE) voting interest | ' | 48.50% | ' | 48.50% | ' |
Net earnings from equity method investment | ' | ' | -2,600,000 | 85,200,000 | 84,200,000 |
Reimbursed administrative services | 600,000 | 500,000 | 300,000 | ' | 500,000 |
Receivable from loan core under service agreement | ' | 230,000 | ' | 230,000 | 37,000 |
Aggregate fair market value of derivative transactions outstanding | ' | 0 | ' | 0 | 700,000 |
Recognized net gains within principal transaction revenues | $200,000 | $3,600,000 | ' | ' | $25,600,000 |
Investments_Summary_of_Selecte1
Investments - Summary of Selected Financial Information for Jefferies LoanCore (Detail) (Jefferies LoanCore, LLC [Member], USD $) | Nov. 30, 2013 | Nov. 30, 2012 |
In Millions, unless otherwise specified | ||
Jefferies LoanCore, LLC [Member] | ' | ' |
Total assets | $974.90 | $372 |
Total liabilities | 507.9 | 98.4 |
Total equity | 467 | 273.6 |
Our total equity balance | $226.50 | $132.70 |
Investments_Knight_Capital_Add
Investments - Knight Capital - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | 1 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | 9 Months Ended | |||||||||
Feb. 28, 2013 | Nov. 30, 2013 | Nov. 30, 2012 | Nov. 30, 2011 | Jul. 01, 2013 | Sep. 30, 2013 | Feb. 28, 2013 | Aug. 31, 2012 | Nov. 30, 2013 | Sep. 30, 2013 | Nov. 30, 2013 | Dec. 31, 2012 | Nov. 30, 2012 | Aug. 06, 2012 | Nov. 30, 2013 | Aug. 06, 2012 | Aug. 06, 2012 | |
Knight Capital Group, Inc. [Member] | Knight Capital Group, Inc. [Member] | Knight Capital Group, Inc. [Member] | Knight Capital Group, Inc. [Member] | Knight Capital Group, Inc. [Member] | Knight Capital Group, Inc. [Member] | Knight Capital Group, Inc. [Member] | Knight Capital Group, Inc. [Member] | Knight Capital Group, Inc. [Member] | Knight Capital Group, Inc. [Member] | Knight Capital Group, Inc. [Member] | Knight Capital Group, Inc. [Member] | Knight Capital Group, Inc. [Member] | |||||
Ratio | Senior secured credit agreement [Member] | Series A-1 Cumulative Perpetual Convertible Preferred Stock [Member] | Series A-2 Non-voting Cumulative Perpetual Convertible Preferred Stock [Member] | ||||||||||||||
Guarantee Obligations [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Purchased preferred stock in exchange for cash consideration | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $125,000,000 | ' | ' | ' |
Preferred stock issued under purchase agreement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 24,876 | 100,124 |
Conversion of preferred stock to common stock, conversion rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 666.667 | ' | ' | ' |
Consummation of merger received cash consideration per share | ' | ' | ' | ' | $3.75 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Consummation of merger received cash consideration | ' | ' | ' | ' | 192,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of holding redeemed for cash | ' | ' | ' | ' | 63.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Stock consideration received | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.33 | ' | ' | ' | ' | ' | ' |
Percentage of outstanding common stock owned | ' | ' | ' | ' | ' | ' | ' | ' | 13.00% | ' | 13.00% | ' | ' | ' | ' | ' | ' |
Recognized changes in the fair value of equity method investment | ' | ' | ' | ' | ' | ' | 26,500,000 | ' | 19,500,000 | ' | ' | ' | 151,900,000 | ' | ' | ' | ' |
Net earnings from equity method investment | ' | ' | ' | ' | ' | 226,800,000 | ' | ' | ' | 137,500,000 | ' | -347,100,000 | ' | ' | ' | ' | ' |
Securities borrowed | ' | ' | ' | ' | ' | ' | ' | ' | 11,000,000 | ' | 11,000,000 | ' | 9,300,000 | ' | ' | ' | ' |
Securities loaned | ' | ' | ' | ' | ' | ' | ' | ' | 22,700,000 | ' | 22,700,000 | ' | 20,900,000 | ' | ' | ' | ' |
Net underwriting fees paid by JFIN related to originations of loans by JFIN | 39,900,000 | 125,800,000 | 123,100,000 | 60,800,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 10,000,000 | ' | ' |
Issuance of senior secured credit agreement | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 535,000,000 | ' | ' |
Recognized advisory fee | ' | ' | ' | ' | ' | ' | ' | $20,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Investments_Summary_of_Selecte2
Investments - Summary of Selected Financial Information for KCG Holdings (Detail) (Knight Capital Group, Inc. [Member], USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Millions, unless otherwise specified | ||
Knight Capital Group, Inc. [Member] | ' | ' |
Schedule of Investments [Line Items] | ' | ' |
Total assets | $13,293.30 | $1,687.50 |
Total liabilities | 11,780.30 | 1,032.80 |
Total equity | $1,513 | $654.70 |
Goodwill_and_Other_Intangible_2
Goodwill and Other Intangible Assets - Additional Information (Detail) (USD $) | 1 Months Ended | 3 Months Ended | 9 Months Ended | 12 Months Ended | |||
20-May-13 | Feb. 28, 2013 | 31-May-12 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2012 | Nov. 30, 2011 | |
Goodwill | ' | $1,700,000,000 | ' | $1,722,346,000 | $1,722,346,000 | $365,670,000 | ' |
Percentage of goodwill not allocated to reporting units | ' | ' | ' | ' | 3.30% | ' | ' |
Impairment loss | ' | ' | 2,900,000 | ' | ' | ' | ' |
Aggregate amortization expense | ' | 400,000 | ' | 20,500,000 | ' | 2,300,000 | 1,400,000 |
Mortgage servicing rights sold | ' | ' | ' | ' | ' | 30,900,000 | ' |
Option to purchase servicing rights | 2,000,000 | ' | ' | ' | ' | ' | ' |
Fees related to mortgage servicing rights | ' | 114,000 | ' | 0 | ' | 3,700,000 | 4,100,000 |
Investment Banking, Equities and Fixed Income Reporting Unit [Member] | ' | ' | ' | ' | ' | ' | ' |
Goodwill | ' | ' | ' | 1,665,300,000 | 1,665,300,000 | ' | ' |
Successor [Member] | ' | ' | ' | ' | ' | ' | ' |
Goodwill | ' | 1,720,380,000 | ' | 1,722,346,000 | 1,722,346,000 | ' | ' |
Impairment loss | ' | ' | ' | ' | 378,000 | ' | ' |
Successor [Member] | Exchange and clearing organization membership interests and registrations [Member] | ' | ' | ' | ' | ' | ' | ' |
Impairment loss | ' | ' | ' | ' | $378,000 | ' | ' |
Goodwill_and_Other_Intangible_3
Goodwill and Other Intangible Assets - Schedule of Goodwill Resulting from Merger Attributable to Reportable Segments (Detail) (USD $) | Nov. 30, 2013 | Feb. 28, 2013 | Nov. 30, 2012 |
In Thousands, unless otherwise specified | |||
Business Combination Transactions [Line Items] | ' | ' | ' |
Total goodwill | $1,722,346 | $1,700,000 | $365,670 |
Capital Markets [Member] | ' | ' | ' |
Business Combination Transactions [Line Items] | ' | ' | ' |
Total goodwill | 1,717,246 | ' | 365,670 |
Asset Management [Member] | ' | ' | ' |
Business Combination Transactions [Line Items] | ' | ' | ' |
Total goodwill | $5,100 | ' | ' |
Goodwill_and_Other_Intangible_4
Goodwill and Other Intangible Assets - Summary of Goodwill (Detail) (USD $) | Nov. 30, 2013 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2013 | Feb. 28, 2013 | Nov. 30, 2012 |
In Thousands, unless otherwise specified | Successor [Member] | Predecessor [Member] | Predecessor [Member] | |||
Balance, at beginning of period | $1,722,346 | $1,700,000 | $365,670 | $1,720,380 | $365,670 | $365,574 |
Less: Disposal | ' | ' | ' | -5,700 | ' | ' |
Add: Contingent consideration | ' | ' | ' | ' | 2,394 | ' |
Add: Translation adjustments | ' | ' | ' | 7,666 | -1,287 | 96 |
Balance, at end of period | $1,722,346 | $1,700,000 | $365,670 | $1,722,346 | $366,777 | $365,670 |
Goodwill_and_Other_Intangible_5
Goodwill and Other Intangible Assets - Summary of Goodwill (Parenthetical) (Detail) (USD $) | 3 Months Ended |
In Thousands, unless otherwise specified | Feb. 28, 2013 |
Business Combinations [Abstract] | ' |
Goodwill purchase accounting adjustments | $0 |
Goodwill_and_Other_Intangible_6
Goodwill and Other Intangible Assets - Summary of Intangible Assets (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||
31-May-12 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | |
Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | ||
Exchange and clearing organization membership interests and registrations [Member] | Customer relationships [Member] | Trade names [Member] | Exchange and clearing organization membership interests and registrations [Member] | Customer relationships [Member] | Trade names [Member] | Other intangible assets [Member] | ||||
Gross costs - finite lived intangible assets | ' | ' | ' | $136,740,000 | $132,967,000 | ' | ' | $10,542,000 | $1,680,000 | $100,000 |
Impairment losses | -2,900,000 | -378,000 | -378,000 | ' | ' | -2,873,000 | -2,873,000 | ' | ' | ' |
Accumulated amortization - finite lived intangible assets | ' | -20,533,000 | ' | -17,567,000 | -2,966,000 | -5,409,000 | ' | -4,107,000 | -1,287,000 | -15,000 |
Net carrying amount - finite lived intangible assets | ' | ' | ' | 119,173,000 | 130,001,000 | ' | ' | 6,435,000 | 393,000 | 85,000 |
Weighted average remaining lives (years) | ' | ' | ' | '14 years 9 months 18 days | '34 years 3 months 18 days | ' | ' | '7 years 10 months 24 days | '3 years 6 months | '12 years 9 months 18 days |
