KKR Financial 10-Q 8 May 14 2014 Q1 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	3 Months Ended
	Mar. 31, 2014	1-May-14
Document and Entity Information	'	'
Entity Registrant Name	'KKR Financial Holdings LLC	'
Entity Central Index Key	'0001386926	'
Document Type	'10-Q	'
Document Period End Date	31-Mar-14	'
Amendment Flag	'false	'
Current Fiscal Year End Date	'--12-31	'
Entity Current Reporting Status	'Yes	'
Entity Filer Category	'Large Accelerated Filer	'
Entity Common Stock, Shares Outstanding	'	204,824,159
Document Fiscal Year Focus	'2014	'
Document Fiscal Period Focus	'Q1	'

Condensed_Consolidated_Balance

Condensed Consolidated Balance Sheets (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Assets	'	'
Cash and cash equivalents	$185,073	$157,167
Restricted cash and cash equivalents	835,660	350,385
Securities	557,757	573,312
Corporate loans, net (includes $233,927 and $237,480 measured at estimated fair value and $510,687 and $279,748 loans held for sale as of March 31, 2014 and December 31, 2013, respectively)	6,202,732	6,466,720
Equity investments, at estimated fair value ($83,187 and zero pledged as collateral as of both March 31, 2014 and December 31, 2013, respectively)	285,988	181,212
Oil and gas properties, net	427,672	400,369
Interests in joint ventures and partnerships	516,375	436,241
Derivative assets	27,053	30,224
Interest and principal receivable	33,036	33,570
Other assets	90,983	87,998
Total assets	9,162,329	8,717,198
Liabilities	'	'
Credit facilities	49,889	125,289
Senior notes	362,302	362,276
Junior subordinated notes	283,517	283,517
Accounts payable, accrued expenses and other liabilities	50,858	58,215
Related party payable	18,018	5,574
Derivative liabilities	84,876	81,635
Total liabilities	6,583,243	6,189,464
Shareholders' equity	'	'
Preferred shares, no par value, 50,000,000 shares authorized and 14,950,000 issued and outstanding as of both March 31, 2014 and December 31, 2013	0	0
Common shares, no par value, 500,000,000 shares authorized, and 204,824,159 shares issued and outstanding as of both March 31, 2014 and December 31, 2013	0	0
Paid-in-capital	3,315,958	3,315,117
Accumulated other comprehensive loss	-21,372	-15,652
Accumulated deficit	-715,500	-771,731
Total shareholders' equity	2,579,086	2,527,734
Total liabilities and shareholders' equity	9,162,329	8,717,198
Nonaffiliates	'	'
Liabilities	'	'
Collateralized loan obligation secured notes	5,711,885	5,249,383
Accrued interest payable	$21,898	$23,575

Condensed_Consolidated_Balance1

Condensed Consolidated Balance Sheets (Parenthetical) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, except Share data, unless otherwise specified
Condensed Consolidated Balance Sheets	'	'
Corporate loans, estimated fair value (in dollars)	$233,927	$237,480
Corporate loans, held for sale (in dollars)	510,687	279,748
Equity investments, at estimated fair value, pledged as collateral (in dollars)	$83,187	$0
Preferred shares, no par value (in dollars per share)	'	'
Preferred shares, shares authorized	50,000,000	50,000,000
Preferred shares, shares issued	14,950,000	14,950,000
Preferred shares, shares outstanding	14,950,000	14,950,000
Common shares, no par value	'	'
Common shares, shares authorized	500,000,000	500,000,000
Common shares, shares issued	204,824,159	204,824,159
Common shares, shares outstanding	204,824,159	204,824,159

Condensed_Consolidated_Stateme

Condensed Consolidated Statements of Operations (USD $)	3 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Revenues	'	'
Loan interest income	$84,294	$98,261
Securities interest income	9,601	14,862
Oil and gas revenue	44,028	23,805
Other	2,667	3,522
Total revenues	140,590	140,450
Investment costs and expenses	'	'
Provision for loan losses	'	11,068
Oil and gas production costs	10,834	7,908
Oil and gas depreciation, depletion and amortization	15,542	8,988
Other	149	1,288
Total investment costs and expenses	73,770	81,049
Other income	'	'
Net realized and unrealized gain on investments	77,764	94,727
Net realized and unrealized loss on derivatives and foreign exchange	-8,370	-8,852
Net loss on restructuring and extinguishment of debt	'	-20,269
Other income	3,446	8,614
Total other income	72,840	74,220
Other expenses	'	'
Related party management compensation	25,617	28,306
General, administrative and directors expenses	3,903	4,794
Professional services	1,938	1,727
Total other expenses	31,458	34,827
Income before income taxes	108,202	98,794
Income tax expense	19	458
Net income	108,183	98,336
Preferred share distributions	6,891	6,738
Net income available to common shareholders	101,292	91,598
Net income per common share:	'	'
Basic (in dollars per share)	$0.49	$0.46
Diluted (in dollars per share)	$0.49	$0.46
Weighted-average number of common shares outstanding:	'	'
Basic (in shares)	204,236	197,153
Diluted (in shares)	204,236	197,153
Distributions declared per common share (in dollars per share)	$0.22	$0.26
Affiliates	'	'
Investment costs and expenses	'	'
Interest expense	'	9,917
Nonaffiliates	'	'
Investment costs and expenses	'	'
Interest expense	$47,245	$41,880

Condensed_Consolidated_Stateme1

Condensed Consolidated Statements of Comprehensive Income (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Condensed Consolidated Statements of Comprehensive Income	'	'
Net income	$108,183	$98,336
Other comprehensive (loss) income:	'	'
Unrealized (losses) gains on securities available-for-sale	-1,889	5,525
Unrealized (losses) gains on cash flow hedges	-3,831	11,158
Total other comprehensive (loss) income	-5,720	16,683
Comprehensive income	$102,463	$115,019

Condensed_Consolidated_Stateme2

Condensed Consolidated Statements of Changes in Shareholders' Equity (USD $)	Total	Preferred Shares	Preferred Shares Paid-In Capital	Common Shares	Common Shares Paid-In Capital	Accumulated Other Comprehensive Loss	Accumulated Deficit
In Thousands, unless otherwise specified	USD ($)		USD ($)		USD ($)	USD ($)	USD ($)
Balance at Dec. 31, 2013	$2,527,734	'	$361,622	'	$2,953,495	($15,652)	($771,731)
Balance (in shares) at Dec. 31, 2013	'	14,950	'	204,824	'	'	'
Increase (Decrease) in Shareholders' Equity	'	'	'	'	'	'	'
Net income	108,183	'	'	'	'	'	108,183
Other comprehensive loss	-5,720	'	'	'	'	-5,720	'
Distributions declared on preferred shares	-6,891	'	'	'	'	'	-6,891
Distributions declared on common shares	-45,061	'	'	'	'	'	-45,061
Share-based compensation expense related to restricted common shares	841	'	'	'	841	'	'
Balance at Mar. 31, 2014	$2,579,086	'	$361,622	'	$2,954,336	($21,372)	($715,500)
Balance (in shares) at Mar. 31, 2014	'	14,950	'	204,824	'	'	'

Condensed_Consolidated_Stateme3

Condensed Consolidated Statements of Cash Flows (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Cash flows from operating activities	'	'
Net income	$108,183	$98,336
Adjustments to reconcile net income to net cash provided by operating activities:	'	'
Net realized and unrealized loss on derivatives and foreign exchange	8,370	8,852
Net loss on restructuring and extinguishment of debt	'	20,269
Write-off of debt issuance costs	296	4,080
Lower of cost or estimated fair value adjustment on corporate loans held for sale	-8,351	4,749
Provision for loan losses	'	11,068
Impairment charges	2,928	5,862
Share-based compensation	841	980
Net realized and unrealized gain on investments	-72,341	-105,338
Depreciation and net amortization	12,324	-5,232
Changes in assets and liabilities:	'	'
Interest receivable	-3,609	1,921
Other assets	-7,245	-12,881
Related party payable	12,444	10,708
Accounts payable, accrued expenses and other liabilities	-14,781	84
Net cash provided by operating activities	37,382	39,678
Cash flows from investing activities	'	'
Principal payments from corporate loans	606,835	500,167
Principal payments from securities	20,197	57,342
Proceeds from sales of corporate loans	15,235	100,807
Proceeds from sales of securities	14,602	11,977
Proceeds from equity and other investments	42,464	2,007
Purchases of corporate loans	-403,502	-434,408
Purchases of securities	-62,211	-20,990
Purchases of equity and other investments	-81,458	-32,345
Net change in proceeds, purchases, and settlements of derivatives	-5,993	-2,019
Net change in restricted cash and cash equivalents	-485,275	174,292
Net cash (used in) provided by investing activities	-339,106	356,830
Cash flows from financing activities	'	'
Issuance of collateralized loan obligation secured notes	515,354	'
Retirement of collateralized loan obligation secured notes	-54,449	-167,633
Repayment of credit facilities	-75,400	-61,700
Net proceeds from issuance of preferred shares	'	361,622
Distributions on common shares	-45,061	-53,243
Distributions on preferred shares	-6,891	'
Other capitalized costs	-3,923	'
Net cash provided by financing activities	329,630	79,046
Net increase in cash and cash equivalents	27,906	475,554
Cash and cash equivalents at beginning of period	157,167	237,606
Cash and cash equivalents at end of period	185,073	713,160
Supplemental cash flow information	'	'
Cash paid for interest	40,542	43,494
Net cash paid for income taxes	23	4,462
Non-cash investing and financing activities	'	'
Issuance of restricted common shares	'	3,282
Loans transferred from held for investment to held for sale	238,115	21,388
Conversion of convertible senior notes to common shares	'	186,254
Preferred stock	'	'
Non-cash investing and financing activities	'	'
Preferred share distributions declared, not yet paid	'	6,738
Affiliates	'	'
Changes in assets and liabilities:	'	'
Accrued interest payable	'	-1,055
Nonaffiliates	'	'
Changes in assets and liabilities:	'	'
Accrued interest payable	($1,677)	($2,725)

ORGANIZATION

ORGANIZATION	3 Months Ended
	Mar. 31, 2014
ORGANIZATION	'
ORGANIZATION	'
	NOTE 1. ORGANIZATION
	KKR Financial Holdings LLC together with its subsidiaries (the “Company” or “KFN”) is a specialty finance company with expertise in a range of asset classes. The Company’s core business strategy is to leverage the proprietary resources of KKR Financial Advisors LLC (the “Manager”) with the objective of generating both current income and capital appreciation by deploying capital to its strategies, which include bank loans and high yield securities, natural resources, special situations, mezzanine, commercial real estate and private equity with a focus on specialty lending. The Company’s holdings across these strategies primarily consist of below investment grade syndicated corporate loans, also known as leveraged loans, high yield debt securities, private equity, interests in joint ventures and partnerships, and working and royalty interests in oil and gas properties. The corporate loans that the Company holds are typically purchased via assignment or participation in the primary or secondary market.
	The majority of the Company’s holdings consist of corporate loans and high yield debt securities held in collateralized loan obligation (“CLO”) transactions that are structured as on-balance sheet securitizations and are used as long term financing for the Company’s investments in corporate debt. The senior secured debt issued by the CLO transactions is generally owned by unaffiliated third party investors and the Company owns the majority of the subordinated notes in the CLO transactions. The Company executes its core business strategy through its majority-owned subsidiaries, including CLOs.
	The Manager, a wholly-owned subsidiary of KKR Asset Management LLC, manages the Company pursuant to a management agreement (the “Management Agreement”). KKR Asset Management LLC is a wholly-owned subsidiary of Kohlberg Kravis Roberts & Co. L.P. (“KKR”).
	Proposed Merger with KKR & Co.
	On December 16, 2013, the Company announced the signing of a definitive merger agreement pursuant to which KKR & Co. L.P. (“KKR & Co.”) has agreed to acquire all of KFN’s outstanding common shares through an exchange of equity through which the Company’s shareholders will receive 0.51 common units representing the limited partnership interests of KKR & Co. for each common share of KFN. The transaction is subject to approval by the Company’s common shareholders, customary regulatory approvals and other customary closing conditions, as well as the satisfaction of other certain conditions specified in the merger agreement. The merger agreement contains certain termination rights for both KFN and KKR & Co., and provides that under certain circumstances, KFN will be required to pay a termination fee of $26.25 million to KKR & Co. or will be required to reimburse KKR & Co. for its expenses up to $7.5 million. Subject to certain exceptions, KFN’s board of directors has agreed not to withhold, modify or qualify in a manner adverse to KKR & Co. the recommendation of the board that KFN’s shareholders approve the merger agreement.
	Upon closing of the transaction, which is expected to occur in the second quarter of 2014, the Company will become a subsidiary of KKR & Co. The Company’s 7.375% Series A LLC Preferred Shares (“Series A LLC Preferred Shares”), senior notes and junior subordinated notes will remain outstanding and will continue to file periodic reports under the Securities Exchange Act of 1934.
	Pursuant to the merger agreement, upon the effective time of the merger, (i) each outstanding option to purchase a KFN common share will be cancelled and converted into the right to receive an amount in cash equal to the excess of the cash value of the number of KKR & Co. common units that a holder of one KFN common share would be entitled to in the merger over the exercise price per KFN common share subject to such option, (ii) each outstanding restricted KFN common share will be converted into 0.51 KKR & Co. common units having the same terms and conditions as applied immediately prior to the effective time, and (iii) each phantom share under KFN’s Non-Employee Directors’ Deferred Compensation and Share Award Plan will be converted into a phantom share in respect of 0.51 KKR & Co. common units and otherwise remain subject to the terms of the plan.
	Under the terms of the merger agreement, the Company has agreed to conduct its business in the ordinary course and in a manner consistent in all material respects with past practice, subject to certain conditions and restrictions including, but not limited to the entry into certain material contracts or the incurrence of certain indebtedness. In addition, the Company is restricted in the amount of distributions that it can pay to its common shareholders without the prior consent of KKR & Co. In particular, the Company may not declare a quarterly distribution in excess of $0.22 per common share without KKR & Co.’s prior consent. The merger agreement also requires that the Company and KKR & Co. coordinate the timing of the declaration of distributions on its respective common equity prior to the closing of the merger so that, in any quarter, a holder of its common shares will not receive distributions in respect of both KFN common shares and in respect of the KKR & Co. common units that such holder will receive in the merger.
	On April 30, 2014, the transaction was approved by the Company’s common shareholders and the merger was completed. Refer to Note 15 to these condensed consolidated financial statements.

SUMMARY_OF_SIGNIFICANT_ACCOUNT

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	3 Months Ended
	Mar. 31, 2014
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	'
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	'
	NOTE 2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
	Basis of Presentation
	The accompanying condensed consolidated financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (“GAAP”). The condensed consolidated financial statements include the accounts of the Company and entities established to complete secured financing transactions that are considered to be variable interest entities (“VIEs”) and for which the Company is the primary beneficiary.
	Use of Estimates
	The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the Company’s condensed consolidated financial statements and accompanying notes. Actual results could differ from management’s estimates.
	The Company uses historical experience and various other assumptions and information that are believed to be reasonable under the circumstances in developing its estimates and judgments. Estimates and assumptions about future events and their effects cannot be predicted with certainty and, accordingly, these estimates may change as new events occur, as more experience is acquired, as additional information is obtained and as the Company’s operating environment changes. While the Company believes that the estimates and assumptions used in the preparation of the condensed consolidated financial statements are appropriate, actual results could differ from those estimates.
	Estimates of oil, natural gas and natural gas liquid (“NGL”) reserves and their values, future production rates and future costs and expenses are inherently uncertain, including many factors beyond the Company’s control. Reservoir engineering is a subjective process of estimating underground accumulations of oil, natural gas and NGL that cannot be measured in an exact manner. The accuracy of any reserve estimate is a function of many factors including the following: the quality and quantity of available data, the interpretation of that data, the accuracy of various mandated economic assumptions and the judgments of the individuals preparing the estimates. In addition, reserve estimates are a function of many assumptions, all of which could deviate significantly from actual results. As such, reserve estimates may materially vary from the ultimate quantities of oil, natural gas and NGL eventually recovered, and could materially affect the Company’s future depreciation, depletion and amortization expense (“DD&A”), its asset retirement obligations or impairment considerations.
	Consolidation
	KKR Financial CLO 2005-1, Ltd. (“CLO 2005-1”), KKR Financial CLO 2005-2, Ltd. (“CLO 2005-2”), KKR Financial CLO 2006-1, Ltd. (“CLO 2006-1”), KKR Financial CLO 2007-1, Ltd. (“CLO 2007-1”), KKR Financial CLO 2007-A, Ltd. (“CLO 2007-A”), KKR Financial CLO 2011-1, Ltd. (“CLO 2011-1”), KKR Financial CLO 2012-1, Ltd. (“CLO 2012-1”), KKR Financial CLO 2013-1, Ltd. (“CLO 2013-1”) and KKR Financial CLO 2013-2, Ltd. (“CLO 2013-2”) (collectively the “Cash Flow CLOs”) are entities established to complete secured financing transactions. These entities are VIEs which the Company consolidates as the Company has determined it has the power to direct the activities that most significantly impact these entities’ economic performance and the Company has both the obligation to absorb losses of these entities and the right to receive benefits from these entities that could potentially be significant to these entities. In CLO transactions, subordinated notes have the first risk of loss and conversely, the residual value upside of the transactions.
	The Company finances the majority of its corporate debt investments through its CLOs. As of March 31, 2014, the Company’s nine CLOs held $6.6 billion par amount, or $6.4 billion estimated fair value, of corporate debt investments. As of December 31, 2013, the Company had eight CLOs that held $6.7 billion par amount, or $6.4 billion estimated fair value, of corporate debt investments. The assets in each CLO can be used only to settle the debt of the related CLO. As of March 31, 2014 and December 31, 2013, the aggregate CLO debt totaled $5.7 billion and $5.2 billion, respectively, of secured debt outstanding held by unaffiliated third parties.
	The Company consolidates all non-VIEs in which it holds a greater than 50 percent voting interest.
	In addition, the Company has non-controlling interests in joint ventures and partnerships that do not qualify as VIEs and do not meet the control requirements for consolidation as defined by GAAP.
	All inter-company balances and transactions have been eliminated in consolidation.
	Fair Value of Financial Instruments
	Fair value is the price 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. Where available, fair value is based on observable market prices or parameters or derived from such prices or parameters. Where observable prices or inputs are not available, valuation models are applied. These valuation techniques involve some level of management estimation and judgment, the degree of which is dependent on the price transparency for the instruments or market and the instruments’ complexity for disclosure purposes. Assets and liabilities in the condensed consolidated balance sheets are categorized based upon the level of judgment associated with the inputs used to measure their value. Hierarchical levels, as defined under GAAP, are directly related to the amount of subjectivity associated with the inputs to fair valuations of these assets and liabilities, and are as follows:
	Level 1:  Inputs are unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date.
	The types of assets generally included in this category are equity securities listed in active markets.
	Level 2:  Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include quoted prices for similar instruments in active markets, and inputs other than quoted prices that are observable for the asset or liability.
	The types of assets and liabilities generally included in this category are certain corporate debt securities, certain corporate loans held for sale, certain equity investments at estimated fair value and certain financial instruments classified as derivatives.
	Level 3:  Inputs are unobservable inputs for the asset or liability, and include situations where there is little, if any, market activity for the asset or liability.
	The types of assets and liabilities generally included in this category are certain corporate debt securities, certain corporate loans held for sale, certain equity investments at estimated fair value, residential mortgage-backed securities (“RMBS”), certain interests in joint ventures and partnerships and certain financial instruments classified as derivatives.
	A significant decrease in the volume and level of activity for the asset or liability is an indication that transactions or quoted prices may not be representative of fair value because in such market conditions there may be increased instances of transactions that are not orderly. In those circumstances, further analysis of transactions or quoted prices is needed, and a significant adjustment to the transactions or quoted prices may be necessary to estimate fair value.
	The availability of observable inputs can vary depending on the financial asset or liability and is affected by a wide variety of factors, including, for example, the type of product, whether the product is new, whether the product is traded on an active exchange or in the secondary market, and the current market condition. 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. Accordingly, the degree of judgment exercised by the Company in determining fair value is greatest for instruments categorized in Level 3. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the level in the fair value hierarchy within which the fair value measurement in its entirety falls is determined based on the lowest level input that is significant to the fair value measurement in its entirety. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and consideration of factors specific to the asset. The variability of the observable inputs affected by the factors described above may cause transfers between Levels 1, 2, and/or 3, which the Company recognizes at the end of the reporting period.
	Many financial assets and liabilities have bid and ask prices that can be observed in the marketplace. Bid prices reflect the highest price that the Company and others are willing to pay for an asset. Ask prices represent the lowest price that the Company and others are willing to accept for an asset. For financial assets and liabilities whose inputs are based on bid-ask prices, the Company does not require that fair value always be a predetermined point in the bid-ask range. The Company’s policy is to allow for mid-market pricing and adjusting to the point within the bid-ask range that meets the Company’s best estimate of fair value.
	Depending on the relative liquidity in the markets for certain assets, the Company may transfer assets to Level 3 if it determines that observable quoted prices, obtained directly or indirectly, are not available. The valuation techniques used for the assets and liabilities that are valued using Level 3 of the fair value hierarchy are described below.
	Securities and Corporate Loans, at Estimated Fair Value:  Securities and corporate loans, at estimated fair value are initially valued at transaction price and are subsequently valued using market data for similar instruments (e.g., recent transactions or broker quotes), comparisons to benchmark derivative indices or valuation models. Valuation models are based on yield analysis techniques, where the key inputs are based on relative value analyses, which incorporate similar instruments from similar issuers. In addition, an illiquidity discount is applied where appropriate.
	Equity Investments, at Estimated Fair Value:  Equity investments, at estimated fair value, are initially valued at transaction price and are subsequently valued using observable market prices, if available, or internally developed models in the absence of readily observable market prices. Valuation models are generally based on market and income (discounted cash flow) approaches, in which various internal and external factors are considered. Factors include key financial inputs and recent public and private transactions for comparable investments. Key inputs used for the discounted cash flow approach include the weighted average cost of capital and assumed inputs used to calculate terminal values, such as earnings before interest, taxes, depreciation and amortization (“EBITDA”) exit multiples. The fair value recorded for a particular investment will generally be within the range suggested by the two approaches. Upon completion of the valuations conducted, an illiquidity discount is applied where appropriate.
	Interests in Joint Ventures and Partnerships:  Interests in joint ventures and partnerships include certain equity investments related to the oil and gas, commercial real estate and specialty lending sectors. Interests in joint ventures and partnerships are initially valued at transaction price and are subsequently valued using observable market prices, if available, or internally developed models in the absence of readily observable market prices. Valuation models are generally based on an income (discounted cash flow) approach, in which various internal and external factors are considered and key inputs include the weighted average cost of capital. In addition, an illiquidity discount is applied where appropriate.
	Over-the-counter (“OTC”) Derivative Contracts:  OTC derivative contracts include forward, swap and option contracts related to interest rates, foreign currencies, credit standing of reference entities and equity prices. OTC derivatives are initially valued using quoted market prices, if available, or models using a series of techniques, including closed-form analytic formulae, such as the Black-Scholes option-pricing model, and/or simulation models in the absence of quoted market prices. Many pricing models employ methodologies that have pricing inputs observed from actively quoted markets, as is the case for generic interest rate swap and option contracts.
	Residential Mortgage-Backed Securities, at Estimated Fair Value:  RMBS are initially valued at transaction price and are subsequently valued using a third party valuation servicer. The most significant inputs to the valuation of these instruments are default and loss expectations and constant prepayment rates.
	Key unobservable inputs that have a significant impact on the Company’s Level 3 valuations as described above are included in Note 13 to these condensed consolidated financial statements. The Company utilizes several unobservable pricing inputs and assumptions in determining the fair value of its Level 3 investments. These unobservable pricing inputs and assumptions may differ by asset and in the application of the Company’s valuation methodologies. The reported fair value estimates could vary materially if the Company had chosen to incorporate different unobservable pricing inputs and other assumptions or, for applicable investments, if the Company only used either the discounted cash flow methodology or the market comparables methodology instead of assigning a weighting to both methodologies.
	Valuation Process
	The valuation process involved in Level 3 measurements for assets and liabilities is completed on a quarterly basis and is designed to subject the valuation of Level 3 investments to an appropriate level of consistency, oversight and review. The Company utilizes a valuation committee, whose members consist of the Company’s Chief Executive Officer, Chief Financial Officer, General Counsel and certain other employees of the Manager. The valuation committee is responsible for coordinating and implementing the Company’s quarterly valuation process.
	Investments are generally valued based on quotations from third party pricing services, unless such a quotation is unavailable or is determined to be unreliable or inadequately representing the fair value of the particular assets. In that case, valuations are based on either valuation data obtained from one or more other third party pricing sources, including broker dealers, or will reflect the valuation committee’s good faith determination of estimated fair value based on other factors considered relevant. For assets classified as Level 3, the investment professionals are responsible for documenting preliminary valuations based on various factors including their evaluation of financial and operating data, company specific developments, market valuations of comparable companies and model projections discussed above. All valuations are approved by the valuation committee.
	Cash and Cash Equivalents
	Cash and cash equivalents include cash on hand, cash held in banks and highly liquid investments with original maturities of three months or less. Interest income earned on cash and cash equivalents is recorded in other within total revenues on the condensed consolidated statements of operations.
	Restricted Cash and Cash Equivalents
	Restricted cash and cash equivalents represent amounts that are held by third parties under certain of the Company’s financing and derivative transactions. Interest income earned on restricted cash and cash equivalents is recorded in other within total revenues on the condensed consolidated statements of operations.
	On the condensed consolidated statements of cash flows, net additions or reductions to restricted cash and cash equivalents are classified as an investing activity as restricted cash and cash equivalents reflect the receipts from collections or sales of investments, as well as payments made to acquire investments held by third parties.
	Securities
	Securities Available-for-Sale
	The Company classifies its investments in securities as available-for-sale as the Company may sell them prior to maturity and does not hold them principally for the purpose of selling them in the near term. These investments are carried at estimated fair value, with unrealized gains and losses reported in accumulated other comprehensive income. Estimated fair values are based on quoted market prices, when available, on estimates provided by independent pricing sources or dealers who make markets in such securities, or internal valuation models when external sources of fair value are not available. Upon the sale of a security, the realized net gain or loss is computed on a weighted average cost basis. Purchases and sales of securities are recorded on the trade date.
	The Company monitors its available-for-sale securities portfolio for impairments. A loss is recognized when it is determined that a decline in the estimated fair value of a security below its amortized cost is other-than-temporary. The Company considers many factors in determining whether the impairment of a security is deemed to be other-than-temporary, including, but not limited to, the length of time the security has had a decline in estimated fair value below its amortized cost and the severity of the decline, the amount of the unrealized loss, recent events specific to the issuer or industry, external credit ratings and recent changes in such ratings. In addition, for debt securities, the Company considers its intent to sell the debt security, the Company’s estimation of whether or not it expects to recover the debt security’s entire amortized cost if it intends to hold the debt security, and whether it is more likely than not that the Company will be required to sell the debt security before its anticipated recovery. For equity securities, the Company also considers its intent and ability to hold the equity security for a period of time sufficient for a recovery in value.
	The amount of the loss that is recognized when it is determined that a decline in the estimated fair value of a security below its amortized cost is other-than-temporary is dependent on certain factors. If the security is an equity security or if the security is a debt security that the Company intends to sell or estimates that it is more likely than not that the Company will be required to sell before recovery of its amortized cost, then the impairment amount recognized in earnings is the entire difference between the estimated fair value of the security and its amortized cost. For debt securities that the Company does not intend to sell or estimates that it is not more likely than not to be required to sell before recovery, the impairment is separated into the estimated amount relating to credit loss and the estimated amount relating to all other factors. Only the estimated credit loss amount is recognized in earnings, with the remainder of the loss amount recognized in accumulated other comprehensive loss.
	Unamortized premiums and unaccreted discounts on securities available-for-sale are recognized in interest income over the contractual life, adjusted for actual prepayments, of the securities using the effective interest method.
	Other Securities, at Estimated Fair Value
	The Company has elected the fair value option of accounting for certain securities for the purpose of enhancing the transparency of its financial condition as fair value is consistent with how the Company manages the risks of these securities. Other securities, at estimated fair value are included within securities on the condensed consolidated balance sheets with unrealized gains and losses reported in net realized and unrealized gain on investments in the condensed consolidated statements of operations.
	Residential Mortgage-Backed Securities, at Estimated Fair Value
	The Company has elected the fair value option of accounting for its residential mortgage investments for the purpose of enhancing the transparency of its financial condition as fair value is consistent with how the Company manages the risks of its residential mortgage investments. RMBS, at estimated fair value are included within securities on the condensed consolidated balance sheets with unrealized gains and losses reported in net realized and unrealized gain on investments in the condensed consolidated statements of operations.
	Equity Investments, at Estimated Fair Value
	The Company has elected the fair value option of accounting for certain marketable equity securities and private equity investments. The Company elects the fair value option of accounting for private equity investments received through restructuring debt transactions or issued by an entity in which the Company may have significant influence. The Company elected the fair value option for certain equity investments for the purpose of enhancing the transparency of its financial condition as fair value is consistent with how the Company manages the risks of these equity investments. Equity investments, at fair value, are managed based on overall value and potential returns. These equity investments carried at estimated fair value are presented separately on the condensed consolidated balance sheets with unrealized gains and losses reported in net realized and unrealized gain on investments in the condensed consolidated statements of operations.
	Interests in Joint Ventures and Partnerships
	The Company has elected the fair value option of accounting for certain non-controlling interests in joint ventures and partnerships for the purpose of enhancing the transparency of its financial condition as fair value is consistent with how the Company manages the risks of these interests. These interests in joint ventures and partnerships are presented separately on the condensed consolidated balance sheets with unrealized gains and losses reported in net realized and unrealized gain on investments in the condensed consolidated statements of operations.
	Securities Sold, Not Yet Purchased
	Securities sold, not yet purchased consist of equity and debt securities that the Company has sold short. In order to facilitate a short sale, the Company borrows the securities from another party and delivers the securities to the buyer. The Company will be required to “cover” its short sale in the future through the purchase of the security in the market at the prevailing market price and deliver it to the counterparty from which it borrowed. The Company is exposed to a loss to the extent that the security price increases during the time from when the Company borrowed the security to when the Company purchases it in the market to cover the short sale. Securities sold, not yet purchased are presented within accounts payable, accrued expenses and other liabilities on the condensed consolidated balance sheets with gains and losses reported in net realized and unrealized gain on investments on the condensed consolidated statement of operations.
	Corporate Loans, Net
	Corporate Loans
	Corporate loans are generally held for investment and the Company initially records corporate loans at their purchase prices. The Company subsequently accounts for corporate loans based on their outstanding principal plus or minus unaccreted purchase discounts and unamortized purchase premiums. Corporate loans that the Company transfers to held for sale are transferred at the lower of cost or estimated fair value.
	Interest income on corporate loans includes interest at stated coupon rates adjusted for accretion of purchase discounts and the amortization of purchase premiums. Unamortized premiums and unaccreted discounts are recognized in interest income over the contractual life, adjusted for actual prepayments, of the corporate loans using the effective interest method.
	Other than corporate loans measured at estimated fair value, corporate loans acquired with deteriorated credit quality are recorded at initial cost and interest income is recognized as the difference between the Company’s estimate of all cash flows that it will receive from the loan in excess of its initial investment on a level-yield basis over the life of the corporate loan (accretable yield) using the effective interest method.
	A corporate loan is typically placed on non-accrual status at such time as: (i) management believes that scheduled debt service payments may not be paid when contractually due; (ii) the corporate loan becomes 90 days delinquent; (iii) management determines the borrower is incapable of, or has ceased efforts toward, curing the cause of the impairment; or (iv) the net realizable value of the collateral securing the corporate loan decreases below the Company’s carrying value of such corporate loan. As such, corporate loans placed on non-accrual status may or may not be contractually past due at the time of such determination. While on non-accrual status, previously recognized accrued interest is reversed if it is determined that such amounts are not collectible and interest income is recognized using the cost-recovery method, cash-basis method or some combination of the two methods. A corporate loan is placed back on accrual status when the ultimate collectability of the principal and interest is not in doubt.
	The Company may modify corporate loans in transactions where the borrower is experiencing financial difficulty and a concession is granted to the borrower as part of the modification. These concessions may include one or a combination of the following: a reduction of the stated interest rate; payment extensions; forgiveness of principal; or an exchange of assets. Such modifications typically qualify as troubled debt restructurings (“TDRs”). In order to determine whether the borrower is experiencing financial difficulty, an evaluation is performed including the following considerations: whether the borrower is or will be in payment default on any of its debt in the foreseeable future without the modification; whether there is a potential for a bankruptcy filing; whether there is a going-concern issue; or whether the borrower is unable to secure financing elsewhere.
	Corporate loans whose terms have been modified in a TDR are considered impaired, unless accounted for at fair value or the lower of cost or estimated fair value, and are typically placed on non-accrual status, but can be moved to accrual status when, among other criteria, payment in full of all amounts due under the restructured terms is expected and the borrower has demonstrated a sustained period of repayment performance, typically six months.
TDRs are separately identified for impairment disclosures and are measured at either the estimated fair value or the present value of estimated future cash flows using the respective corporate loan’s effective rate at inception. Impairments associated with TDRs are included within the allocated component of the Company’s allowance for loan losses.
The Company may also identify receivables that are newly considered impaired and discloses the total amount of receivables and the allowance for credit losses as of the end of the period of adoption related to those receivables that are newly considered impaired.
In addition to TDRs, the Company may also modify corporate loans which usually involve changes in existing interest rates combined with changes of existing maturities to prevailing market rates/maturities for similar instruments at the time of modification. Such modifications typically do not meet the definition of a TDR since the respective borrowers are neither experiencing financial difficulty nor are seeking a concession as part of the modification.
The corporate loans the Company invests in are generally deemed in default upon the non-payment of a single interest payment or as a result of the violation of a covenant in the respective corporate loan agreement. The Company charges-off a portion or all of its amortized cost basis in a corporate loan when it determines that it is uncollectible due to either: (i) the estimation based on a recovery value analysis of a defaulted corporate loan that less than the amortized cost amount will be recovered through the agreed upon restructuring of the corporate loan or as a result of a bankruptcy process of the issuer of the corporate loan; or (ii) the determination by the Company to transfer a corporate loan to held for sale with the corporate loan having an estimated fair value below the amortized cost basis of the corporate loan.
Allowance for Loan Losses
The Company’s corporate loan portfolio is comprised of a single portfolio segment which includes one class of financing receivables, that is, high yield loans that are typically purchased via assignment or participation in either the primary or secondary market and are held primarily for investment. High yield loans are generally characterized as having below investment grade ratings or being unrated.
The Company’s allowance for loan losses represents its estimate of probable credit losses inherent in its corporate loan portfolio held for investment as of the balance sheet date. Estimating the Company’s allowance for loan losses involves a high degree of management judgment and is based upon a comprehensive review of the Company’s corporate loan portfolio that is performed on a quarterly basis. The Company’s allowance for loan losses consists of two components, an allocated component and an unallocated component. The allocated component of the allowance for loan losses pertains to specific corporate loans that the Company has determined are impaired. The Company determines a corporate loan is impaired when management estimates that it is probable that the Company will be unable to collect all amounts due according to the contractual terms of the corporate loan agreement. On a quarterly basis the Company performs a comprehensive review of its entire corporate loan portfolio and identifies certain corporate loans that it has determined are impaired. Once a corporate loan is identified as being impaired, the Company places the corporate loan on non-accrual status, unless the corporate loan is already on non-accrual status, and records an allowance that reflects management’s best estimate of the loss that the Company expects to recognize from the corporate loan. The expected loss is estimated as being the difference between the Company’s current cost basis of the corporate loan, including accrued interest receivable, and the present value of expected future cash flows discounted at the corporate loan’s effective interest rate, except as a practical expedient, the corporate loan’s observable estimated fair value may be used. The Company also estimates the probable credit losses inherent in its unfunded loan commitments as of the balance sheet date. Any credit loss reserve for unfunded loan commitments is recorded in accounts payable, accrued expenses and other liabilities on the Company’s condensed consolidated balance sheets.
The unallocated component of the Company’s allowance for loan losses represents its estimate of probable losses inherent in the corporate loan portfolio as of the balance sheet date where the specific loan that the loan loss relates to is indeterminable. The Company estimates the unallocated component of the allowance for loan losses through a comprehensive review of its corporate loan portfolio and identifies certain corporate loans that demonstrate possible indicators of impairment, including internally assigned credit quality indicators. This assessment excludes all corporate loans that are determined to be impaired and as a result, an allocated reserve has been recorded as described in the preceding paragraph. Such indicators include the current and/or forecasted financial performance, liquidity profile of the issuer, specific industry or economic conditions that may impact the issuer, and the observable trading price of the corporate loan if available. All corporate loans are first categorized based on their assigned risk grade and further stratified based on the seniority of the corporate loan in the issuer’s capital structure. The seniority classifications assigned to corporate loans are senior secured, second lien and subordinate. Senior secured consists of corporate loans that are the most senior debt in an issuer’s capital structure and therefore have a lower estimated loss severity than other debt that is subordinate to the senior secured loan. Senior secured corporate loans often have a first lien on some or all of the issuer’s assets. Second lien consists of corporate loans that are secured by a second lien interest on some or all of the issuer’s assets; however, the corporate loan is subordinate to the first lien debt in the issuer’s capital structure. Subordinate consists of corporate loans that are generally unsecured and subordinate to other debt in the issuer’s capital structure.
There are three internally assigned risk grades that are applied to loans that have not been identified as being impaired: high, moderate and low. High risk means that there is evidence of possible loss due to the current and/or forecasted financial performance, liquidity profile of the issuer, specific industry or economic conditions that may impact the issuer, observable trading price of the corporate loan if available, or other factors that indicate that the breach of a covenant contained in the related loan agreement is possible. Moderate risk means that while there is not observable evidence of possible loss, there are issuer and/or industry specific trends that indicate a loss may have occurred. Low risk means that while there is no identified evidence of loss, there is the risk of loss inherent in the loan that has not been identified. All loans held for investment, with the exception of loans that have been identified as impaired, are assigned a risk grade of high, moderate or low.
The Company applies a range of default and loss severity estimates in order to estimate a range of loss outcomes upon which to base its estimate of probable losses that results in the determination of the unallocated component of the Company’s allowance for loan losses.
Corporate Loans Held for Sale
From time to time the Company makes the determination to transfer certain of its corporate loans from held for investment to held for sale. The decision to transfer a loan to held for sale is generally as a result of the Company determining that the respective loan’s credit quality in relation to the loan’s expected risk-adjusted return no longer meets the Company’s investment objective and/or the Company deciding to reduce or eliminate its exposure to a particular loan for risk management purposes. Corporate loans held for sale are stated at lower of cost or estimated fair value and are assessed on an individual basis. Prior to transferring a loan to held for sale, any difference between the carrying amount of the loan and its outstanding principal balance is recognized as an adjustment to the yield by the effective interest method. The loan is transferred from held for investment to held for sale at the lower of its cost or estimated fair value and is carried at the lower of its cost or estimated fair value thereafter. Subsequent to transfer and while the loan is held for sale, recognition as an adjustment to yield by the effective interest method is discontinued for any difference between the carrying amount of the loan and its outstanding principal balance.
From time to time the Company also makes the determination to transfer certain of its corporate loans from held for sale back to held for investment. The decision to transfer a loan back to held for investment is generally as a result of the circumstances that led to the initial transfer to held for sale no longer being present. Such circumstances may include deteriorated market conditions often resulting in price depreciation or assets becoming illiquid, changes in restrictions on sales and certain loans amending their terms to extend the maturity, whereby the Company determined that selling the asset no longer met its investment objective and strategy. The loan is transferred from held for sale back to held for investment at the lower of its cost or estimated fair value, whereby a new cost basis is established based on this amount.
Interest income on corporate loans held for sale is recognized through accrual of the stated coupon rate for the loans, unless the loans are placed on non-accrual status, at which point previously recognized accrued interest is reversed if it is determined that such amounts are not collectible and interest income is recognized using either the cost-recovery method or on a cash-basis.
Corporate Loans, at Estimated Fair Value
The Company has elected the fair value option of accounting for certain corporate loans for the purpose of enhancing the transparency of its financial condition as fair value is consistent with how the Company manages the risks of these corporate loans. Corporate loans carried at estimated fair value are included within corporate loans, net on the condensed consolidated balance sheets with unrealized gains and losses reported in net realized and unrealized gain on investments in the condensed consolidated statement of operations.
Oil and Natural Gas Properties
Oil and natural gas producing activities are accounted for under the successful efforts method of accounting. Under this method, exploration costs, other than the costs of drilling exploratory wells, are charged to expense as incurred. Costs that are associated with the drilling of successful exploration wells are capitalized if proved reserves are found. Lease acquisition costs are capitalized when incurred. Costs associated with the drilling of exploratory wells that do not find proved reserves, geological and geophysical costs and costs of certain nonproducing leasehold costs are expensed as incurred.
Expenditures for repairs and maintenance, including workovers, are charged to expense as incurred.
The capitalized costs of producing oil and natural gas properties are depleted on a field-by-field basis using the units-of production method based on the ratio of current production to estimated total net proved oil, natural gas and NGL reserves. Proved developed reserves are used in computing depletion rates for drilling and development costs and total proved reserves are used for depletion rates of leasehold costs.
Estimated dismantlement and abandonment costs for oil and natural gas properties, net of salvage value, are capitalized at their estimated net present value and amortized on a unit-of-production basis over the remaining life of the related proved developed reserves.
Oil and Gas Revenue Recognition
Oil, natural gas and NGL revenues are recognized when production is sold to a purchaser at fixed or determinable prices, when delivery has occurred and title has transferred and collectability of the revenue is reasonably assured. The Company follows the sales method of accounting for natural gas revenues. Under this method of accounting, revenues are recognized based on volumes sold, which may differ from the volume to which the Company is entitled based on the Company’s working interest. An imbalance is recognized as a liability only when the estimated remaining reserves will not be sufficient to enable the under-produced owners to recoup their entitled share through future production. Under the sales method, no receivables are recorded when the Company has taken less than its share of production and no payables are recorded when the Company has taken more than its share of production.
Long-Lived Assets
Whenever events or changes in circumstances indicate that the carrying amounts of such properties may not be recoverable, the Company evaluates its proved oil and natural gas properties and related equipment and facilities for impairment on a field-by-field basis. The determination of recoverability is made based upon estimated undiscounted future net cash flows. The amount of impairment loss, if any, is determined by comparing the fair value, as determined by a discounted cash flow analysis, with the carrying value of the related asset. The factors used to determine fair value include, but are not limited to, estimates of proved reserves, future commodity pricing, future production estimates, anticipated capital expenditures, future operating costs and a discount rate commensurate with the risk on the properties and cost of capital. Unproved oil and natural gas properties are assessed periodically and, at a minimum, annually on a property-by-property basis, and any impairment in value is recognized when incurred.
Borrowings
The Company finances the majority of its investments through the use of secured borrowings in the form of securitization transactions structured as non-recourse secured financings and other secured and unsecured borrowings. In addition, the Company finances certain of its oil and gas asset acquisitions through borrowings. The Company recognizes interest expense on all borrowings on an accrual basis.
Trust Preferred Securities
Trusts formed by the Company for the sole purpose of issuing trust preferred securities are not consolidated by the Company as the Company has determined that it is not the primary beneficiary of such trusts. The Company’s investment in the common securities of such trusts is included within other assets on the condensed consolidated balance sheets.
Preferred Shares
Distributions on the Company’s Series A LLC Preferred Shares are cumulative and payable quarterly when and if declared by the Company’s board of directors at a 7.375% rate per annum. The Company accrues for the distribution upon declaration and is included within accounts payable, accrued expenses and other liabilities on the condensed consolidated balance sheets.
Derivative Instruments
The Company recognizes all derivatives on the condensed consolidated balance sheet at estimated fair value. On the date the Company enters into a derivative contract, the Company designates and documents each derivative contract as one of the following at the time the contract is executed: (i) a hedge of a recognized asset or liability (“fair value” hedge); (ii) a hedge of a forecasted transaction or of the variability of cash flows to be received or paid related to a recognized asset or liability (“cash flow” hedge); (iii) a hedge of a net investment in a foreign operation; or (iv) a derivative instrument not designated as a hedging instrument (“free-standing derivative”). For a fair value hedge, the Company records changes in the estimated fair value of the derivative instrument and, to the extent that it is effective, changes in the fair value of the hedged asset or liability in the current period earnings in the same financial statement category as the hedged item. For a cash flow hedge, the Company records changes in the estimated fair value of the derivative to the extent that it is effective in accumulated other comprehensive loss and subsequently reclassifies these changes in estimated fair value to net income in the same period(s) that the hedged transaction affects earnings. The effective portion of the cash flow hedges is recorded in the same financial statement category as the hedged item. For free-standing derivatives, the Company reports changes in the fair values in net realized and unrealized loss on derivatives and foreign exchange on the condensed consolidated statements of operations.
The Company formally documents at inception its hedge relationships, including identification of the hedging instruments and the hedged items, its risk management objectives, strategy for undertaking the hedge transaction and the Company’s evaluation of effectiveness of its hedged transactions. Periodically, the Company also formally assesses whether the derivative it designated in each hedging relationship is expected to be and has been highly effective in offsetting changes in estimated fair values or cash flows of the hedged item using either the dollar offset or the regression analysis method. If the Company determines that a derivative is not highly effective as a hedge, it discontinues hedge accounting.
Foreign Currency
The Company makes investments in non-United States dollar denominated assets including securities, loans, equity investments, at estimated fair value and interests in joint ventures and partnerships. As a result, the Company is subject to the risk of fluctuation in the exchange rate between the United States dollar and the foreign currency in which it makes an investment. In order to reduce the currency risk, the Company may hedge the applicable foreign currency. All investments denominated in a foreign currency are converted to the United States dollar using prevailing exchange rates on the balance sheet date.
Income, expenses, gains and losses on investments denominated in a foreign currency are converted to the United States dollar using the prevailing exchange rates on the dates when they are recorded. Foreign exchange gains and losses are recorded in net realized and unrealized loss on derivatives and foreign exchange on the condensed consolidated statements of operations.
Manager Compensation
The Management Agreement provides for the payment of a base management fee to the Manager, as well as an incentive fee if the Company’s financial performance exceeds certain benchmarks. Additionally, the Management Agreement provides for the Manager to be reimbursed for certain expenses incurred on the Company’s behalf. The base management fee and the incentive fee are accrued and expensed during the period for which they are earned by the Manager.
Share-Based Compensation
The Company accounts for share-based compensation issued to its directors and to its Manager using the fair value based methodology in accordance with relevant accounting guidance. Compensation cost related to restricted common shares issued to the Company’s directors is measured at its estimated fair value at the grant date, and is amortized and expensed over the vesting period on a straight-line basis. Compensation cost related to restricted common shares and common share options issued to the Manager is initially measured at estimated fair value at the grant date, and is remeasured on subsequent dates to the extent the awards are unvested. The Company has elected to use the graded vesting attribution method to amortize compensation expense for the restricted common shares and common share options granted to the Manager.
Income Taxes
The Company intends to continue to operate so as to qualify, for United States federal income tax purposes, as a partnership and not as an association or publicly traded partnership taxable as a corporation. Therefore, the Company generally is not subject to United States federal income tax at the entity level, but is subject to limited state and foreign taxes. Holders of the Company’s common and preferred shares will be required to take into account their allocable share of each item of the Company’s income, gain, loss, deduction, and credit that is allocated to such class of shares for the taxable year of the Company ending within or with their taxable year.
The Company owns equity interests in entities that have elected or intend to elect to be taxed as a real estate investment trust (a “REIT”) under the Internal Revenue Code of 1986, as amended (the “Code”). A REIT generally is not subject to United States federal income tax to the extent that it currently distributes its income and satisfies certain asset, income and ownership tests, and recordkeeping requirements, but it may be subject to some amount of federal, state, local and foreign taxes based on its taxable income.
The Company has wholly-owned domestic and foreign subsidiaries that are taxable as corporations for United States federal income tax purposes and thus are not consolidated with the Company for United States federal income tax purposes. For financial reporting purposes, current and deferred taxes are provided for on the portion of earnings recognized by the Company with respect to its interest in the domestic taxable corporate subsidiaries, because each is taxed as a regular corporation under the Code. Deferred income tax assets and liabilities are computed based on temporary differences between the GAAP consolidated financial statements and the United States federal income tax basis of assets and liabilities as of each consolidated balance sheet date. The foreign corporate subsidiaries were formed to make certain foreign and domestic investments from time to time. The foreign corporate subsidiaries are organized as exempted companies incorporated with limited liability under the laws of the Cayman Islands, and are anticipated to be exempt from United States federal and state income tax at the corporate entity level because they restrict their activities in the United States to trading in stock and securities for their own account. However, the Company will be required to include their current taxable income in the Company’s calculation of its taxable income allocable to shareholders.
The Company must recognize the tax impact from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. The tax impact recognized in the financial statements from such a position is measured based on the largest benefit that has a greater than 50% likelihood of being realized upon ultimate resolution. Penalties and interest related to uncertain tax positions are recorded as tax expense. Significant judgment is required in the identification of uncertain tax positions and in the estimation of penalties and interest on uncertain tax positions. If it is determined that recognition for an uncertain tax provision is necessary, the Company would record a liability for an unrecognized tax expense from an uncertain tax position taken or expected to be taken.
Earnings Per Common Share
The Company presents both basic and diluted earnings per common share (“EPS”) in its condensed consolidated financial statements and footnotes thereto. Basic earnings per common share (“Basic EPS”) excludes dilution and is computed by dividing net income or loss available to common shareholders by the weighted average number of common shares, including vested restricted common shares, outstanding for the period. The Company calculates EPS using the more dilutive of the two-class method or the if-converted method. The two-class method is an earnings allocation formula that determines EPS for common shares and participating securities. Unvested share-based payment awards that contain non-forfeitable rights to dividends or dividend equivalents (whether paid or unpaid) are participating securities and shall be included in the computation of EPS using the two-class method. Accordingly, all earnings (distributed and undistributed) are allocated to common shares, preferred shares and participating securities based on their respective rights to receive dividends. Diluted earnings per common share (“Diluted EPS”) reflects the potential dilution of common share options and unvested restricted common shares using the treasury method or if-converted method.