Gross costs - indefinite lived intangible assets | ' | ' | 15,294,000 | ' | ' | ' | 11,219,000 | ' | ' | ' |
Net carrying amount - indefinite lived intangible assets | ' | ' | 14,916,000 | ' | ' | ' | 8,346,000 | ' | ' | ' |
Total gross costs - intangible assets | ' | 285,001,000 | ' | ' | ' | 23,541,000 | ' | ' | ' | ' |
Total net carrying amount - intangible assets | ' | $264,090,000 | ' | ' | ' | $15,259,000 | ' | ' | ' | ' |
Goodwill_and_Other_Intangible_7
Goodwill and Other Intangible Assets - Summary of Intangible Assets (Parenthetical) (Detail) (USD $) | 9 Months Ended | 12 Months Ended | |
Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2012 | |
Exchange and clearing organization membership interests and registrations [Member] | Customer relationships [Member] | Customer relationships [Member] | |
Changes in intangible assets | $255,000 | $132,000 | $5,500 |
Goodwill_and_Other_Intangible_8
Goodwill and Other Intangible Assets - Future Amortization Expense Related to Intangible Assets (Detail) (USD $) | Nov. 30, 2013 |
In Thousands, unless otherwise specified | |
Goodwill And Intangible Assets Disclosure [Abstract] | ' |
2014 | $12,668 |
2015 | 12,668 |
2016 | 12,668 |
2017 | 12,668 |
2018 | $12,668 |
Goodwill_and_Other_Intangible_9
Goodwill and Other Intangible Assets - Mortgage Servicing Rights (Detail) (USD $) | 9 Months Ended | 3 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Nov. 30, 2013 | Feb. 28, 2013 | Nov. 30, 2012 |
Successor [Member] | Predecessor [Member] | Predecessor [Member] | |
Balance, beginning of period | $2,000 | $805 | $8,202 |
Add: Acquisition | ' | ' | 162 |
Less: Sales, net | -2,000 | ' | -6,959 |
Less: Pay down | ' | ' | -211 |
Less: Amortization | ' | -10 | -389 |
Balance, end of period | ' | $795 | $805 |
ShortTerm_Borrowings_Additiona
Short-Term Borrowings - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended |
Feb. 28, 2013 | Nov. 30, 2013 | Nov. 30, 2012 | |
Debt Disclosure [Abstract] | ' | ' | ' |
Short-term bank loans | ' | $12,000,000 | $150,000,000 |
Secured bank loans | ' | 12,000,000 | 100,000,000 |
Average daily bank loans outstanding | $110,000,000 | $43,300,000 | $66,400,000 |
Interest rate on short-term borrowings outstanding | ' | 0.66% | ' |
LongTerm_Debt_Additional_Infor
Long-Term Debt - Additional Information (Detail) | 3 Months Ended | 12 Months Ended | 0 Months Ended | 1 Months Ended | 1 Months Ended | 9 Months Ended | 12 Months Ended | ||||||||
Feb. 28, 2013 | Nov. 30, 2013 | Nov. 30, 2012 | Aug. 26, 2011 | Dec. 12, 2013 | Jan. 15, 2013 | Jan. 15, 2013 | Jan. 15, 2013 | Jul. 13, 2012 | Jul. 13, 2013 | Apr. 19, 2012 | Oct. 31, 2009 | Nov. 30, 2013 | Nov. 30, 2012 | Nov. 30, 2011 | |
USD ($) | USD ($) | USD ($) | USD ($) | Leucadia [Member] | New senior unsecured long-term debt [Member] | 5.125% Senior Notes, due 2023 [Member] | 6.5% Senior Notes, due 2043 [Member] | 2.25% Euro Medium Term Notes, due 2022 [Member] | 2.25% Euro Medium Term Notes, due 2022 [Member] | 6.875% Senior Note, due 2021 [Member] | 3.875% Convertible Senior Debentures due 2029 [Member] | 3.875% Convertible Senior Debentures due 2029 [Member] | 3.875% Convertible Senior Debentures due 2029 [Member] | 3.875% Convertible Senior Debentures due 2029 [Member] | |
Subsequent event [Member] | USD ($) | USD ($) | USD ($) | EUR (€) | EUR (€) | USD ($) | USD ($) | Leucadia [Member] | Leucadia [Member] | Leucadia [Member] | |||||
USD ($) | USD ($) | USD ($) | USD ($) | ||||||||||||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term debt at fair value | $6,100,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Difference between fair value over the total principal amount | 536,500,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Issuance of senior unsecured long-term debt | ' | ' | ' | ' | ' | 1,000,000,000 | 600,000,000 | 400,000,000 | ' | 4,000,000 | 750,000,000 | 345,000,000 | ' | ' | ' |
Proceeds, net of original issue discount amount | ' | ' | ' | ' | ' | ' | 595,600,000 | 391,700,000 | 2,800,000 | ' | 197,700,000 | ' | ' | ' | ' |
Senior long-term debt, interest rate | ' | ' | ' | ' | ' | ' | 5.13% | 6.50% | 2.25% | ' | 6.88% | ' | 3.88% | ' | ' |
Senior long-term debt, due date | ' | ' | ' | ' | ' | ' | '2023 | '2043 | ' | ' | ' | ' | ' | ' | ' |
Expiry date of term loan | ' | 1-Mar-16 | ' | ' | ' | ' | ' | ' | 13-Jul-22 | ' | ' | ' | 1-Nov-29 | ' | ' |
Additional aggregate principal amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 200,000,000 | ' | ' | ' | ' |
Gain on repurchase of long-term debt | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 9,900,000 | 20,200,000 |
Unamortized discount arising on repurchase of own long-term debt | 30,900,000 | ' | 32,200,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unamortized balance reduced | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debenture principal amount | ' | ' | ' | ' | 1,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt instrument convertible conversion ratio | ' | ' | ' | ' | 21.9727 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Conversion price of common stock | ' | ' | ' | ' | $45.51 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt instrument convertible conversion ratio | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 130.00% | ' | ' |
Earliest period of conversion price | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '20 days | ' | ' |
Latest period of conversion price | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '30 days | ' | ' |
Consecutive trading days | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '10 days | ' | ' |
Trading price per debenture related to common stock | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 95.00% | ' | ' |
Debentures convertible at holder's options | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '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. | ' | ' |
Description to redeem the debentures 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. | ' | ' |
Description of Contingent Debenture Interest Payment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | '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 5 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. | ' | ' |
Trading price of contingent interest | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 1,200 | ' | ' |
Revolving credit facility | ' | 950,000,000 | ' | 950,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Borrowed unsecured credit facility | ' | ' | ' | $250,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
LongTerm_Debt_Summary_of_LongT
Long-Term Debt - Summary of Long-Term Debt Carrying Values Including Unamortized Discounts and Premiums (Detail) (USD $) | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 |
In Thousands, unless otherwise specified | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] |
Unsecured debt [Member] | Secured debt [Member] | 5.875% Senior Notes, due 2014 [Member] | 3.875% Senior Note, due 2015 [Member] | 5.5% Senior Notes, due 2016 [Member] | 5.125% Senior Notes, due 2018 [Member] | 8.5% Senior Notes, due 2019 [Member] | 6.875% Senior Note, due 2021 [Member] | 2.25% Euro Medium Term Notes, due 2022 [Member] | 5.125% Senior Notes, due 2023 [Member] | 6.45% Senior Debentures, due 2027 [Member] | 3.875% Convertible Senior Debentures due 2029 [Member] | 6.25% Senior Debentures, due 2036 [Member] | 6.50% Senior Notes, due 2043 [Member] | Unsecured debt [Member] | Secured debt [Member] | 5.875% Senior Notes, due 2014 [Member] | 3.875% Senior Note, due 2015 [Member] | 5.5% Senior Notes, due 2016 [Member] | 5.125% Senior Notes, due 2018 [Member] | 8.5% Senior Notes, due 2019 [Member] | 6.875% Senior Note, due 2021 [Member] | 2.25% Euro Medium Term Notes, due 2022 [Member] | 5.125% Senior Notes, due 2023 [Member] | 6.45% Senior Debentures, due 2027 [Member] | 3.875% Convertible Senior Debentures due 2029 [Member] | 6.25% Senior Debentures, due 2036 [Member] | 6.50% Senior Notes, due 2043 [Member] | |||
Unsecured debt [Member] | Unsecured debt [Member] | Unsecured debt [Member] | Unsecured debt [Member] | Unsecured debt [Member] | Unsecured debt [Member] | Unsecured debt [Member] | Unsecured debt [Member] | Unsecured debt [Member] | Unsecured debt [Member] | Unsecured debt [Member] | Unsecured debt [Member] | Unsecured debt [Member] | Unsecured debt [Member] | Unsecured debt [Member] | Unsecured debt [Member] | Unsecured debt [Member] | Unsecured debt [Member] | Unsecured debt [Member] | Unsecured debt [Member] | Unsecured debt [Member] | Unsecured debt [Member] | Unsecured debt [Member] | Unsecured debt [Member] | |||||||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Long-term debt | $6,232,806 | $6,032,806 | $200,000 | $255,676 | $516,204 | $373,178 | $854,011 | $858,425 | $866,801 | $4,792 | $625,626 | $383,224 | $359,281 | $513,343 | $422,245 | $4,804,607 | $4,454,600 | $350,007 | $249,564 | $499,382 | $349,248 | $771,450 | $706,990 | $743,945 | $3,708 | ' | $346,792 | $290,617 | $492,904 | ' |
LongTerm_Debt_Summary_of_LongT1
Long-Term Debt - Summary of Long-Term Debt Carrying Values Including Unamortized Discounts and Premiums (Parenthetical) (Detail) (USD $) | Apr. 19, 2012 | Jul. 13, 2012 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 |
In Millions, unless otherwise specified | 6.875% Senior Note, due 2021 [Member] | 2.25% Euro Medium Term Notes, due 2022 [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] |
5.875% Senior Notes, due 2014 [Member] | 3.875% Senior Note, due 2015 [Member] | 5.5% Senior Notes, due 2016 [Member] | 5.125% Senior Notes, due 2018 [Member] | 8.5% Senior Notes, due 2019 [Member] | 6.875% Senior Note, due 2021 [Member] | 2.25% Euro Medium Term Notes, due 2022 [Member] | 5.125% Senior Notes, due 2023 [Member] | 6.45% Senior Debentures, due 2027 [Member] | 3.875% Convertible Senior Debentures due 2029 [Member] | 6.25% Senior Debentures, due 2036 [Member] | 6.50% Senior Notes, due 2043 [Member] | |||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest rates | 6.88% | 2.25% | 5.88% | 3.88% | 5.50% | 5.13% | 8.50% | 6.88% | 2.25% | 5.13% | 6.45% | 3.88% | 6.25% | 6.50% |
Effective interest rates | ' | ' | 1.51% | 2.17% | 2.52% | 3.46% | 4.00% | 4.40% | 3.82% | 4.55% | 5.46% | 3.50% | 6.03% | 6.09% |
Convertible Senior debentures includes fair value | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $9.60 | ' | ' |
Consolidated Statement of Earnings loss amount | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $6.90 | ' | ' |
Mandatorily_Redeemable_Convert1
Mandatorily Redeemable Convertible Preferred Stock - Additional Information (Detail) (Preferred Stock Subject to Mandatory Redemption [Member], USD $) | 0 Months Ended | |
Feb. 28, 2013 | Nov. 30, 2012 | |
Preferred Stock Subject to Mandatory Redemption [Member] | ' | ' |
Preferred Stock [Line Items] | ' | ' |
Dividend of Series A Convertible Preferred Stock | 3.25% | 3.25% |
Cumulative convertible preferred stock, issued | 125,000 | 125,000 |
Cumulative convertible preferred stock, outstanding | 125,000 | 125,000 |
Mandatory redeemable preferred stock price per share | $1,000 | $1,000 |
Mandatory redeemable preferred stock, maturity period | '2036 | '2036 |
Noncontrolling_Interests_and_M2
Noncontrolling Interests and Mandatorily Redeemable Preferred Interests of Consolidated Subsidiaries - Noncontrolling Interests (Detail) (USD $) | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 | Nov. 30, 2012 |
In Thousands, unless otherwise specified | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] |
JSOP [Member] | JESOP [Member] | Other [Member] | JSOP [Member] | JESOP [Member] | Other [Member] | |||
Noncontrolling Interest [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Noncontrolling interests | $117,154 | ' | ' | $117,154 | $346,738 | $303,178 | $35,239 | $8,321 |
Noncontrolling_Interests_and_M3
Noncontrolling Interests and Mandatorily Redeemable Preferred Interests of Consolidated Subsidiaries - Noncontrolling Interests (Parenthetical) (Detail) (USD $) | Nov. 30, 2013 |
In Millions, unless otherwise specified | |
Noncontrolling Interest [Abstract] | ' |
Asset management entity | $75 |
Noncontrolling_Interests_and_M4
Noncontrolling Interests and Mandatorily Redeemable Preferred Interests of Consolidated Subsidiaries - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended |
In Thousands, unless otherwise specified | Feb. 28, 2013 | Nov. 30, 2013 | Nov. 30, 2012 |
Noncontrolling Interest [Abstract] | ' | ' | ' |
Other comprehensive income attributable to noncontrolling interests | $0 | $0 | $0 |
Carrying amount of mandatorily redeemable preferred interest of consolidated subsidiaries | ' | ' | $348,051 |
Benefit_Plans_Additional_Infor
Benefit Plans - Additional Information (Detail) (USD $) | 12 Months Ended | 1 Months Ended | 12 Months Ended | |||||
Nov. 30, 2013 | Nov. 30, 2012 | Nov. 30, 2011 | Jul. 01, 2011 | Nov. 30, 2013 | Nov. 30, 2012 | Nov. 30, 2013 | Nov. 30, 2012 | |
German Pension Plan [Member] | German Pension Plan [Member] | German Pension Plan [Member] | U.S. Pension Plan [Member] | U.S. Pension Plan [Member] | ||||
Defined Benefit Plan Disclosure [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Percentage of returns amortized in net periodic pension calculations | 10.00% | ' | ' | ' | ' | ' | ' | ' |
Contributions made to U.S. pension plans | ' | ' | ' | ' | ' | ' | $3,000,000 | $2,000,000 |
Accumulated other comprehensive income, before taxes | -6,268,000 | 17,761,000 | 18,600,000 | ' | ' | ' | ' | ' |
Target allocation of plan assets for 2013 in equities | 50.00% | ' | ' | ' | ' | ' | ' | ' |
Target allocation of plan assets for 2013 in fixed income | 50.00% | ' | ' | ' | ' | ' | ' | ' |
Percentage of equity portfolio investment | 5.00% | ' | ' | ' | ' | ' | ' | ' |
Percentage of equity investment of the market value of the portfolio | 10.00% | ' | ' | ' | ' | ' | ' | ' |
Percentage of fixed income portfolio invested in investment grade securities rated BBB-/Baa3, including cash and cash equivalents | 75.00% | ' | ' | ' | ' | ' | ' | ' |
Liability recognized under employee benefit plan | ' | ' | ' | 21,800,000 | ' | ' | ' | ' |
Investment in insurance contract | ' | ' | ' | ' | 19,700,000 | 18,600,000 | ' | ' |
Accumulated benefit obligation | 839,000 | 13,531,000 | ' | ' | 26,400,000 | 24,500,000 | ' | ' |
Accumulated other comprehensive income (loss) | ' | ' | ' | ' | $1,000,000 | ($4,400,000) | ' | ' |
Benefit_Plans_Changes_in_Proje
Benefit Plans - Changes in Projected Benefit Obligation and Fair Value of Plan Assets (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Nov. 30, 2013 | Nov. 30, 2012 |
Change in projected benefit obligation | ' | ' |
Projected benefit obligation, end of period | $48,255 | $53,433 |
Change in plan assets | ' | ' |
Fair value of assets, end of period | 47,416 | 39,902 |
Deficit at end of period | 839 | 13,531 |
U.S. Pension Plan [Member] | ' | ' |
Change in projected benefit obligation | ' | ' |
Projected benefit obligation, beginning of period | 53,433 | 50,487 |
Service cost | 225 | 175 |
Interest cost | 2,201 | 2,342 |
Actuarial (gains) losses | -5,046 | 4,424 |
Administrative expenses paid | -296 | -236 |
Benefits paid | -2,262 | -596 |
Settlements | ' | -3,163 |
Projected benefit obligation, end of period | 48,255 | 53,433 |
Change in plan assets | ' | ' |
Fair value of assets, beginning of period | 39,902 | 36,457 |
Employer contributions | 3,000 | 2,000 |
Benefit payments made | -2,262 | -596 |
Administrative expenses paid | -296 | -236 |
Actual return on plan assets | 7,072 | 5,440 |
Settlements | ' | -3,163 |
Fair value of assets, end of period | 47,416 | 39,902 |
Deficit at end of period | ($839) | ($13,531) |
Benefit_Plans_Pension_Liabilit
Benefit Plans - Pension Liability Recognized on Balance Sheet (Detail) (USD $) | Nov. 30, 2013 | Nov. 30, 2012 | Nov. 30, 2011 |
In Thousands, unless otherwise specified | |||
Compensation And Retirement Disclosure [Abstract] | ' | ' | ' |
Accumulated benefit obligation | $48,255 | $53,433 | ' |
Projected benefit obligation for service rendered to date | 48,255 | 53,433 | ' |
Plan assets, at fair value | 47,416 | 39,902 | ' |
Deficit | -839 | -13,531 | ' |
Unrecognized net (gain) loss | -6,268 | 17,761 | ' |
Prepaid benefit cost | -7,107 | 4,230 | ' |
Accumulated other comprehensive income (loss), before taxes | 6,268 | -17,761 | -18,600 |
Pension liability | ($839) | ($13,531) | ' |
Benefit_Plans_Components_of_Ne
Benefit Plans - Components of Net Periodic Pension Costs and Amounts Recognized in Other Comprehensive Income (Detail) (USD $) | 12 Months Ended | |||||||
In Thousands, unless otherwise specified | Nov. 30, 2013 | Nov. 30, 2012 | Nov. 30, 2011 | Nov. 30, 2013 | Nov. 30, 2012 | Nov. 30, 2013 | Nov. 30, 2012 | Nov. 30, 2011 |
Successor [Member] | Predecessor [Member] | Predecessor [Member] | U.S. Pension Plan [Member] | U.S. Pension Plan [Member] | U.S. Pension Plan [Member] | U.S. Pension Plan [Member] | U.S. Pension Plan [Member] | |
Successor [Member] | Predecessor [Member] | Predecessor [Member] | ||||||
Components of net periodic pension cost: | ' | ' | ' | ' | ' | ' | ' | ' |
Service cost | ' | ' | ' | $225 | $175 | $225 | $175 | $175 |
Interest cost on projected benefit obligation | ' | ' | ' | 2,201 | 2,342 | 2,201 | 2,342 | 2,366 |
Expected return on plan assets | ' | ' | ' | ' | ' | -2,698 | -2,513 | -2,578 |
Net amortization | -326 | -1,334 | -894 | ' | ' | 326 | 1,334 | 894 |
Settlement losses | ' | -1,051 | ' | ' | ' | ' | 1,051 | ' |
Net periodic pension cost | ' | ' | ' | ' | ' | 54 | 2,389 | 857 |
Amounts recognized in other comprehensive income | ' | ' | ' | ' | ' | ' | ' | ' |
Net (gain) loss arising during the period | -9,419 | 1,498 | 5,618 | ' | ' | ' | ' | ' |
Amortization of net loss | -326 | -1,334 | -894 | ' | ' | 326 | 1,334 | 894 |