EARNINGS_PER_COMMON_SHARE

EARNINGS PER COMMON SHARE	3 Months Ended
	Mar. 31, 2014
EARNINGS PER COMMON SHARE	'
EARNINGS PER COMMON SHARE	'
	NOTE 3. EARNINGS PER COMMON SHARE
	The following table presents a reconciliation of basic and diluted net income per common share for the three months ended March 31, 2014 and 2013 (amounts in thousands, except per share information):
		Three months ended		Three months ended
		March 31, 2014		March 31, 2013
	Net income	$	108,183	$	98,336
	Less: Preferred share distributions	6,891		6,738
	Net income available to common shareholders	$	101,292	$	91,598
	Less: Dividends and undistributed earnings allocated to participating securities	309		338
	Net income allocated to common shareholders	$	100,983	$	91,260
	Basic:
	Basic weighted average common shares outstanding	204,236		197,153
	Net income per common share	$	0.49	$	0.46
	Diluted:
	Diluted weighted average common shares outstanding(1)	204,236		197,153
	Net income per common share	$	0.49	$	0.46
	(1)                                 Potential anti-dilutive common shares excluded from diluted earnings per share related to common share options were 1,932,279 for the three months ended March 31, 2014 and 2013.

SECURITIES

SECURITIES	3 Months Ended
	Mar. 31, 2014
SECURITIES	'
SECURITIES	'
	NOTE 4. SECURITIES
	The Company accounts for securities based on the following categories: (i) securities available-for-sale, which are carried at estimated fair value, with unrealized gains and losses reported in accumulated other comprehensive loss; (ii) other securities, at estimated fair value, with unrealized gains and losses recorded in the condensed consolidated statements of operations; and (iii) RMBS, at estimated fair value, with unrealized gains and losses recorded in the condensed consolidated statements of operations.
	The following table summarizes the Company’s securities as of March 31, 2014, which are carried at estimated fair value (amounts in thousands):
		March 31, 2014
		Amortized		Gross			Gross			Estimated
		Cost		Unrealized			Unrealized			Fair
				Gains			Losses			Value
	Securities available-for-sale	$	335,585	$	22,397		$	(719	)	$	357,263
	Other securities, at estimated fair value(1)	133,287		9,001			(547		)	141,741
	Residential mortgage-backed securities, at estimated fair value(1)	107,189		767			(49,203		)	58,753
	Total securities	$	576,061	$	32,165		$	(50,469	)	$	557,757
	(1)                                 Unrealized gains and losses presented represent amounts as of period-end. Unrealized gains and losses recognized during the year for these securities are recorded in earnings.
	The following table summarizes the Company’s securities as of December 31, 2013, which are carried at estimated fair value (amounts in thousands):
		December 31, 2013
		Amortized		Gross			Gross			Estimated
		Cost		Unrealized			Unrealized			Fair
				Gains			Losses			Value
	Securities available-for-sale	$	326,775	$	24,791		$	(1,225	)	$	350,341
	Other securities, at estimated fair value(1)	135,968		12,436			(1,437		)	146,967
	Residential mortgage-backed securities, at estimated fair value(1)	138,284		2,809			(65,089		)	76,004
	Total securities	$	601,027	$	40,036		$	(67,751	)	$	573,312
	(1)                                 Unrealized gains and losses presented represent amounts as of period-end. Unrealized gains and losses recognized during the year for these securities are recorded in earnings.
	The following table shows the gross unrealized losses and estimated fair value of the Company’s available-for-sale securities, aggregated by length of time that the individual securities have been in a continuous unrealized loss position as of March 31, 2014 and December 31, 2013 (amounts in thousands):
		Less Than 12 months					12 Months or More						Total
		Estimated		Unrealized			Estimated			Unrealized			Estimated		Unrealized
		Fair Value		Losses			Fair Value			Losses			Fair Value		Losses
	March 31, 2014
	Securities available-for-sale	$	28,480	$	(533	)	$	30,417		$	(186	)	$	58,897	$	(719	)
	December 31, 2013
	Securities available-for-sale	$	25,543	$	(658	)	$	30,034		$	(567	)	$	55,577	$	(1,225	)
	The unrealized losses in the table above are considered to be temporary impairments due to market factors and are not reflective of credit deterioration. The Company considers many factors when evaluating whether impairment is other-than-temporary. For securities available-for-sale included in the table above, the Company does not intend to sell or believe that it is more likely than not that the Company will be required to sell any of its securities available-for-sale prior to recovery. In addition, based on the analyses performed by the Company on each of its securities available-for-sale, the Company believes that it is able to recover the entire amortized cost amount of the securities available-for-sale included in the table above.
	During the three months ended March 31, 2014 and 2013, the Company recognized losses totaling $2.9 million and $5.9 million, respectively, for securities available-for-sale that it determined to be other-than-temporarily impaired. The Company intends to sell these securities and as a result, the entire amount of the loss is recorded through earnings in net realized and unrealized gain on investments in the condensed consolidated statements of operations.
	As of March 31, 2014, the Company had a corporate debt security from one issuer in default with an estimated fair value of $6.6 million, which was on non-accrual status. As of December 31, 2013, the Company had a corporate debt security from one issuer in default with an estimated fair value of $25.4 million, which was on non-accrual status.
	Securities available-for-sale sold at a loss typically include those that the Company determined to be other-than-temporarily impaired or had a deterioration in credit quality. The following table shows the net realized gains on the sales of securities available-for-sale (amounts in thousands):
		For the three		For the three
		months ended		months ended
		March 31, 2014		March 31, 2013
	Gross realized gains	$	—	$	2,150
	Gross realized losses	—		—
	Net realized gains	$	—	$	2,150
	Troubled Debt Restructurings
	During the three months ended March 31, 2014, the Company modified a security with an amortized cost of $24.1 million related to a single issuer in a restructuring that qualified as a TDR. The TDR involving this security, along with corporate loans related to the same issuer, were converted into a combination of equity carried at estimated fair value and cash. Post-modification, the equity securities received from the security TDR had an estimated fair value of $16.1 million. Refer to “Troubled Debt Restructurings” section within Note 5 to these condensed consolidated financial statements for further discussion on the loan TDRs related to this single issuer. There were no securities that qualified as TDRs during the three months ended March 31, 2013.
	As of March 31, 2014, no securities modified as TDRs were in default within a twelve month period subsequent to their original restructuring.
	Concentration Risk
	The Company’s corporate debt securities portfolio, which includes securities available-for-sale and other securities at estimated fair value, has certain credit risk concentrated in a limited number of issuers. As of March 31, 2014, approximately 59% of the estimated fair value of the Company’s corporate debt securities portfolio was concentrated in ten issuers, with the three largest concentrations of debt securities in securities issued by JC Penney Corp. Inc., LCI Helicopters Limited and NXP Semiconductor NV, which combined represented $125.1 million, or approximately 25% of the estimated fair value of the Company’s corporate debt securities. As of December 31, 2013, approximately 55% of the estimated fair value of the Company’s corporate debt securities portfolio was concentrated in ten issuers, with the three largest concentrations of debt securities in securities issued by LCI Helicopters Limited, JC Penney Corp. Inc. and NXP Semiconductor NV, which combined represented $104.5 million, or approximately 21% of the estimated fair value of the Company’s corporate debt securities.
	Pledged Assets
	Note 7 to these condensed consolidated financial statements describes the Company’s borrowings under which the Company has pledged securities for borrowings. The following table summarizes the estimated fair value of securities pledged as collateral as of March 31, 2014 and December 31, 2013 (amounts in thousands):
		As of		As of
		March 31, 2014		December 31, 2013
	Pledged as collateral for collateralized loan obligation secured debt	$	332,268	$	324,830
	Total	$	332,268	$	324,830

CORPORATE_LOANS_AND_ALLOWANCE_

CORPORATE LOANS AND ALLOWANCE FOR LOAN LOSSES	3 Months Ended
	Mar. 31, 2014
CORPORATE LOANS AND ALLOWANCE FOR LOAN LOSSES	'
CORPORATE LOANS AND ALLOWANCE FOR LOAN LOSSES	'
	NOTE 5. CORPORATE LOANS AND ALLOWANCE FOR LOAN LOSSES
	The Company accounts for loans based on the following categories (i) corporate loans held for investment, which are measured based on their principal plus or minus unaccreted purchase discounts and unamortized purchase premiums, net of an allowance for loan losses; (ii) corporate loans held for sale, which are measured at lower of cost or estimated fair value; and (iii) corporate loans, at estimated fair value, which are measured at fair value.
	The following table summarizes the Company’s corporate loans as of March 31, 2014 (amounts in thousands):
		March 31, 2014
		Corporate			Corporate Loans			Corporate Loans, at			Total
		Loans Held			Held for Sale			Estimated Fair Value			Corporate Loans
		for Investment
	Principal(1)	$	5,770,433		$	541,431		$	255,712		$	6,567,576
	Net unamortized discount	(88,774		)	(23,218		)	(36,275		)	(148,267		)
	Total amortized cost	5,681,659			518,213			219,437			6,419,309
	Lower of cost or fair value adjustment	—			(7,526		)	—			(7,526		)
	Allowance for loan losses	(223,541		)	—			—			(223,541		)
	Unrealized gains	—			—			14,490			14,490
	Net carrying value	$	5,458,118		$	510,687		$	233,927		$	6,202,732
	(1)         Principal amounts of corporate loans and corporate loans held for sale are net of cumulative charge-offs and other adjustments totaling $15.7 million as of March 31, 2014.
	The following table summarizes the Company’s corporate loans as of December 31, 2013 (amounts in thousands):
		December 31, 2013
		Corporate			Corporate Loans			Corporate Loans, at			Total
		Loans Held			Held for Sale			Estimated Fair Value			Corporate Loans
		for Investment
	Principal(1)	$	6,280,470		$	315,738		$	277,458		$	6,873,666
	Net unamortized discount	(105,979		)	(20,070		)	(54,997		)	(181,046		)
	Total amortized cost	6,174,491			295,668			222,461			6,692,620
	Lower of cost or fair value adjustment	—			(15,920		)	—			(15,920		)
	Allowance for loan losses	(224,999		)	—			—			(224,999		)
	Unrealized gains	—			—			15,019			15,019
	Net carrying value	$	5,949,492		$	279,748		$	237,480		$	6,466,720
	(1)                                 Principal amounts of corporate loans and corporate loans held for sale are net of cumulative charge-offs and other adjustments totaling $18.1 million as of December 31, 2013.
	Allowance for Loan Losses
	As of March 31, 2014 and December 31, 2013, the Company had an allowance for loan losses of $223.5 million and $225.0 million, respectively. As described in Note 2 to these condensed consolidated financial statements, the allowance for loan losses represents the Company’s estimate of probable credit losses inherent in its loan portfolio as of the balance sheet date. The Company’s allowance for loan losses consists of two components, an allocated component and an unallocated component. The allocated component of the allowance for loan losses consists of individual loans that are impaired. The unallocated component of the allowance for loan losses represents the Company’s estimate of losses inherent, but not identified, in its portfolio as of the balance sheet date.
	The following table summarizes the changes in the allowance for loan losses for the Company’s corporate loan portfolio during the three months ended March 31, 2014 and 2013 (amounts in thousands):
		For the three			For the three
		months ended			months ended
		March 31, 2014			March 31, 2013
	Allowance for loan losses:
	Beginning balance	$	224,999		$	223,472
	Provision for loan losses	—			11,068
	Charge-offs	(1,458		)	(28,313		)
	Ending balance	$	223,541		$	206,227
	The following table summarizes the ending balances of the allowance and corporate loans portfolio by basis of impairment method as of March 31, 2014 and December 31, 2013 (amounts in thousands):
		March 31, 2014			December 31, 2013
	Allowance for loan losses:
	Ending balance: individually evaluated for impairment	$	113,655		$	142,682
	Ending balance: collectively evaluated for impairment	109,886			82,317
		$	223,541		$	224,999
	Corporate loans (recorded investment)(1):
	Ending balance: individually evaluated for impairment	$	397,580		$	554,442
	Ending balance: collectively evaluated for impairment	5,300,784			5,638,790
		$	5,698,364		$	6,193,232
	(1)         Recorded investment is defined as amortized cost plus accrued interest.
	As of March 31, 2014, the allocated component of the allowance for loan losses totaled $113.7 million and relates to investments in certain loans issued by three issuers with an aggregate par amount of $422.6 million and an aggregate recorded investment of $397.6 million. Of the allocated component totaling $113.7 million, $68.2 million related to Texas Competitive Electric Holdings Company LLC (“TXU”), which had an aggregate amortized cost of $311.6 million as of March 31, 2014. As of December 31, 2013, the allocated component of the allowance for loan losses totaled $142.7 million and relates to investments in certain loans issued by four issuers with an aggregate par amount of $594.4 million and an aggregate recorded investment of $554.4 million. Of the allocated component totaling $142.7 million, $66.9 million related to TXU, which had an aggregate amortized cost of $311.6 million as of December 31, 2013.
	The following table summarizes the Company’s recorded investment and unpaid principal balance in impaired loans, as well as the related allowance for credit losses as of March 31, 2014 and December 31, 2013 (amounts in thousands):
		March 31, 2014									December 31, 2013
		Recorded			Unpaid			Related			Recorded			Unpaid			Related
		Investment(1)			Principal			Allowance			Investment(1)			Principal			Allowance
					Balance									Balance
	With no related allowance recorded	$	—		$	—		$	—		$	—		$	—		$	—
	With an allowance recorded	397,580			422,624			113,655			554,442			594,416			142,682
	Total	$	397,580		$	422,624		$	113,655		$	554,442		$	594,416		$	142,682
	(1)         Recorded investment is defined as amortized cost plus accrued interest.
	The following table summarizes the Company’s average recorded investment in impaired loans and interest income recognized for the three months ended March 31, 2014 and 2013 (amounts in thousands):
		For the three months ended						For the three months ended
		March 31, 2014						March 31, 2013
	Average			Interest			Average			Interest
	Recorded			Income			Recorded			Income
	Investment(1)			Recognized			Investment(1)			Recognized
With no related allowance recorded	$	—		$	—		$	3,245		$	—
With an allowance recorded	476,011			3,543			480,534			4,274
Total	$	476,011		$	3,543		$	483,779		$	4,274
(1)         Recorded investment is defined as amortized cost plus accrued interest.
As of March 31, 2014 and December 31, 2013, the allocated component of the allowance for loan losses included all impaired loans. While all of the Company’s impaired loans are on non-accrual status, the Company’s non-accrual loans also include (i) other loans held for investment, (ii) corporate loans held for sale and (iii) loans carried at estimated fair value, which are not reflected in the table above. Any of these three classifications may include those loans modified in a TDR, which are typically designated as being non-accrual (see “Troubled Debt Restructurings” section below).
The following table summarizes the Company’s recorded investment in non-accrual loans as of March 31, 2014 and December 31, 2013 (amounts in thousands):
	March 31, 2014			December 31, 2013
Loans held for investment	$	397,580		$	554,442
Loans held for sale	44,780			44,823
Loans at estimated fair value	13,025			24,883
Total non-accrual loans	$	455,385		$	624,148
For the three months ended March 31, 2014, the amount of interest income recognized using the cash-basis method during the time within the period that the loans were on non-accrual status was $4.2 million, which included $3.5 million for non-accrual loans that were held for investment, $0.6 million for non-accrual loans held for sale and $0.1 million for non-accrual loans carried at estimated fair value. For the three months ended March 31, 2013, the amount of interest income recognized using the cash-basis method during the time within the period that the loans were on non-accrual was $8.0 million, which included $4.3 million for impaired loans that were held for investment and $3.7 million for non-accrual loans held for sale.
A loan is considered past due if any required principal and interest payments have not been received as of the date such payments were required to be made under the terms of the loan agreement. A loan may be placed on non-accrual status regardless of whether or not such loan is considered past due. As of March 31, 2014, the Company held a total recorded investment of $46.9 million of non-accrual and past due loans held for investment from one issuer, all of which were in default as of March 31, 2014. The associated past due interest payments related to the $46.9 million recorded investment was $0.6 million, of which $0.1 million was 60-89 days past due and $0.5 million was 90 or more days past due. As of December 31, 2013, the Company held a total recorded investment of $237.2 million of non-accrual and past due loans held for investment from three issuers, certain of which were in default as of December 31, 2013. The associated past due interest payments related to the $237.2 million recorded investment was $5.6 million, of which $0.9 million was less than 30 days past due, $2.3 million was 60-89 days past due, and $2.4 million was 90 or more days past due. In addition, as of December 31, 2013, the Company held $15.5 million par amount and $12.2 million estimated fair value of non-accrual and past due loans carried at estimated fair value from one issuer, which was also in default as of December 31, 2013. The associated interest payments related to the $12.2 million loans at estimated fair value that were 90 or more days past due was $0.2 million.
The unallocated component of the allowance for loan losses totaled $109.9 million and $82.3 million as of March 31, 2014 and December 31, 2013, respectively. As described in Note 2 to these condensed consolidated financial statements, the Company estimates the unallocated components of the allowance for loan losses through a comprehensive review of its loan portfolio and identifies certain loans that demonstrate possible indicators of impairments, including credit quality indicators. The following table summarizes how the Company determines internally assigned grades related to credit quality based on a combination of concern as to probability of default and the seniority of the loan in the issuer’s capital structure as of March 31, 2014 and December 31, 2013 (amounts in thousands):
Internally Assigned Grade	Capital Hierarchy		Recorded Investment			Recorded Investment
			March 31, 2014 (1)			December 31, 2013 (1)
High	Senior Secured Loan		$	—		$	26,886
	Second Lien Loan		—			286,996
	Subordinated		—			11,643
			$	—		$	325,525
Moderate	Senior Secured Loan		$	1,146,308		$	1,033,065
	Second Lien Loan		—			27,504
	Subordinated		41,025			39,329
			$	1,187,333		$	1,099,898
Low	Senior Secured Loan		$	4,041,984		$	4,148,913
	Second Lien Loan		25,871			25,864
	Subordinated		45,596			38,590
			$	4,113,451		$	4,213,367
	Total Unallocated		$	5,300,784		$	5,638,790
	Total Allocated		397,580			554,442
	Total Loans Held for Investment		$	5,698,364		$	6,193,232
(1)         Recorded investment is defined as amortized cost plus accrued interest.
During the three months ended March 31, 2014 and 2013, the Company recorded charge-offs totaling $1.5 million and $28.3 million, respectively, comprised primarily of loans modified in TDRs.
Loans Held For Sale and the Lower of Cost or Fair Value Adjustment
As of March 31, 2014 and December 31, 2013, the Company had $510.7 million and $279.7 million of loans held for sale, respectively. During the three months ended March 31, 2014 and 2013, the Company transferred $238.1 million and $21.4 million amortized cost amount of loans from held for investment to held for sale, respectively. The transfers of certain loans to held for sale were due to the Company’s determination that credit quality of a loan in relation to its expected risk-adjusted return no longer met the Company’s investment objective and the determination by the Company to reduce or eliminate the exposure for certain loans as part of its portfolio risk management practices. During both the three months ended March 31, 2014 and 2013, the Company transferred no loans held for sale back to loans held for investment. Transfers back to held for investment may occur as the circumstances that led to the initial transfer to held for sale are no longer present. Such circumstances may include deteriorated market conditions often resulting in price depreciation or assets becoming illiquid, changes in restrictions on sales and certain loans amending their terms to extend the maturity, whereby the Company determined that selling the asset no longer met its investment objective and strategy.
The Company recorded an $8.4 million reduction to the lower of cost or estimated fair value adjustment for the three months ended March 31, 2014 for certain loans held for sale, which had a carrying value of $510.7 million as of March 31, 2014. Comparatively, the Company recorded a $4.7 million net charge to earnings for the three months ended March 31, 2013 for the lower of cost or estimated fair value adjustment for certain loans held for sale, which had a carrying value of $107.4 million as of March 31, 2013.
Defaulted Loans
As of March 31, 2014, the Company held three corporate loans that were in default with a total amortized cost of $46.9 million from one issuer. The $46.9 million total amortized cost was included in loans that comprised the allocated component of the Company’s allowance for loan losses. As of December 31, 2013, the Company held six corporate loans that were in default with a total amortized cost of $215.7 million from two issuers. Of the $215.7 million total amortized cost, $203.7 million were included in the loans that comprised the allocated component of the Company’s allowance for loan losses and $12.0 million were included in loans carried at estimated fair value.
Troubled Debt Restructurings
The recorded investment balance of TDRs at March 31, 2014 totaled $80.3 million, related to four issuers. Comparatively, the recorded investment balance of TDRs at December 31, 2013 totaled $55.4 million, related to three issuers. Loans whose terms have been modified in a TDR are considered impaired, unless accounted for at fair value or the lower of cost or estimated fair value, and are typically placed on non-accrual status, but can be moved to accrual status when, among other criteria, payment in full of all amounts due under the restructured terms is expected and the borrower has demonstrated a sustained period of repayment performance, typically six months. As of March 31, 2014 and December 31, 2013, $55.3 million and $55.4 million of TDRs were included in non-accrual loans, respectively (see “Non-Accrual Loans” section above). As of both March 31, 2014 and December 31, 2013, the allowance for loan losses included specific reserves of $22.1 million related to TDRs.
The following table presents the aggregate balance of loans whose terms have been modified in a TDR during the three months ended March 31, 2014 and 2013 (dollar amounts in thousands):
	Three months ended								Three months ended
	March 31, 2014								March 31, 2013
	Number		Pre-modification			Post-modification			Number		Pre-modification			Post-modification
	of TDRs		outstanding			outstanding recorded			of TDRs		outstanding			outstanding recorded
			recorded			investment(1)(2)					recorded			investment(1)(3)
			investment(1)								investment(1)
Troubled debt restructurings:
Loans held for investment	1		$	154,075		$	—		2		$	68,358		$	39,430
Loans at estimated fair value	2		41,347			24,571			1		1,670			1,229
Total			$	195,422		$	24,571				$	70,028		$	40,659
(1)                                 Recorded investment is defined as amortized cost plus accrued interest.
(2)                                 Excludes equity securities received from the loans held for investment and/or loans at estimated fair value TDRs with an estimated fair value of $92.0 million and $12.3 million, from the two issuers, respectively.
(3)                                 Excludes equity securities received from the loans held for investment TDRs with an estimated fair value of $2.1 million.
During the three months ended March 31, 2014, the Company modified an aggregate recorded investment of $195.4 million related to two issuers in restructurings which qualified as TDRs. These restructurings involved conversions of the loans into one of the following: (i) a combination of equity carried at estimated fair value and cash, or (ii) a combination of equity and loans carried at estimated fair value with extended maturities ranging from an additional three to five-year period and a higher spread of 4.0%. Prior to the restructurings, one of the TDRs described above was already identified as impaired and had specific allocated reserves, while the other two were loans carried at estimated fair value. Upon restructuring the impaired loans held for investment, the difference between the recorded investment of the pre-modified loans and the estimated fair value of the new assets plus cash received was charged-off against the allowance for loan losses. The TDRs resulted in $1.1 million of charge-offs, or 76% of the total $1.5 million of charge-offs recorded during the first quarter of 2014.
During the three months ended March 31, 2013, the Company modified an aggregate recorded investment of $70.0 million related to three issuers in restructurings which qualified as TDRs. These restructurings involved conversions of the loans into one of the following: (i) new term loans with extended maturities and fixed, rather than floating, interest rates, (ii) equity carried at estimated fair value, or (iii) a combination of equity and loans carried at estimated fair value. The modification involving an extension of maturity date was for an additional four-year period with a higher coupon of 6.8%. Prior to the restructurings, two of the TDRs described above were already identified as impaired and had specific allocated reserves, while the third was a loan carried at estimated fair value. Upon restructuring the impaired loans held for investment, the difference between the recorded investment of the pre-modified loans and the estimated fair value of the new assets was charged-off against the allowance for loan losses. The TDRs resulted in $26.8 million of charge-offs, or 95% of the total $28.3 million of charge-offs recorded during the first quarter of 2013.
As of March 31, 2014 and December 31, 2013, there were no commitments to lend additional funds to the issuers whose loans had been modified in a TDR.
As of March 31, 2014 and December 31, 2013, no loans modified as TDRs were in default within a twelve month period subsequent to their original restructuring.
During both the three months ended March 31, 2014 and 2013, the Company modified $1.0 billion amortized cost of corporate loans that did not qualify as TDRs. These modifications involved changes in existing rates and maturities to prevailing market rates/maturities for similar instruments and did not qualify as TDRs as the respective borrowers were not experiencing financial difficulty or seeking (or granted) a concession as part of the modification. In addition, these modifications of non-troubled debt holdings were accomplished with modified loans that were not substantially different from the loans prior to modification.
Concentration Risk
The Company’s corporate loan portfolio has certain credit risk concentrated in a limited number of issuers. As of March 31, 2014, approximately 44% of the total amortized cost basis of the Company’s corporate loan portfolio was concentrated in twenty issuers, with the three largest concentrations of corporate loans in loans issued by TXU, U.S. Foods Inc. and First Data Corp., which combined represented $842.7 million or approximately 13% of the aggregated amortized cost basis of the Company’s corporate loans. As of December 31, 2013, approximately 46% of the total amortized cost basis of the Company’s corporate loan portfolio was concentrated in twenty issuers, with the three largest concentrations of corporate loans in loans issued by TXU, Modular Space Corporation and U.S. Foods Inc., which combined represented $935.2 million or approximately 14% of the aggregated amortized cost basis of the Company’s corporate loans.
Pledged Assets
Note 7 to these condensed consolidated financial statements describes the Company’s borrowings under which the Company has pledged loans for borrowings. The following table summarizes the amortized cost of corporate loans pledged as collateral as of March 31, 2014 and December 31, 2013 (amounts in thousands):
	As of			As of
	March 31, 2014			December 31, 2013
Pledged as collateral for collateralized loan obligation secured debt	$	6,095,904		$	6,231,541
Total	$	6,095,904		$	6,231,541

NATURAL_RESOURCES_ASSETS

NATURAL RESOURCES ASSETS	3 Months Ended
	Mar. 31, 2014
NATURAL RESOURCES ASSETS	'
NATURAL RESOURCES ASSETS	'
	NOTE 6. NATURAL RESOURCES ASSETS
	Natural Resources Properties
	The following table summarizes the Company’s oil and gas properties as of March 31, 2014 and December 31, 2013 (amounts in thousands):
		As of			As of
		March 31, 2014			December 31, 2013
	Proved oil and natural gas properties (successful efforts method)	$	494,673		$	451,909
	Unproved oil and natural gas properties	16,913			16,913
	Less: Accumulated depreciation, depletion and amortization	(83,914		)	(68,453		)
	Oil and gas properties, net	$	427,672		$	400,369
	Development and Other Purchases
	The Company has previously accounted for certain of its oil and natural gas properties as business combinations under the acquisition method of accounting, whereby the Company (i) conducted assessments of net assets acquired and recognized amounts for identifiable assets acquired and liabilities assumed at their estimated acquisition date fair values and (ii) expensed as incurred transaction and integration costs associated with the acquisitions. Separate from these acquisitions, the Company deployed capital to develop and purchase other interests and assets in the natural resources sector.
	During the first quarter of 2014 and year ended December 31, 2013, the Company capitalized an additional $41.0 million and $154.5 million, respectively, as a result of purchasing natural resources assets or covering costs related to the development of oil and gas properties. Accordingly, these amounts are included in oil and gas properties, net on the condensed consolidated balance sheets.

BORROWINGS

BORROWINGS	3 Months Ended
	Mar. 31, 2014
BORROWINGS	'
BORROWINGS	'
	NOTE 7. BORROWINGS
	Certain information with respect to the Company’s borrowings as of March 31, 2014 is summarized in the following table (dollar amounts in thousands):
		Outstanding		Weighted		Weighted	Collateral(1)
		Borrowings		Average		Average
				Borrowing		Remaining
				Rate		Maturity
						(in days)
	CLO 2005-1 senior secured notes	$	175,023	0.76	%	1,122	$	280,653
	CLO 2005-2 senior secured notes	325,453		0.63		1,336	452,302
	CLO 2006-1 senior secured notes	371,782		0.69		1,608	569,034
	CLO 2007-1 senior secured notes	2,075,040		0.79		2,602	2,374,552
	CLO 2007-1 mezzanine notes	429,185		3.73		2,602	491,131
	CLO 2007-1 subordinated notes(2)	136,097		12.77		2,602	155,743
	CLO 2007-A senior secured notes	416,203		1.58		1,294	415,856
	CLO 2007-A mezzanine notes	115,569		7.59		1,294	115,473
	CLO 2007-A subordinated notes(2)	15,096		18.14		1,294	15,083
	CLO 2011-1 senior debt	491,265		1.58		1,598	580,256
	CLO 2012-1 senior secured notes	362,836		2.33		3,912	354,926
	CLO 2012-1 subordinated notes(2)	18,000		19.25		3,912	17,608
	CLO 2013-1 senior secured notes	449,606		1.97		4,124	460,899
	CLO 2013-2 senior secured notes	330,730		2.22		4,316	150,246
	Total collateralized loan obligation secured debt	5,711,885					6,433,762
	Senior secured credit facility	—		2.48		609	—
	2015 Asset-based borrowing facility	49,889		2.4		584	212,249
	2018 Asset-based borrowing facility(3)	—		—		1,429	—
	Total credit facilities	49,889					212,249
	8.375% Senior notes	250,817		8.38		10,091	—
	7.500% Senior notes	111,485		7.5		10,216	—
	Junior subordinated notes	283,517		5.39		8,224	—
	Total borrowings	$	6,407,593				$	6,646,011
	(1)                                 Collateral for borrowings consists of the estimated fair value of certain corporate loans, securities available-for-sale and equity investments at estimated fair value. Also includes the carrying value of oil and gas assets. For purposes of this table, collateral for CLO senior, mezzanine and subordinated notes are calculated pro rata based on the outstanding borrowings for each respective CLO.
	(2)                                 Subordinated notes do not have a contractual coupon rate, but instead receive a pro rata amount of the net distributions from each respective CLO. Accordingly, weighted average borrowing rates for the subordinated notes were calculated based on year-to-date estimated distributions, if any.
	(3)                             Borrowing rates range from 1.75% to 3.25% plus London interbank offered rate (“LIBOR”) per annum based on the amount outstanding.
	Certain information with respect to the Company’s borrowings as of December 31, 2013 is summarized in the following table (dollar amounts in thousands):
		Outstanding		Weighted		Weighted	Collateral(1)
		Borrowings		Average		Average
				Borrowing		Remaining
				Rate		Maturity
						(in days)
	CLO 2005-1 senior secured notes	$	193,909	0.73		1,212	$	303,104
	CLO 2005-2 senior secured notes	335,570		0.63		1,426	496,917
	CLO 2006-1 senior secured notes	384,925		0.69		1,698	649,894
	CLO 2007-1 senior secured notes	2,075,040		0.79		2,692	2,354,938
	CLO 2007-1 mezzanine notes	406,428		3.65		2,692	461,250
	CLO 2007-1 subordinated notes(2)	136,097		18.15		2,692	154,456
	CLO 2007-A senior secured notes	428,152		1.57		1,384	540,677
	CLO 2007-A mezzanine notes	55,327		7.44		1,384	69,867
	CLO 2007-A subordinated notes(2)	15,096		42.22		1,384	19,063
	CLO 2011-1 senior debt	388,703		1.25		1,688	517,597
	CLO 2012-1 senior secured notes	362,727		2.34		4,002	376,603
	CLO 2012-1 subordinated notes(2)	18,000		11.67		4,002	18,689
	CLO 2013-1 senior secured notes	449,409		1.98		4,214	468,915
	Total collateralized loan obligation secured debt	5,249,383					6,431,970
	Senior secured credit facility(3)	75,000		1.39		699	—
	2015 Asset-based borrowing facility	50,289		2.42		674	213,935
	2018 Asset-based borrowing facility(4)	—		—		1,519	—
	Total credit facilities	125,289					213,935
	8.375% Senior notes	250,800		8.38		10,181	—
	7.500% Senior notes	111,476		7.5		10,306	—
	Junior subordinated notes	283,517		5.39		8,347	—
	Total borrowings	$	6,020,465				$	6,645,905
	(1)                                 Collateral for borrowings consists of the estimated fair value of certain corporate loans, securities available-for-sale and equity investments at estimated fair value. Also includes the carrying value of oil and gas assets. For purposes of this table, collateral for CLO senior, mezzanine and subordinated notes are calculated pro rata based on the outstanding borrowings for each respective CLO.
	(2)                                 Subordinated notes do not have a contractual coupon rate, but instead receive a pro rata amount of the net distributions from each respective CLO. Accordingly, weighted average borrowing rates for the subordinated notes were calculated based on year-to-date estimated distributions, if any.
(3)                                 Capital stock of material domestic and foreign subsidiaries, as defined by the senior secured credit facility agreement, are eligible to be pledged as collateral. As of December 31, 2013, the total investments held within these eligible subsidiaries exceeded the amount of the outstanding debt.
(4)                                 Borrowing rates range from 1.75% to 3.25% plus London interbank offered rate (“LIBOR”) per annum based on the amount outstanding.
CLO Debt
The indentures governing the Company’s CLO transactions stipulate the reinvestment period during which the collateral manager, which is an affiliate of the Company’s Manager, can generally sell or buy assets at its discretion and can reinvest principal proceeds into new assets. CLO 2007-A, CLO 2005-1, CLO 2005-2 and CLO 2006-1 are no longer in their reinvestment periods. As a result, principal proceeds from the assets held in each of these transactions are generally used to amortize the outstanding balance of senior notes outstanding. During the three months ended March 31, 2014 and 2013, $54.4 million and $146.2 million, respectively, of original CLO 2007-A, CLO 2005-1, CLO 2005-2 and CLO 2006-1 senior notes were repaid. CLO 2007-1, CLO 2012-1, CLO 2013-1 and CLO 2013-2 will end their reinvestment periods during May 2014, December 2016, July 2017 and January 2018, respectively. CLO 2011-1 does not have a reinvestment period and all principal proceeds from holdings in CLO 2011-1 are used to amortize the transaction. During the three months ended March 31, 2014 and 2013, zero and $21.5 million, respectively, of original CLO 2011-1 senior notes were repaid.
During the three months ended March 31, 2014, the Company issued $21.9 million par amount of CLO 2007-1 class E notes for proceeds of $21.9 million. In addition, during the three months ended March 31, 2014, the Company issued $29.8 million par amount of CLO 2007-A class G notes for proceeds of $30.2 million and $29.8 million par amount of CLO 2007-A class H notes for proceeds of $30.1 million.
On January 23, 2014, the Company closed CLO 2013-2, a $384.0 million secured financing transaction maturing on January 23, 2026. The Company issued $339.3 million par amount of senior secured notes to unaffiliated investors, of which $319.3 million was floating rate with a weighted-average coupon of three-month LIBOR plus 2.16% and $20.0 million was fixed rate at 3.74%. The investments that are owned by CLO 2013-2 collateralize the CLO 2013-2 debt, and as a result, those investments are not available to the Company, its creditors or shareholders.
On September 27, 2013, the Company amended the CLO 2011-1 senior loan agreement (the “CLO 2011-1 Agreement”) to upsize the transaction by $300.0 million, of which CLO 2011-1 is now able to borrow up to an incremental $225.0 million. Under the amended CLO 2011-1 Agreement, CLO 2011-1 matures on August 15, 2020 and borrowings under the CLO 2011-1 Agreement bear interest at a rate of the three-month LIBOR plus 1.35%.
On June 25, 2013, the Company closed CLO 2013-1, a $519.4 million secured financing transaction maturing on July 15, 2025. The Company issued $458.5 million par amount of senior secured notes to unaffiliated investors, of which $442.0 million was floating rate with a weighted-average coupon of three-month LIBOR plus 1.67% and $16.5 million was fixed rate at 3.73%. The investments that are owned by CLO 2013-1 collateralize the CLO 2013-1 debt, and as a result, those investments are not available to the Company, its creditors or shareholders.
Credit Facilities
Senior Secured Credit Facility
On November 30, 2012, the Company entered into a credit agreement for a three-year $150.0 million revolving credit facility, maturing on November 30, 2015 (the “2015 Facility”). The Company has the right to prepay loans under the 2015 Facility in whole or in part at any time. Loans under the 2015 Facility bear interest at a rate equal to, at the Company’s option, LIBOR plus 2.25% per annum, or an alternate base rate plus 1.25% per annum. As of March 31, 2014 and December 31, 2013, the Company had zero and $75.0 million, respectively of borrowings outstanding under the 2015 Facility.
Asset-Based Borrowing Facilities
On November 14, 2013, the Company’s five-year nonrecourse, asset-based revolving credit facility (the “2015 Natural Resources Facility”), maturing on November 5, 2015, was adjusted and reduced to $94.6 million, which is subject to, among other things, the terms of a borrowing base derived from the value of eligible specified oil and gas assets. The borrowing base is subject to certain caps and concentration limits customary for financings of this type. The Company has the right to prepay loans under the 2015 Natural Resources Facility in whole or in part at any time. Loans under the 2015 Natural Resources Facility bear interest at a rate equal to LIBOR plus a tiered applicable margin ranging from 1.75% to 2.75% per annum. The 2015 Natural Resources Facility contains customary covenants applicable to the Company. As of March 31, 2014 and December 31, 2013, the Company had $49.9 million and $50.3 million, respectively, of borrowings outstanding under the 2015 Natural Resources Facility.
On February 27, 2013, the Company entered into a separate credit agreement for a five-year $6.0 million non-recourse, asset-based revolving credit facility, maturing on February 27, 2018 (the “2018 Natural Resources Facility”), that is subject to, among other things, the terms of a borrowing base derived from the value of eligible specified oil and gas assets. On December 20, 2013, the 2018 Natural Resources Facility was adjusted and increased to $42.0 million. The Company has the right to prepay loans under the 2018 Natural Resources Facility in whole or in part at any time. Loans under the 2018 Natural Resources Facility bear interest at a rate equal to LIBOR plus a tiered applicable margin ranging from 1.75% to 3.25% per annum. The 2018 Natural Resources Facility contains customary covenants applicable to the Company. As of both March 31, 2014 and December 31, 2013, the Company had no borrowings outstanding under the 2018 Natural Resources Facility.
As of both March 31, 2014 and December 31, 2013, the Company believes it was in compliance with the covenant requirements for its credit facilities.
Convertible Debt
On January 18, 2013, in accordance with the indenture relating to the Company’s $172.5 million 7.5% convertible senior notes due January 15, 2017 (“7.5% Notes”), the Company issued a conversion rights termination notice (“Termination Notice”) to holders of the 7.5% Notes whereby it terminated the right to convert the 7.5% Notes to common shares. The conversion rate as of January 18, 2013 was equal to 141.8256 common shares for each $1,000 principal amount of 7.5% Notes, plus an additional 9.2324 common shares per $1,000 principal amount to account for the make-whole premium. Holders of $172.5 million 7.5% Notes submitted their notes for conversion for which the Company satisfied by physical settlement with 26.1 million common shares.

DERIVATIVE_INSTRUMENTS

DERIVATIVE INSTRUMENTS	3 Months Ended
	Mar. 31, 2014
DERIVATIVE INSTRUMENTS	'
DERIVATIVE INSTRUMENTS	'
	NOTE 8. DERIVATIVE INSTRUMENTS
	The Company enters into derivative transactions in order to hedge its interest rate risk exposure to the effects of interest rate changes. Additionally, the Company enters into derivative transactions in the course of its portfolio management activities. The counterparties to the Company’s derivative agreements are major financial institutions with which the Company and its affiliates may also have other financial relationships. In the event of nonperformance by the counterparties, the Company is potentially exposed to losses. The counterparties to the Company’s derivative agreements have investment grade ratings and, as a result, the Company does not anticipate that any of the counterparties will fail to fulfill their obligations.
	The table below summarizes the aggregate notional amount and estimated net fair value of the derivative instruments as of March 31, 2014 and December 31, 2013 (amounts in thousands):
		As of						As of
		March 31, 2014						December 31, 2013
		Notional			Estimated			Notional			Estimated
					Fair Value						Fair Value
	Cash Flow Hedges:
	Interest rate swaps	$	469,333		$	(45,752	)	$	478,333		$	(42,078	)
	Free-Standing Derivatives:
	Commodity swaps	—			(2,175		)	—			1,493
	Credit default swaps—protection purchased	—			—			(100,000		)	(2,019		)
	Foreign exchange forward contracts	(341,554		)	(25,161		)	(320,380		)	(25,258		)
	Foreign exchange options	129,900			8,128			129,900			8,941
	Common stock warrants	—			960			—			945
	Total rate of return swaps	—			(115		)	—			(229		)
	Options	—			6,292			—			6,794
	Total				$	(57,823	)				$	(51,411	)
	Cash Flow Hedges
	The Company uses interest rate swaps to hedge a portion of the interest rate risk associated with its borrowings under CLO senior secured notes as well as certain of its floating rate junior subordinated notes. The Company designates these interest rate swaps as cash flow hedges. As of March 31, 2014 and December 31, 2013, the Company had interest rate swaps with notional amounts totaling $469.3 million and $478.3 million, respectively. Changes in the estimated fair value of the interest rate swaps are recorded through accumulated other comprehensive loss, with gains or losses representing hedge ineffectiveness, if any, recognized in earnings during the reporting period.
	The following table presents the net (losses) gains recognized in other comprehensive loss related to derivatives in cash flow hedging relationships for the three months ended March 31, 2014 and 2013 (amounts in thousands):
		Three months ended			Three months ended
		March 31, 2014			March 31, 2013
	Net (losses) gains recognized in accumulated other comprehensive loss on cash flow hedges	$	(3,831	)	$	11,158
	For all hedges where hedge accounting is being applied, effectiveness testing and other procedures to ensure the ongoing validity of the hedges are performed at least quarterly. During the three months ended March 31, 2014 and 2013, the Company did not recognize any ineffectiveness in income on the condensed consolidated statements of operations from its cash flow hedges.
	Free-Standing Derivatives
	Free-standing derivatives are derivatives that the Company has entered into in conjunction with its investment and risk management activities, but for which the Company has not designated the derivative contract as a hedging instrument for accounting purposes. Such derivative contracts may include credit default swaps (“CDS”), foreign exchange contracts and options, interest rate swaps and commodity derivatives. Free-standing derivatives also include investment financing arrangements (total rate of return swaps) whereby the Company receives the sum of all interest, fees and any positive change in fair value amounts from a reference asset with a specified notional amount and pays interest on such notional amount plus any negative change in fair value amounts from such reference asset.
	Gains and losses on free-standing derivatives are reported in net realized and unrealized loss on derivatives and foreign exchange in the condensed consolidated statements of operations. Unrealized gains (losses) represent the change in fair value of the derivative instruments and are noncash items.
	Commodity Derivatives
	In an effort to minimize the effects of the volatility of oil, natural gas and NGL prices, the Company will from time to time enter into derivative instruments such as swap contracts to hedge its forecasted commodities sales. The Company does not designate these contracts as cash flow hedges and as such, the changes in fair value of these instruments are recorded in current period earnings.
	The following table summarizes open positions as of March 31, 2014, and represents, as of such date, derivatives in place through December 31, 2016, on expected annual production volumes:
		2014			2015			2016
	Natural gas positions:
	Fixed price swaps:
	Hedged volume (MMMBtu)	4,373			4,277			1,805
	Average price ($/MMBtu)	$	4.34		$	4.73		$	4.44
	Natural gas liquid positions:
	Fixed price swaps:
	Hedged volume (MBbls)	122			41			—
	Average price ($/Bbl)	$	31.26		$	42.39		$	—
	Oil positions:
	Fixed price swaps:
	Hedged volume (MBbls)	573			541			—
	Average price ($/Bbl)	$	92.35		$	88.4		$	—
	Credit Default Swaps
	A CDS is a contract in which the contract buyer pays, in the case of a short position, or receives, in the case of long position, a periodic premium until the contract expires or a credit event occurs. In return for this premium, the contract seller receives a payment from or makes a payment to the buyer if there is a credit default or other specified credit event with respect to the issuer (also known as the reference entity) of the underlying credit instrument referenced in the CDS. Typical credit events include bankruptcy, dissolution or insolvency of the reference entity, failure to pay and restructuring of the obligations of the reference entity.
	As of March 31, 2014 and December 31, 2013, the Company had purchased protection with a notional amount of zero and $100.0 million, respectively. The Company sells or purchases protection to replicate fixed income securities and to complement the spot market when cash securities of the referenced entity of a particular maturity are not available or when the derivative alternative is less expensive compared to other purchasing alternatives. In addition, the Company may purchase protection to hedge economic exposure to declines in value of certain credit positions. The Company purchases its protection from banks and broker dealers, other financial institutions and other counterparties.
	Foreign Exchange Derivatives
	The Company holds certain positions that are denominated in a foreign currency, whereby movements in foreign currency exchange rates may impact earnings if the United States dollar significantly strengthens or weakens against foreign currencies. In an effort to minimize the effects of these fluctuations on earnings, the Company will from time to time enter into foreign exchange options or foreign exchange forward contracts related to the assets denominated in a foreign currency. As of March 31, 2014 and December 31, 2013, the net contractual notional balance of our foreign exchange options and forward contracts totaled $211.7 million and $190.5 million, respectively, all of which related to certain of our foreign currency denominated assets.
	Free-Standing Derivatives Income (Loss)
	The following table presents the amounts recorded in net realized and unrealized loss on derivatives and foreign exchange on the condensed consolidated statements of operations for the three months ended March 31, 2014 and 2013 (amounts in thousands):
		Three months ended March 31, 2014									Three months ended March 31, 2013
		Realized gains			Unrealized gains			Total			Realized gains			Unrealized gains			Total
		(losses)(1)			(losses)						(losses)(1)			(losses)
	Commodity swaps	$	(1,914	)	$	(3,667	)	$	(5,581	)	$	1,109		$	(6,109	)	$	(5,000	)
	Credit default swaps	(2,167		)	1,986			(181		)	(2,643		)	1,470			(1,173		)
	Foreign exchange forward contracts and options(2)	(450		)	68			(382		)	(911		)	(1,920		)	(2,831		)
	Common stock warrants	—			14			14			—			152			152
	Total rate of return swaps	(1,943		)	114			(1,829		)	—			—			—
	Options	—			(411		)	(411		)	—			—			—
	Net realized and unrealized losses	$	(6,474	)	$	(1,896	)	$	(8,370	)	$	(2,445	)	$	(6,407	)	$	(8,852	)
	(1)         Includes related income and expense on the derivatives.
	(2)         Net of foreign exchange remeasurement gain or loss on foreign denominated assets.
The Company is not subject to a master netting arrangement and the Company’s derivative instruments are presented on a gross basis on its condensed consolidated balance sheets.

ACCUMULATED_OTHER_COMPREHENSIV

ACCUMULATED OTHER COMPREHENSIVE LOSS	3 Months Ended
	Mar. 31, 2014
ACCUMULATED OTHER COMPREHENSIVE LOSS	'
ACCUMULATED OTHER COMPREHENSIVE LOSS	'
	NOTE 9. ACCUMULATED OTHER COMPREHENSIVE LOSS
	The components of changes in accumulated other comprehensive loss were as follows (amounts in thousands):
		Three months ended									Three months ended
		March 31, 2014(1)									March 31, 2013(1)
		Net unrealized			Net unrealized			Total			Net unrealized		Net unrealized			Total
		gains on			losses on cash						gains on		losses on cash
		available-for-sale			flow hedges						available-for-sale		flow hedges
		securities									securities
	Beginning balance	$	23,567		$	(39,219	)	$	(15,652	)	$	17,472	$	(87,698	)	$	(70,226	)
	Other comprehensive (loss) income before reclassifications	(303		)	(3,831		)	(4,134		)	2,412		11,158			13,570
	Amounts reclassified from accumulated other comprehensive loss(2)	(1,586		)	—			(1,586		)	3,113		—			3,113
	Net current-period other comprehensive (loss) income	(1,889		)	(3,831		)	(5,720		)	5,525		11,158			16,683
	Ending balance	$	21,678		$	(43,050	)	$	(21,372	)	$	22,997	$	(76,540	)	$	(53,543	)
	(1)         The Company’s gross and net of tax amounts are the same.
	(2)         Includes an impairment charge of $2.9 million and $5.9 million for investments which were determined to be other-than-temporary for the three months ended March 31, 2014 and 2013, respectively. These reclassified amounts are included in net realized and unrealized gain on investments on the condensed consolidated statements of operations.