Settlements during the period | ' | -1,051 | ' | ' | ' | ' | 1,051 | ' |
Total recognized in Other comprehensive income | -9,745 | -887 | 4,724 | ' | ' | ' | ' | ' |
Net amount recognized in net periodic benefit cost and Other comprehensive income | ($9,691) | $1,502 | $5,581 | ' | ' | ' | ' | ' |
Benefit_Plans_Components_of_Ne1
Benefit Plans - Components of Net Periodic Pension Costs and Amounts Recognized in Other Comprehensive Income (Parenthetical) (Detail) (Pension Plans [Member], USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Nov. 30, 2012 |
Pension Plans [Member] | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
Net periodic pension cost | $2,400 |
Unrecognized losses associated with projected pension obligation | $1,100 |
Benefit_Plans_Weighted_Average
Benefit Plans - Weighted Average Assumptions Used to Determine Actuarial Present Value of Projected Benefit Obligation (Detail) | Nov. 30, 2013 | Nov. 30, 2012 | Nov. 30, 2011 |
Compensation And Retirement Disclosure [Abstract] | ' | ' | ' |
Discount rate | 5.10% | 4.00% | 4.75% |
Expected long-term rate of return on plan assets | 6.75% | 6.75% | 7.00% |
Benefit_Plans_Expected_Benefit
Benefit Plans - Expected Benefit Payments (Detail) (USD $) | Nov. 30, 2013 |
In Thousands, unless otherwise specified | |
U.S. Pension Plan [Member] | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
2014 | $1,383 |
2015 | 1,806 |
2016 | 3,685 |
2017 | 2,518 |
2018 | 2,230 |
2019 through 2023 | 17,705 |
International Pension Plan [Member] | ' |
Defined Benefit Plan Disclosure [Line Items] | ' |
2014 | 1,374 |
2015 | 1,399 |
2016 | 1,417 |
2017 | 1,395 |
2018 | 1,391 |
2019 through 2023 | $7,908 |
Benefit_Plans_Summary_of_Fair_
Benefit Plans - Summary of Fair Value of Plan Assets (Detail) (USD $) | Nov. 30, 2013 | Nov. 30, 2012 |
In Thousands, unless otherwise specified | ||
Plan assets | ' | ' |
Plan assets | $47,416 | $39,902 |
Level 1 [Member] | ' | ' |
Plan assets | ' | ' |
Plan assets | 32,649 | 25,788 |
Level 2 [Member] | ' | ' |
Plan assets | ' | ' |
Plan assets | 14,767 | 14,114 |
Cash and cash equivalents [Member] | ' | ' |
Plan assets | ' | ' |
Plan assets | 931 | 849 |
Cash and cash equivalents [Member] | Level 1 [Member] | ' | ' |
Plan assets | ' | ' |
Plan assets | 931 | 849 |
Cash and cash equivalents [Member] | Level 2 [Member] | ' | ' |
Plan assets | ' | ' |
Plan assets | ' | ' |
Listed equity securities [Member] | ' | ' |
Plan assets | ' | ' |
Plan assets | 27,663 | 20,321 |
Listed equity securities [Member] | Level 1 [Member] | ' | ' |
Plan assets | ' | ' |
Plan assets | 27,663 | 20,321 |
Listed equity securities [Member] | Level 2 [Member] | ' | ' |
Plan assets | ' | ' |
Plan assets | ' | ' |
Corporate debt securities [Member] | ' | ' |
Plan assets | ' | ' |
Plan assets | 7,743 | 8,037 |
Corporate debt securities [Member] | Level 1 [Member] | ' | ' |
Plan assets | ' | ' |
Plan assets | ' | ' |
Corporate debt securities [Member] | Level 2 [Member] | ' | ' |
Plan assets | ' | ' |
Plan assets | 7,743 | 8,037 |
Foreign corporate debt securities [Member] | ' | ' |
Plan assets | ' | ' |
Plan assets | 1,140 | 345 |
Foreign corporate debt securities [Member] | Level 1 [Member] | ' | ' |
Plan assets | ' | ' |
Plan assets | ' | ' |
Foreign corporate debt securities [Member] | Level 2 [Member] | ' | ' |
Plan assets | ' | ' |
Plan assets | 1,140 | 345 |
U.S. government securities [Member] | ' | ' |
Plan assets | ' | ' |
Plan assets | 4,055 | 4,618 |
U.S. government securities [Member] | Level 1 [Member] | ' | ' |
Plan assets | ' | ' |
Plan assets | 4,055 | 4,618 |
U.S. government securities [Member] | Level 2 [Member] | ' | ' |
Plan assets | ' | ' |
Plan assets | ' | ' |
Agency mortgage-backed securities [Member] | ' | ' |
Plan assets | ' | ' |
Plan assets | 3,949 | 3,774 |
Agency mortgage-backed securities [Member] | Level 1 [Member] | ' | ' |
Plan assets | ' | ' |
Plan assets | ' | ' |
Agency mortgage-backed securities [Member] | Level 2 [Member] | ' | ' |
Plan assets | ' | ' |
Plan assets | 3,949 | 3,774 |
Commercial mortgage-backed securities [Member] | ' | ' |
Plan assets | ' | ' |
Plan assets | 1,280 | 1,419 |
Commercial mortgage-backed securities [Member] | Level 1 [Member] | ' | ' |
Plan assets | ' | ' |
Plan assets | ' | ' |
Commercial mortgage-backed securities [Member] | Level 2 [Member] | ' | ' |
Plan assets | ' | ' |
Plan assets | 1,280 | 1,419 |
Asset-backed securities [Member] | ' | ' |
Plan assets | ' | ' |
Plan assets | 461 | 524 |
Asset-backed securities [Member] | Level 1 [Member] | ' | ' |
Plan assets | ' | ' |
Plan assets | ' | ' |
Asset-backed securities [Member] | Level 2 [Member] | ' | ' |
Plan assets | ' | ' |
Plan assets | 461 | 524 |
Other [Member] | ' | ' |
Plan assets | ' | ' |
Plan assets | 194 | 15 |
Other [Member] | Level 1 [Member] | ' | ' |
Plan assets | ' | ' |
Plan assets | ' | ' |
Other [Member] | Level 2 [Member] | ' | ' |
Plan assets | ' | ' |
Plan assets | $194 | $15 |
Benefit_Plans_Changes_in_Proje1
Benefit Plans - Changes in Projected Benefit Obligation and Components of Net Periodic Pension Costs (Detail) (USD $) | 5 Months Ended | 12 Months Ended | |
In Thousands, unless otherwise specified | Nov. 30, 2011 | Nov. 30, 2013 | Nov. 30, 2012 |
Change in projected benefit obligation | ' | ' | ' |
Projected benefit obligation, end of period | ' | $48,255 | $53,433 |
International Pension Plan [Member] | ' | ' | ' |
Change in projected benefit obligation | ' | ' | ' |
Projected benefit obligation, beginning of period | ' | 24,509 | 19,799 |
Service cost | 15 | 67 | 36 |
Interest cost | 434 | 902 | 1,027 |
Actuarial losses | ' | 1,033 | 5,413 |
Benefits paid | ' | -1,245 | -1,121 |
Currency adjustment | ' | 1,102 | -645 |
Projected benefit obligation, end of period | 19,799 | 26,368 | 24,509 |
Components of net periodic pension cost | ' | ' | ' |
Service cost | 15 | 67 | 36 |
Interest cost on projected benefit obligation | 434 | 902 | 1,027 |
Net amortization | ' | 179 | ' |
Net periodic pension cost | $449 | $1,148 | $1,063 |
Benefit_Plans_Assumptions_Used
Benefit Plans - Assumptions Used to Determine the Present Value of the Projected Benefit Obligations and Net Periodic Pension Costs (Detail) (International Pension Plan [Member]) | 12 Months Ended | |
Nov. 30, 2013 | Nov. 30, 2012 | |
International Pension Plan [Member] | ' | ' |
Projected benefit obligation | ' | ' |
Discount rate | 3.40% | 3.60% |
Rate of compensation increase | 3.00% | 3.00% |
Net periodic pension benefit cost | ' | ' |
Discount rate | 3.60% | 5.60% |
Rate of compensation increase | 3.00% | 3.00% |
Compensation_Plans_Additional_
Compensation Plans - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Feb. 28, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2012 | Nov. 30, 2011 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' |
Number of years in which Restricted Stock Awards amortized as compensation expense | ' | ' | '4 years | ' | ' |
Accrued compensation expense related to restricted stock and restricted stock units expected to be granted | ' | ' | ' | ' | $64,000,000 |
Percentage of grant date amount of stock | ' | ' | ' | ' | 75.00% |
Decrease in share-based compensation expense | ' | ' | ' | ' | 23,300,000 |
Aggregate amount of reduced cash award | ' | ' | ' | ' | 17,500,000 |
Reduction in compensation and benefits expenses | ' | ' | ' | ' | 5,800,000 |
Increase in the unrecognized compensation cost | 45,100,000 | ' | ' | ' | ' |
Total unrecognized compensation cost related to nonvested share-based awards | ' | 165,200,000 | 165,200,000 | ' | ' |
Employee service share-based compensation, unrecognized compensation costs on nonvested awards, weighted average period of recognition | ' | ' | '2 years 6 months | ' | ' |
Annual employee contributions | ' | ' | 21,250 | ' | ' |
Employee service share based compensation plan stock price | ' | ' | 95.00% | ' | ' |
Compensation cost related to profit sharing plan | 2,600,000 | 3,200,000 | ' | 5,700,000 | 6,000,000 |
Weighted average vesting period | ' | ' | '3 years | ' | ' |
Unamortized portion of compensation expense | ' | 185,000,000 | 185,000,000 | ' | ' |
Successor [Member] | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' |
Net tax benefit (deficiency) related to share-based compensation plans recognized | ' | 2,900,000 | ' | ' | ' |
Compensation cost related to deferred compensation plan | ' | 111,000 | ' | ' | ' |
Compensation cost associated with deferred cash awards | ' | 132,600,000 | ' | ' | ' |
Successor [Member] | Restricted Stock Awards [Member] | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' |
Total compensation cost related to share-based compensation plans | ' | 64,400,000 | ' | ' | ' |
Predecessor [Member] | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' |
Total compensation cost related to share-based compensation plans | 23,505,000 | ' | ' | 87,918,000 | 144,886,000 |
Net tax benefit (deficiency) related to share-based compensation plans recognized | -18,000,000 | ' | ' | 19,800,000 | 32,200,000 |