COMMITMENTS_CONTINGENCIES

COMMITMENTS & CONTINGENCIES	3 Months Ended
	Mar. 31, 2014
COMMITMENTS & CONTINGENCIES	'
COMMITMENTS & CONTINGENCIES	'
	NOTE 10. COMMITMENTS & CONTINGENCIES
	Commitments
	As part of its strategy of investing in corporate loans, the Company commits to purchase interests in primary market loan syndications, which obligate the Company, subject to certain conditions, to acquire a predetermined interest in such loans at a specified price on a to-be-determined settlement date. Consistent with standard industry practices, once the Company has been informed of the amount of its syndication allocation in a particular loan by the syndication agent, the Company bears the risks and benefits of changes in the fair value of the syndicated loan from that date forward. In addition, the Company also commits to purchase corporate loans in the secondary market that similar to the above, the Company bears the risks and benefits of changes in the fair value from the trade date forward. As of March 31, 2014 and December 31, 2013, the Company had committed to purchase corporate loans with aggregate par amounts totaling $309.5 million and $62.7 million, respectively. In addition, the Company participates in certain contingent financing arrangements, whereby the Company is committed to provide funding of up to a specific predetermined amount at the discretion of the borrower or has entered into an agreement to acquire interests in certain assets. As of March 31, 2014 and December 31, 2013, the Company had unfunded financing commitments for corporate loans totaling $15.1 million and $17.4 million, respectively. The Company did not have any significant losses as of March 31, 2014, nor does it expect any significant losses related to those assets for which it committed to purchase and fund.
	The Company participates in joint ventures and partnerships alongside KKR and its affiliates through which the Company contributes capital for assets, including development projects related to the Company’s interests in joint ventures and partnerships that hold commercial real estate and natural resources investments, as well as specialty lending focused businesses. The Company estimated these future contributions to total approximately $251.0 million as of March 31, 2014 and $325.5 million as of December 31, 2013.
	Guarantees
	As of March 31, 2014 and December 31, 2013, the Company had investments, held alongside KKR and its affiliates, in real estate entities that were financed with non-recourse debt totaling $297.5 million and $231.7 million, respectively. Under non-recourse debt, the lender generally does not have recourse against any other assets owned by the borrower or any related parties of the borrower, except for certain specified exceptions listed in the respective loan documents including customary “bad boy” acts. In connection with these investments, joint and several non-recourse “bad boy” guarantees were provided for losses relating solely to specified bad faith acts that damage the value of the real estate being used as collateral. The Company does not expect any related losses. As of both March 31, 2014 and December 31, 2013, the Company also had financial guarantees related to its natural resources investments totaling $17.9 million for which the Company does not expect any significant losses.
	Contingencies
	The Company has been named as a party in various legal actions in connection with the announced merger with KKR. It is inherently difficult to predict the ultimate outcome, particularly in cases in which claimants seek substantial or unspecified damages, or where investigations or proceedings are at an early stage and the Company cannot predict with certainty the loss or range of loss that may be incurred. The Company has denied, or believes it has a meritorious defense and will deny liability in the significant cases pending against the Company. Based on current discussion and consultation with counsel, management believes that the resolution of these matters will not have a material impact on the Company’s condensed consolidated financial statements.

SHAREHOLDERS_EQUITY

SHAREHOLDERS' EQUITY	3 Months Ended
	Mar. 31, 2014
SHAREHOLDERS' EQUITY	'
SHAREHOLDERS' EQUITY	'
	NOTE 11. SHAREHOLDERS’ EQUITY
	Preferred Shares
	On January 17, 2013, the Company issued 14.95 million of Series A LLC Preferred Shares for gross proceeds of $373.8 million, and net proceeds of $362.0 million. The Series A LLC Preferred Shares trade on the New York Stock Exchange (“NYSE”) under the ticker symbol “KFN.PR” and began trading on January 28, 2013. Distributions on the Series A LLC Preferred Shares are cumulative and are payable, when, as, and if declared by the Company’s board of directors, quarterly on January 15, April 15, July 15 and October 15 of each year at a rate per annum equal to 7.375%.
	Common Shares
	On May 4, 2007, the Company adopted an amended and restated share incentive plan (the “2007 Share Incentive Plan”) that provides for the grant of qualified incentive common share options that meet the requirements of Section 422 of the Code, non-qualified common share options, share appreciation rights, restricted common shares and other share-based awards. The Compensation Committee of the board of directors administers the plan. Share options and other share-based awards may be granted to the Manager, directors, officers and any key employees of the Manager and to any other individual or entity performing services for the Company.
	The exercise price for any share option granted under the 2007 Share Incentive Plan may not be less than 100% of the fair market value of the common shares at the time the common share option is granted. Each option to acquire a common share must terminate no more than ten years from the date it is granted. As of March 31, 2014, the 2007 Share Incentive Plan authorizes a total of 8,964,625 shares that may be used to satisfy awards under the 2007 Share Incentive Plan.
	The following table summarizes restricted common share transactions:
		Manager		Directors		Total
	Unvested shares as January 1, 2014	584,634		85,194		669,828
	Issued	—		—		—
	Vested	(243,648	)	—		(243,648	)
	Forfeited	—		—		—
	Unvested shares as of March 31, 2014	340,986		85,194		426,180
	The Company is required to value any unvested restricted common shares granted to the Manager at the current market price. The Company valued the unvested restricted common shares granted to the Manager at $11.57 and $11.07 per share at March 31, 2014 and 2013, respectively. There were $2.4 million and $5.3 million of total unrecognized compensation costs related to unvested restricted common shares granted as of March 31, 2014 and 2013, respectively. These costs are expected to be recognized through 2016.
	The following table summarizes common share option transactions:
		Number of		Weighted Average
		Options		Exercise Price
	Outstanding as of January 1, 2014	1,932,279		$	20
	Granted	—		—
	Exercised	—		—
	Forfeited	—		—
	Outstanding as of March 31, 2014	1,932,279		$	20
	As of March 31, 2014 and 2013, 1,932,279 common share options were exercisable. As of March 31, 2014, the common share options were fully vested and expire in August 2014.
	For the three months ended March 31, 2014 and 2013, the components of share-based compensation expense are as follows (amounts in thousands):
		For the three			For the three
		months ended			months ended
		March 31, 2014			March 31, 2013
	Restricted common shares granted to Manager	$	577		$	719
	Restricted common shares granted to certain directors	264			261
	Total share-based compensation expense	$	841		$	980

MANAGEMENT_AGREEMENT_AND_RELAT

MANAGEMENT AGREEMENT AND RELATED PARTY TRANSACTIONS	3 Months Ended
	Mar. 31, 2014
MANAGEMENT AGREEMENT AND RELATED PARTY TRANSACTIONS	'
MANAGEMENT AGREEMENT AND RELATED PARTY TRANSACTIONS	'
	NOTE 12. MANAGEMENT AGREEMENT AND RELATED PARTY TRANSACTIONS
	The Manager manages the Company’s day-to-day operations, subject to the direction and oversight of the Company’s board of directors. The Management Agreement expires on December 31 of each year, but is automatically renewed for a one-year term each December 31 unless terminated upon the affirmative vote of at least two-thirds of the Company’s independent directors, or by a vote of the holders of a majority of the Company’s outstanding common shares, based upon (1) unsatisfactory performance by the Manager that is materially detrimental to the Company or (2) a determination that the management fee payable by the Manager is not fair, subject to the Manager’s right to prevent such a termination under this clause (2) by accepting a mutually acceptable reduction of management fees. The Manager must be provided 180 days prior notice of any such termination and will be paid a termination fee equal to four times the sum of the average annual base management fee and the average annual incentive fee for the two 12-month periods immediately preceding the date of termination, calculated as of the end of the most recently completed fiscal quarter prior to the date of termination.
	The Management Agreement contains certain provisions requiring the Company to indemnify the Manager with respect to all losses or damages arising from acts not constituting bad faith, willful misconduct, or gross negligence. The Company has evaluated the impact of these guarantees on its condensed consolidated financial statements and determined that they are not material.
	The following table summarizes the components of related party management compensation on the Company’s condensed consolidated statements of operations, which are described in further detail below, for the three months ended March 31, 2014 and 2013 (amounts in thousands):
		For the three			For the three
		months ended			months ended
		March 31, 2014			March 31, 2013
	Base management fees, net	$	3,622		$	9,557
	CLO management fees	8,536			849
	Incentive fees	12,882			17,181
	Manager share-based compensation	577			719
	Total related party management compensation	$	25,617		$	28,306
	Base Management Fees
	The Company pays its Manager a base management fee monthly in arrears. During the three months ended March 31, 2014, certain related party fees received by affiliates of the Manager were credited to the Company via an offset to the base management fee (“Fee Credits”). Specifically, as described in further detail under “CLO Management Fees” below, a portion of the CLO management fees received by an affiliate of the Manager for certain of the Company’s CLOs were credited to the Company via an offset to the base management fee.
	In addition, during the second half of 2013, the Company invested in a transaction that generated placement fees paid to a minority-owned affiliate of KKR. In connection with this transaction, the Manager agreed to reduce the Company’s base management fee payable to the Manager for the portion of these placement fees that were earned by KKR as a result of this minority-ownership. Separately, certain third-party expenses accrued and paid by the Company in the fourth quarter of 2013 in connection with the proposed merger with KKR were used to reduce the Company’s base management fees payable to the Manager in an amount equal to such third-party expenses.
	The table below summarizes the aggregate base management fees for the three months ended March 31, 2014 and 2013 (amounts in thousands):
		For the three			For the three
		months ended			months ended
		March 31, 2014			March 31, 2013
	Base management fees, gross	$	9,992		$	9,557
	CLO management fees credit(1)	(6,370		)	—
	Total base management fees, net	$	3,622		$	9,557
	(1)         See “CLO Management Fees” for further discussion.
	The Manager is waiving base management fees related to the $230.4 million common share offering and $270.0 million common share rights offering that occurred during the third quarter of 2007 until such time as the Company’s common share closing price on the NYSE is $20.00 or more for five consecutive trading days. Accordingly, the Manager permanently waived approximately $2.2 million of base management fees during each of the three months ended March 31, 2014 and 2013.
	CLO Management Fees
	An affiliate of the Manager entered into separate management agreements with the respective investment vehicles for all of the Company’s Cash Flow CLOs pursuant to which it is entitled to receive fees for the services it performs as collateral manager for all of these CLOs, except for CLO 2011-1. The collateral manager has the option to waive the fees it earns for providing management services for the CLO.
	Fees Waived
	During the three months ended March 31, 2014, the collateral manager waived CLO management fees totaling $1.6 million for CLO 2005-2 and CLO 2006-1. During the three months ended March 31, 2013, the collateral manager waived CLO management fees totaling $7.7 million for all eligible Cash Flow CLOs, except for CLO 2005-1 and CLO 2012-1.
	Fees Charged and Fee Credits
	The Company recorded management fees expense for CLO 2005-1, CLO 2007-1, CLO 2007-A, CLO 2012-1, CLO 2013-1 and CLO 2013-2 during the three months ended March 31, 2014. The Company recorded management fees expense for CLO 2005-1 and CLO 2012-1 during the three months ended March 31, 2013.
	During the second half of 2013, the Manager began to credit the Company for a portion of the CLO management fees received by an affiliate of the Manager from CLO 2007-1, CLO 2007-A and CLO 2012-1 via an offset to the monthly base management fees payable to the Manager. As the Company owns less than 100% of the subordinated notes of three CLOs (with the remaining subordinated notes held by third parties), the Company received a Fee Credit equal only to the Company’s pro rata share of the aggregate CLO management fees paid by these CLOs. Specifically, the amount of the reimbursement for each of these CLOs was calculated by taking the product of (x) the total CLO management fees received by an affiliate of the Manager during the period for such CLO multiplied by (y) the percentage of the subordinated notes of such CLO held by the Company. The remaining portion of the CLO management fees paid by each of these CLOs was not credited to the Company, but instead resulted in a dollar-for-dollar reduction in the interest expense paid by the Company to the third party holder of the CLO’s subordinated notes. Similarly, the Manager credited the Company the CLO management fees from CLO 2013-1 and CLO 2013-2 based on the Company’s 100% ownership of the subordinated notes in the CLO.
	The table below summarizes the aggregate CLO management fees, including the Fee Credits, for the three months ended March 31, 2014 and 2013 (amounts in thousands):
		For the three			For the three
		months ended			months ended
		March 31, 2014			March 31, 2013
	Charged and retained CLO management fees (1)	$	2,166		$	849
	CLO management fees credit	6,370			—
	Total CLO management fees	$	8,536		$	849
	(1)         Represents management fees incurred by the senior and subordinated note holders of a CLO, excluding the Fee Credits received by the Company based on its ownership percentage in the CLO.
	Subordinated note holders in CLOs have the first risk of loss and conversely, the residual value upside of the transactions. When CLO management fees are paid by a CLO, the residual economic interests in the CLO transaction are reduced by an amount commensurate with the CLO management fees paid. The Company records any residual proceeds due to subordinated note holders as interest expense on the condensed consolidated statements of operations. Accordingly, the increase in CLO management fees is directly offset by a decrease in interest expense.
	Incentive Fees
	During the three months ended March 31, 2014 and 2013, the Manager earned $12.9 million and $17.2 million of incentive fees, respectively. As of March 31, 2014, the Company had $12.9 million incentive fee payable to the Manager.
	Manager Share-Based Compensation
	The Company recognized share-based compensation expense related to restricted common shares granted to the Manager of $0.6 million and $0.7 million for the three months ended March 31, 2014 and 2013, respectively. Refer to Note 11 to these condensed consolidated financial statements for further discussion on share-based compensation.
	Reimbursable General and Administrative Expenses
	Certain general and administrative expenses are incurred by the Company’s Manager on its behalf that are reimbursable to the Manager pursuant to the Management Agreement. During the three months ended March 31, 2014 and 2013, the Company incurred reimbursable general and administrative expenses to its Manager of $1.9 million and $1.7 million, respectively. Expenses incurred by the Manager and reimbursed by the Company are reflected in general, administrative and directors expenses on the condensed consolidated statements of operations.
	Affiliated Investments
	The Company has invested in corporate loans, debt securities and other investments of entities that are affiliates of KKR. As of March 31, 2014, the aggregate par amount of these affiliated investments totaled $2.1 billion, or approximately 29% of the total investment portfolio, and consisted of 28 issuers. The total $2.1 billion in affiliated investments was comprised of $2.0 billion of corporate loans, $39.5 million of corporate debt securities and $97.2 million of equity investments, at estimated fair value. As of December 31, 2013, the aggregate par amount of these affiliated investments totaled $2.1 billion, or approximately 27% of the total investment portfolio, and consisted of 28 issuers. The total $2.1 billion in affiliated investments was comprised of $1.9 billion of corporate loans, $52.8 million of corporate debt securities and $84.5 million of equity investments, at estimated fair value.
	In addition, the Company has invested in certain joint ventures and partnerships alongside KKR and its affiliates. As of March 31, 2014 and December 31, 2013, the aggregate cost amount of these interests in joint ventures and partnerships totaled $454.9 million and $400.3 million, respectively.

FAIR_VALUE_OF_FINANCIAL_INSTRU

FAIR VALUE OF FINANCIAL INSTRUMENTS	3 Months Ended
	Mar. 31, 2014
FAIR VALUE OF FINANCIAL INSTRUMENTS	'
FAIR VALUE OF FINANCIAL INSTRUMENTS	'
	NOTE 13. FAIR VALUE OF FINANCIAL INSTRUMENTS
	Financial Instruments Not Carried at Estimated Fair Value
	The following table presents the carrying value and estimated fair value, as well as the respective hierarchy classifications, of the Company’s financial assets and liabilities that are not carried at estimated fair value on a recurring basis as of March 31, 2014 (amounts in thousands):
		As of March 31, 2014						Fair Value Hierarchy
		Carrying			Estimated			Quoted Prices in			Significant Other			Significant
		Amount			Fair Value			Active Markets			Observable			Unobservable
								for Identical			Inputs (Level 2)			Inputs
								Assets (Level 1)						(Level 3)
	Assets:
	Cash, restricted cash, and cash equivalents	$	1,020,733		$	1,020,733		$	1,020,733		$	—		$	—
	Corporate loans, net of allowance for loan losses of $223,541 as of March 31, 2014(1)	5,458,118			5,603,855			—			5,484,290			119,565
	Corporate loans held for sale(1)	510,687			516,543			—			489,351			27,192
	Private equity investments, at cost(2)	405			5,695			—			—			5,695
	Other assets	5,775			5,330			—			5,330			—
	Liabilities:
	Collateralized loan obligation secured debt	$	5,711,885		$	5,657,936		$	—		$	—		$	5,657,936
	Credit facilities	49,889			49,889			—			—			49,889
	Senior notes	362,302			410,700			410,700			—			—
	Junior subordinated notes	283,517			249,241			—			—			249,241
	(1)                                 Corporate loans held for investment are carried at amortized cost net of allowance for loan losses, while corporate loans held for sale are carried at the lower of cost or estimated fair value. Refer to “Fair Value Measurements” for a table presenting the corporate loans which are measured at fair value on a non-recurring basis.
	(2)                                 Included within other assets on the condensed consolidated balance sheets.
	The following table presents the carrying value and estimated fair value, as well as the respective hierarchy classifications, of the Company’s financial assets and liabilities that are not carried at estimated fair value on a recurring basis as of December 31, 2013 (amounts in thousands):
		As of December 31, 2013						Fair Value Hierarchy
		Carrying			Estimated			Quoted Prices in			Significant Other			Significant
		Amount			Fair Value			Active Markets			Observable			Unobservable
								for Identical			Inputs (Level 2)			Inputs
								Assets (Level 1)						(Level 3)
	Assets:
	Cash, restricted cash, and cash equivalents	$	507,552		$	507,552		$	507,552		$	—		$	—
	Corporate loans, net of allowance for loan losses of $224,999 as of December 31, 2013(1)	5,949,492			6,051,641			—			5,691,988			359,653
	Corporate loans held for sale(1)	279,748			281,278			—			267,169			14,109
	Private equity investments, at cost(2)	405			4,496			—			—			4,496
	Other assets	5,763			5,513			—			5,513			—
	Liabilities:
	Collateralized loan obligation secured debt	$	5,249,383		$	5,179,207		$	—		$	—		$	5,179,207
	Credit facilities	125,289			125,289			—			—			125,289
	Senior notes	362,276			393,772			393,772			—			—
	Junior subordinated notes	283,517			247,416			—			—			247,416
	(1)                                 Corporate loans held for investment are carried at amortized cost net of allowance for loan losses, while corporate loans held for sale are carried at the lower of cost or estimated fair value. Refer to “Fair Value Measurements” for a table presenting the corporate loans which are measured at fair value on a non-recurring basis.
	(2)                                Included within other assets on the condensed consolidated balance sheets.
	Fair Value Measurements
	The following table presents information about the Company’s assets and liabilities measured at fair value on a recurring basis as of March 31, 2014, and indicates the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value (amounts in thousands):
		Quoted Prices in			Significant			Significant			Balance as of
		Active Markets			Other			Unobservable Inputs			March 31, 2014
		for Identical			Observable			(Level 3)
		Assets (Level 1)			Inputs (Level 2)
	Assets:
	Securities:
	Securities available-for-sale	$	—		$	333,735		$	23,528		$	357,263
	Other securities, at estimated fair value	—			16,230			125,511			141,741
	Residential mortgage-backed securities	—			—			58,753			58,753
	Total securities	—			349,965			207,792			557,757
	Corporate loans, at estimated fair value	—			80,532			153,395			233,927
	Equity investments, at estimated fair value	26,702			309			258,977			285,988
	Interests in joint ventures and partnerships	15,849			—			494,420			510,269
	Derivatives:
	Interest rate swaps	—			1,871			—			1,871
	Commodity swaps	—			4,210			—			4,210
	Foreign exchange forward contracts	—			5,353			—			5,353
	Foreign exchange options	—			—			8,128			8,128
	Common stock warrants	—			960			—			960
	Total rate of return swaps	—			39			—			39
	Options	—			—			6,492			6,492
Total derivatives	—			12,433			14,620			27,053
Total	$	42,551		$	443,239		$	1,129,204		$	1,614,994
Liabilities:
Derivatives:
Interest rate swaps	—			47,623			—			47,623
Commodity swaps	—			6,385			—			6,385
Foreign exchange forward contracts	—			30,514			—			30,514
Total rate of return swaps	—			154			—			154
Options	—			200			—			200
Total derivatives	—			84,876			—			84,876
Total	$	—		$	84,876		$	—		$	84,876
The following table presents information about the Company’s assets measured at fair value on a non-recurring basis as of March 31, 2014, and indicates the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value (amounts in thousands). There were no liabilities measured at fair value on a non-recurring basis:
	Quoted Prices in			Significant Other			Significant			Balance as of
	Active Markets			Observable			Unobservable			March 31, 2014
	for Identical			Inputs (Level 2)			Inputs (Level 3)
	Assets (Level 1)
Corporate loans held for sale(1)	$	—		$	140,166		$	8,203		$	148,369
Total	$	—		$	140,166		$	8,203		$	148,369
(1)                                 As of March 31, 2014, total loans held for sale had a carrying value of $510.7 million of which $148.4 million was carried at estimated fair value and the remaining $362.3 million carried at amortized cost.
There were no transfers between Level 1 or 2 for the Company’s financial assets and liabilities measured at fair value on a recurring and non-recurring basis as of March 31, 2014.
The following table presents information about the Company’s assets and liabilities measured at fair value on a recurring basis as of December 31, 2013, and indicates the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value (amounts in thousands):
	Quoted Prices in			Significant			Significant			Balance as of
	Active Markets			Other			Unobservable Inputs			December 31,
	for Identical			Observable			(Level 3)			2013
	Assets (Level 1)			Inputs (Level 2)
Assets:
Securities:
Securities available-for-sale	$	—		$	326,940		$	23,401		$	350,341
Other securities, at estimated fair value	—			39,437			107,530			146,967
Residential mortgage-backed securities	—			—			76,004			76,004
Total securities	—			366,377			206,935			573,312
Corporate loans, at estimated fair value	—			84,680			152,800			237,480
Equity investments, at estimated fair value	39,515			3,638			138,059			181,212
Interests in joint ventures and partnerships	14,836			—			415,247			430,083
Derivatives:
Interest rate swaps	—			3,290			—			3,290
Commodity swaps	—			5,408			—			5,408
Foreign exchange forward contracts	—			4,846			—			4,846
Foreign exchange options	—			—			8,941			8,941
Common stock warrants	—			945			—			945
Options	—			—			6,794			6,794
Total derivatives	—			14,489			15,735			30,224
Total	$	54,351		$	469,184		$	928,776		$	1,452,311
Liabilities:
Derivatives:
Interest rate swaps	—			45,368			—			45,368
Commodity swaps	—			3,915			—			3,915
Credit default swaps—protection purchased	—			2,019			—			2,019
Foreign exchange forward contracts	—			30,104			—			30,104
Total rate of return swaps	—			229			—			229
Total derivatives	—			81,635			—			81,635
Total	$	—		$	81,635		$	—		$	81,635
The following table presents information about the Company’s assets measured at fair value on a non-recurring basis as of December 31, 2013, and indicates the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value (amounts in thousands). There were no liabilities measured at fair value on a non-recurring basis:
	Quoted Prices in			Significant Other			Significant			Balance as of
	Active Markets			Observable			Unobservable			December 31,
	for Identical			Inputs (Level 2)			Inputs (Level 3)			2013
	Assets (Level 1)
Corporate loans held for sale(1)	$	—		$	90,485		$	5,568		$	96,053
Total	$	—		$	90,485		$	5,568		$	96,053
(1)                                 As of December 31, 2013, total loans held for sale had a carrying value of $279.7 million of which $96.1 million was carried at estimated fair value and the remaining $183.6 million carried at amortized cost.
Whenever events or changes in circumstances indicate that the carrying amounts of such properties may not be recoverable, the Company evaluates its proved oil and natural gas properties and related equipment and facilities for impairment on a field-by-field basis. For the year ended December 31, 2013, the Company recorded impairment charges totaling $10.4 million to write down certain of its oil and natural gas properties with a carrying amount of $16.1 million to an estimated fair value of $5.7 million.
There were no transfers between Level 1 or 2 for the Company’s financial assets and liabilities measured at fair value on a recurring and non-recurring basis as of December 31, 2013.
Level 3 Fair Value Rollforward
The following table presents additional information about assets, including derivatives that are measured at fair value on a recurring basis for which the Company has utilized Level 3 inputs to determine fair value, for the year ended March 31, 2014 (amounts in thousands):
	Securities			Other			Residential			Corporate			Equity			Interests in			Foreign			Options
	Available-			Securities,			Mortgage-			Loans, at			Investments,			Joint			Exchange
	For-Sale:			at Estimated			Backed			Estimated			at Estimated			Ventures and			Options,
	Corporate			Fair Value			Securities			Fair Value			Fair Value			Partnerships			Net
	Debt
	Securities
Beginning balance as of January 1, 2014	$	23,401		$	107,530		$	76,004		$	152,800		$	138,059		$	415,247		$	8,941		$	6,794
Total gains or losses (for the period):
Included in earnings(1)	22			3,059			3,088			(5,123		)	9,076			22,377			(813		)	(302		)
Included in other comprehensive income	121			—			—			—			—			—			—			—
Transfers into Level 3(2)	—			—			—			—			—			—			—			—
Transfers out of Level 3(3)	—			—			—			—			(8,751		)	—			—			—
Purchases	—			25,000			—			8,822			—			42,683			—			—
Sales	—			—			(17,810		)	—			—			—			—			—
Settlements	(16		)	(10,078		)	(2,529		)	(3,104		)	120,593			14,113			—			—
Ending balance as of March 31, 2014	$	23,528		$	125,511		$	58,753		$	153,395		$	258,977		$	494,420		$	8,128		$	6,492
Change in unrealized gains or losses for the period included in earnings for assets held at the end of the reporting period(1)	$	22		$	3,059		$	3,739		$	3,205		$	8,156		$	22,377		$	(813	)	$	(302	)
(1)                                  Amounts are included in net realized and unrealized gain on investments or net realized and unrealized loss on derivatives and foreign exchange in the condensed consolidated statements of operations.
(2)                                  There were no transfers into Level 3. The Company’s policy is to recognize transfers into Level 3 at the end of the reporting period.
(3)                                  Equity investments, at estimated fair value were transferred out of Level 3 because observable market data became available. The Company’s policy is to recognize transfers out of Level 3 at the end of the reporting period.
The following table presents additional information about assets, including derivatives that are measured at fair value on a recurring basis for which the Company has utilized Level 3 inputs to determine fair value, for the three months ended March 31, 2013 (amounts in thousands):
	Securities			Other			Residential			Corporate			Equity			Interests in			Foreign			Common
	Available-			Securities,			Mortgage-			Loans, at			Investments,			Joint Ventures			Exchange			Stock
	For-Sale:			at Estimated			Backed			Estimated			at Estimated			and			Options,			Warrants
	Corporate			Fair Value			Securities			Fair Value			Fair Value			Partnerships			Net
	Debt
	Securities
Beginning balance as of January 1, 2013	$	42,221		$	2,909		$	83,842		$	16,141		$	97,746		$	142,477		$	8,277		$	1,574
Total gains or losses (for the period):
Included in earnings(1)	(117		)	328			5,721			(1,426		)	4,516			6,679			(2,927		)	245
Included in other comprehensive income	90			—			—			—			—			—			—			—
Transfers into Level 3(2)	—			—			—			—			—			—			—			—
Transfers out of Level 3(2)	—			—			—			—			—			—			—			—
Purchases	—			—			—			3,073			—			22,812			—			—
Sales	—			—			—			—			—			—			—			—
Settlements	(111		)	—			(2,535		)	(463		)	—			(2,037		)	—			—
Ending balance as of March  31, 2013	$	42,083		$	3,237		$	87,028		$	17,325		$	102,262		$	169,931		$	5,350		$	1,819
Change in unrealized gains or losses for the period included in earnings for assets held at the end of the reporting period(1)	$	(117	)	$	328		$	12,088		$	(1,722	)	$	4,516		$	6,679		$	(2,927	)	$	245
(1)                                 Amounts are included in net realized and unrealized gain on investments or net realized and unrealized loss on derivatives and foreign exchange in the condensed consolidated statements of operations.
(2)                                 There were no transfers between Level 1 or 2. The Company’s policy is to recognize transfers into and out of Level 3 at the end of the reporting period.
Valuation Techniques and Inputs for Level 3 Fair Value Measurements
The following table presents additional information about valuation techniques and inputs used for assets and liabilities, including derivatives, that are measured at fair value and categorized within Level 3 as of March 31, 2014 (dollar amounts in thousands):
	Balance as of			Valuation		Unobservable		Weighted		Range		Impact to
	March 31, 2014			Techniques(1)		Inputs(2)		Average(3)				Valuation
												from an
												Increase in
												Input(4)
Assets:
Securities available-for-sale:	$	23,528		Yield Analysis		Yield		10%		6% - 12%		Decrease
Corporate debt securities						Net leverage		12x		11x - 12x		Decrease
						EBITDA multiple		9x		8x - 9x		Increase
				Broker quotes		Offered quotes		105		105		Increase
Other securities, at estimated fair value	$	125,511		Yield Analysis		Yield		13%		7% - 15%		Decrease
						EBITDA multiple		7x		7x		Increase
						Discount margin		530bps		530bps		Decrease
				Broker quotes		Offered quotes		103		103 - 104		Increase
Residential mortgage-backed securities	$	58,753		Discounted cash flows		Probability of default		7%		0% - 21%		Decrease
						Loss severity		25%		12% - 37%		Decrease
						Constant prepayment rate		13%		5% - 24%		(5	)
Corporate loans, at estimated fair value	$	153,395		Yield Analysis		Yield		14%		5% - 18%		Decrease
						Net leverage		7x		4x - 16x		Decrease
						EBITDA multiple		9x		6x - 12x		Increase
Equity investments, at estimated fair value(6)	$	258,977		Inputs to both market		Weight ascribed to market		54%		25% - 100%		(7	)
				comparables and		comparables
				discounted cash flow		Weight ascribed to		62%		50% - 100%		(8	)
						discounted cash flows
				Market comparables		LTM EBITDA multiple		10x		6x - 18x		Increase
						Forward EBITDA multiple		10x		7x - 16x		Increase
				Discounted cash flows		Weighted average cost of capital		14%		9% - 20%		Decrease
						LTM EBITDA exit multiple		8x		4x - 10x		Increase
Interests in joint ventures and partnerships(9)	$	494,420		Inputs to both market		Weight ascribed to market		52%		50% - 100%		(7	)
				comparables and		comparables
				discounted cash flow		Weight ascribed to		65%		50% - 100%		(8	)
						discounted cash flows
				Market comparables		Current capitalization rate		7%		6% - 9%		Decrease
						LTM EBITDA		9x		9x		Increase
				Discounted cash flows		Weighted average cost of capital		12%		8% - 24%		Decrease
Foreign exchange options	$	8,128		Option pricing model		Forward and spot rates		1		0 - 1		(10	)
Options	$	6,492		Inputs to both market		Weight ascribed to market		50%		50%		(7	)
				comparables and		comparables
				discounted cash flow		Weight ascribed to		50%		50%		(8	)
						discounted cash flows
				Market comparables		LTM EBITDA		9x		9x		Increase
				Discounted cash flows		Weighted average cost of capital		12%		12%		Decrease
						LTM EBITDA exit multiple		10x		10x		Increase
(1)                                 For the assets that have more than one valuation technique, the Company may rely on the techniques individually or in aggregate based on a weight ascribed to each one ranging from 0-100%. When determining the weighting ascribed to each valuation methodology, the Company considers, among other factors, the availability of direct market comparables, the applicability of a discounted cash flow analysis and the expected hold period and manner of realization for the investment. These factors can result in different weightings among the investments and in certain instances, may result in up to a 100% weighting to a single methodology. Broker quotes obtained for valuation purposes are reviewed by the Company through other valuation techniques.
(2)                                 The significant unobservable inputs used in the fair value measurement of the Company’s assets and liabilities may include the last twelve months (“LTM”) EBITDA multiple, weighted average cost of capital, net leverage, probability of default, loss severity and constant prepayment rate. In determining certain of these inputs, management evaluates a variety of factors including economic, industry and market trends and developments; market valuations of comparable companies; and company specific developments including potential exit strategies and realization opportunities. Significant increases or decreases in any of these inputs in isolation could result in significantly lower or higher fair value measurement.
(3)                                 Weighted average amounts are based on the estimated fair values.
(4)                                 Unless otherwise noted, this column represents the directional change in the fair value of the Level 3 investments that would result from an increase to the corresponding unobservable input. A decrease to the unobservable input would have the opposite effect. Significant changes in these inputs in isolation could result in significantly higher or lower fair value measurements.
(5)                                 The impact of changes in prepayment speeds may have differing impacts depending on the seniority of the instrument. Generally, an increase in the constant prepayment speed will positively impact the overall valuation of traditional mortgage assets. In contrast, an increase in the constant prepayment rate will negatively impact the overall valuation of interest-only strips.
(6)                                 When determining the illiquidity discount to be applied to equity investments, at estimated fair value, the Company takes a uniform approach across its portfolio and generally applies a minimum 5% discount to all private equity investments carried at estimated fair value. The Company then evaluates such investments to determine if factors exist that could make it more challenging to monetize the investment and, therefore, justify applying a higher illiquidity discount. These factors generally include the salability of the investment, whether the issuer is undergoing significant restructuring activity or similar factors, as well as characteristics about the issuer including its size and/or whether it is experiencing, or expected to experience, a significant decline in earnings. Depending on the applicability of these factors, the Company determines the amount of any incremental illiquidity discount to be applied above the 5% minimum, and during the time the Company holds the investment, the illiquidity discount may be increased or decreased, from time to time, based on changes to these factors. The amount of illiquidity discount applied at any time requires considerable judgment about what a market participant would consider and is based on the facts and circumstances of each individual investment. Accordingly, the illiquidity discount ultimately considered by a market participant upon the realization of any investment may be higher or lower than that estimated by the Company in its valuations.
(7)                                 The directional change from an increase in the weight ascribed to the market comparables approach would increase the fair value of the Level III investments if the market comparables approach results in a higher valuation than the discounted cash flow approach. The opposite would be true if the market comparables approach results in a lower valuation than the discounted cash flow approach.
(8)                                 The directional change from an increase in the weight ascribed to the discounted cash flow approach would increase the fair value of the Level III investments if the discounted cash flow approach results in a higher valuation than the market comparables approach. The opposite would be true if the discounted cash flow approach results in a lower valuation than the market comparables approach.
(9)                                 Includes an asset that was valued using an independent third party valuation firm.
(10)                          The directional change from an increase in forward and spot rates varies and is dependent on the specific option.
The following table presents additional information about valuation techniques and inputs used for assets and liabilities, including derivatives, that are measured at fair value and categorized within Level 3 as of December 31, 2013 (dollar amounts in thousands):
	Balance as of			Valuation		Unobservable		Weighted		Range		Impact to
	December 31,			Techniques(1)		Inputs(2)		Average(3)				Valuation
	2013											from an
												Increase in
												Input(4)
Assets:
Securities available-for-sale:	$	23,401		Yield Analysis		Yield		10%		6% - 12%		Decrease
Corporate debt securities						Net leverage		12x		11x - 12x		Decrease
						EBITDA multiple		8x		8x - 9x		Increase
				Broker quotes		Offered quotes		105		104 - 105		Increase
Other securities, at estimated fair value	$	107,530		Yield Analysis		Yield		12%		7% - 17%		Decrease
						EBITDA multiple		8x		7x - 8x		Increase
						Illiquidity discount		3%		3%		Decrease
						Net leverage		1x		1x - 2x		Decrease
				Broker quotes		Offered quotes		102		101 - 102		Increase
Residential mortgage-backed securities	$	76,004		Discounted cash flows		Probability of default		7%		0% - 21%		Decrease
						Loss severity		28%		16% - 77%		Decrease
						Constant prepayment rate		15%		3% - 35%		-5
Corporate loans, at estimated fair value	$	152,800		Yield Analysis		Yield		16%		14% - 23%		Decrease
						Net leverage		7x		4x - 12x		Decrease
						EBITDA multiple		8x		6x - 11x		Increase
Equity investments, at estimated fair value(6)	$	138,059		Inputs to both market		Weight ascribed to market		50%		33% - 100%		-7
				comparables and		comparables
				discounted cash flow		Weight ascribed to		59%		50% - 100%		-8
						discounted cash flows
				Market comparables		LTM EBITDA multiple		12x		6x - 16x		Increase
						Forward EBITA multiple		12x		10x - 14x		Increase
				Discounted cash flows		Weighted average cost of capital		11%		8% - 14%		Decrease
						LTM EBITDA exit multiple		10x		4x - 11x		Increase
Interests in joint ventures and partnerships	$	415,247		Inputs to both market		Weight ascribed to market		50%		50% - 100%		-7
				comparables and		comparables
				discounted cash flow		Weight ascribed to		50%		50% - 100%		-8
						discounted cash flows
				Market comparables		Current capitalization rate		7%		6% - 9%		Decrease
						LTM EBITDA		9x		9x		Increase
				Discounted cash flows		Weighted average cost of capital		12%		8% - 24%		Decrease
Foreign exchange options	$	8,941		Option pricing model		Forward and spot rates		1		0 - 1		-9
Options	$	6,794		Inputs to both market		Weight ascribed to market		50%		50%		-7
				comparables and		comparables
				discounted cash flow		Weight ascribed to		50%		50%		-8
						discounted cash flows
				Market comparables		LTM EBITDA		9x		9x		Increase
				Discounted cash flows		Weighted average cost of capital		12%		12%		Decrease
						LTM EBITDA exit multiple		10x		9x - 10x		Increase
(1)                                 For the assets that have more than one valuation technique, the Company may rely on the techniques individually or in aggregate based on a weight ascribed to each one ranging from 0-100%. When determining the weighting ascribed to each valuation methodology, the Company considers, among other factors, the availability of direct market comparables, the applicability of a discounted cash flow analysis and the expected hold period and manner of realization for the investment. These factors can result in different weightings among the investments and in certain instances, may result in up to a 100% weighting to a single methodology. Broker quotes obtained for valuation purposes are reviewed by the Company through other valuation techniques.
(2)                                 The significant unobservable inputs used in the fair value measurement of the Company’s assets and liabilities may include the last twelve months (“LTM”) EBITDA multiple, weighted average cost of capital, net leverage, probability of default, loss severity and constant prepayment rate. In determining certain of these inputs, management evaluates a variety of factors including economic, industry and market trends and developments; market valuations of comparable companies; and company specific developments including potential exit strategies and realization opportunities. Significant increases or decreases in any of these inputs in isolation could result in significantly lower or higher fair value measurement.
(3)                                 Weighted average amounts are based on the estimated fair values.
(4)                                 Unless otherwise noted, this column represents the directional change in the fair value of the Level 3 investments that would result from an increase to the corresponding unobservable input. A decrease to the unobservable input would have the opposite effect. Significant changes in these inputs in isolation could result in significantly higher or lower fair value measurements.
(5)                                 The impact of changes in prepayment speeds may have differing impacts depending on the seniority of the instrument. Generally, an increase in the constant prepayment speed will positively impact the overall valuation of traditional mortgage assets. In contrast, an increase in the constant prepayment rate will negatively impact the overall valuation of interest-only strips.
(6)                                 When determining the illiquidity discount to be applied to equity investments, at estimated fair value, the Company takes a uniform approach across its portfolio and generally applies a minimum 5% discount to all private equity investments carried at estimated fair value. The Company then evaluates such investments to determine if factors exist that could make it more challenging to monetize the investment and, therefore, justify applying a higher illiquidity discount. These factors generally include the salability of the investment, whether the issuer is undergoing significant restructuring activity or similar factors, as well as characteristics about the issuer including its size and/or whether it is experiencing, or expected to experience, a significant decline in earnings. Depending on the applicability of these factors, the Company determines the amount of any incremental illiquidity discount to be applied above the 5% minimum, and during the time the Company holds the investment, the illiquidity discount may be increased or decreased, from time to time, based on changes to these factors. The amount of illiquidity discount applied at any time requires considerable judgment about what a market participant would consider and is based on the facts and circumstances of each individual investment. Accordingly, the illiquidity discount ultimately considered by a market participant upon the realization of any investment may be higher or lower than that estimated by the Company in its valuations.
(7)                                 The directional change from an increase in the weight ascribed to the market comparables approach would increase the fair value of the Level III investments if the market comparables approach results in a higher valuation than the discounted cash flow approach. The opposite would be true if the market comparables approach results in a lower valuation than the discounted cash flow approach.
(8)                                 The directional change from an increase in the weight ascribed to the discounted cash flow approach would increase the fair value of the Level III investments if the discounted cash flow approach results in a higher valuation than the market comparables approach. The opposite would be true if the discounted cash flow approach results in a lower valuation than the market comparables approach.
(9)                                 The directional change from an increase in forward and spot rates varies and is dependent on the specific option.

SEGMENT_REPORTING

SEGMENT REPORTING	3 Months Ended
	Mar. 31, 2014
SEGMENT REPORTING	'
SEGMENT REPORTING	'
	NOTE 14. SEGMENT REPORTING
	Operating segments are defined as components of a company that engage in business activities that may earn revenues and incur expenses for which separate financial information is available and reviewed by the chief operating decision maker or group in determining how to allocate resources and assessing performance. The Company operates its business through the following reportable segments: credit (“Credit”), natural resources (“Natural Resources”) and other segments (“Other”).
	The Company’s reportable segments are differentiated primarily by their investment focuses. The Credit segment consists primarily of below investment grade corporate debt comprised of senior secured and unsecured loans, mezzanine loans, high yield bonds, private and public equity investments, and distressed and stressed debt securities. The Natural Resources segment consists of non-operated working and overriding royalty interests in oil and natural gas properties. The Other segment includes all other portfolio holdings, consisting solely of commercial real estate. The segments currently reported are consistent with the way decisions regarding the allocation of resources are made, as well as how operating results are reviewed by the Company.
	The Company evaluates the performance of its reportable segments based on several net income components. Net income includes (i) revenues, (ii) related investment costs and expenses, (iii) other income (loss), which is comprised primarily of unrealized and realized gains and losses on investments and derivatives, and (iv) other expenses, including related party management compensation and general and administrative expenses. Certain corporate assets and expenses that are not directly related to the individual segments, including interest expense and related costs on borrowings, base management fees and professional services are allocated to individual segments based on the investment portfolio balance in each respective segment as of the most recent period-end. Certain other corporate assets and expenses, including prepaid insurance, incentive fees, insurance expenses, directors’ expenses and share-based compensation expense are not allocated to individual segments in the Company’s assessment of segment performance. Collectively, these items are included as reconciling items between reported segment amounts and consolidated totals.
	The following table presents the net income (loss) components of our reportable segments reconciled to amounts reflected in the condensed consolidated financial statements for the three months ended March 31, 2014 and 2013 (amounts in thousands):
		Credit				Natural Resources						Other				Reconciling Items(1)						Total Consolidated
	For the three months ended March 31	2014		2013		2014			2013			2014		2013		2014			2013			2014		2013
	Total revenues	$	96,562	$	115,149	$	44,028		$	23,805		$	—	$	1,496	$	—		$	—		$	140,590	$	140,450
	Total investment costs and expenses	45,873		61,399		27,576			19,469			321		181		—			—			73,770		81,049
	Total other income (loss)	64,516		93,926		(5,389		)	(4,746		)	13,713		5,309		—			(20,269		)	72,840		74,220
	Total other expenses	15,835		13,968		1,154			1,630			140		124		14,329			19,105			31,458		34,827
	Income tax expense	19		457		—			—			—		1		—			—			19		458
	Net income (loss)	$	99,351	$	133,251	$	9,909		$	(2,040	)	$	13,252	$	6,499	$	(14,329	)	$	(39,374	)	$	108,183	98,336
	(1)             Consists of certain expenses not allocated to individual segments including (i) other income (loss) comprised of losses on restructuring and extinguishment of debt of $20.3 million for the three months ended March 31, 2013 and (ii) other expenses comprised of incentive fees of $12.9 million and $17.2 million for the three months ended March 31, 2014 and 2013, respectively. The remaining reconciling items include insurance expenses, directors’ expenses and share-based compensation expense.
	The following table shows total assets of reportable segments reconciled to amounts reflected in the condensed consolidated financial statements as of March 31, 2014 and December 31, 2013 (amounts in thousands):
		Credit				Natural Resources						Other				Reconciling						Total Consolidated
																Items
	As of	March 31,		December 31,		March 31,			December 31,			March 31,		December 31,		March 31,			December 31,			March 31,		December 31,
		2014		2013		2014			2013			2014		2013		2014			2013			2014		2013
	Total assets	$	8,407,372	$	8,020,353	$	528,705		$	505,029		$	225,552	$	190,946	$	700		$	870		$	9,162,329	$	8,717,198

SUBSEQUENT_EVENTS

SUBSEQUENT EVENTS	3 Months Ended
	Mar. 31, 2014
SUBSEQUENT EVENTS	'
SUBSEQUENT EVENTS	'
	NOTE 15. SUBSEQUENT EVENTS
	On April 30, 2014, the proposed merger transaction with KKR & Co. was approved by the Company’s common shareholders and the merger was completed, resulting in the Company becoming a subsidiary of KKR & Co. As a result of the merger, the Company’s board of directors did not declare a distribution on its common shares for the first quarter of 2014 and, instead, the Company’s common shareholders will receive a quarterly distribution in respect of the KKR & Co. common units that such holder received in the merger to the extent that they hold those shares through May 9, 2014, which is the record date for the KKR & Co. distribution. Also, in connection with the merger, on April 30, 2014, the Company terminated its three-year $150.0 million revolving credit facility, maturing on November 30, 2015, which had no borrowings outstanding as of March 31, 2014.
	In accordance with GAAP, the merger will be accounted for as a business combination which requires that the consideration exchanged and net assets acquired be recorded in the acquirer’s financial statements at their respective fair values at the date of acquisition. Acquisition accounting requires that the valuation of net assets be recorded in the acquiree’s records as well. Due to the limited time since the completion of merger, the initial accounting for this transaction is incomplete as of the date of this filing. The Company is currently in the process of determining the purchase accounting impact of the merger. Accordingly, it is impracticable for the Company to make certain business combination disclosures.
	On April 29, 2014, Energy Future Holdings Corp. and certain of its subsidiaries, including TXU, filed for reorganization under Chapter 11 of the U.S. Bankruptcy Code. TXU missed its interest payment due on its funded debt on April 1, 2014. As of March 31, 2014, TXU was a top three holding in the Company’s corporate loan portfolio and totaled an aggregate amortized cost of $311.6 million of impaired loans, which were included in the allocated component of the Company’s allowance for loan losses. In addition, the Company held TXU loans held for sale with a recorded investment of $29.8 million as of March 31, 2014.
	On March 25, 2014, the Company’s board of directors declared a cash distribution of $0.460938 per share on its Series A LLC Preferred Shares. The distribution was paid on April 15, 2014 to preferred shareholders as of the close of business on April 8, 2014.

SUMMARY_OF_SIGNIFICANT_ACCOUNT1

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)	3 Months Ended
	Mar. 31, 2014
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES	'
Use of Estimates	'
	Use of Estimates
	The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the Company’s condensed consolidated financial statements and accompanying notes. Actual results could differ from management’s estimates.
	The Company uses historical experience and various other assumptions and information that are believed to be reasonable under the circumstances in developing its estimates and judgments. Estimates and assumptions about future events and their effects cannot be predicted with certainty and, accordingly, these estimates may change as new events occur, as more experience is acquired, as additional information is obtained and as the Company’s operating environment changes. While the Company believes that the estimates and assumptions used in the preparation of the condensed consolidated financial statements are appropriate, actual results could differ from those estimates.
	Estimates of oil, natural gas and natural gas liquid (“NGL”) reserves and their values, future production rates and future costs and expenses are inherently uncertain, including many factors beyond the Company’s control. Reservoir engineering is a subjective process of estimating underground accumulations of oil, natural gas and NGL that cannot be measured in an exact manner. The accuracy of any reserve estimate is a function of many factors including the following: the quality and quantity of available data, the interpretation of that data, the accuracy of various mandated economic assumptions and the judgments of the individuals preparing the estimates. In addition, reserve estimates are a function of many assumptions, all of which could deviate significantly from actual results. As such, reserve estimates may materially vary from the ultimate quantities of oil, natural gas and NGL eventually recovered, and could materially affect the Company’s future depreciation, depletion and amortization expense (“DD&A”), its asset retirement obligations or impairment considerations.
Consolidation	'
	Consolidation
	KKR Financial CLO 2005-1, Ltd. (“CLO 2005-1”), KKR Financial CLO 2005-2, Ltd. (“CLO 2005-2”), KKR Financial CLO 2006-1, Ltd. (“CLO 2006-1”), KKR Financial CLO 2007-1, Ltd. (“CLO 2007-1”), KKR Financial CLO 2007-A, Ltd. (“CLO 2007-A”), KKR Financial CLO 2011-1, Ltd. (“CLO 2011-1”), KKR Financial CLO 2012-1, Ltd. (“CLO 2012-1”), KKR Financial CLO 2013-1, Ltd. (“CLO 2013-1”) and KKR Financial CLO 2013-2, Ltd. (“CLO 2013-2”) (collectively the “Cash Flow CLOs”) are entities established to complete secured financing transactions. These entities are VIEs which the Company consolidates as the Company has determined it has the power to direct the activities that most significantly impact these entities’ economic performance and the Company has both the obligation to absorb losses of these entities and the right to receive benefits from these entities that could potentially be significant to these entities. In CLO transactions, subordinated notes have the first risk of loss and conversely, the residual value upside of the transactions.
	The Company finances the majority of its corporate debt investments through its CLOs. As of March 31, 2014, the Company’s nine CLOs held $6.6 billion par amount, or $6.4 billion estimated fair value, of corporate debt investments. As of December 31, 2013, the Company had eight CLOs that held $6.7 billion par amount, or $6.4 billion estimated fair value, of corporate debt investments. The assets in each CLO can be used only to settle the debt of the related CLO. As of March 31, 2014 and December 31, 2013, the aggregate CLO debt totaled $5.7 billion and $5.2 billion, respectively, of secured debt outstanding held by unaffiliated third parties.
	The Company consolidates all non-VIEs in which it holds a greater than 50 percent voting interest.
	In addition, the Company has non-controlling interests in joint ventures and partnerships that do not qualify as VIEs and do not meet the control requirements for consolidation as defined by GAAP.
	All inter-company balances and transactions have been eliminated in consolidation.
Fair Value of Financial Instruments	'
	Fair Value of Financial Instruments
	Fair value is the price 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. Where available, fair value is based on observable market prices or parameters or derived from such prices or parameters. Where observable prices or inputs are not available, valuation models are applied. These valuation techniques involve some level of management estimation and judgment, the degree of which is dependent on the price transparency for the instruments or market and the instruments’ complexity for disclosure purposes. Assets and liabilities in the condensed consolidated balance sheets are categorized based upon the level of judgment associated with the inputs used to measure their value. Hierarchical levels, as defined under GAAP, are directly related to the amount of subjectivity associated with the inputs to fair valuations of these assets and liabilities, and are as follows:
	Level 1:  Inputs are unadjusted, quoted prices in active markets for identical assets or liabilities at the measurement date.
	The types of assets generally included in this category are equity securities listed in active markets.
	Level 2:  Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. Level 2 inputs include quoted prices for similar instruments in active markets, and inputs other than quoted prices that are observable for the asset or liability.
	The types of assets and liabilities generally included in this category are certain corporate debt securities, certain corporate loans held for sale, certain equity investments at estimated fair value and certain financial instruments classified as derivatives.
	Level 3:  Inputs are unobservable inputs for the asset or liability, and include situations where there is little, if any, market activity for the asset or liability.
	The types of assets and liabilities generally included in this category are certain corporate debt securities, certain corporate loans held for sale, certain equity investments at estimated fair value, residential mortgage-backed securities (“RMBS”), certain interests in joint ventures and partnerships and certain financial instruments classified as derivatives.
	A significant decrease in the volume and level of activity for the asset or liability is an indication that transactions or quoted prices may not be representative of fair value because in such market conditions there may be increased instances of transactions that are not orderly. In those circumstances, further analysis of transactions or quoted prices is needed, and a significant adjustment to the transactions or quoted prices may be necessary to estimate fair value.
	The availability of observable inputs can vary depending on the financial asset or liability and is affected by a wide variety of factors, including, for example, the type of product, whether the product is new, whether the product is traded on an active exchange or in the secondary market, and the current market condition. 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. Accordingly, the degree of judgment exercised by the Company in determining fair value is greatest for instruments categorized in Level 3. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the level in the fair value hierarchy within which the fair value measurement in its entirety falls is determined based on the lowest level input that is significant to the fair value measurement in its entirety. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and consideration of factors specific to the asset. The variability of the observable inputs affected by the factors described above may cause transfers between Levels 1, 2, and/or 3, which the Company recognizes at the end of the reporting period.
	Many financial assets and liabilities have bid and ask prices that can be observed in the marketplace. Bid prices reflect the highest price that the Company and others are willing to pay for an asset. Ask prices represent the lowest price that the Company and others are willing to accept for an asset. For financial assets and liabilities whose inputs are based on bid-ask prices, the Company does not require that fair value always be a predetermined point in the bid-ask range. The Company’s policy is to allow for mid-market pricing and adjusting to the point within the bid-ask range that meets the Company’s best estimate of fair value.
	Depending on the relative liquidity in the markets for certain assets, the Company may transfer assets to Level 3 if it determines that observable quoted prices, obtained directly or indirectly, are not available. The valuation techniques used for the assets and liabilities that are valued using Level 3 of the fair value hierarchy are described below.
	Securities and Corporate Loans, at Estimated Fair Value:  Securities and corporate loans, at estimated fair value are initially valued at transaction price and are subsequently valued using market data for similar instruments (e.g., recent transactions or broker quotes), comparisons to benchmark derivative indices or valuation models. Valuation models are based on yield analysis techniques, where the key inputs are based on relative value analyses, which incorporate similar instruments from similar issuers. In addition, an illiquidity discount is applied where appropriate.
	Equity Investments, at Estimated Fair Value:  Equity investments, at estimated fair value, are initially valued at transaction price and are subsequently valued using observable market prices, if available, or internally developed models in the absence of readily observable market prices. Valuation models are generally based on market and income (discounted cash flow) approaches, in which various internal and external factors are considered. Factors include key financial inputs and recent public and private transactions for comparable investments. Key inputs used for the discounted cash flow approach include the weighted average cost of capital and assumed inputs used to calculate terminal values, such as earnings before interest, taxes, depreciation and amortization (“EBITDA”) exit multiples. The fair value recorded for a particular investment will generally be within the range suggested by the two approaches. Upon completion of the valuations conducted, an illiquidity discount is applied where appropriate.
	Interests in Joint Ventures and Partnerships:  Interests in joint ventures and partnerships include certain equity investments related to the oil and gas, commercial real estate and specialty lending sectors. Interests in joint ventures and partnerships are initially valued at transaction price and are subsequently valued using observable market prices, if available, or internally developed models in the absence of readily observable market prices. Valuation models are generally based on an income (discounted cash flow) approach, in which various internal and external factors are considered and key inputs include the weighted average cost of capital. In addition, an illiquidity discount is applied where appropriate.
	Over-the-counter (“OTC”) Derivative Contracts:  OTC derivative contracts include forward, swap and option contracts related to interest rates, foreign currencies, credit standing of reference entities and equity prices. OTC derivatives are initially valued using quoted market prices, if available, or models using a series of techniques, including closed-form analytic formulae, such as the Black-Scholes option-pricing model, and/or simulation models in the absence of quoted market prices. Many pricing models employ methodologies that have pricing inputs observed from actively quoted markets, as is the case for generic interest rate swap and option contracts.
	Residential Mortgage-Backed Securities, at Estimated Fair Value:  RMBS are initially valued at transaction price and are subsequently valued using a third party valuation servicer. The most significant inputs to the valuation of these instruments are default and loss expectations and constant prepayment rates.
	Key unobservable inputs that have a significant impact on the Company’s Level 3 valuations as described above are included in Note 13 to these condensed consolidated financial statements. The Company utilizes several unobservable pricing inputs and assumptions in determining the fair value of its Level 3 investments. These unobservable pricing inputs and assumptions may differ by asset and in the application of the Company’s valuation methodologies. The reported fair value estimates could vary materially if the Company had chosen to incorporate different unobservable pricing inputs and other assumptions or, for applicable investments, if the Company only used either the discounted cash flow methodology or the market comparables methodology instead of assigning a weighting to both methodologies.
	Valuation Process
	The valuation process involved in Level 3 measurements for assets and liabilities is completed on a quarterly basis and is designed to subject the valuation of Level 3 investments to an appropriate level of consistency, oversight and review. The Company utilizes a valuation committee, whose members consist of the Company’s Chief Executive Officer, Chief Financial Officer, General Counsel and certain other employees of the Manager. The valuation committee is responsible for coordinating and implementing the Company’s quarterly valuation process.
	Investments are generally valued based on quotations from third party pricing services, unless such a quotation is unavailable or is determined to be unreliable or inadequately representing the fair value of the particular assets. In that case, valuations are based on either valuation data obtained from one or more other third party pricing sources, including broker dealers, or will reflect the valuation committee’s good faith determination of estimated fair value based on other factors considered relevant. For assets classified as Level 3, the investment professionals are responsible for documenting preliminary valuations based on various factors including their evaluation of financial and operating data, company specific developments, market valuations of comparable companies and model projections discussed above. All valuations are approved by the valuation committee.
Cash and Cash Equivalents	'
	Cash and Cash Equivalents
	Cash and cash equivalents include cash on hand, cash held in banks and highly liquid investments with original maturities of three months or less. Interest income earned on cash and cash equivalents is recorded in other within total revenues on the condensed consolidated statements of operations.
Restricted Cash and Cash Equivalents	'
	Restricted Cash and Cash Equivalents
	Restricted cash and cash equivalents represent amounts that are held by third parties under certain of the Company’s financing and derivative transactions. Interest income earned on restricted cash and cash equivalents is recorded in other within total revenues on the condensed consolidated statements of operations.
	On the condensed consolidated statements of cash flows, net additions or reductions to restricted cash and cash equivalents are classified as an investing activity as restricted cash and cash equivalents reflect the receipts from collections or sales of investments, as well as payments made to acquire investments held by third parties.
Securities Available-for-Sale	'
	Securities
	Securities Available-for-Sale
	The Company classifies its investments in securities as available-for-sale as the Company may sell them prior to maturity and does not hold them principally for the purpose of selling them in the near term. These investments are carried at estimated fair value, with unrealized gains and losses reported in accumulated other comprehensive income. Estimated fair values are based on quoted market prices, when available, on estimates provided by independent pricing sources or dealers who make markets in such securities, or internal valuation models when external sources of fair value are not available. Upon the sale of a security, the realized net gain or loss is computed on a weighted average cost basis. Purchases and sales of securities are recorded on the trade date.
	The Company monitors its available-for-sale securities portfolio for impairments. A loss is recognized when it is determined that a decline in the estimated fair value of a security below its amortized cost is other-than-temporary. The Company considers many factors in determining whether the impairment of a security is deemed to be other-than-temporary, including, but not limited to, the length of time the security has had a decline in estimated fair value below its amortized cost and the severity of the decline, the amount of the unrealized loss, recent events specific to the issuer or industry, external credit ratings and recent changes in such ratings. In addition, for debt securities, the Company considers its intent to sell the debt security, the Company’s estimation of whether or not it expects to recover the debt security’s entire amortized cost if it intends to hold the debt security, and whether it is more likely than not that the Company will be required to sell the debt security before its anticipated recovery. For equity securities, the Company also considers its intent and ability to hold the equity security for a period of time sufficient for a recovery in value.
	The amount of the loss that is recognized when it is determined that a decline in the estimated fair value of a security below its amortized cost is other-than-temporary is dependent on certain factors. If the security is an equity security or if the security is a debt security that the Company intends to sell or estimates that it is more likely than not that the Company will be required to sell before recovery of its amortized cost, then the impairment amount recognized in earnings is the entire difference between the estimated fair value of the security and its amortized cost. For debt securities that the Company does not intend to sell or estimates that it is not more likely than not to be required to sell before recovery, the impairment is separated into the estimated amount relating to credit loss and the estimated amount relating to all other factors. Only the estimated credit loss amount is recognized in earnings, with the remainder of the loss amount recognized in accumulated other comprehensive loss.
	Unamortized premiums and unaccreted discounts on securities available-for-sale are recognized in interest income over the contractual life, adjusted for actual prepayments, of the securities using the effective interest method.
Other Securities, at Estimated Fair Value	'
	Other Securities, at Estimated Fair Value
	The Company has elected the fair value option of accounting for certain securities for the purpose of enhancing the transparency of its financial condition as fair value is consistent with how the Company manages the risks of these securities. Other securities, at estimated fair value are included within securities on the condensed consolidated balance sheets with unrealized gains and losses reported in net realized and unrealized gain on investments in the condensed consolidated statements of operations.
Residential Mortgage-Backed Securities, at Estimated Fair Value	'
	Residential Mortgage-Backed Securities, at Estimated Fair Value
	The Company has elected the fair value option of accounting for its residential mortgage investments for the purpose of enhancing the transparency of its financial condition as fair value is consistent with how the Company manages the risks of its residential mortgage investments. RMBS, at estimated fair value are included within securities on the condensed consolidated balance sheets with unrealized gains and losses reported in net realized and unrealized gain on investments in the condensed consolidated statements of operations.
Equity Investments, at Estimated Fair Value	'
	Equity Investments, at Estimated Fair Value
	The Company has elected the fair value option of accounting for certain marketable equity securities and private equity investments. The Company elects the fair value option of accounting for private equity investments received through restructuring debt transactions or issued by an entity in which the Company may have significant influence. The Company elected the fair value option for certain equity investments for the purpose of enhancing the transparency of its financial condition as fair value is consistent with how the Company manages the risks of these equity investments. Equity investments, at fair value, are managed based on overall value and potential returns. These equity investments carried at estimated fair value are presented separately on the condensed consolidated balance sheets with unrealized gains and losses reported in net realized and unrealized gain on investments in the condensed consolidated statements of operations.
Interests in Joint Ventures and Partnerships	'
	Interests in Joint Ventures and Partnerships
	The Company has elected the fair value option of accounting for certain non-controlling interests in joint ventures and partnerships for the purpose of enhancing the transparency of its financial condition as fair value is consistent with how the Company manages the risks of these interests. These interests in joint ventures and partnerships are presented separately on the condensed consolidated balance sheets with unrealized gains and losses reported in net realized and unrealized gain on investments in the condensed consolidated statements of operations.
Securities Sold, Not Yet Purchased	'
	Securities Sold, Not Yet Purchased
	Securities sold, not yet purchased consist of equity and debt securities that the Company has sold short. In order to facilitate a short sale, the Company borrows the securities from another party and delivers the securities to the buyer. The Company will be required to “cover” its short sale in the future through the purchase of the security in the market at the prevailing market price and deliver it to the counterparty from which it borrowed. The Company is exposed to a loss to the extent that the security price increases during the time from when the Company borrowed the security to when the Company purchases it in the market to cover the short sale. Securities sold, not yet purchased are presented within accounts payable, accrued expenses and other liabilities on the condensed consolidated balance sheets with gains and losses reported in net realized and unrealized gain on investments on the condensed consolidated statement of operations.
Corporate Loans	'
	Corporate Loans, Net
	Corporate Loans
	Corporate loans are generally held for investment and the Company initially records corporate loans at their purchase prices. The Company subsequently accounts for corporate loans based on their outstanding principal plus or minus unaccreted purchase discounts and unamortized purchase premiums. Corporate loans that the Company transfers to held for sale are transferred at the lower of cost or estimated fair value.
	Interest income on corporate loans includes interest at stated coupon rates adjusted for accretion of purchase discounts and the amortization of purchase premiums. Unamortized premiums and unaccreted discounts are recognized in interest income over the contractual life, adjusted for actual prepayments, of the corporate loans using the effective interest method.
	Other than corporate loans measured at estimated fair value, corporate loans acquired with deteriorated credit quality are recorded at initial cost and interest income is recognized as the difference between the Company’s estimate of all cash flows that it will receive from the loan in excess of its initial investment on a level-yield basis over the life of the corporate loan (accretable yield) using the effective interest method.
	A corporate loan is typically placed on non-accrual status at such time as: (i) management believes that scheduled debt service payments may not be paid when contractually due; (ii) the corporate loan becomes 90 days delinquent; (iii) management determines the borrower is incapable of, or has ceased efforts toward, curing the cause of the impairment; or (iv) the net realizable value of the collateral securing the corporate loan decreases below the Company’s carrying value of such corporate loan. As such, corporate loans placed on non-accrual status may or may not be contractually past due at the time of such determination. While on non-accrual status, previously recognized accrued interest is reversed if it is determined that such amounts are not collectible and interest income is recognized using the cost-recovery method, cash-basis method or some combination of the two methods. A corporate loan is placed back on accrual status when the ultimate collectability of the principal and interest is not in doubt.
	The Company may modify corporate loans in transactions where the borrower is experiencing financial difficulty and a concession is granted to the borrower as part of the modification. These concessions may include one or a combination of the following: a reduction of the stated interest rate; payment extensions; forgiveness of principal; or an exchange of assets. Such modifications typically qualify as troubled debt restructurings (“TDRs”). In order to determine whether the borrower is experiencing financial difficulty, an evaluation is performed including the following considerations: whether the borrower is or will be in payment default on any of its debt in the foreseeable future without the modification; whether there is a potential for a bankruptcy filing; whether there is a going-concern issue; or whether the borrower is unable to secure financing elsewhere.
	Corporate loans whose terms have been modified in a TDR are considered impaired, unless accounted for at fair value or the lower of cost or estimated fair value, and are typically placed on non-accrual status, but can be moved to accrual status when, among other criteria, payment in full of all amounts due under the restructured terms is expected and the borrower has demonstrated a sustained period of repayment performance, typically six months.
	TDRs are separately identified for impairment disclosures and are measured at either the estimated fair value or the present value of estimated future cash flows using the respective corporate loan’s effective rate at inception. Impairments associated with TDRs are included within the allocated component of the Company’s allowance for loan losses.
	The Company may also identify receivables that are newly considered impaired and discloses the total amount of receivables and the allowance for credit losses as of the end of the period of adoption related to those receivables that are newly considered impaired.
	In addition to TDRs, the Company may also modify corporate loans which usually involve changes in existing interest rates combined with changes of existing maturities to prevailing market rates/maturities for similar instruments at the time of modification. Such modifications typically do not meet the definition of a TDR since the respective borrowers are neither experiencing financial difficulty nor are seeking a concession as part of the modification.
	The corporate loans the Company invests in are generally deemed in default upon the non-payment of a single interest payment or as a result of the violation of a covenant in the respective corporate loan agreement. The Company charges-off a portion or all of its amortized cost basis in a corporate loan when it determines that it is uncollectible due to either: (i) the estimation based on a recovery value analysis of a defaulted corporate loan that less than the amortized cost amount will be recovered through the agreed upon restructuring of the corporate loan or as a result of a bankruptcy process of the issuer of the corporate loan; or (ii) the determination by the Company to transfer a corporate loan to held for sale with the corporate loan having an estimated fair value below the amortized cost basis of the corporate loan.
Allowance for Loan Losses	'
	Allowance for Loan Losses
	The Company’s corporate loan portfolio is comprised of a single portfolio segment which includes one class of financing receivables, that is, high yield loans that are typically purchased via assignment or participation in either the primary or secondary market and are held primarily for investment. High yield loans are generally characterized as having below investment grade ratings or being unrated.
	The Company’s allowance for loan losses represents its estimate of probable credit losses inherent in its corporate loan portfolio held for investment as of the balance sheet date. Estimating the Company’s allowance for loan losses involves a high degree of management judgment and is based upon a comprehensive review of the Company’s corporate loan portfolio that is performed on a quarterly basis. The Company’s allowance for loan losses consists of two components, an allocated component and an unallocated component. The allocated component of the allowance for loan losses pertains to specific corporate loans that the Company has determined are impaired. The Company determines a corporate loan is impaired when management estimates that it is probable that the Company will be unable to collect all amounts due according to the contractual terms of the corporate loan agreement. On a quarterly basis the Company performs a comprehensive review of its entire corporate loan portfolio and identifies certain corporate loans that it has determined are impaired. Once a corporate loan is identified as being impaired, the Company places the corporate loan on non-accrual status, unless the corporate loan is already on non-accrual status, and records an allowance that reflects management’s best estimate of the loss that the Company expects to recognize from the corporate loan. The expected loss is estimated as being the difference between the Company’s current cost basis of the corporate loan, including accrued interest receivable, and the present value of expected future cash flows discounted at the corporate loan’s effective interest rate, except as a practical expedient, the corporate loan’s observable estimated fair value may be used. The Company also estimates the probable credit losses inherent in its unfunded loan commitments as of the balance sheet date. Any credit loss reserve for unfunded loan commitments is recorded in accounts payable, accrued expenses and other liabilities on the Company’s condensed consolidated balance sheets.
	The unallocated component of the Company’s allowance for loan losses represents its estimate of probable losses inherent in the corporate loan portfolio as of the balance sheet date where the specific loan that the loan loss relates to is indeterminable. The Company estimates the unallocated component of the allowance for loan losses through a comprehensive review of its corporate loan portfolio and identifies certain corporate loans that demonstrate possible indicators of impairment, including internally assigned credit quality indicators. This assessment excludes all corporate loans that are determined to be impaired and as a result, an allocated reserve has been recorded as described in the preceding paragraph. Such indicators include the current and/or forecasted financial performance, liquidity profile of the issuer, specific industry or economic conditions that may impact the issuer, and the observable trading price of the corporate loan if available. All corporate loans are first categorized based on their assigned risk grade and further stratified based on the seniority of the corporate loan in the issuer’s capital structure. The seniority classifications assigned to corporate loans are senior secured, second lien and subordinate. Senior secured consists of corporate loans that are the most senior debt in an issuer’s capital structure and therefore have a lower estimated loss severity than other debt that is subordinate to the senior secured loan. Senior secured corporate loans often have a first lien on some or all of the issuer’s assets. Second lien consists of corporate loans that are secured by a second lien interest on some or all of the issuer’s assets; however, the corporate loan is subordinate to the first lien debt in the issuer’s capital structure. Subordinate consists of corporate loans that are generally unsecured and subordinate to other debt in the issuer’s capital structure.
	There are three internally assigned risk grades that are applied to loans that have not been identified as being impaired: high, moderate and low. High risk means that there is evidence of possible loss due to the current and/or forecasted financial performance, liquidity profile of the issuer, specific industry or economic conditions that may impact the issuer, observable trading price of the corporate loan if available, or other factors that indicate that the breach of a covenant contained in the related loan agreement is possible. Moderate risk means that while there is not observable evidence of possible loss, there are issuer and/or industry specific trends that indicate a loss may have occurred. Low risk means that while there is no identified evidence of loss, there is the risk of loss inherent in the loan that has not been identified. All loans held for investment, with the exception of loans that have been identified as impaired, are assigned a risk grade of high, moderate or low.
	The Company applies a range of default and loss severity estimates in order to estimate a range of loss outcomes upon which to base its estimate of probable losses that results in the determination of the unallocated component of the Company’s allowance for loan losses.
Corporate Loans Held for Sale	'
	Corporate Loans Held for Sale
	From time to time the Company makes the determination to transfer certain of its corporate loans from held for investment to held for sale. The decision to transfer a loan to held for sale is generally as a result of the Company determining that the respective loan’s credit quality in relation to the loan’s expected risk-adjusted return no longer meets the Company’s investment objective and/or the Company deciding to reduce or eliminate its exposure to a particular loan for risk management purposes. Corporate loans held for sale are stated at lower of cost or estimated fair value and are assessed on an individual basis. Prior to transferring a loan to held for sale, any difference between the carrying amount of the loan and its outstanding principal balance is recognized as an adjustment to the yield by the effective interest method. The loan is transferred from held for investment to held for sale at the lower of its cost or estimated fair value and is carried at the lower of its cost or estimated fair value thereafter. Subsequent to transfer and while the loan is held for sale, recognition as an adjustment to yield by the effective interest method is discontinued for any difference between the carrying amount of the loan and its outstanding principal balance.
	From time to time the Company also makes the determination to transfer certain of its corporate loans from held for sale back to held for investment. The decision to transfer a loan back to held for investment is generally as a result of the circumstances that led to the initial transfer to held for sale no longer being present. Such circumstances may include deteriorated market conditions often resulting in price depreciation or assets becoming illiquid, changes in restrictions on sales and certain loans amending their terms to extend the maturity, whereby the Company determined that selling the asset no longer met its investment objective and strategy. The loan is transferred from held for sale back to held for investment at the lower of its cost or estimated fair value, whereby a new cost basis is established based on this amount.
	Interest income on corporate loans held for sale is recognized through accrual of the stated coupon rate for the loans, unless the loans are placed on non-accrual status, at which point previously recognized accrued interest is reversed if it is determined that such amounts are not collectible and interest income is recognized using either the cost-recovery method or on a cash-basis.
Corporate Loans, at Estimated Fair Value	'
	Corporate Loans, at Estimated Fair Value
	The Company has elected the fair value option of accounting for certain corporate loans for the purpose of enhancing the transparency of its financial condition as fair value is consistent with how the Company manages the risks of these corporate loans. Corporate loans carried at estimated fair value are included within corporate loans, net on the condensed consolidated balance sheets with unrealized gains and losses reported in net realized and unrealized gain on investments in the condensed consolidated statement of operations.
Oil and Natural Gas Properties	'
	Oil and Natural Gas Properties
	Oil and natural gas producing activities are accounted for under the successful efforts method of accounting. Under this method, exploration costs, other than the costs of drilling exploratory wells, are charged to expense as incurred. Costs that are associated with the drilling of successful exploration wells are capitalized if proved reserves are found. Lease acquisition costs are capitalized when incurred. Costs associated with the drilling of exploratory wells that do not find proved reserves, geological and geophysical costs and costs of certain nonproducing leasehold costs are expensed as incurred.
	Expenditures for repairs and maintenance, including workovers, are charged to expense as incurred.
	The capitalized costs of producing oil and natural gas properties are depleted on a field-by-field basis using the units-of production method based on the ratio of current production to estimated total net proved oil, natural gas and NGL reserves. Proved developed reserves are used in computing depletion rates for drilling and development costs and total proved reserves are used for depletion rates of leasehold costs.
	Estimated dismantlement and abandonment costs for oil and natural gas properties, net of salvage value, are capitalized at their estimated net present value and amortized on a unit-of-production basis over the remaining life of the related proved developed reserves.
Oil And Gas Revenue Recognition	'
	Oil and Gas Revenue Recognition
	Oil, natural gas and NGL revenues are recognized when production is sold to a purchaser at fixed or determinable prices, when delivery has occurred and title has transferred and collectability of the revenue is reasonably assured. The Company follows the sales method of accounting for natural gas revenues. Under this method of accounting, revenues are recognized based on volumes sold, which may differ from the volume to which the Company is entitled based on the Company’s working interest. An imbalance is recognized as a liability only when the estimated remaining reserves will not be sufficient to enable the under-produced owners to recoup their entitled share through future production. Under the sales method, no receivables are recorded when the Company has taken less than its share of production and no payables are recorded when the Company has taken more than its share of production.
Long-Lived Assets	'
	Long-Lived Assets
	Whenever events or changes in circumstances indicate that the carrying amounts of such properties may not be recoverable, the Company evaluates its proved oil and natural gas properties and related equipment and facilities for impairment on a field-by-field basis. The determination of recoverability is made based upon estimated undiscounted future net cash flows. The amount of impairment loss, if any, is determined by comparing the fair value, as determined by a discounted cash flow analysis, with the carrying value of the related asset. The factors used to determine fair value include, but are not limited to, estimates of proved reserves, future commodity pricing, future production estimates, anticipated capital expenditures, future operating costs and a discount rate commensurate with the risk on the properties and cost of capital. Unproved oil and natural gas properties are assessed periodically and, at a minimum, annually on a property-by-property basis, and any impairment in value is recognized when incurred.
Borrowings	'
	Borrowings
	The Company finances the majority of its investments through the use of secured borrowings in the form of securitization transactions structured as non-recourse secured financings and other secured and unsecured borrowings. In addition, the Company finances certain of its oil and gas asset acquisitions through borrowings. The Company recognizes interest expense on all borrowings on an accrual basis.
Trust Preferred Securities	'
	Trust Preferred Securities
	Trusts formed by the Company for the sole purpose of issuing trust preferred securities are not consolidated by the Company as the Company has determined that it is not the primary beneficiary of such trusts. The Company’s investment in the common securities of such trusts is included within other assets on the condensed consolidated balance sheets.
Preferred Shares	'
	Preferred Shares
	Distributions on the Company’s Series A LLC Preferred Shares are cumulative and payable quarterly when and if declared by the Company’s board of directors at a 7.375% rate per annum. The Company accrues for the distribution upon declaration and is included within accounts payable, accrued expenses and other liabilities on the condensed consolidated balance sheets.
Derivative Instruments	'
	Derivative Instruments
	The Company recognizes all derivatives on the condensed consolidated balance sheet at estimated fair value. On the date the Company enters into a derivative contract, the Company designates and documents each derivative contract as one of the following at the time the contract is executed: (i) a hedge of a recognized asset or liability (“fair value” hedge); (ii) a hedge of a forecasted transaction or of the variability of cash flows to be received or paid related to a recognized asset or liability (“cash flow” hedge); (iii) a hedge of a net investment in a foreign operation; or (iv) a derivative instrument not designated as a hedging instrument (“free-standing derivative”). For a fair value hedge, the Company records changes in the estimated fair value of the derivative instrument and, to the extent that it is effective, changes in the fair value of the hedged asset or liability in the current period earnings in the same financial statement category as the hedged item. For a cash flow hedge, the Company records changes in the estimated fair value of the derivative to the extent that it is effective in accumulated other comprehensive loss and subsequently reclassifies these changes in estimated fair value to net income in the same period(s) that the hedged transaction affects earnings. The effective portion of the cash flow hedges is recorded in the same financial statement category as the hedged item. For free-standing derivatives, the Company reports changes in the fair values in net realized and unrealized loss on derivatives and foreign exchange on the condensed consolidated statements of operations.
	The Company formally documents at inception its hedge relationships, including identification of the hedging instruments and the hedged items, its risk management objectives, strategy for undertaking the hedge transaction and the Company’s evaluation of effectiveness of its hedged transactions. Periodically, the Company also formally assesses whether the derivative it designated in each hedging relationship is expected to be and has been highly effective in offsetting changes in estimated fair values or cash flows of the hedged item using either the dollar offset or the regression analysis method. If the Company determines that a derivative is not highly effective as a hedge, it discontinues hedge accounting.
Foreign Currency	'
	Foreign Currency
	The Company makes investments in non-United States dollar denominated assets including securities, loans, equity investments, at estimated fair value and interests in joint ventures and partnerships. As a result, the Company is subject to the risk of fluctuation in the exchange rate between the United States dollar and the foreign currency in which it makes an investment. In order to reduce the currency risk, the Company may hedge the applicable foreign currency. All investments denominated in a foreign currency are converted to the United States dollar using prevailing exchange rates on the balance sheet date.
	Income, expenses, gains and losses on investments denominated in a foreign currency are converted to the United States dollar using the prevailing exchange rates on the dates when they are recorded. Foreign exchange gains and losses are recorded in net realized and unrealized loss on derivatives and foreign exchange on the condensed consolidated statements of operations.
Manager Compensation	'
	Manager Compensation
	The Management Agreement provides for the payment of a base management fee to the Manager, as well as an incentive fee if the Company’s financial performance exceeds certain benchmarks. Additionally, the Management Agreement provides for the Manager to be reimbursed for certain expenses incurred on the Company’s behalf. The base management fee and the incentive fee are accrued and expensed during the period for which they are earned by the Manager.
Share-Based Compensation	'
	Share-Based Compensation
	The Company accounts for share-based compensation issued to its directors and to its Manager using the fair value based methodology in accordance with relevant accounting guidance. Compensation cost related to restricted common shares issued to the Company’s directors is measured at its estimated fair value at the grant date, and is amortized and expensed over the vesting period on a straight-line basis. Compensation cost related to restricted common shares and common share options issued to the Manager is initially measured at estimated fair value at the grant date, and is remeasured on subsequent dates to the extent the awards are unvested. The Company has elected to use the graded vesting attribution method to amortize compensation expense for the restricted common shares and common share options granted to the Manager.
Income Taxes	'
	Income Taxes
	The Company intends to continue to operate so as to qualify, for United States federal income tax purposes, as a partnership and not as an association or publicly traded partnership taxable as a corporation. Therefore, the Company generally is not subject to United States federal income tax at the entity level, but is subject to limited state and foreign taxes. Holders of the Company’s common and preferred shares will be required to take into account their allocable share of each item of the Company’s income, gain, loss, deduction, and credit that is allocated to such class of shares for the taxable year of the Company ending within or with their taxable year.
	The Company owns equity interests in entities that have elected or intend to elect to be taxed as a real estate investment trust (a “REIT”) under the Internal Revenue Code of 1986, as amended (the “Code”). A REIT generally is not subject to United States federal income tax to the extent that it currently distributes its income and satisfies certain asset, income and ownership tests, and recordkeeping requirements, but it may be subject to some amount of federal, state, local and foreign taxes based on its taxable income.
	The Company has wholly-owned domestic and foreign subsidiaries that are taxable as corporations for United States federal income tax purposes and thus are not consolidated with the Company for United States federal income tax purposes. For financial reporting purposes, current and deferred taxes are provided for on the portion of earnings recognized by the Company with respect to its interest in the domestic taxable corporate subsidiaries, because each is taxed as a regular corporation under the Code. Deferred income tax assets and liabilities are computed based on temporary differences between the GAAP consolidated financial statements and the United States federal income tax basis of assets and liabilities as of each consolidated balance sheet date. The foreign corporate subsidiaries were formed to make certain foreign and domestic investments from time to time. The foreign corporate subsidiaries are organized as exempted companies incorporated with limited liability under the laws of the Cayman Islands, and are anticipated to be exempt from United States federal and state income tax at the corporate entity level because they restrict their activities in the United States to trading in stock and securities for their own account. However, the Company will be required to include their current taxable income in the Company’s calculation of its taxable income allocable to shareholders.
	The Company must recognize the tax impact from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. The tax impact recognized in the financial statements from such a position is measured based on the largest benefit that has a greater than 50% likelihood of being realized upon ultimate resolution. Penalties and interest related to uncertain tax positions are recorded as tax expense. Significant judgment is required in the identification of uncertain tax positions and in the estimation of penalties and interest on uncertain tax positions. If it is determined that recognition for an uncertain tax provision is necessary, the Company would record a liability for an unrecognized tax expense from an uncertain tax position taken or expected to be taken.
Earnings Per Common Share	'
	Earnings Per Common Share
	The Company presents both basic and diluted earnings per common share (“EPS”) in its condensed consolidated financial statements and footnotes thereto. Basic earnings per common share (“Basic EPS”) excludes dilution and is computed by dividing net income or loss available to common shareholders by the weighted average number of common shares, including vested restricted common shares, outstanding for the period. The Company calculates EPS using the more dilutive of the two-class method or the if-converted method. The two-class method is an earnings allocation formula that determines EPS for common shares and participating securities. Unvested share-based payment awards that contain non-forfeitable rights to dividends or dividend equivalents (whether paid or unpaid) are participating securities and shall be included in the computation of EPS using the two-class method. Accordingly, all earnings (distributed and undistributed) are allocated to common shares, preferred shares and participating securities based on their respective rights to receive dividends. Diluted earnings per common share (“Diluted EPS”) reflects the potential dilution of common share options and unvested restricted common shares using the treasury method or if-converted method.