Compensation cost related to deferred compensation plan | 72,000 | ' | ' | 197,000 | 297,000 |
Compensation cost associated with deferred cash awards | 44,700,000 | ' | ' | 194,400,000 | 119,200,000 |
Unamortized portion of compensation expense | ' | ' | ' | 198,900,000 | ' |
Predecessor [Member] | Restricted Stock Awards [Member] | ' | ' | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' |
Total compensation cost related to share-based compensation plans | $22,300,000 | ' | ' | $83,800,000 | $134,100,000 |
Earnings_per_Share_Basic_and_D
Earnings per Share - Basic and Diluted Earnings per Common Share (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||||
In Thousands, except Per Share data, unless otherwise specified | Nov. 30, 2012 | Aug. 31, 2012 | 31-May-12 | Feb. 29, 2012 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 |
Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | |||||
Earnings for basic earnings per common share: | ' | ' | ' | ' | ' | ' | ' |
Net earnings | ' | ' | ' | ' | $90,842 | $323,149 | $286,368 |
Net earnings to noncontrolling interests | ' | ' | ' | ' | 10,704 | 40,740 | 1,750 |
Net earnings to common shareholders | 71,604 | 70,171 | 63,498 | 77,136 | 80,138 | 282,409 | 284,618 |
Less: Allocation of earnings to participating securities | ' | ' | ' | ' | 5,890 | 17,392 | 13,822 |
Net earnings available to common shareholders | ' | ' | ' | ' | 74,248 | 265,017 | 270,796 |
Earnings for diluted earnings per common share: | ' | ' | ' | ' | ' | ' | ' |
Net earnings | ' | ' | ' | ' | 90,842 | 323,149 | 286,368 |
Net earnings to noncontrolling interests | ' | ' | ' | ' | 10,704 | 40,740 | 1,750 |
Net earnings to common shareholders | 71,604 | 70,171 | 63,498 | 77,136 | 80,138 | 282,409 | 284,618 |
Add: Mandatorily redeemable convertible preferred stock dividends | ' | ' | ' | ' | 1,016 | 4,063 | 4,063 |
Less: Allocation of earnings to participating securities | ' | ' | ' | ' | 5,882 | 17,407 | 13,823 |
Net earnings available to common shareholders | ' | ' | ' | ' | $75,272 | $269,065 | $274,858 |
Shares: | ' | ' | ' | ' | ' | ' | ' |
Average common shares used in basic computation | ' | ' | ' | ' | 213,732 | 215,989 | 211,056 |
Stock options | ' | ' | ' | ' | 2 | 2 | 7 |
Mandatorily redeemable convertible preferred stock | ' | ' | ' | ' | 4,110 | 4,110 | 4,108 |
Convertible debt | ' | ' | ' | ' | ' | ' | ' |
Average common shares used in diluted computation | ' | ' | ' | ' | 217,844 | 220,101 | 215,171 |
Earnings per common share: | ' | ' | ' | ' | ' | ' | ' |
Basic | $0.31 | $0.31 | $0.28 | $0.33 | $0.35 | $1.23 | $1.28 |
Diluted | $0.31 | $0.31 | $0.28 | $0.33 | $0.35 | $1.22 | $1.28 |
Earnings_per_Share_Basic_and_D1
Earnings per Share - Basic and Diluted Earnings per Common Share (Parenthetical) (Detail) (Predecessor [Member], USD $) | 3 Months Ended | 12 Months Ended | |
In Millions, except Share data, unless otherwise specified | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 |
Predecessor [Member] | ' | ' | ' |
Earnings Per Share [Line Items] | ' | ' | ' |
Weighted average shares of participating securities | 16,756,000 | 14,123,000 | 10,667,000 |
Dividends declared on participating securities | $1.30 | $4.30 | $3.40 |
Earnings_per_Share_Additional_
Earnings per Share - Additional Information (Detail) (USD $) | Nov. 30, 2013 | Aug. 26, 2011 |
In Millions, unless otherwise specified | ||
Earnings Per Share [Abstract] | ' | ' |
Line of credit facility, maximum borrowing capacity | $950 | $950 |
Earnings_per_Share_Dividends_p
Earnings per Share - Dividends per Share of Common Stock Declared (Detail) (USD $) | 3 Months Ended | |||||||
Nov. 30, 2013 | Aug. 31, 2013 | 31-May-13 | Feb. 28, 2013 | Nov. 30, 2012 | Aug. 31, 2012 | 31-May-12 | Feb. 29, 2012 | |
Earnings Per Share [Abstract] | ' | ' | ' | ' | ' | ' | ' | ' |
Dividends per share of common stock declared | ' | ' | ' | $0.08 | $0.08 | $0.08 | $0.08 | $0.08 |
Income_Taxes_Total_Income_Taxe
Income Taxes - Total Income Taxes Allocated (Detail) (USD $) | 9 Months Ended | 3 Months Ended | 12 Months Ended | |
In Thousands, unless otherwise specified | Nov. 30, 2013 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 |
Successor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | |
Schedule Of Income Taxes [Line Items] | ' | ' | ' | ' |
Income tax expense | $94,686 | $48,645 | $168,646 | $132,966 |
Stockholders' equity, for compensation expense for tax purposes (in excess of) / less than amounts recognized for financial reporting purposes | ($2,873) | $17,965 | ($19,789) | ($32,200) |
Income_Taxes_Components_of_Pro
Income Taxes - Components of Provision for Income Tax Expense (Detail) (USD $) | 9 Months Ended | 3 Months Ended | 12 Months Ended | |
In Thousands, unless otherwise specified | Nov. 30, 2013 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 |
Successor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | |
Schedule Of Allocation Of Income Tax Expense Benefit [Line Items] | ' | ' | ' | ' |
U.S. Federal | $50,089 | $22,936 | $62,710 | $65,702 |
U.S. state and local | 6,263 | -3,176 | 18,520 | 28,644 |
Foreign | 7,050 | -1,950 | 2,773 | 8,443 |
Current Income Tax Expense (Benefit), Total | 63,402 | 17,810 | 84,003 | 102,789 |
U.S. Federal | 25,262 | 17,392 | 79,224 | 7,637 |
U.S. state and local | 8,868 | 9,761 | 13,006 | -694 |
Foreign | -2,846 | 3,682 | -7,587 | 23,234 |
Deferred income tax expense (benefit), total | 31,284 | 30,835 | 84,643 | 30,177 |
Total income taxes | $94,686 | $48,645 | $168,646 | $132,966 |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | 9 Months Ended | 3 Months Ended | 12 Months Ended | ||||||
Feb. 28, 2013 | Nov. 30, 2013 | Nov. 30, 2012 | Nov. 30, 2011 | Nov. 30, 2013 | Nov. 30, 2013 | Feb. 28, 2013 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 | Nov. 30, 2010 | Nov. 30, 2013 | |
Parent [Member] | Successor [Member] | Successor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Asia [Member] | |||||
Income Taxes [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Federal statutory income tax rate | ' | ' | ' | ' | ' | 35.00% | ' | 35.00% | 35.00% | 35.00% | ' | ' |
Unrecognized tax benefits that would impact effective tax rate in future | ' | $85,500,000 | $72,400,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net interest expense related to income tax liabilities | 1,800,000 | 5,800,000 | 4,500,000 | 4,400,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Accrued interest on unrecognized tax benefits | ' | 22,900,000 | 15,300,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Accrued material penalties | ' | 0 | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net deferred tax asset | ' | 534,900,000 | ' | ' | ' | 534,941,000 | ' | ' | 227,145,000 | ' | ' | ' |
United Kingdom and Japan loss carryforwards | ' | 89,100,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Deferred tax asset related to net operating losses | ' | ' | ' | ' | ' | 24,147,000 | ' | ' | 22,447,000 | ' | ' | 4,600,000 |
Net current tax payable | ' | 28,500,000 | ' | ' | 61,200,000 | ' | ' | ' | ' | ' | ' | ' |
Net current tax receivable | ' | ' | 69,800,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Undistributed earnings of foreign subsidiaries | ' | 134,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Deferred tax liability | ' | 35,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unrecognized tax benefits | ' | $3,300,000 | ' | ' | ' | $126,844,000 | $129,010,000 | $129,010,000 | $110,539,000 | $79,779,000 | $52,852,000 | ' |
Income_Taxes_Reconciliation_of
Income Taxes - Reconciliation of Effective Tax Rate to U.S. Federal Statutory Income Tax Rate (Detail) (USD $) | 9 Months Ended | 3 Months Ended | 12 Months Ended | |
In Thousands, unless otherwise specified | Nov. 30, 2013 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 |
Successor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | |
Schedule Of Income Taxes [Line Items] | ' | ' | ' | ' |
Computed expected income taxes, Amount | $92,504 | $48,820 | $172,128 | $146,767 |
State and city income taxes, net of Federal income tax benefit, Amount | 9,835 | 4,280 | 20,492 | 18,168 |
Bargain purchase gain on the acquisition of the Global Commodities Group, Amount | ' | ' | ' | -18,363 |
Income allocated to Noncontrolling interest, not subject to tax, Amount | -2,946 | -3,553 | -14,161 | -613 |
Foreign rate differential, Amount | -4,750 | -2,993 | -7,528 | -11,736 |
Fines and penalties, Amount | 4,900 | ' | ' | ' |
Other, net, Amount | -4,857 | 2,091 | -2,285 | -1,257 |
Total income taxes | $94,686 | $48,645 | $168,646 | $132,966 |
Computed expected income taxes, Percent | 35.00% | 35.00% | 35.00% | 35.00% |
State and city income taxes, net of Federal income tax benefit, Percent | 3.70% | 3.10% | 4.20% | 4.30% |
Bargain purchase gain on the acquisition of the Global Commodities Group, Percent | ' | ' | ' | -4.40% |