EARNINGS_PER_COMMON_SHARE_Tabl

EARNINGS PER COMMON SHARE (Tables)	3 Months Ended
	Mar. 31, 2014
EARNINGS PER COMMON SHARE	'
Schedule of reconciliation of basic and diluted net income per common share	'
	The following table presents a reconciliation of basic and diluted net income per common share for the three months ended March 31, 2014 and 2013 (amounts in thousands, except per share information):
		Three months ended		Three months ended
		March 31, 2014		March 31, 2013
	Net income	$	108,183	$	98,336
	Less: Preferred share distributions	6,891		6,738
	Net income available to common shareholders	$	101,292	$	91,598
	Less: Dividends and undistributed earnings allocated to participating securities	309		338
	Net income allocated to common shareholders	$	100,983	$	91,260
	Basic:
	Basic weighted average common shares outstanding	204,236		197,153
	Net income per common share	$	0.49	$	0.46
	Diluted:
	Diluted weighted average common shares outstanding(1)	204,236		197,153
	Net income per common share	$	0.49	$	0.46
	(1)                                 Potential anti-dilutive common shares excluded from diluted earnings per share related to common share options were 1,932,279 for the three months ended March 31, 2014 and 2013.

SECURITIES_Tables

SECURITIES (Tables)	3 Months Ended
	Mar. 31, 2014
SECURITIES	'
Summary of the company's securities which are carried at estimated fair value	'
	The following table summarizes the Company’s securities as of March 31, 2014, which are carried at estimated fair value (amounts in thousands):
		March 31, 2014
		Amortized		Gross			Gross			Estimated
		Cost		Unrealized			Unrealized			Fair
				Gains			Losses			Value
	Securities available-for-sale	$	335,585	$	22,397		$	(719	)	$	357,263
	Other securities, at estimated fair value(1)	133,287		9,001			(547		)	141,741
	Residential mortgage-backed securities, at estimated fair value(1)	107,189		767			(49,203		)	58,753
	Total securities	$	576,061	$	32,165		$	(50,469	)	$	557,757
	(1)                                 Unrealized gains and losses presented represent amounts as of period-end. Unrealized gains and losses recognized during the year for these securities are recorded in earnings.
	The following table summarizes the Company’s securities as of December 31, 2013, which are carried at estimated fair value (amounts in thousands):
		December 31, 2013
		Amortized		Gross			Gross			Estimated
		Cost		Unrealized			Unrealized			Fair
				Gains			Losses			Value
	Securities available-for-sale	$	326,775	$	24,791		$	(1,225	)	$	350,341
	Other securities, at estimated fair value(1)	135,968		12,436			(1,437		)	146,967
	Residential mortgage-backed securities, at estimated fair value(1)	138,284		2,809			(65,089		)	76,004
	Total securities	$	601,027	$	40,036		$	(67,751	)	$	573,312
	(1)                                 Unrealized gains and losses presented represent amounts as of period-end. Unrealized gains and losses recognized during the year for these securities are recorded in earnings.
Schedule of gross unrealized losses and estimated fair value of securities classified as available-for-sale aggregated by length of time the securities have been in a continuous unrealized loss position	'
	The following table shows the gross unrealized losses and estimated fair value of the Company’s available-for-sale securities, aggregated by length of time that the individual securities have been in a continuous unrealized loss position as of March 31, 2014 and December 31, 2013 (amounts in thousands):
		Less Than 12 months					12 Months or More						Total
		Estimated		Unrealized			Estimated			Unrealized			Estimated		Unrealized
		Fair Value		Losses			Fair Value			Losses			Fair Value		Losses
	March 31, 2014
	Securities available-for-sale	$	28,480	$	(533	)	$	30,417		$	(186	)	$	58,897	$	(719	)
	December 31, 2013
	Securities available-for-sale	$	25,543	$	(658	)	$	30,034		$	(567	)	$	55,577	$	(1,225	)
Schedule of net realized gains on the sales of available-for-sale securities	'
	The following table shows the net realized gains on the sales of securities available-for-sale (amounts in thousands):
		For the three		For the three
		months ended		months ended
		March 31, 2014		March 31, 2013
	Gross realized gains	$	—	$	2,150
	Gross realized losses	—		—
	Net realized gains	$	—	$	2,150
Schedule of estimated fair value of securities pledged as collateral	'
	The following table summarizes the estimated fair value of securities pledged as collateral as of March 31, 2014 and December 31, 2013 (amounts in thousands):
		As of		As of
		March 31, 2014		December 31, 2013
	Pledged as collateral for collateralized loan obligation secured debt	$	332,268	$	324,830
	Total	$	332,268	$	324,830

CORPORATE_LOANS_AND_ALLOWANCE_1

CORPORATE LOANS AND ALLOWANCE FOR LOAN LOSSES (Tables)	3 Months Ended
	Mar. 31, 2014
CORPORATE LOANS AND ALLOWANCE FOR LOAN LOSSES	'
Schedule of corporate loans	'
	The following table summarizes the Company’s corporate loans as of March 31, 2014 (amounts in thousands):
		March 31, 2014
		Corporate			Corporate Loans			Corporate Loans, at			Total
		Loans Held			Held for Sale			Estimated Fair Value			Corporate Loans
		for Investment
	Principal(1)	$	5,770,433		$	541,431		$	255,712		$	6,567,576
	Net unamortized discount	(88,774		)	(23,218		)	(36,275		)	(148,267		)
	Total amortized cost	5,681,659			518,213			219,437			6,419,309
	Lower of cost or fair value adjustment	—			(7,526		)	—			(7,526		)
	Allowance for loan losses	(223,541		)	—			—			(223,541		)
	Unrealized gains	—			—			14,490			14,490
	Net carrying value	$	5,458,118		$	510,687		$	233,927		$	6,202,732
	(1)         Principal amounts of corporate loans and corporate loans held for sale are net of cumulative charge-offs and other adjustments totaling $15.7 million as of March 31, 2014.
	The following table summarizes the Company’s corporate loans as of December 31, 2013 (amounts in thousands):
		December 31, 2013
		Corporate			Corporate Loans			Corporate Loans, at			Total
		Loans Held			Held for Sale			Estimated Fair Value			Corporate Loans
		for Investment
	Principal(1)	$	6,280,470		$	315,738		$	277,458		$	6,873,666
	Net unamortized discount	(105,979		)	(20,070		)	(54,997		)	(181,046		)
	Total amortized cost	6,174,491			295,668			222,461			6,692,620
	Lower of cost or fair value adjustment	—			(15,920		)	—			(15,920		)
	Allowance for loan losses	(224,999		)	—			—			(224,999		)
	Unrealized gains	—			—			15,019			15,019
	Net carrying value	$	5,949,492		$	279,748		$	237,480		$	6,466,720
	(1)                                 Principal amounts of corporate loans and corporate loans held for sale are net of cumulative charge-offs and other adjustments totaling $18.1 million as of December 31, 2013.
Schedule of changes in the allowance for loan losses	'
	The following table summarizes the changes in the allowance for loan losses for the Company’s corporate loan portfolio during the three months ended March 31, 2014 and 2013 (amounts in thousands):
		For the three			For the three
		months ended			months ended
		March 31, 2014			March 31, 2013
	Allowance for loan losses:
	Beginning balance	$	224,999		$	223,472
	Provision for loan losses	—			11,068
	Charge-offs	(1,458		)	(28,313		)
	Ending balance	$	223,541		$	206,227
Schedule of ending balances of allowances for loan losses by basis of impairment method	'
	The following table summarizes the ending balances of the allowance and corporate loans portfolio by basis of impairment method as of March 31, 2014 and December 31, 2013 (amounts in thousands):
		March 31, 2014			December 31, 2013
	Allowance for loan losses:
	Ending balance: individually evaluated for impairment	$	113,655		$	142,682
	Ending balance: collectively evaluated for impairment	109,886			82,317
		$	223,541		$	224,999
	Corporate loans (recorded investment)(1):
	Ending balance: individually evaluated for impairment	$	397,580		$	554,442
	Ending balance: collectively evaluated for impairment	5,300,784			5,638,790
		$	5,698,364		$	6,193,232
	(1)         Recorded investment is defined as amortized cost plus accrued interest.
Schedule of investment and unpaid principal balance in impaired loans, as well as the related allowance for credit losses	'
	The following table summarizes the Company’s recorded investment and unpaid principal balance in impaired loans, as well as the related allowance for credit losses as of March 31, 2014 and December 31, 2013 (amounts in thousands):
		March 31, 2014									December 31, 2013
		Recorded			Unpaid			Related			Recorded			Unpaid			Related
		Investment(1)			Principal			Allowance			Investment(1)			Principal			Allowance
					Balance									Balance
	With no related allowance recorded	$	—		$	—		$	—		$	—		$	—		$	—
	With an allowance recorded	397,580			422,624			113,655			554,442			594,416			142,682
	Total	$	397,580		$	422,624		$	113,655		$	554,442		$	594,416		$	142,682
	(1)         Recorded investment is defined as amortized cost plus accrued interest.
Schedule of average recorded investment in impaired loans and interest income recognized	'
	The following table summarizes the Company’s average recorded investment in impaired loans and interest income recognized for the three months ended March 31, 2014 and 2013 (amounts in thousands):
		For the three months ended						For the three months ended
		March 31, 2014						March 31, 2013
		Average			Interest			Average			Interest
		Recorded			Income			Recorded			Income
		Investment(1)			Recognized			Investment(1)			Recognized
	With no related allowance recorded	$	—		$	—		$	3,245		$	—
	With an allowance recorded	476,011			3,543			480,534			4,274
	Total	$	476,011		$	3,543		$	483,779		$	4,274
	(1)         Recorded investment is defined as amortized cost plus accrued interest.
Schedule of recorded investment in non-accrual loans	'
	The following table summarizes the Company’s recorded investment in non-accrual loans as of March 31, 2014 and December 31, 2013 (amounts in thousands):
		March 31, 2014			December 31, 2013
	Loans held for investment	$	397,580		$	554,442
	Loans held for sale	44,780			44,823
	Loans at estimated fair value	13,025			24,883
	Total non-accrual loans	$	455,385		$	624,148
Schedule of recorded investment in corporate loans by internally assigned grades	'
	The following table summarizes how the Company determines internally assigned grades related to credit quality based on a combination of concern as to probability of default and the seniority of the loan in the issuer’s capital structure as of March 31, 2014 and December 31, 2013 (amounts in thousands):
	Internally Assigned Grade	Capital Hierarchy		Recorded Investment			Recorded Investment
				March 31, 2014 (1)			December 31, 2013 (1)
	High	Senior Secured Loan		$	—		$	26,886
		Second Lien Loan		—			286,996
		Subordinated		—			11,643
				$	—		$	325,525
	Moderate	Senior Secured Loan		$	1,146,308		$	1,033,065
		Second Lien Loan		—			27,504
		Subordinated		41,025			39,329
				$	1,187,333		$	1,099,898
	Low	Senior Secured Loan		$	4,041,984		$	4,148,913
		Second Lien Loan		25,871			25,864
		Subordinated		45,596			38,590
				$	4,113,451		$	4,213,367
		Total Unallocated		$	5,300,784		$	5,638,790
		Total Allocated		397,580			554,442
		Total Loans Held for Investment		$	5,698,364		$	6,193,232
	(1)         Recorded investment is defined as amortized cost plus accrued interest.
Schedule of loans by class modified as troubled debt restructurings	'
	The following table presents the aggregate balance of loans whose terms have been modified in a TDR during the three months ended March 31, 2014 and 2013 (dollar amounts in thousands):
		Three months ended								Three months ended
		March 31, 2014								March 31, 2013
		Number		Pre-modification			Post-modification			Number		Pre-modification			Post-modification
		of TDRs		outstanding			outstanding recorded			of TDRs		outstanding			outstanding recorded
				recorded			investment(1)(2)					recorded			investment(1)(3)
				investment(1)								investment(1)
	Troubled debt restructurings:
	Loans held for investment	1		$	154,075		$	—		2		$	68,358		$	39,430
	Loans at estimated fair value	2		41,347			24,571			1		1,670			1,229
	Total			$	195,422		$	24,571				$	70,028		$	40,659
	(1)                                 Recorded investment is defined as amortized cost plus accrued interest.
	(2)                                 Excludes equity securities received from the loans held for investment and/or loans at estimated fair value TDRs with an estimated fair value of $92.0 million and $12.3 million, from the two issuers, respectively.
	(3)                                 Excludes equity securities received from the loans held for investment TDRs with an estimated fair value of $2.1 million.
Schedule of amortized cost of corporate loans pledged as collateral	'
	The following table summarizes the amortized cost of corporate loans pledged as collateral as of March 31, 2014 and December 31, 2013 (amounts in thousands):
		As of			As of
		March 31, 2014			December 31, 2013
	Pledged as collateral for collateralized loan obligation secured debt	$	6,095,904		$	6,231,541
	Total	$	6,095,904		$	6,231,541

NATURAL_RESOURCES_ASSETS_Table

NATURAL RESOURCES ASSETS (Tables)	3 Months Ended
	Mar. 31, 2014
NATURAL RESOURCES ASSETS	'
Summary of the company's oil and gas properties	'
	The following table summarizes the Company’s oil and gas properties as of March 31, 2014 and December 31, 2013 (amounts in thousands):
		As of			As of
		March 31, 2014			December 31, 2013
	Proved oil and natural gas properties (successful efforts method)	$	494,673		$	451,909
	Unproved oil and natural gas properties	16,913			16,913
	Less: Accumulated depreciation, depletion and amortization	(83,914		)	(68,453		)
	Oil and gas properties, net	$	427,672		$	400,369

BORROWINGS_Tables

BORROWINGS (Tables)	3 Months Ended
	Mar. 31, 2014
BORROWINGS	'
Schedule of Company's borrowings	'
	Certain information with respect to the Company’s borrowings as of March 31, 2014 is summarized in the following table (dollar amounts in thousands):
		Outstanding		Weighted		Weighted	Collateral(1)
		Borrowings		Average		Average
				Borrowing		Remaining
				Rate		Maturity
						(in days)
	CLO 2005-1 senior secured notes	$	175,023	0.76	%	1,122	$	280,653
	CLO 2005-2 senior secured notes	325,453		0.63		1,336	452,302
	CLO 2006-1 senior secured notes	371,782		0.69		1,608	569,034
	CLO 2007-1 senior secured notes	2,075,040		0.79		2,602	2,374,552
	CLO 2007-1 mezzanine notes	429,185		3.73		2,602	491,131
	CLO 2007-1 subordinated notes(2)	136,097		12.77		2,602	155,743
	CLO 2007-A senior secured notes	416,203		1.58		1,294	415,856
	CLO 2007-A mezzanine notes	115,569		7.59		1,294	115,473
	CLO 2007-A subordinated notes(2)	15,096		18.14		1,294	15,083
	CLO 2011-1 senior debt	491,265		1.58		1,598	580,256
	CLO 2012-1 senior secured notes	362,836		2.33		3,912	354,926
	CLO 2012-1 subordinated notes(2)	18,000		19.25		3,912	17,608
	CLO 2013-1 senior secured notes	449,606		1.97		4,124	460,899
	CLO 2013-2 senior secured notes	330,730		2.22		4,316	150,246
	Total collateralized loan obligation secured debt	5,711,885					6,433,762
	Senior secured credit facility	—		2.48		609	—
	2015 Asset-based borrowing facility	49,889		2.4		584	212,249
	2018 Asset-based borrowing facility(3)	—		—		1,429	—
	Total credit facilities	49,889					212,249
	8.375% Senior notes	250,817		8.38		10,091	—
	7.500% Senior notes	111,485		7.5		10,216	—
	Junior subordinated notes	283,517		5.39		8,224	—
	Total borrowings	$	6,407,593				$	6,646,011
	(1)                                 Collateral for borrowings consists of the estimated fair value of certain corporate loans, securities available-for-sale and equity investments at estimated fair value. Also includes the carrying value of oil and gas assets. For purposes of this table, collateral for CLO senior, mezzanine and subordinated notes are calculated pro rata based on the outstanding borrowings for each respective CLO.
	(2)                                 Subordinated notes do not have a contractual coupon rate, but instead receive a pro rata amount of the net distributions from each respective CLO. Accordingly, weighted average borrowing rates for the subordinated notes were calculated based on year-to-date estimated distributions, if any.
	(3)                             Borrowing rates range from 1.75% to 3.25% plus London interbank offered rate (“LIBOR”) per annum based on the amount outstanding.
	Certain information with respect to the Company’s borrowings as of December 31, 2013 is summarized in the following table (dollar amounts in thousands):
		Outstanding		Weighted		Weighted	Collateral(1)
		Borrowings		Average		Average
				Borrowing		Remaining
				Rate		Maturity
						(in days)
	CLO 2005-1 senior secured notes	$	193,909	0.73		1,212	$	303,104
	CLO 2005-2 senior secured notes	335,570		0.63		1,426	496,917
	CLO 2006-1 senior secured notes	384,925		0.69		1,698	649,894
	CLO 2007-1 senior secured notes	2,075,040		0.79		2,692	2,354,938
	CLO 2007-1 mezzanine notes	406,428		3.65		2,692	461,250
	CLO 2007-1 subordinated notes(2)	136,097		18.15		2,692	154,456
	CLO 2007-A senior secured notes	428,152		1.57		1,384	540,677
	CLO 2007-A mezzanine notes	55,327		7.44		1,384	69,867
	CLO 2007-A subordinated notes(2)	15,096		42.22		1,384	19,063
	CLO 2011-1 senior debt	388,703		1.25		1,688	517,597
	CLO 2012-1 senior secured notes	362,727		2.34		4,002	376,603
	CLO 2012-1 subordinated notes(2)	18,000		11.67		4,002	18,689
	CLO 2013-1 senior secured notes	449,409		1.98		4,214	468,915
	Total collateralized loan obligation secured debt	5,249,383					6,431,970
	Senior secured credit facility(3)	75,000		1.39		699	—
	2015 Asset-based borrowing facility	50,289		2.42		674	213,935
	2018 Asset-based borrowing facility(4)	—		—		1,519	—
	Total credit facilities	125,289					213,935
	8.375% Senior notes	250,800		8.38		10,181	—
	7.500% Senior notes	111,476		7.5		10,306	—
	Junior subordinated notes	283,517		5.39		8,347	—
	Total borrowings	$	6,020,465				$	6,645,905
	(1)                                 Collateral for borrowings consists of the estimated fair value of certain corporate loans, securities available-for-sale and equity investments at estimated fair value. Also includes the carrying value of oil and gas assets. For purposes of this table, collateral for CLO senior, mezzanine and subordinated notes are calculated pro rata based on the outstanding borrowings for each respective CLO.
	(2)                                 Subordinated notes do not have a contractual coupon rate, but instead receive a pro rata amount of the net distributions from each respective CLO. Accordingly, weighted average borrowing rates for the subordinated notes were calculated based on year-to-date estimated distributions, if any.
	(3)                                 Capital stock of material domestic and foreign subsidiaries, as defined by the senior secured credit facility agreement, are eligible to be pledged as collateral. As of December 31, 2013, the total investments held within these eligible subsidiaries exceeded the amount of the outstanding debt.
(4)                                 Borrowing rates range from 1.75% to 3.25% plus London interbank offered rate (“LIBOR”) per annum based on the amount outstanding.