Income allocated to Noncontrolling interest, not subject to tax, Percent | -1.10% | -2.50% | -2.90% | -0.10% |
Foreign rate differential, Percent | -1.80% | -2.20% | -1.50% | -2.80% |
Fines and penalties, Percent | 1.90% | ' | ' | ' |
Other, net, Percent | -1.90% | 1.50% | -0.50% | -0.30% |
Total income taxes, Percent | 35.80% | 34.90% | 34.30% | 31.70% |
Income_Taxes_Roll_Forward_of_G
Income Taxes - Roll Forward of Gross Unrecognized Tax Benefits (Detail) (USD $) | Nov. 30, 2013 | Nov. 30, 2013 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 |
In Thousands, unless otherwise specified | Successor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | |
Unrecognized Tax Benefits [Line Items] | ' | ' | ' | ' | ' |
Balance at beginning of period | $3,300 | $129,010 | $110,539 | $79,779 | $52,852 |
Increases based on tax positions related to the current period | ' | 8,748 | 7,185 | 30,671 | 14,159 |
Increases based on tax positions related to prior periods | ' | 7,383 | 15,356 | 7,549 | 14,696 |
Decreases based on tax positions related to prior periods | ' | -18,297 | -4,070 | -5,893 | -1,808 |
Decreases related to settlements with taxing authorities | ' | ' | ' | -487 | -120 |
Decreases related to a lapse of applicable statutes of limitation | ' | ' | ' | -1,080 | ' |
Balance at end of period | $3,300 | $126,844 | $129,010 | $110,539 | $79,779 |
Income_Taxes_Significant_Compo
Income Taxes - Significant Components of Deferred Tax Assets and Liabilities (Detail) (USD $) | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2012 |
In Thousands, unless otherwise specified | Successor [Member] | Predecessor [Member] | |
Schedule Of Income Taxes [Line Items] | ' | ' | ' |
Compensation and benefits | ' | $373,964 | $333,318 |
Net operating loss | ' | 24,147 | 22,447 |
Long-term debt | ' | 191,274 | ' |
Other | ' | 86,336 | 30,932 |
Sub-total | ' | 675,721 | 386,697 |
Valuation allowance | ' | -11,140 | -11,754 |
Total deferred tax assets | ' | 664,581 | 374,943 |
Long-term debt | ' | ' | 37,370 |
Amortization of intangibles | ' | 98,798 | 62,617 |
Other | ' | 30,842 | 47,811 |
Total deferred tax liabilities | ' | 129,640 | 147,798 |
Net deferred tax asset, included in Other assets | $534,900 | $534,941 | $227,145 |
Income_Taxes_Earliest_Tax_Year
Income Taxes - Earliest Tax Years Subject to Examination in Major Tax Jurisdictions in which Company Operates (Detail) | 12 Months Ended |
Nov. 30, 2013 | |
United States [Member] | ' |
Income Tax Examination [Line Items] | ' |
Tax Year | '2006 |
United Kingdom [Member] | ' |
Income Tax Examination [Line Items] | ' |
Tax Year | '2012 |
California [Member] | ' |
Income Tax Examination [Line Items] | ' |
Tax Year | '2006 |
Connecticut [Member] | ' |
Income Tax Examination [Line Items] | ' |
Tax Year | '2006 |
Massachusetts [Member] | ' |
Income Tax Examination [Line Items] | ' |
Tax Year | '2006 |
New Jersey [Member] | ' |
Income Tax Examination [Line Items] | ' |
Tax Year | '2007 |
New York State [Member] | ' |
Income Tax Examination [Line Items] | ' |
Tax Year | '2001 |
New York City [Member] | ' |
Income Tax Examination [Line Items] | ' |
Tax Year | '2003 |
Commitments_Contingencies_and_2
Commitments, Contingencies and Guarantees - Commitments and Contingencies (Detail) (USD $) | Nov. 30, 2013 |
In Millions, unless otherwise specified | |
Commitments And Guarantee Obligations [Line Items] | ' |
2014 | $1,557.20 |
2015 | 519.3 |
2016 and 2017 | 526.2 |
2018 and 2019 | 92.8 |
2020 and Later | 418.2 |
Maximum Payout | 3,113.70 |
Equity commitments [Member] | ' |
Commitments And Guarantee Obligations [Line Items] | ' |
2014 | 1.8 |
2015 | 7.4 |
2016 and 2017 | 0.8 |
2018 and 2019 | ' |
2020 and Later | 418.2 |
Maximum Payout | 428.2 |
Loan commitments [Member] | ' |
Commitments And Guarantee Obligations [Line Items] | ' |
2014 | 33.2 |
2015 | 19 |
2016 and 2017 | 322.6 |
2018 and 2019 | 92.8 |
2020 and Later | ' |
Maximum Payout | 467.6 |
Mortgage-related commitments [Member] | ' |
Commitments And Guarantee Obligations [Line Items] | ' |
2014 | 819.9 |
2015 | 492.9 |
2016 and 2017 | 202.8 |
2018 and 2019 | ' |
2020 and Later | ' |
Maximum Payout | 1,515.60 |
Forward starting reverse repos and repos [Member] | ' |
Commitments And Guarantee Obligations [Line Items] | ' |
2014 | 702.3 |
2015 | ' |
2016 and 2017 | ' |
2018 and 2019 | ' |
2020 and Later | ' |
Maximum Payout | $702.30 |
Commitments_Contingencies_and_3
Commitments, Contingencies and Guarantees - Credit Exposure from Loan Commitments (Detail) (USD $) | Nov. 30, 2013 |
In Millions, unless otherwise specified | |
Commitments And Guarantee Obligations [Line Items] | ' |
0 - 12 Months | $35.60 |
1 - 5 Years | 748.2 |
Greater Than 5 Years | ' |
Total Corporate Lending Exposure | 783.8 |
Corporate Lending Exposure at Fair Value | 316.2 |
Corporate Lending Commitments | 467.6 |
Non-investment grade [Member] | ' |
Commitments And Guarantee Obligations [Line Items] | ' |
0 - 12 Months | ' |
1 - 5 Years | 79.1 |
Greater Than 5 Years | ' |
Total Corporate Lending Exposure | 79.1 |
Corporate Lending Exposure at Fair Value | 9.5 |
Corporate Lending Commitments | 69.6 |
Unrated [Member] | ' |
Commitments And Guarantee Obligations [Line Items] | ' |
0 - 12 Months | 35.6 |
1 - 5 Years | 669.1 |
Greater Than 5 Years | ' |
Total Corporate Lending Exposure | 704.7 |
Corporate Lending Exposure at Fair Value | 306.7 |
Corporate Lending Commitments | $398 |
Commitments_Contingencies_and_4
Commitments, Contingencies and Guarantees - Credit Exposure from Loan Commitments (Parenthetical) (Detail) (USD $) | Nov. 30, 2013 |
In Millions, unless otherwise specified | |
Offsetting [Abstract] | ' |
Corporate lending exposure included in financial instruments owned | $321.10 |
Corporate lending exposure carried at fair value included in financial instruments sold | $4.90 |
Commitments_Contingencies_and_5
Commitments, Contingencies and Guarantees - Additional Information (Detail) (USD $) | 12 Months Ended | 9 Months Ended | 3 Months Ended | 12 Months Ended | |||||||||||||||||||
In Millions, unless otherwise specified | Nov. 30, 2013 | Nov. 30, 2012 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 |
Stand by Letters of Credit [Member] | Revolving credit facility [Member] | Unrated [Member] | Successor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Litigation Client [Member] | U.S. Attorney Office [Member] | Securities and Exchange Commission [Member] | Jefferies Finance, LLC [Member] | Jefferies LoanCore, LLC [Member] | Jefferies Capital Partners LLC [Member] | USA Fund [Member] | Jefferies Capital Partners V L.P. [Member] | USA Fund and Jefferies Capital Partners V L.P. [Member] | Jefferies Capital Partners IV L.P. [Member] | Jefferies Capital Partners IV LLC [Member] | Jefferies Capital Partners IV L.P. and Jefferies Capital Partners IV LLC [Member] | Other Investments [Member] | USA Fund and Jefferies Capital Partners LP [Member] | |||
Commitments Contingencies And Guarantees [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Equity Commitments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $600 | $291 | $5.90 | $75 | $10 | ' | $45.90 | $3.10 | ' | $30.80 | $85 |
Funded Equity Commitments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 337.3 | 175.5 | 1 | 47 | 6.3 | ' | 38.7 | 2.3 | ' | ' | ' |
Unfunded equity commitments | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 4.9 | ' | ' | 31.7 | ' | ' | 8 | 5.4 | ' |
Loan commitments outstanding to clients | 241.4 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revolving credit facility | 700 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Revolving credit facility maturity date | 1-Mar-16 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Funded loan commitments | ' | ' | ' | 123.8 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Unfunded loan commitments | ' | ' | ' | 350 | 226.2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Corporate lending commitments | ' | ' | ' | ' | 398 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair value of mortgage-related commitments | 54.2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Premises and equipment under noncancelable agreements expiring at various dates | '2029 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Rental expenses net of subleases | ' | ' | ' | ' | ' | 43.2 | 12.1 | 48.4 | 44.3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Gain on sale lease back transaction | ' | 2 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Litigation settlement amount | 25 | ' | ' | ' | ' | ' | ' | ' | ' | 11 | 10 | 4 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Litigation reserve | 22.4 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Fair value of derivative contracts approximated deemed to meet the definition of a guarantee | 229.5 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Letters of Credit Commitments | ' | ' | $32 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Commitments_Contingencies_and_6
Commitments, Contingencies and Guarantees - Future Minimum Lease Commitments for Noncancelable Operating Leases (Detail) (USD $) | Nov. 30, 2013 |
In Thousands, unless otherwise specified | |
Commitments And Contingencies Disclosure [Abstract] | ' |
Future Minimum Payments Gross, in 2014 | $69,823 |
Future Minimum Payments Gross, in 2015 | 53,774 |
Future Minimum Payments Gross, in 2016 | 58,273 |
Future Minimum Payments Gross, in 2017 | 56,505 |
Future Minimum Payments Gross, in 2018 | 54,004 |
Future Minimum Payments Gross, thereafter | 446,106 |
Future Minimum Payments Gross, Total | 738,485 |
Future Minimum Sublease Rentals, in 2014 | 5,283 |
Future Minimum Sublease Rentals, in 2015 | 2,639 |
Future Minimum Sublease Rentals, in 2016 | 2,493 |
Future Minimum Sublease Rentals, in 2017 | 577 |
Future Minimum Sublease Rentals, in 2018 | 23 |
Future Minimum Sublease Rentals, thereafter | ' |
Future Minimum Sublease Rentals, Total | 11,015 |
Future Minimum Payments Net, in 2014 | 64,540 |
Future Minimum Payments Net, in 2015 | 51,135 |
Future Minimum Payments Net, in 2016 | 55,780 |
Future Minimum Payments Net, in 2017 | 55,928 |
Future Minimum Payments Net, in 2018 | 53,981 |
Future Minimum Payments Net, thereafter | 446,106 |
Future Minimum Payments Net, Total | $727,470 |
Commitments_Contingencies_and_7
Commitments, Contingencies and Guarantees - Minimum Future Lease Payments (Detail) (USD $) | Nov. 30, 2013 |
In Thousands, unless otherwise specified | |
Commitments And Contingencies Disclosure [Abstract] | ' |
2014 | $3,887 |
2015 | 3,887 |
2016 | 3,887 |
2017 | 3,887 |
2018 | 1,583 |
2019 | 167 |
Net minimum lease payments | 17,298 |
Less amount representing interest | 1,508 |
Present value of net minimum lease payments | $15,790 |
Commitments_Contingencies_and_8
Commitments, Contingencies and Guarantees - Guarantees (Detail) (USD $) | Nov. 30, 2013 |
In Millions, unless otherwise specified | |
Guarantee Obligations [Line Items] | ' |
Notional/ Maximum Payout | $3,113.70 |
Derivative contracts - non-credit related [Member] | ' |
Guarantee Obligations [Line Items] | ' |
2014 | 841,439.90 |
2015 | 4,695.20 |
2016 and 2017 | 14.7 |
2018 and 2019 | 1.2 |
2020 and Later | 532.4 |
Notional/ Maximum Payout | 846,683.40 |
Written derivative contracts - credit related [Member] | ' |
Guarantee Obligations [Line Items] | ' |
2014 | ' |
2015 | ' |
2016 and 2017 | ' |
2018 and 2019 | 2,708.10 |
2020 and Later | ' |
Notional/ Maximum Payout | 2,708.10 |
Derivatives [Member] | ' |
Guarantee Obligations [Line Items] | ' |
2014 | 841,439.90 |
2015 | 4,695.20 |
2016 and 2017 | 14.7 |
2018 and 2019 | 2,709.30 |
2020 and Later | 532.4 |
Notional/ Maximum Payout | $849,391.50 |
Commitments_Contingencies_and_9
Commitments, Contingencies and Guarantees - External Credit Ratings of Underlying or Referenced Assets for Credit Related Derivatives Contracts (Detail) (USD $) | Nov. 30, 2013 |
In Millions, unless otherwise specified | |
Index credit default swaps [Member] | ' |
Commitments And Guarantee Obligations [Line Items] | ' |
External credit ratings | $2,678.60 |
Single name credit default swaps [Member] | ' |
Commitments And Guarantee Obligations [Line Items] | ' |
External credit ratings | 29.5 |
AAA/Aaa [Member] | Index credit default swaps [Member] | ' |
Commitments And Guarantee Obligations [Line Items] | ' |
External credit ratings | 2,678.60 |
AAA/Aaa [Member] | Single name credit default swaps [Member] | ' |
Commitments And Guarantee Obligations [Line Items] | ' |
External credit ratings | ' |
AA/Aa [Member] | Index credit default swaps [Member] | ' |
Commitments And Guarantee Obligations [Line Items] | ' |
External credit ratings | ' |
AA/Aa [Member] | Single name credit default swaps [Member] | ' |
Commitments And Guarantee Obligations [Line Items] | ' |
External credit ratings | 3 |
A [Member] | Index credit default swaps [Member] | ' |
Commitments And Guarantee Obligations [Line Items] | ' |
External credit ratings | ' |
A [Member] | Single name credit default swaps [Member] | ' |
Commitments And Guarantee Obligations [Line Items] | ' |
External credit ratings | 2.5 |
BBB/Baa [Member] | Index credit default swaps [Member] | ' |
Commitments And Guarantee Obligations [Line Items] | ' |
External credit ratings | ' |
BBB/Baa [Member] | Single name credit default swaps [Member] | ' |
Commitments And Guarantee Obligations [Line Items] | ' |
External credit ratings | 24 |
Below Investment Grade [Member] | Index credit default swaps [Member] | ' |
Commitments And Guarantee Obligations [Line Items] | ' |
External credit ratings | ' |
Below Investment Grade [Member] | Single name credit default swaps [Member] | ' |
Commitments And Guarantee Obligations [Line Items] | ' |
External credit ratings | ' |
Unrated [Member] | Index credit default swaps [Member] | ' |
Commitments And Guarantee Obligations [Line Items] | ' |
External credit ratings | ' |
Unrated [Member] | Single name credit default swaps [Member] | ' |
Commitments And Guarantee Obligations [Line Items] | ' |
External credit ratings | ' |
Net_Capital_Requirements_Net_C
Net Capital Requirements - Net Capital, Adjusted and Excess Net Capital (Detail) (USD $) | Nov. 30, 2013 |
In Thousands, unless otherwise specified | |
Jefferies [Member] | ' |
Net Capital Requirements [Line Items] | ' |
Net Capital | $891,487 |
Excess Net Capital | 841,539 |
Jefferies Execution [Member] | ' |
Net Capital Requirements [Line Items] | ' |
Net Capital | 4,487 |
Excess Net Capital | 4,237 |
Jefferies Bache, LLC [Member] | ' |
Net Capital Requirements [Line Items] | ' |
Adjusted Net Capital | 197,957 |
Excess Net Capital | $86,293 |
Segment_Reporting_Additional_I
Segment Reporting - Additional Information (Detail) | 12 Months Ended |
Nov. 30, 2013 | |
Segment | |
Segment Reporting [Abstract] | ' |
Number of operating segments | 2 |
Segment_Reporting_Net_Revenues
Segment Reporting - Net Revenues, Expenses and Total Assets by Segment (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | |||||||||||
In Thousands, unless otherwise specified | Nov. 30, 2012 | Aug. 31, 2012 | 31-May-12 | Feb. 29, 2012 | Nov. 30, 2013 | Aug. 31, 2013 | 31-May-13 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 |
Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | |||||
Capital Markets [Member] | Asset Management [Member] | Capital Markets [Member] | Capital Markets [Member] | Capital Markets [Member] | Asset Management [Member] | Asset Management [Member] | Asset Management [Member] | ||||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net revenues | $784,588 | $755,179 | $727,490 | $794,395 | $950,548 | $531,695 | $658,438 | $2,140,681 | $2,074,100 | $66,600 | $818,544 | $3,061,652 | $2,576,945 | $807,600 | $3,034,700 | $2,530,700 | $10,900 | $27,000 | $46,200 |
Expenses | ' | ' | ' | ' | ' | ' | ' | 1,873,018 | 1,840,400 | 32,600 | 668,096 | 2,526,974 | 2,153,989 | 660,600 | 2,496,400 | 2,123,100 | 7,500 | 30,600 | 30,900 |
Segment Assets | ' | ' | ' | ' | $40,176,996 | ' | ' | $40,176,996 | $39,276,800 | $900,200 | ' | $36,293,541 | ' | ' | $35,588,600 | ' | ' | $704,900 | ' |
Segment_Reporting_Net_Revenues1
Segment Reporting - Net Revenues, Expenses and Total Assets by Segment (Parenthetical) (Detail) (Predecessor [Member], USD $) | 3 Months Ended | 12 Months Ended | |
In Thousands, unless otherwise specified | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Professional services | $24,135 | $73,427 | $66,305 |
Immaterial Restatement [Member] | Adjusted [Member] | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Professional service fees related to merger transaction, net of taxes | 5,300 | ' | ' |
Immaterial Restatement [Member] | Overstatement [Member] | ' | ' | ' |
Revenues from External Customers and Long-Lived Assets [Line Items] | ' | ' | ' |
Professional services | $8,500 | ' | ' |
Segment_Reporting_Net_Revenues2
Segment Reporting - Net Revenues by Geographic Region (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | |||||||||||||
In Thousands, unless otherwise specified | Nov. 30, 2012 | Aug. 31, 2012 | 31-May-12 | Feb. 29, 2012 | Nov. 30, 2013 | Aug. 31, 2013 | 31-May-13 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 |
Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | |||||
Americas [Member] | Europe [Member] | Asia [Member] | Americas [Member] | Americas [Member] | Americas [Member] | Europe [Member] | Europe [Member] | Europe [Member] | Asia [Member] | Asia [Member] | Asia [Member] | ||||||||||||
Revenues: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Net revenues | $784,588 | $755,179 | $727,490 | $794,395 | $950,548 | $531,695 | $658,438 | $2,140,681 | $1,646,174 | $448,181 | $46,326 | $818,544 | $3,061,652 | $2,576,945 | $661,600 | $2,507,839 | $2,046,644 | $135,135 | $450,823 | $504,292 | $21,809 | $102,990 | $26,009 |
Related_Party_Transactions_Add
Related Party Transactions - Additional Information (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Feb. 28, 2013 | Nov. 30, 2013 | Nov. 30, 2013 | Nov. 30, 2012 | Nov. 30, 2011 | |