DERIVATIVE_INSTRUMENTS_Tables

DERIVATIVE INSTRUMENTS (Tables)	3 Months Ended
	Mar. 31, 2014
Derivative Instruments	'
Schedule of aggregate notional amount and estimated net fair value of the derivative instruments	'
	The table below summarizes the aggregate notional amount and estimated net fair value of the derivative instruments as of March 31, 2014 and December 31, 2013 (amounts in thousands):
		As of						As of
		March 31, 2014						December 31, 2013
		Notional			Estimated			Notional			Estimated
					Fair Value						Fair Value
	Cash Flow Hedges:
	Interest rate swaps	$	469,333		$	(45,752	)	$	478,333		$	(42,078	)
	Free-Standing Derivatives:
	Commodity swaps	—			(2,175		)	—			1,493
	Credit default swaps—protection purchased	—			—			(100,000		)	(2,019		)
	Foreign exchange forward contracts	(341,554		)	(25,161		)	(320,380		)	(25,258		)
	Foreign exchange options	129,900			8,128			129,900			8,941
	Common stock warrants	—			960			—			945
	Total rate of return swaps	—			(115		)	—			(229		)
	Options	—			6,292			—			6,794
	Total				$	(57,823	)				$	(51,411	)
Schedule of net (losses) gains recognized in accumulated other comprehensive loss related to derivatives in cash flow hedging relationships	'
	The following table presents the net (losses) gains recognized in other comprehensive loss related to derivatives in cash flow hedging relationships for the three months ended March 31, 2014 and 2013 (amounts in thousands):
		Three months ended			Three months ended
		March 31, 2014			March 31, 2013
	Net (losses) gains recognized in accumulated other comprehensive loss on cash flow hedges	$	(3,831	)	$	11,158
Schedule of open positions of derivative contracts on expected annual production volumes	'
	The following table summarizes open positions as of March 31, 2014, and represents, as of such date, derivatives in place through December 31, 2016, on expected annual production volumes:
		2014			2015			2016
	Natural gas positions:
	Fixed price swaps:
	Hedged volume (MMMBtu)	4,373			4,277			1,805
	Average price ($/MMBtu)	$	4.34		$	4.73		$	4.44
	Natural gas liquid positions:
	Fixed price swaps:
	Hedged volume (MBbls)	122			41			—
	Average price ($/Bbl)	$	31.26		$	42.39		$	—
	Oil positions:
	Fixed price swaps:
	Hedged volume (MBbls)	573			541			—
	Average price ($/Bbl)	$	92.35		$	88.4		$	—
Schedule of effect on income from free-standing derivatives by derivative instrument type	'
	The following table presents the amounts recorded in net realized and unrealized loss on derivatives and foreign exchange on the condensed consolidated statements of operations for the three months ended March 31, 2014 and 2013 (amounts in thousands):
		Three months ended March 31, 2014									Three months ended March 31, 2013
		Realized gains			Unrealized gains			Total			Realized gains			Unrealized gains			Total
		(losses)(1)			(losses)						(losses)(1)			(losses)
	Commodity swaps	$	(1,914	)	$	(3,667	)	$	(5,581	)	$	1,109		$	(6,109	)	$	(5,000	)
	Credit default swaps	(2,167		)	1,986			(181		)	(2,643		)	1,470			(1,173		)
	Foreign exchange forward contracts and options(2)	(450		)	68			(382		)	(911		)	(1,920		)	(2,831		)
	Common stock warrants	—			14			14			—			152			152
	Total rate of return swaps	(1,943		)	114			(1,829		)	—			—			—
	Options	—			(411		)	(411		)	—			—			—
	Net realized and unrealized losses	$	(6,474	)	$	(1,896	)	$	(8,370	)	$	(2,445	)	$	(6,407	)	$	(8,852	)
	(1)         Includes related income and expense on the derivatives.
	(2)         Net of foreign exchange remeasurement gain or loss on foreign denominated assets.

ACCUMULATED_OTHER_COMPREHENSIV1

ACCUMULATED OTHER COMPREHENSIVE LOSS (Tables)	3 Months Ended
	Mar. 31, 2014
ACCUMULATED OTHER COMPREHENSIVE LOSS	'
Schedule of components of changes in accumulated other comprehensive loss	'
	The components of changes in accumulated other comprehensive loss were as follows (amounts in thousands):
		Three months ended									Three months ended
		March 31, 2014(1)									March 31, 2013(1)
		Net unrealized			Net unrealized			Total			Net unrealized		Net unrealized			Total
		gains on			losses on cash						gains on		losses on cash
		available-for-sale			flow hedges						available-for-sale		flow hedges
		securities									securities
	Beginning balance	$	23,567		$	(39,219	)	$	(15,652	)	$	17,472	$	(87,698	)	$	(70,226	)
	Other comprehensive (loss) income before reclassifications	(303		)	(3,831		)	(4,134		)	2,412		11,158			13,570
	Amounts reclassified from accumulated other comprehensive loss(2)	(1,586		)	—			(1,586		)	3,113		—			3,113
	Net current-period other comprehensive (loss) income	(1,889		)	(3,831		)	(5,720		)	5,525		11,158			16,683
	Ending balance	$	21,678		$	(43,050	)	$	(21,372	)	$	22,997	$	(76,540	)	$	(53,543	)
	(1)         The Company’s gross and net of tax amounts are the same.
	(2)         Includes an impairment charge of $2.9 million and $5.9 million for investments which were determined to be other-than-temporary for the three months ended March 31, 2014 and 2013, respectively. These reclassified amounts are included in net realized and unrealized gain on investments on the condensed consolidated statements of operations.

SHAREHOLDERS_EQUITY_Tables

SHAREHOLDERS' EQUITY (Tables)	3 Months Ended
	Mar. 31, 2014
SHAREHOLDERS' EQUITY	'
Schedule of restricted common share transactions	'
		Manager		Directors		Total
	Unvested shares as January 1, 2014	584,634		85,194		669,828
	Issued	—		—		—
	Vested	(243,648	)	—		(243,648	)
	Forfeited	—		—		—
	Unvested shares as of March 31, 2014	340,986		85,194		426,180
Schedule of common share option transactions	'
		Number of		Weighted Average
		Options		Exercise Price
	Outstanding as of January 1, 2014	1,932,279		$	20
	Granted	—		—
	Exercised	—		—
	Forfeited	—		—
	Outstanding as of March 31, 2014	1,932,279		$	20
Schedule of share-based compensation expense	'
	For the three months ended March 31, 2014 and 2013, the components of share-based compensation expense are as follows (amounts in thousands):
		For the three			For the three
		months ended			months ended
		March 31, 2014			March 31, 2013
	Restricted common shares granted to Manager	$	577		$	719
	Restricted common shares granted to certain directors	264			261
	Total share-based compensation expense	$	841		$	980

MANAGEMENT_AGREEMENT_AND_RELAT1

MANAGEMENT AGREEMENT AND RELATED PARTY TRANSACTIONS (Tables)	3 Months Ended
	Mar. 31, 2014
Management Agreement and Related Party Transactions	'
Summary of components of related party management compensation	'
	The following table summarizes the components of related party management compensation on the Company’s condensed consolidated statements of operations, which are described in further detail below, for the three months ended March 31, 2014 and 2013 (amounts in thousands):
		For the three			For the three
		months ended			months ended
		March 31, 2014			March 31, 2013
	Base management fees, net	$	3,622		$	9,557
	CLO management fees	8,536			849
	Incentive fees	12,882			17,181
	Manager share-based compensation	577			719
	Total related party management compensation	$	25,617		$	28,306
Base Management Fees	'
Management Agreement and Related Party Transactions	'
Summary of components of related party management compensation	'
	The table below summarizes the aggregate base management fees for the three months ended March 31, 2014 and 2013 (amounts in thousands):
		For the three			For the three
		months ended			months ended
		March 31, 2014			March 31, 2013
	Base management fees, gross	$	9,992		$	9,557
	CLO management fees credit(1)	(6,370		)	—
	Total base management fees, net	$	3,622		$	9,557
	(1)         See “CLO Management Fees” for further discussion.
CLO Management Fees	'
Management Agreement and Related Party Transactions	'
Summary of components of related party management compensation	'
	The table below summarizes the aggregate CLO management fees, including the Fee Credits, for the three months ended March 31, 2014 and 2013 (amounts in thousands):
		For the three			For the three
		months ended			months ended
		March 31, 2014			March 31, 2013
	Charged and retained CLO management fees (1)	$	2,166		$	849
	CLO management fees credit	6,370			—
	Total CLO management fees	$	8,536		$	849
	(1)         Represents management fees incurred by the senior and subordinated note holders of a CLO, excluding the Fee Credits received by the Company based on its ownership percentage in the CLO.

FAIR_VALUE_OF_FINANCIAL_INSTRU1

FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables)	3 Months Ended
	Mar. 31, 2014
FAIR VALUE OF FINANCIAL INSTRUMENTS	'
Schedule of carrying value and estimated fair value, as well as the respective hierarchy classifications, of the financial assets and liabilities that are not carried at estimated fair value	'
	The following table presents the carrying value and estimated fair value, as well as the respective hierarchy classifications, of the Company’s financial assets and liabilities that are not carried at estimated fair value on a recurring basis as of March 31, 2014 (amounts in thousands):
		As of March 31, 2014						Fair Value Hierarchy
		Carrying			Estimated			Quoted Prices in			Significant Other			Significant
		Amount			Fair Value			Active Markets			Observable			Unobservable
								for Identical			Inputs (Level 2)			Inputs
								Assets (Level 1)						(Level 3)
	Assets:
	Cash, restricted cash, and cash equivalents	$	1,020,733		$	1,020,733		$	1,020,733		$	—		$	—
	Corporate loans, net of allowance for loan losses of $223,541 as of March 31, 2014(1)	5,458,118			5,603,855			—			5,484,290			119,565
	Corporate loans held for sale(1)	510,687			516,543			—			489,351			27,192
	Private equity investments, at cost(2)	405			5,695			—			—			5,695
	Other assets	5,775			5,330			—			5,330			—
	Liabilities:
	Collateralized loan obligation secured debt	$	5,711,885		$	5,657,936		$	—		$	—		$	5,657,936
	Credit facilities	49,889			49,889			—			—			49,889
	Senior notes	362,302			410,700			410,700			—			—
	Junior subordinated notes	283,517			249,241			—			—			249,241
	(1)                                 Corporate loans held for investment are carried at amortized cost net of allowance for loan losses, while corporate loans held for sale are carried at the lower of cost or estimated fair value. Refer to “Fair Value Measurements” for a table presenting the corporate loans which are measured at fair value on a non-recurring basis.
	(2)                                 Included within other assets on the condensed consolidated balance sheets.
	The following table presents the carrying value and estimated fair value, as well as the respective hierarchy classifications, of the Company’s financial assets and liabilities that are not carried at estimated fair value on a recurring basis as of December 31, 2013 (amounts in thousands):
		As of December 31, 2013						Fair Value Hierarchy
		Carrying			Estimated			Quoted Prices in			Significant Other			Significant
		Amount			Fair Value			Active Markets			Observable			Unobservable
								for Identical			Inputs (Level 2)			Inputs
								Assets (Level 1)						(Level 3)
	Assets:
	Cash, restricted cash, and cash equivalents	$	507,552		$	507,552		$	507,552		$	—		$	—
	Corporate loans, net of allowance for loan losses of $224,999 as of December 31, 2013(1)	5,949,492			6,051,641			—			5,691,988			359,653
	Corporate loans held for sale(1)	279,748			281,278			—			267,169			14,109
	Private equity investments, at cost(2)	405			4,496			—			—			4,496
	Other assets	5,763			5,513			—			5,513			—
	Liabilities:
	Collateralized loan obligation secured debt	$	5,249,383		$	5,179,207		$	—		$	—		$	5,179,207
	Credit facilities	125,289			125,289			—			—			125,289
	Senior notes	362,276			393,772			393,772			—			—
	Junior subordinated notes	283,517			247,416			—			—			247,416
	(1)                                 Corporate loans held for investment are carried at amortized cost net of allowance for loan losses, while corporate loans held for sale are carried at the lower of cost or estimated fair value. Refer to “Fair Value Measurements” for a table presenting the corporate loans which are measured at fair value on a non-recurring basis.
	(2)                                Included within other assets on the condensed consolidated balance sheets.
Schedule of fair value of financial assets and liabilities measured on a recurring basis	'
	The following table presents information about the Company’s assets and liabilities measured at fair value on a recurring basis as of March 31, 2014, and indicates the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value (amounts in thousands):
		Quoted Prices in			Significant			Significant			Balance as of
		Active Markets			Other			Unobservable Inputs			March 31, 2014
		for Identical			Observable			(Level 3)
		Assets (Level 1)			Inputs (Level 2)
	Assets:
	Securities:
	Securities available-for-sale	$	—		$	333,735		$	23,528		$	357,263
	Other securities, at estimated fair value	—			16,230			125,511			141,741
	Residential mortgage-backed securities	—			—			58,753			58,753
	Total securities	—			349,965			207,792			557,757
	Corporate loans, at estimated fair value	—			80,532			153,395			233,927
	Equity investments, at estimated fair value	26,702			309			258,977			285,988
	Interests in joint ventures and partnerships	15,849			—			494,420			510,269
	Derivatives:
	Interest rate swaps	—			1,871			—			1,871
	Commodity swaps	—			4,210			—			4,210
	Foreign exchange forward contracts	—			5,353			—			5,353
	Foreign exchange options	—			—			8,128			8,128
	Common stock warrants	—			960			—			960
	Total rate of return swaps	—			39			—			39
	Options	—			—			6,492			6,492
	Total derivatives	—			12,433			14,620			27,053
	Total	$	42,551		$	443,239		$	1,129,204		$	1,614,994
	Liabilities:
	Derivatives:
	Interest rate swaps	—			47,623			—			47,623
	Commodity swaps	—			6,385			—			6,385
	Foreign exchange forward contracts	—			30,514			—			30,514
	Total rate of return swaps	—			154			—			154
	Options	—			200			—			200
	Total derivatives	—			84,876			—			84,876
	Total	$	—		$	84,876		$	—		$	84,876
	The following table presents information about the Company’s assets and liabilities measured at fair value on a recurring basis as of December 31, 2013, and indicates the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value (amounts in thousands):
		Quoted Prices in			Significant			Significant			Balance as of
		Active Markets			Other			Unobservable Inputs			December 31,
		for Identical			Observable			(Level 3)			2013
		Assets (Level 1)			Inputs (Level 2)
	Assets:
	Securities:
	Securities available-for-sale	$	—		$	326,940		$	23,401		$	350,341
	Other securities, at estimated fair value	—			39,437			107,530			146,967
	Residential mortgage-backed securities	—			—			76,004			76,004
	Total securities	—			366,377			206,935			573,312
	Corporate loans, at estimated fair value	—			84,680			152,800			237,480
	Equity investments, at estimated fair value	39,515			3,638			138,059			181,212
	Interests in joint ventures and partnerships	14,836			—			415,247			430,083
	Derivatives:
	Interest rate swaps	—			3,290			—			3,290
	Commodity swaps	—			5,408			—			5,408
	Foreign exchange forward contracts	—			4,846			—			4,846
	Foreign exchange options	—			—			8,941			8,941
	Common stock warrants	—			945			—			945
	Options	—			—			6,794			6,794
	Total derivatives	—			14,489			15,735			30,224
	Total	$	54,351		$	469,184		$	928,776		$	1,452,311
	Liabilities:
	Derivatives:
	Interest rate swaps	—			45,368			—			45,368
	Commodity swaps	—			3,915			—			3,915
	Credit default swaps—protection purchased	—			2,019			—			2,019
	Foreign exchange forward contracts	—			30,104			—			30,104
	Total rate of return swaps	—			229			—			229
Total derivatives	—			81,635			—			81,635
Total	$	—		$	81,635		$	—		$	81,635
Schedule of fair value of assets measured on a non-recurring basis	'
	The following table presents information about the Company’s assets measured at fair value on a non-recurring basis as of March 31, 2014, and indicates the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value (amounts in thousands). There were no liabilities measured at fair value on a non-recurring basis:
		Quoted Prices in			Significant Other			Significant			Balance as of
		Active Markets			Observable			Unobservable			March 31, 2014
		for Identical			Inputs (Level 2)			Inputs (Level 3)
		Assets (Level 1)
	Corporate loans held for sale(1)	$	—		$	140,166		$	8,203		$	148,369
	Total	$	—		$	140,166		$	8,203		$	148,369
	(1)                                 As of March 31, 2014, total loans held for sale had a carrying value of $510.7 million of which $148.4 million was carried at estimated fair value and the remaining $362.3 million carried at amortized cost.
	The following table presents information about the Company’s assets measured at fair value on a non-recurring basis as of December 31, 2013, and indicates the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair value (amounts in thousands). There were no liabilities measured at fair value on a non-recurring basis:
		Quoted Prices in			Significant Other			Significant			Balance as of
		Active Markets			Observable			Unobservable			December 31,
		for Identical			Inputs (Level 2)			Inputs (Level 3)			2013
		Assets (Level 1)
	Corporate loans held for sale(1)	$	—		$	90,485		$	5,568		$	96,053
	Total	$	—		$	90,485		$	5,568		$	96,053
	(1)                                 As of December 31, 2013, total loans held for sale had a carrying value of $279.7 million of which $96.1 million was carried at estimated fair value and the remaining $183.6 million carried at amortized cost.
Schedule of additional information of assets measured on level 3 basis	'
	The following table presents additional information about assets, including derivatives that are measured at fair value on a recurring basis for which the Company has utilized Level 3 inputs to determine fair value, for the year ended March 31, 2014 (amounts in thousands):
		Securities			Other			Residential			Corporate			Equity			Interests in			Foreign			Options
		Available-			Securities,			Mortgage-			Loans, at			Investments,			Joint			Exchange
		For-Sale:			at Estimated			Backed			Estimated			at Estimated			Ventures and			Options,
		Corporate			Fair Value			Securities			Fair Value			Fair Value			Partnerships			Net
		Debt
		Securities
	Beginning balance as of January 1, 2014	$	23,401		$	107,530		$	76,004		$	152,800		$	138,059		$	415,247		$	8,941		$	6,794
	Total gains or losses (for the period):
	Included in earnings(1)	22			3,059			3,088			(5,123		)	9,076			22,377			(813		)	(302		)
	Included in other comprehensive income	121			—			—			—			—			—			—			—
	Transfers into Level 3(2)	—			—			—			—			—			—			—			—
	Transfers out of Level 3(3)	—			—			—			—			(8,751		)	—			—			—
	Purchases	—			25,000			—			8,822			—			42,683			—			—
	Sales	—			—			(17,810		)	—			—			—			—			—
	Settlements	(16		)	(10,078		)	(2,529		)	(3,104		)	120,593			14,113			—			—
	Ending balance as of March 31, 2014	$	23,528		$	125,511		$	58,753		$	153,395		$	258,977		$	494,420		$	8,128		$	6,492
	Change in unrealized gains or losses for the period included in earnings for assets held at the end of the reporting period(1)	$	22		$	3,059		$	3,739		$	3,205		$	8,156		$	22,377		$	(813	)	$	(302	)
	(1)                                  Amounts are included in net realized and unrealized gain on investments or net realized and unrealized loss on derivatives and foreign exchange in the condensed consolidated statements of operations.
	(2)                                  There were no transfers into Level 3. The Company’s policy is to recognize transfers into Level 3 at the end of the reporting period.
	(3)                                  Equity investments, at estimated fair value were transferred out of Level 3 because observable market data became available. The Company’s policy is to recognize transfers out of Level 3 at the end of the reporting period.
	The following table presents additional information about assets, including derivatives that are measured at fair value on a recurring basis for which the Company has utilized Level 3 inputs to determine fair value, for the three months ended March 31, 2013 (amounts in thousands):
		Securities			Other			Residential			Corporate			Equity			Interests in			Foreign			Common
		Available-			Securities,			Mortgage-			Loans, at			Investments,			Joint Ventures			Exchange			Stock
		For-Sale:			at Estimated			Backed			Estimated			at Estimated			and			Options,			Warrants
		Corporate			Fair Value			Securities			Fair Value			Fair Value			Partnerships			Net
		Debt
		Securities
	Beginning balance as of January 1, 2013	$	42,221		$	2,909		$	83,842		$	16,141		$	97,746		$	142,477		$	8,277		$	1,574
	Total gains or losses (for the period):
	Included in earnings(1)	(117		)	328			5,721			(1,426		)	4,516			6,679			(2,927		)	245
	Included in other comprehensive income	90			—			—			—			—			—			—			—
	Transfers into Level 3(2)	—			—			—			—			—			—			—			—
	Transfers out of Level 3(2)	—			—			—			—			—			—			—			—
	Purchases	—			—			—			3,073			—			22,812			—			—
	Sales	—			—			—			—			—			—			—			—
	Settlements	(111		)	—			(2,535		)	(463		)	—			(2,037		)	—			—
	Ending balance as of March  31, 2013	$	42,083		$	3,237		$	87,028		$	17,325		$	102,262		$	169,931		$	5,350		$	1,819
	Change in unrealized gains or losses for the period included in earnings for assets held at the end of the reporting period(1)	$	(117	)	$	328		$	12,088		$	(1,722	)	$	4,516		$	6,679		$	(2,927	)	$	245
	(1)                                 Amounts are included in net realized and unrealized gain on investments or net realized and unrealized loss on derivatives and foreign exchange in the condensed consolidated statements of operations.
	(2)                                 There were no transfers between Level 1 or 2. The Company’s policy is to recognize transfers into and out of Level 3 at the end of the reporting period.
Summary of valuation techniques used for assets and liabilities, measured at fair value and categorized within level 3	'
	The following table presents additional information about valuation techniques and inputs used for assets and liabilities, including derivatives, that are measured at fair value and categorized within Level 3 as of March 31, 2014 (dollar amounts in thousands):
		Balance as of			Valuation		Unobservable		Weighted		Range		Impact to
		March 31, 2014			Techniques(1)		Inputs(2)		Average(3)				Valuation
													from an
													Increase in
													Input(4)
	Assets:
	Securities available-for-sale:	$	23,528		Yield Analysis		Yield		10%		6% - 12%		Decrease
	Corporate debt securities						Net leverage		12x		11x - 12x		Decrease
							EBITDA multiple		9x		8x - 9x		Increase
					Broker quotes		Offered quotes		105		105		Increase
	Other securities, at estimated fair value	$	125,511		Yield Analysis		Yield		13%		7% - 15%		Decrease
							EBITDA multiple		7x		7x		Increase
							Discount margin		530bps		530bps		Decrease
					Broker quotes		Offered quotes		103		103 - 104		Increase
	Residential mortgage-backed securities	$	58,753		Discounted cash flows		Probability of default		7%		0% - 21%		Decrease
							Loss severity		25%		12% - 37%		Decrease
							Constant prepayment rate		13%		5% - 24%		(5	)
	Corporate loans, at estimated fair value	$	153,395		Yield Analysis		Yield		14%		5% - 18%		Decrease
							Net leverage		7x		4x - 16x		Decrease
							EBITDA multiple		9x		6x - 12x		Increase
	Equity investments, at estimated fair value(6)	$	258,977		Inputs to both market		Weight ascribed to market		54%		25% - 100%		(7	)
					comparables and		comparables
					discounted cash flow		Weight ascribed to		62%		50% - 100%		(8	)
							discounted cash flows
					Market comparables		LTM EBITDA multiple		10x		6x - 18x		Increase
							Forward EBITDA multiple		10x		7x - 16x		Increase
					Discounted cash flows		Weighted average cost of capital		14%		9% - 20%		Decrease
							LTM EBITDA exit multiple		8x		4x - 10x		Increase
	Interests in joint ventures and partnerships(9)	$	494,420		Inputs to both market		Weight ascribed to market		52%		50% - 100%		(7	)
					comparables and		comparables
					discounted cash flow		Weight ascribed to		65%		50% - 100%		(8	)
							discounted cash flows
					Market comparables		Current capitalization rate		7%		6% - 9%		Decrease
							LTM EBITDA		9x		9x		Increase
					Discounted cash flows		Weighted average cost of capital		12%		8% - 24%		Decrease
	Foreign exchange options	$	8,128		Option pricing model		Forward and spot rates		1		0 - 1		(10	)
	Options	$	6,492		Inputs to both market		Weight ascribed to market		50%		50%		(7	)
					comparables and		comparables
					discounted cash flow		Weight ascribed to		50%		50%		(8	)
							discounted cash flows
					Market comparables		LTM EBITDA		9x		9x		Increase
					Discounted cash flows		Weighted average cost of capital		12%		12%		Decrease
							LTM EBITDA exit multiple		10x		10x		Increase
	(1)                                 For the assets that have more than one valuation technique, the Company may rely on the techniques individually or in aggregate based on a weight ascribed to each one ranging from 0-100%. When determining the weighting ascribed to each valuation methodology, the Company considers, among other factors, the availability of direct market comparables, the applicability of a discounted cash flow analysis and the expected hold period and manner of realization for the investment. These factors can result in different weightings among the investments and in certain instances, may result in up to a 100% weighting to a single methodology. Broker quotes obtained for valuation purposes are reviewed by the Company through other valuation techniques.
	(2)                                 The significant unobservable inputs used in the fair value measurement of the Company’s assets and liabilities may include the last twelve months (“LTM”) EBITDA multiple, weighted average cost of capital, net leverage, probability of default, loss severity and constant prepayment rate. In determining certain of these inputs, management evaluates a variety of factors including economic, industry and market trends and developments; market valuations of comparable companies; and company specific developments including potential exit strategies and realization opportunities. Significant increases or decreases in any of these inputs in isolation could result in significantly lower or higher fair value measurement.
	(3)                                 Weighted average amounts are based on the estimated fair values.
	(4)                                 Unless otherwise noted, this column represents the directional change in the fair value of the Level 3 investments that would result from an increase to the corresponding unobservable input. A decrease to the unobservable input would have the opposite effect. Significant changes in these inputs in isolation could result in significantly higher or lower fair value measurements.
	(5)                                 The impact of changes in prepayment speeds may have differing impacts depending on the seniority of the instrument. Generally, an increase in the constant prepayment speed will positively impact the overall valuation of traditional mortgage assets. In contrast, an increase in the constant prepayment rate will negatively impact the overall valuation of interest-only strips.
	(6)                                 When determining the illiquidity discount to be applied to equity investments, at estimated fair value, the Company takes a uniform approach across its portfolio and generally applies a minimum 5% discount to all private equity investments carried at estimated fair value. The Company then evaluates such investments to determine if factors exist that could make it more challenging to monetize the investment and, therefore, justify applying a higher illiquidity discount. These factors generally include the salability of the investment, whether the issuer is undergoing significant restructuring activity or similar factors, as well as characteristics about the issuer including its size and/or whether it is experiencing, or expected to experience, a significant decline in earnings. Depending on the applicability of these factors, the Company determines the amount of any incremental illiquidity discount to be applied above the 5% minimum, and during the time the Company holds the investment, the illiquidity discount may be increased or decreased, from time to time, based on changes to these factors. The amount of illiquidity discount applied at any time requires considerable judgment about what a market participant would consider and is based on the facts and circumstances of each individual investment. Accordingly, the illiquidity discount ultimately considered by a market participant upon the realization of any investment may be higher or lower than that estimated by the Company in its valuations.
	(7)                                 The directional change from an increase in the weight ascribed to the market comparables approach would increase the fair value of the Level III investments if the market comparables approach results in a higher valuation than the discounted cash flow approach. The opposite would be true if the market comparables approach results in a lower valuation than the discounted cash flow approach.
	(8)                                 The directional change from an increase in the weight ascribed to the discounted cash flow approach would increase the fair value of the Level III investments if the discounted cash flow approach results in a higher valuation than the market comparables approach. The opposite would be true if the discounted cash flow approach results in a lower valuation than the market comparables approach.
	(9)                                 Includes an asset that was valued using an independent third party valuation firm.
	(10)                          The directional change from an increase in forward and spot rates varies and is dependent on the specific option.
	The following table presents additional information about valuation techniques and inputs used for assets and liabilities, including derivatives, that are measured at fair value and categorized within Level 3 as of December 31, 2013 (dollar amounts in thousands):
		Balance as of			Valuation		Unobservable		Weighted		Range		Impact to
		December 31,			Techniques(1)		Inputs(2)		Average(3)				Valuation
		2013											from an
													Increase in
													Input(4)
	Assets:
	Securities available-for-sale:	$	23,401		Yield Analysis		Yield		10%		6% - 12%		Decrease
	Corporate debt securities						Net leverage		12x		11x - 12x		Decrease
						EBITDA multiple		8x		8x - 9x		Increase
				Broker quotes		Offered quotes		105		104 - 105		Increase
Other securities, at estimated fair value	$	107,530		Yield Analysis		Yield		12%		7% - 17%		Decrease
						EBITDA multiple		8x		7x - 8x		Increase
						Illiquidity discount		3%		3%		Decrease
						Net leverage		1x		1x - 2x		Decrease
				Broker quotes		Offered quotes		102		101 - 102		Increase
Residential mortgage-backed securities	$	76,004		Discounted cash flows		Probability of default		7%		0% - 21%		Decrease
						Loss severity		28%		16% - 77%		Decrease
						Constant prepayment rate		15%		3% - 35%		-5
Corporate loans, at estimated fair value	$	152,800		Yield Analysis		Yield		16%		14% - 23%		Decrease
						Net leverage		7x		4x - 12x		Decrease
						EBITDA multiple		8x		6x - 11x		Increase
Equity investments, at estimated fair value(6)	$	138,059		Inputs to both market		Weight ascribed to market		50%		33% - 100%		-7
				comparables and		comparables
				discounted cash flow		Weight ascribed to		59%		50% - 100%		-8
						discounted cash flows
				Market comparables		LTM EBITDA multiple		12x		6x - 16x		Increase
						Forward EBITA multiple		12x		10x - 14x		Increase
				Discounted cash flows		Weighted average cost of capital		11%		8% - 14%		Decrease
						LTM EBITDA exit multiple		10x		4x - 11x		Increase
Interests in joint ventures and partnerships	$	415,247		Inputs to both market		Weight ascribed to market		50%		50% - 100%		-7
				comparables and		comparables
				discounted cash flow		Weight ascribed to		50%		50% - 100%		-8
						discounted cash flows
				Market comparables		Current capitalization rate		7%		6% - 9%		Decrease
						LTM EBITDA		9x		9x		Increase
				Discounted cash flows		Weighted average cost of capital		12%		8% - 24%		Decrease
Foreign exchange options	$	8,941		Option pricing model		Forward and spot rates		1		0 - 1		-9
Options	$	6,794		Inputs to both market		Weight ascribed to market		50%		50%		-7
				comparables and		comparables
				discounted cash flow		Weight ascribed to		50%		50%		-8
						discounted cash flows
				Market comparables		LTM EBITDA		9x		9x		Increase
				Discounted cash flows		Weighted average cost of capital		12%		12%		Decrease
						LTM EBITDA exit multiple		10x		9x - 10x		Increase
(1)                                 For the assets that have more than one valuation technique, the Company may rely on the techniques individually or in aggregate based on a weight ascribed to each one ranging from 0-100%. When determining the weighting ascribed to each valuation methodology, the Company considers, among other factors, the availability of direct market comparables, the applicability of a discounted cash flow analysis and the expected hold period and manner of realization for the investment. These factors can result in different weightings among the investments and in certain instances, may result in up to a 100% weighting to a single methodology. Broker quotes obtained for valuation purposes are reviewed by the Company through other valuation techniques.
(2)                                 The significant unobservable inputs used in the fair value measurement of the Company’s assets and liabilities may include the last twelve months (“LTM”) EBITDA multiple, weighted average cost of capital, net leverage, probability of default, loss severity and constant prepayment rate. In determining certain of these inputs, management evaluates a variety of factors including economic, industry and market trends and developments; market valuations of comparable companies; and company specific developments including potential exit strategies and realization opportunities. Significant increases or decreases in any of these inputs in isolation could result in significantly lower or higher fair value measurement.
(3)                                 Weighted average amounts are based on the estimated fair values.
(4)                                 Unless otherwise noted, this column represents the directional change in the fair value of the Level 3 investments that would result from an increase to the corresponding unobservable input. A decrease to the unobservable input would have the opposite effect. Significant changes in these inputs in isolation could result in significantly higher or lower fair value measurements.
(5)                                 The impact of changes in prepayment speeds may have differing impacts depending on the seniority of the instrument. Generally, an increase in the constant prepayment speed will positively impact the overall valuation of traditional mortgage assets. In contrast, an increase in the constant prepayment rate will negatively impact the overall valuation of interest-only strips.
(6)                                 When determining the illiquidity discount to be applied to equity investments, at estimated fair value, the Company takes a uniform approach across its portfolio and generally applies a minimum 5% discount to all private equity investments carried at estimated fair value. The Company then evaluates such investments to determine if factors exist that could make it more challenging to monetize the investment and, therefore, justify applying a higher illiquidity discount. These factors generally include the salability of the investment, whether the issuer is undergoing significant restructuring activity or similar factors, as well as characteristics about the issuer including its size and/or whether it is experiencing, or expected to experience, a significant decline in earnings. Depending on the applicability of these factors, the Company determines the amount of any incremental illiquidity discount to be applied above the 5% minimum, and during the time the Company holds the investment, the illiquidity discount may be increased or decreased, from time to time, based on changes to these factors. The amount of illiquidity discount applied at any time requires considerable judgment about what a market participant would consider and is based on the facts and circumstances of each individual investment. Accordingly, the illiquidity discount ultimately considered by a market participant upon the realization of any investment may be higher or lower than that estimated by the Company in its valuations.
(7)                                 The directional change from an increase in the weight ascribed to the market comparables approach would increase the fair value of the Level III investments if the market comparables approach results in a higher valuation than the discounted cash flow approach. The opposite would be true if the market comparables approach results in a lower valuation than the discounted cash flow approach.
(8)                                 The directional change from an increase in the weight ascribed to the discounted cash flow approach would increase the fair value of the Level III investments if the discounted cash flow approach results in a higher valuation than the market comparables approach. The opposite would be true if the discounted cash flow approach results in a lower valuation than the market comparables approach.
(9)                                 The directional change from an increase in forward and spot rates varies and is dependent on the specific option.