Related Party Transaction [Line Items] | ' | ' | ' | ' | ' |
Asset Management Investment | ' | $75,000,000 | $75,000,000 | ' | ' |
Leucadia [Member] | ' | ' | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' | ' | ' |
Commissions for conducting brokerage services | 5,000 | ' | ' | 9,800,000 | 7,200,000 |
Revenue from related parties | ' | 16,700,000 | ' | ' | ' |
Due to related party | ' | 6,700,000 | 6,700,000 | ' | ' |
Percentage of equity interest sold | ' | 100.00% | 100.00% | ' | ' |
Total consideration received | ' | ' | 2,300,000 | ' | ' |
Carrying amount of net assets transferred | ' | ' | 2,300,000 | ' | ' |
Goodwill written off related to sale of business unit | ' | ' | 400,000 | ' | ' |
Gain (loss) on disposition of assets | ' | ' | 0 | ' | ' |
Asset Management Investment | ' | 75,000,000 | 75,000,000 | ' | ' |
Successor [Member] | ' | ' | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' | ' | ' |
Purchase commitments from Berkadia Commercial Mortgage, LLC | ' | ' | 300,000,000 | ' | ' |
Loans outstanding to certain employees | ' | 13,900,000 | 13,900,000 | ' | ' |
Commissions for conducting brokerage services | ' | 472,596,000 | ' | ' | ' |
Successor [Member] | Private Equity Related Funds [Member] | ' | ' | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' | ' | ' |
Equity investments loans in related funds | ' | 61,700,000 | 61,700,000 | ' | ' |
Successor [Member] | Leucadia [Member] | ' | ' | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' | ' | ' |
Earnings associated with their investment | ' | 0 | ' | ' | ' |
Predecessor [Member] | ' | ' | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' | ' | ' |
Purchase commitments from Berkadia Commercial Mortgage, LLC | ' | ' | ' | 411,600,000 | ' |
Loans outstanding to certain employees | ' | ' | ' | 16,300,000 | ' |
Commissions for conducting brokerage services | 146,240,000 | ' | ' | 548,437,000 | 562,858,000 |
Predecessor [Member] | Private Equity Related Funds [Member] | ' | ' | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' | ' | ' |
Equity investments loans in related funds | ' | ' | ' | 104,200,000 | ' |
Predecessor [Member] | Leucadia [Member] | ' | ' | ' | ' | ' |
Related Party Transaction [Line Items] | ' | ' | ' | ' | ' |
Earnings associated with their investment | $61,000 | ' | ' | $5,400,000 | $9,000,000 |
Related_Party_Transactions_Sum
Related Party Transactions - Summary of Interest Income, Other Revenues and Investment Income to Private Equity Related Funds (Detail) (Private Equity Related Funds [Member], USD $) | 9 Months Ended | 3 Months Ended | 12 Months Ended | |
In Thousands, unless otherwise specified | Nov. 30, 2013 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 |
Successor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | |
Related Party Transaction [Line Items] | ' | ' | ' | ' |
Interest income | $852 | $516 | $3,100 | $3,100 |
Other revenues and investment income (loss) | $9,294 | $947 | ($8,500) | $9,200 |
Selected_Quarterly_Financial_D2
Selected Quarterly Financial Data (Unaudited) - Summary of Unaudited Quarterly Statements of Earnings (Detail) (USD $) | 3 Months Ended | 9 Months Ended | 3 Months Ended | 12 Months Ended | |||||||
In Thousands, except Per Share data, unless otherwise specified | Nov. 30, 2012 | Aug. 31, 2012 | 31-May-12 | Feb. 29, 2012 | Nov. 30, 2013 | Aug. 31, 2013 | 31-May-13 | Nov. 30, 2013 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 |
Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | |||||
Schedule Of Quarterly Financial Data [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Total revenues | $989,009 | $961,293 | $962,531 | $1,021,240 | $1,139,157 | $710,682 | $869,901 | $2,719,740 | $1,021,960 | $3,934,073 | $3,557,770 |
Net revenues | 784,588 | 755,179 | 727,490 | 794,395 | 950,548 | 531,695 | 658,438 | 2,140,681 | 818,544 | 3,061,652 | 2,576,945 |
Earnings before income taxes | 113,975 | 122,369 | 106,582 | 148,869 | 175,660 | 23,382 | 65,253 | 264,295 | 139,487 | 491,795 | 419,334 |
Earnings attributable to Jefferies Group LLC | $71,604 | $70,171 | $63,498 | $77,136 | $109,943 | $11,740 | $39,508 | ' | $80,138 | $282,409 | $284,618 |
Earnings per common share: | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Basic | $0.31 | $0.31 | $0.28 | $0.33 | ' | ' | ' | ' | $0.35 | $1.23 | $1.28 |
Diluted | $0.31 | $0.31 | $0.28 | $0.33 | ' | ' | ' | ' | $0.35 | $1.22 | $1.28 |
Selected_Quarterly_Financial_D3
Selected Quarterly Financial Data (Unaudited) - Schedule of Effects of Adjustments on Major Captions within Consolidated Statement of Earnings (Detail) (USD $) | 3 Months Ended | 12 Months Ended | 3 Months Ended | 12 Months Ended | 3 Months Ended | 9 Months Ended | 3 Months Ended | |||||||||||||||||||||
In Thousands, unless otherwise specified | Nov. 30, 2012 | Aug. 31, 2012 | 31-May-12 | Feb. 29, 2012 | Nov. 30, 2013 | Nov. 30, 2012 | Nov. 30, 2011 | Feb. 28, 2013 | Nov. 30, 2012 | Nov. 30, 2011 | Feb. 28, 2013 | Nov. 30, 2012 | Aug. 31, 2012 | 31-May-12 | Feb. 28, 2012 | Feb. 28, 2013 | Nov. 30, 2012 | Aug. 31, 2012 | 31-May-12 | Feb. 28, 2012 | Nov. 30, 2013 | Aug. 31, 2013 | 31-May-13 | Nov. 30, 2013 | Aug. 31, 2013 | 31-May-13 | Aug. 31, 2013 | 31-May-13 |
Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Predecessor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | Successor [Member] | ||||||||
As Previously Reported [Member] | As Previously Reported [Member] | As Previously Reported [Member] | As Previously Reported [Member] | As Previously Reported [Member] | Adjusted [Member] | Adjusted [Member] | Adjusted [Member] | Adjusted [Member] | Adjusted [Member] | As Previously Reported [Member] | As Previously Reported [Member] | Adjusted [Member] | Adjusted [Member] | |||||||||||||||
Commissions revenues | ' | ' | ' | ' | ' | ' | ' | $146,240 | $548,437 | $562,858 | $131,083 | $127,074 | $119,200 | $121,796 | $117,499 | $146,240 | $142,813 | $135,441 | $138,255 | $131,928 | ' | ' | ' | $472,596 | $138,736 | $146,848 | $153,402 | $162,759 |
Total revenues | 989,009 | 961,293 | 962,531 | 1,021,240 | ' | ' | ' | 1,021,960 | 3,934,073 | 3,557,770 | 1,006,803 | 973,270 | 945,052 | 946,072 | 1,006,811 | 1,021,960 | 989,009 | 961,293 | 962,531 | 1,021,240 | 1,139,157 | 710,682 | 869,901 | 2,719,740 | 696,016 | 853,990 | 710,682 | 869,901 |
Net revenues | 784,588 | 755,179 | 727,490 | 794,395 | ' | ' | ' | 818,544 | 3,061,652 | 2,576,945 | 803,387 | 768,849 | 738,938 | 711,031 | 779,966 | 818,544 | 784,588 | 755,179 | 727,490 | 794,395 | 950,548 | 531,695 | 658,438 | 2,140,681 | 517,029 | 642,527 | 531,695 | 658,438 |
Net revenues, less interest mandatorily redeemable preferred interests | ' | ' | ' | ' | ' | ' | ' | 807,583 | 3,018,769 | 2,573,323 | 792,426 | 760,570 | 730,634 | 706,575 | 758,122 | 807,583 | 776,309 | 746,875 | 723,034 | 772,551 | ' | ' | ' | 2,137,313 | 517,029 | 639,159 | 531,695 | 655,070 |
Floor brokerage and clearing fees | ' | ' | ' | ' | 60,600 | 62,900 | 28,100 | 46,155 | 183,013 | 154,445 | 30,998 | 29,106 | 30,280 | 32,921 | 27,838 | 46,155 | 44,845 | 46,521 | 49,380 | 42,267 | ' | ' | ' | 150,774 | 34,500 | 32,991 | 49,166 | 48,902 |
Other expenses | ' | ' | ' | ' | ' | ' | ' | 14,475 | 62,498 | 56,099 | 14,475 | 16,480 | 12,433 | 18,587 | 14,998 | 14,475 | 16,480 | 12,433 | 18,587 | 14,998 | ' | ' | ' | 92,035 | 34,012 | 18,720 | 34,012 | 18,720 |
Total non-compensation expenses | ' | ' | ' | ' | ' | ' | ' | 193,879 | 756,176 | 671,385 | 178,722 | 186,191 | 167,874 | 176,452 | 162,792 | 193,879 | 201,930 | 184,115 | 192,911 | 177,221 | ' | ' | ' | 659,110 | 199,876 | 200,026 | 214,542 | 215,937 |
Total non-interest expenses | ' | ' | ' | ' | ' | ' | ' | 668,096 | 2,526,974 | 2,153,989 | 652,939 | 646,595 | 608,265 | 599,993 | 609,253 | 668,096 | 662,334 | 624,506 | 616,452 | 623,682 | ' | ' | ' | 1,873,018 | 493,647 | 573,906 | 508,313 | 589,817 |
Earnings before income taxes | 113,975 | 122,369 | 106,582 | 148,869 | ' | ' | ' | 139,487 | 491,795 | 419,334 | 139,487 | 113,975 | 122,369 | 106,582 | 148,869 | 139,487 | 113,975 | 122,369 | 106,582 | 148,869 | 175,660 | 23,382 | 65,253 | 264,295 | 23,382 | 65,253 | 23,382 | 65,253 |
Income tax expense | ' | ' | ' | ' | ' | ' | ' | 48,645 | 168,646 | 132,966 | 48,645 | 34,243 | 44,048 | 38,203 | 52,152 | 48,645 | 34,243 | 44,048 | 38,203 | 52,152 | ' | ' | ' | 94,686 | 8,493 | 25,007 | 8,493 | 25,007 |
Net earnings | ' | ' | ' | ' | ' | ' | ' | 90,842 | 323,149 | 286,368 | 90,842 | 79,732 | 78,321 | 68,379 | 96,717 | 90,842 | 79,732 | 78,321 | 68,379 | 96,717 | ' | ' | ' | 169,609 | 14,889 | 40,246 | 14,889 | 40,246 |
Net earnings attributable to Jefferies Group LLC | ' | ' | ' | ' | ' | ' | ' | $80,138 | $282,409 | $284,618 | $80,138 | $71,604 | $70,171 | $63,498 | $77,136 | $80,138 | $71,604 | $70,171 | $63,498 | $77,136 | ' | ' | ' | $161,191 | $11,740 | $39,508 | $11,740 | $39,508 |