SEGMENT_REPORTING_Tables

SEGMENT REPORTING (Tables)	3 Months Ended
	Mar. 31, 2014
SEGMENT REPORTING	'
Schedule showing net income (loss) components and total assets of reportable segments reconciled to amounts reflected in the condensed consolidated financial statements	'
	The following table presents the net income (loss) components of our reportable segments reconciled to amounts reflected in the condensed consolidated financial statements for the three months ended March 31, 2014 and 2013 (amounts in thousands):
		Credit				Natural Resources						Other				Reconciling Items(1)						Total Consolidated
	For the three months ended March 31	2014		2013		2014			2013			2014		2013		2014			2013			2014		2013
	Total revenues	$	96,562	$	115,149	$	44,028		$	23,805		$	—	$	1,496	$	—		$	—		$	140,590	$	140,450
	Total investment costs and expenses	45,873		61,399		27,576			19,469			321		181		—			—			73,770		81,049
	Total other income (loss)	64,516		93,926		(5,389		)	(4,746		)	13,713		5,309		—			(20,269		)	72,840		74,220
	Total other expenses	15,835		13,968		1,154			1,630			140		124		14,329			19,105			31,458		34,827
	Income tax expense	19		457		—			—			—		1		—			—			19		458
	Net income (loss)	$	99,351	$	133,251	$	9,909		$	(2,040	)	$	13,252	$	6,499	$	(14,329	)	$	(39,374	)	$	108,183	98,336
	(1)             Consists of certain expenses not allocated to individual segments including (i) other income (loss) comprised of losses on restructuring and extinguishment of debt of $20.3 million for the three months ended March 31, 2013 and (ii) other expenses comprised of incentive fees of $12.9 million and $17.2 million for the three months ended March 31, 2014 and 2013, respectively. The remaining reconciling items include insurance expenses, directors’ expenses and share-based compensation expense.
	The following table shows total assets of reportable segments reconciled to amounts reflected in the condensed consolidated financial statements as of March 31, 2014 and December 31, 2013 (amounts in thousands):
		Credit				Natural Resources						Other				Reconciling						Total Consolidated
																Items
	As of	March 31,		December 31,		March 31,			December 31,			March 31,		December 31,		March 31,			December 31,			March 31,		December 31,
		2014		2013		2014			2013			2014		2013		2014			2013			2014		2013
	Total assets	$	8,407,372	$	8,020,353	$	528,705		$	505,029		$	225,552	$	190,946	$	700		$	870		$	9,162,329	$	8,717,198

ORGANIZATION_Details

ORGANIZATION (Details) (USD $)	0 Months Ended		3 Months Ended
In Millions, except Per Share data, unless otherwise specified	Dec. 16, 2013	Jan. 17, 2013	Mar. 31, 2014
Maximum	'	'	'
Definitive merger agreement	'	'	'
Maximum per share amount of quarterly distributions allowed per restriction (in dollars per share)	0.22	'	'
Series A LLC Preferred Shares	'	'	'
Definitive merger agreement	'	'	'
Preferred shares, dividend rate (as a percent)	7.38%	7.38%	7.38%
KKR & Co.	'	'	'
Definitive merger agreement	'	'	'
Stock exchange ratio to be applied in the merger transaction	0.51	'	'
Termination fee	26.25	'	'
KKR & Co. | Restricted common shares	'	'	'
Definitive merger agreement	'	'	'
Exchange ratio of share based awards under merger transaction	0.51	'	'
KKR & Co. | Phantom share | Non-Employee Director's	'	'	'
Definitive merger agreement	'	'	'
Exchange ratio of share based awards under merger transaction	0.51	'	'
KKR & Co. | Maximum	'	'	'
Definitive merger agreement	'	'	'
Reimbursement of expenses on termination of the merger agreement	7.5	'	'

SUMMARY_OF_SIGNIFICANT_ACCOUNT2

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013
Nonaffiliates	'	'
Collateralized Debt Obligation disclosures	'	'
Aggregate secured outstanding debt related to CLOs, held by third parties	$5,711,885,000	$5,249,383,000
Collateralized Debt Obligation (CLOs) VIEs	'	'
Collateralized Debt Obligation disclosures	'	'
Number of Collateralized Loan Obligation (CLOs) VIEs (in loans)	9	8
Corporate debt investment, par amount	6,600,000,000	6,700,000,000
Estimated fair value of corporate debt investments	6,400,000,000	6,400,000,000
Collateralized Debt Obligation (CLOs) VIEs | Nonaffiliates	'	'
Collateralized Debt Obligation disclosures	'	'
Aggregate secured outstanding debt related to CLOs, held by third parties	$5,700,000,000	$5,200,000,000

SUMMARY_OF_SIGNIFICANT_ACCOUNT3

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details 2)	0 Months Ended		3 Months Ended
	Dec. 16, 2013	Jan. 17, 2013	Mar. 31, 2014
Consolidation	'	'	'
Minimum percentage of voting interest required to consolidate non-VIEs	'	'	50.00%
Fair Value of Financial Instruments	'	'	'
Number of approaches used to determine fair value of investments (in approaches)	'	'	2
Corporate Loans	'	'	'
Period for determination of non-accrual status	'	'	'90 days
Number of methods interest income recognized	'	'	2
Sustained period of repayment performance	'	'	'6 months
Allowance for Loan Losses	'	'	'
Number of components in the loans receivable allowance for loan losses (in components)	'	'	2
Number of internally assigned risk grades	'	'	3
Series A LLC Preferred Shares	'	'	'
Preferred Shares	'	'	'
Preferred shares, dividend rate (as a percent)	7.38%	7.38%	7.38%

EARNINGS_PER_COMMON_SHARE_Deta

EARNINGS PER COMMON SHARE (Details) (USD $)	3 Months Ended
In Thousands, except Share data, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Reconciliation of basic and diluted net income and distributions per common share	'	'
Net income	$108,183	$98,336
Less: Preferred share distributions	6,891	6,738
Net income available to common shareholders	101,292	91,598
Less: Dividends and undistributed earnings allocated to participating securities	309	338
Net income allocated to common shareholders	$100,983	$91,260
Basic:	'	'
Basic weighted average common shares outstanding (in shares)	204,236,000	197,153,000
Net income per common share (in dollars per share)	$0.49	$0.46
Diluted:	'	'
Diluted weighted average common shares outstanding (in shares)	204,236,000	197,153,000
Net income per common share (in dollars per share)	$0.49	$0.46
Anti-dilutive securities	'	'
Anti-dilutive securities excluded from diluted earnings per share calculations (in shares)	1,932,279	1,932,279

SECURITIES_Details

SECURITIES (Details) (USD $)	3 Months Ended	12 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Securities Available-for-Sale	'	'
Amortized Cost	$335,585	$326,775
Gross Unrealized Gains	22,397	24,791
Gross Unrealized Losses	-719	-1,225
Estimated Fair Value	357,263	350,341
Total Securities	'	'
Amortized Cost	576,061	601,027
Gross Unrealized Gains	32,165	40,036
Gross Unrealized Losses	-50,469	-67,751
Total securities	557,757	573,312
Other securities, at estimated fair value	'	'
Total Securities	'	'
Amortized Cost	133,287	135,968
Gross Unrealized Gains	9,001	12,436
Gross Unrealized Losses	-547	-1,437
Securities, at estimated fair value	141,741	146,967
Residential mortgage-backed securities, at estimated fair value	'	'
Total Securities	'	'
Amortized Cost	107,189	138,284
Gross Unrealized Gains	767	2,809
Gross Unrealized Losses	-49,203	-65,089
Securities, at estimated fair value	$58,753	$76,004

SECURITIES_Details_2

SECURITIES (Details 2) (USD $)	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013	Dec. 31, 2013
Corporate debt securities	'	'	'
Unrealized losses on available for sale securities in a gross continuous unrealized loss position by the length of time	'	'	'
Number of issuers with corporate debt securities in default	1	'	1
Number of corporate debt securities in default	1	'	1
Estimated fair value of corporate debt security in default	$6,600,000	'	$25,400,000
Securities available-for-sale	'	'	'
Fair value on available for sale securities in a gross continuous unrealized loss position by the length of time	'	'	'
Less Than 12 months	28,480,000	'	25,543,000
12 Months or More	30,417,000	'	30,034,000
Total Estimated Fair Value	58,897,000	'	55,577,000
Unrealized losses on available for sale securities in a gross continuous unrealized loss position by the length of time	'	'	'
Less Than 12 months	-533,000	'	-658,000
12 months or More	-186,000	'	-567,000
Total Unrealized Losses	-719,000	'	-1,225,000
Other-than-temporarily impaired loss	$2,900,000	$5,900,000	'

SECURITIES_Details_3

SECURITIES (Details 3) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2013
Net realized gains and losses recognized on the sale of securities available for sale	'
Gross realized gains	$2,150
Net realized gains	$2,150

SECURITIES_Details_4

SECURITIES (Details 4) (USD $)	Mar. 31, 2014	Dec. 31, 2013	Mar. 31, 2014	Mar. 31, 2014	Mar. 31, 2013	Mar. 31, 2014
In Thousands, unless otherwise specified			Equity securities	Securities	Securities	Securities
			securities			Equity securities
Troubled Debt Restructurings	'	'	'	'	'	'
Modified amortized cost of security	$576,061	$601,027	'	$24,100	'	'
Estimated fair value of new securities received from the security TDR exchange	$557,757	$573,312	'	'	'	$16,100
Number of securities that qualified as TDRs	'	'	'	1	0	'
Number of securities modified as TDRs in default within a twelve month period subsequent to their original restructuring	'	'	0	'	'	'

SECURITIES_Details_5

SECURITIES (Details 5) (USD $)	3 Months Ended	12 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Concentrated risks	'	'
Number of issuers with whom a specified percentage of estimated fair value of corporate debt securities is concentrated (in issuers)	10	10
Number of largest issuers out of ten issuers with whom a specified percentage of estimated fair value of debt securities is concentrated (in issuers)	3	3
Securities	$357,263	$350,341
Estimated fair value of securities pledged as collateral	'	'
Pledged as collateral for collateralized loan obligation secured debt	332,268	324,830
Total	332,268	324,830
Corporate debt securities | Credit concentration | Top three largest	'	'
Concentrated risks	'	'
Concentration risk of total fair value (as a percent)	25.00%	21.00%
Securities	$125,100	$104,500
Corporate debt securities | Credit concentration | Ten issuers	'	'
Concentrated risks	'	'
Concentration risk of total fair value (as a percent)	59.00%	55.00%

CORPORATE_LOANS_AND_ALLOWANCE_2

CORPORATE LOANS AND ALLOWANCE FOR LOAN LOSSES (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013	Mar. 31, 2013	Dec. 31, 2012
Summary of corporate loans	'	'	'	'
Principal	$6,567,576,000	$6,873,666,000	'	'
Net unamortized discount	-148,267,000	-181,046,000	'	'
Total amortized cost	6,419,309,000	6,692,620,000	'	'
Lower of cost or fair value adjustment	-7,526,000	-15,920,000	'	'
Allowance for loan losses	-223,541,000	-224,999,000	'	'
Unrealized gains	14,490,000	15,019,000	'	'
Net carrying value	6,202,732,000	6,466,720,000	'	'
Corporate Loan Held for Investment	'	'	'	'
Summary of corporate loans	'	'	'	'
Principal	5,770,433,000	6,280,470,000	'	'
Net unamortized discount	-88,774,000	-105,979,000	'	'
Total amortized cost	5,681,659,000	6,174,491,000	'	'
Allowance for loan losses	-223,541,000	-224,999,000	-206,227,000	-223,472,000
Net carrying value	5,458,118,000	5,949,492,000	'	'
Corporate Loans Held for Sale	'	'	'	'
Summary of corporate loans	'	'	'	'
Principal	541,431,000	315,738,000	'	'
Net unamortized discount	-23,218,000	-20,070,000	'	'
Total amortized cost	518,213,000	295,668,000	'	'
Lower of cost or fair value adjustment	-7,526,000	-15,920,000	'	'
Net carrying value	510,687,000	279,748,000	'	'
Corporate Loans, at Estimated Fair Value	'	'	'	'
Summary of corporate loans	'	'	'	'
Principal	255,712,000	277,458,000	'	'
Net unamortized discount	-36,275,000	-54,997,000	'	'
Total amortized cost	219,437,000	222,461,000	'	'
Unrealized gains	14,490,000	15,019,000	'	'
Net carrying value	233,927,000	237,480,000	'	'
Corporate loans and corporate loans held for sale	'	'	'	'
Summary of corporate loans	'	'	'	'
Cumulative charge-offs and other adjustments	$15,700,000	$18,100,000	'	'

CORPORATE_LOANS_AND_ALLOWANCE_3

CORPORATE LOANS AND ALLOWANCE FOR LOAN LOSSES (Details 2) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
	component
Summary of corporate loans	'	'
Number of components in the loans receivable allowance for loan losses (in components)	2	'
Allowance for loan losses:	'	'
Beginning balance	$224,999	'
Provision for loan losses	'	11,068
Charge-offs	-1,500	-28,300
Ending balance	223,541	'
Corporate Loans	'	'
Allowance for loan losses:	'	'
Beginning balance	224,999	223,472
Provision for loan losses	'	11,068
Charge-offs	-1,458	-28,313
Ending balance	$223,541	$206,227

CORPORATE_LOANS_AND_ALLOWANCE_4

CORPORATE LOANS AND ALLOWANCE FOR LOAN LOSSES (Details 3) (USD $)	Mar. 31, 2014	Dec. 31, 2013	Mar. 31, 2013	Dec. 31, 2012
In Thousands, unless otherwise specified
Allowance for loan losses by basis of impairment method:	'	'	'	'
Ending balance: individually evaluated for impairment	$113,655	$142,682	'	'
Ending balance: collectively evaluated for impairment	109,886	82,317	'	'
Allowance for loan losses	223,541	224,999	'	'
Corporate loans (recorded investment) by basis of impairment method:	'	'	'	'
Recorded Investment	5,698,364	6,193,232	'	'
Corporate Loans	'	'	'	'
Allowance for loan losses by basis of impairment method:	'	'	'	'
Allowance for loan losses	223,541	224,999	206,227	223,472
Corporate loans (recorded investment) by basis of impairment method:	'	'	'	'
Ending balance: individually evaluated for impairment	397,580	554,442	'	'
Ending balance: collectively evaluated for impairment	5,300,784	5,638,790	'	'
Recorded Investment	$5,698,364	$6,193,232	'	'

CORPORATE_LOANS_AND_ALLOWANCE_5

CORPORATE LOANS AND ALLOWANCE FOR LOAN LOSSES (Details 4) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified	issuer	issuer
Recorded investment in impaired loans and related allowances for credit losses	'	'
Number of issuers of loans related to the aggregate allowance on impaired loans (in issuers)	3	4
Impaired Financing Receivable, Recorded Investment	'	'
Recorded Investment, with an allowance recorded	$397,580	$554,442
Recorded Investment	397,580	554,442
Unpaid Principal Balance, with an allowance recorded	422,624	594,416
Unpaid Principal Balance	422,624	594,416
Related Allowance	113,655	142,682
Impaired Financing Receivable, Amortized Cost	'	'
Allocated component of allowance for loan losses to the account for impairment	113,655	142,682
Texas Competitive Electric Holdings Company LLC	'	'
Impaired Financing Receivable, Amortized Cost	'	'
Impaired loans	311,600	311,600
Allocated component of allowance for loan losses to the account for impairment	$68,200	$66,900

CORPORATE_LOANS_AND_ALLOWANCE_6

CORPORATE LOANS AND ALLOWANCE FOR LOAN LOSSES (Details 5) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
CORPORATE LOANS AND ALLOWANCE FOR LOAN LOSSES	'	'
Average Recorded Investment, with no related allowance recorded	'	$3,245
Average Recorded Investment, with an allowance recorded	476,011	480,534
Average Recorded Investment	476,011	483,779
Interest Income Recognized, with an allowance recorded	3,543	4,274
Interest Income Recognized	$3,543	$4,274

CORPORATE_LOANS_AND_ALLOWANCE_7

CORPORATE LOANS AND ALLOWANCE FOR LOAN LOSSES (Details 6) (USD $)	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013	Dec. 31, 2013
Recorded investment in impaired loans and related allowances for credit losses	'	'	'
Recorded investment with nonaccrual status	$455,385,000	'	$624,148,000
Interest income recognized using cash basis method	4,200,000	8,000,000	'
Loans carried at estimated fair value on non-accrual	233,927,000	'	237,480,000
Corporate Loan Held for Investment	'	'	'
Recorded investment in impaired loans and related allowances for credit losses	'	'	'
Recorded investment with nonaccrual status	397,580,000	'	554,442,000
Interest income recognized using cash basis method	3,500,000	4,300,000	'
Recorded investment of non-accrual and past due loans	46,900,000	'	237,200,000
Number of issuers past due (in issuers)	1	'	3
Past due interest payments of amortized cost of non-accrual and past due loans	'	'	'
Total past due interest payment	600,000	'	5,600,000
Less than 30 days past due	'	'	900,000
60-89 days past due	100,000	'	2,300,000
90 or more days past due	500,000	'	2,400,000
Corporate Loans Held for Sale	'	'	'
Recorded investment in impaired loans and related allowances for credit losses	'	'	'
Recorded investment with nonaccrual status	44,780,000	'	44,823,000
Interest income recognized using cash basis method	600,000	3,700,000	'
Corporate Loans, at Estimated Fair Value	'	'	'
Recorded investment in impaired loans and related allowances for credit losses	'	'	'
Recorded investment with nonaccrual status	13,025,000	'	24,883,000
Interest income recognized using cash basis method	100,000	'	'
Par amount of non-accrual and past due loans	'	'	15,500,000
Loans carried at estimated fair value on non-accrual	'	'	12,200,000
Number of issuers past due (in issuers)	'	'	1
Past due interest payments of amortized cost of non-accrual and past due loans	'	'	'
90 or more days past due	'	'	$200,000

CORPORATE_LOANS_AND_ALLOWANCE_8

CORPORATE LOANS AND ALLOWANCE FOR LOAN LOSSES (Details 7) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Corporate Loans and Allowance for Loan Losses	'	'
Recorded Investment	$5,698,364	$6,193,232
Allowances for loan losses	109,886	82,317
Unallocated	'	'
Corporate Loans and Allowance for Loan Losses	'	'
Recorded Investment	5,300,784	5,638,790
Allowances for loan losses	109,900	82,300
Allocated	'	'
Corporate Loans and Allowance for Loan Losses	'	'
Recorded Investment	397,580	554,442
High | Unallocated	'	'
Corporate Loans and Allowance for Loan Losses	'	'
Recorded Investment	'	325,525
High | Senior Secured Loan | Unallocated	'	'
Corporate Loans and Allowance for Loan Losses	'	'
Recorded Investment	'	26,886
High | Second Lien Loan | Unallocated	'	'
Corporate Loans and Allowance for Loan Losses	'	'
Recorded Investment	'	286,996
High | Subordinated | Unallocated	'	'
Corporate Loans and Allowance for Loan Losses	'	'
Recorded Investment	'	11,643
Moderate | Unallocated	'	'
Corporate Loans and Allowance for Loan Losses	'	'
Recorded Investment	1,187,333	1,099,898
Moderate | Senior Secured Loan | Unallocated	'	'
Corporate Loans and Allowance for Loan Losses	'	'
Recorded Investment	1,146,308	1,033,065
Moderate | Second Lien Loan | Unallocated	'	'
Corporate Loans and Allowance for Loan Losses	'	'
Recorded Investment	'	27,504
Moderate | Subordinated | Unallocated	'	'
Corporate Loans and Allowance for Loan Losses	'	'
Recorded Investment	41,025	39,329
Low | Unallocated	'	'
Corporate Loans and Allowance for Loan Losses	'	'
Recorded Investment	4,113,451	4,213,367
Low | Senior Secured Loan | Unallocated	'	'
Corporate Loans and Allowance for Loan Losses	'	'
Recorded Investment	4,041,984	4,148,913
Low | Second Lien Loan | Unallocated	'	'
Corporate Loans and Allowance for Loan Losses	'	'
Recorded Investment	25,871	25,864
Low | Subordinated | Unallocated	'	'
Corporate Loans and Allowance for Loan Losses	'	'
Recorded Investment	$45,596	$38,590

CORPORATE_LOANS_AND_ALLOWANCE_9

CORPORATE LOANS AND ALLOWANCE FOR LOAN LOSSES (Details 8) (USD $)	3 Months Ended		12 Months Ended
	Mar. 31, 2014	Mar. 31, 2013	Dec. 31, 2013
	issuer		issuer
	loan		loan
Summary of corporate loans	'	'	'
Charge-offs recorded	$1,500,000	$28,300,000	'
Corporate loans, held for sale (in dollars)	510,687,000	'	279,748,000
Corporate loans transferred from held for investment to held for sale	238,115,000	21,388,000	'
Net charge for lower of cost or estimated fair value adjustment	-8,351,000	4,749,000	'
Number of loans in default	3	'	6
Amortized cost of corporate loans in default	46,900,000	'	215,700,000
Number of issuers in default	1	'	2
Corporate Loan Held for Investment	'	'	'
Summary of corporate loans	'	'	'
Charge-offs recorded	1,458,000	28,313,000	'
Corporate loans transferred from held for investment to held for sale	238,100,000	21,400,000	'
Amortized cost of corporate loans in default	'	'	203,700,000
Corporate Loans Held for Sale	'	'	'
Summary of corporate loans	'	'	'
Corporate loans, held for sale (in dollars)	510,700,000	'	279,700,000
Corporate loans transferred from held for sale to held for investment	0	0	'
Net charge for lower of cost or estimated fair value adjustment	-3,851,000	4,700,000	'
Corporate Loans Held for Sale | Carrying reported amount	'	'	'
Summary of corporate loans	'	'	'
Corporate loans, held for sale (in dollars)	510,687,000	107,400,000	279,748,000
Corporate Loans, at Estimated Fair Value	'	'	'
Summary of corporate loans	'	'	'
Amortized cost of corporate loans in default	'	'	$12,000,000

Recovered_Sheet1

CORPORATE LOANS AND ALLOWANCE FOR LOAN LOSSES (Details 9) (USD $)	3 Months Ended		12 Months Ended
	Mar. 31, 2014	Mar. 31, 2013	Dec. 31, 2013
	issuer	issuer	issuer
	loan		loan
Troubled debt restructurings:	'	'	'
Troubled debt restructurings on a recorded investment basis	$80,300,000	'	$55,400,000
Number of issuers related to recorded investment balance (in issuers)	4	'	3
Sustained period of repayment performance for determining the reclassification of restructured loans from non-accrual to accrual status	'6 months	'	'
Troubled debt restructurings, included in non-accrual loans	55,300,000	'	55,400,000
Specific reserves allocated to the issuer	22,100,000	'	22,100,000
Financing Receivable Modifications Extension Period of Maturity Date	'	'4 years	'
Higher coupon rate for extended period (as a percent)	4.00%	6.80%	'
Pre-modification outstanding recorded investment	195,422,000	70,028,000	'
Number of issuers troubled debt restructurings	2	3	'
Post-modification outstanding recorded investment	24,571,000	40,659,000	'
Charge-offs recorded related to TDR's	1,100,000	26,800,000	'
Charge-offs related to TDR's as a percentage of charge-offs related to loans and losses (in percentage)	76.00%	95.00%	'
Charge-offs recorded	1,500,000	28,300,000	'
Lending commitment to borrower whose loans had been modified in the troubled debt restructuring	0	'	0
Number of loans modified as TDRs in default	0	'	0
Modified amortized cost of corporate loans that did not qualify as TDRs	1,000,000,000	1,000,000,000	'
Minimum	'	'	'
Troubled debt restructurings:	'	'	'
Financing Receivable Modifications Extension Period of Maturity Date	'3 years	'	'
Maximum	'	'	'
Troubled debt restructurings:	'	'	'
Financing Receivable Modifications Extension Period of Maturity Date	'5 years	'	'
Loans held for investment	'	'	'
Troubled debt restructurings:	'	'	'
Number of TDRs (in issuers)	1	2	'
Pre-modification outstanding recorded investment	154,075,000	68,358,000	'
Post-modification outstanding recorded investment	'	39,430,000	'
Estimated fair value of equity received from the TDRs excluded from post-modification outstanding recorded investment	92,000,000	2,100,000	'
Number of TDRs identified as impaired (in issuers)	1	2	'
Loans at estimated fair value	'	'	'
Troubled debt restructurings:	'	'	'
Number of TDRs (in issuers)	2	1	'
Pre-modification outstanding recorded investment	41,347,000	1,670,000	'
Post-modification outstanding recorded investment	24,571,000	1,229,000	'
Estimated fair value of equity received from the TDRs excluded from post-modification outstanding recorded investment	$12,300,000	'	'
Number of loans carried at estimated fair value	2	1	'

Recovered_Sheet2

CORPORATE LOANS AND ALLOWANCE FOR LOAN LOSSES (Details 10) (Corporate Loans, USD $)	3 Months Ended	12 Months Ended
In Millions, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Concentrated risks	'	'
Number of issuers with whom a specified percentage of amortized cost of corporate loans is concentrated	20	20
Number of issuers with the largest concentration of corporate loans	3	3
Percent to Total Corporate Loans | Top Twenty Issuers	'	'
Concentrated risks	'	'
Concentration risk of total amortized cost basis (as a percent)	44.00%	46.00%
Percent to Total Corporate Loans | Top Three Issuers	'	'
Concentrated risks	'	'
Concentration risk of total amortized cost basis (as a percent)	13.00%	14.00%
Amortized cost of corporate loans concentrated in major issuers (in dollars)	842.7	935.2

Recovered_Sheet3

CORPORATE LOANS AND ALLOWANCE FOR LOAN LOSSES (Details 11) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
CORPORATE LOANS AND ALLOWANCE FOR LOAN LOSSES	'	'
Pledged as collateral for collateralized loan obligation secured debt	$6,095,904	$6,231,541
Total loans pledged as collateral	$6,095,904	$6,231,541

NATURAL_RESOURCES_ASSETS_Detai

NATURAL RESOURCES ASSETS (Details) (USD $)	3 Months Ended	12 Months Ended
	Mar. 31, 2014	Dec. 31, 2013
Oil and natural gas properties	'	'
Proved oil and natural gas properties (successful efforts method)	$494,673,000	$451,909,000
Unproved oil and natural gas properties	16,913,000	16,913,000
Less: Accumulated depreciation, depletion and amortization	-83,914,000	-68,453,000
Oil and gas properties, net	427,672,000	400,369,000
Amount borrowed to finance the acquisition	$41,000,000	$154,500,000

BORROWINGS_Details

BORROWINGS (Details) (USD $)

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Sep. 27, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Nov. 30, 2012

Nov. 14, 2013

Mar. 31, 2014

Dec. 31, 2013

Feb. 27, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Jun. 25, 2013

Mar. 31, 2014

Jan. 23, 2014

In Thousands, unless otherwise specified

Nonaffiliates

Nonaffiliates

CLO 2005-1 senior secured notes

CLO 2005-1 senior secured notes

CLO 2005-2 senior secured notes

CLO 2005-2 senior secured notes

CLO 2006-1 senior secured notes

CLO 2006-1 senior secured notes

CLO 2007-1 senior secured notes

CLO 2007-1 senior secured notes

CLO 2007-1 mezzanine notes

CLO 2007-1 mezzanine notes

CLO 2007-1 subordinated notes

CLO 2007-1 subordinated notes

CLO 2007-A senior secured notes

CLO 2007-A senior secured notes

CLO 2007-A mezzanine notes

CLO 2007-A mezzanine notes

CLO 2007-A subordinated notes

CLO 2007-A subordinated notes

CLO 2011-1 senior debt

CLO 2011-1 senior debt

CLO 2011-1 senior debt

CLO 2012-1 senior secured notes

CLO 2012-1 senior secured notes

CLO 2012-1 subordinated notes

CLO 2012-1 subordinated notes

2015 Facility

2015 Facility

2015 Facility

2015 Natural Resources Facility

2015 Natural Resources Facility

2015 Natural Resources Facility

2018 Natural Resources Facility

2018 Natural Resources Facility

2018 Natural Resources Facility

2018 Natural Resources Facility

2018 Natural Resources Facility

2018 Natural Resources Facility

2018 Natural Resources Facility

2018 Natural Resources Facility

2018 Natural Resources Facility

Total credit facilities

Total credit facilities

8.375% Senior Notes

8.375% Senior Notes

7.500% Senior notes due March 20, 2042

7.500% Senior notes due March 20, 2042

Junior subordinated notes

Junior subordinated notes

CLO 2013-1 senior secured notes

CLO 2013-1 senior secured notes

CLO 2013-1 senior secured notes

CLO 2013-2 senior secured notes

CLO 2013-2 senior secured notes

Nonaffiliates

Nonaffiliates

Nonaffiliates

Nonaffiliates

Nonaffiliates

Nonaffiliates

Nonaffiliates

Nonaffiliates

LIBOR

LIBOR

LIBOR

Minimum

Minimum

Maximum

Maximum

Nonaffiliates

Nonaffiliates

LIBOR

LIBOR

LIBOR

LIBOR

Details of Company's borrowings

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Collateralized loan obligation secured debt

'

'

$5,711,885

$5,249,383

$175,023

$193,909

$325,453

$335,570

$371,782

$384,925

$2,075,040

$2,075,040

$429,185

$406,428

$136,097

$136,097

$416,203

$428,152

$115,569

$55,327

$15,096

$15,096

'

$491,265

$388,703

$362,836

$362,727

$18,000

$18,000

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

$449,606

$449,409

'

$330,730

'

Credit facilities

49,889

125,289

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

75,000

'

'

49,889

50,289

'

'

'

'

'

'

'

'

'

49,889

125,289

'

'

'

'

'

'

'

'

'

'

'

Senior notes

362,302

362,276

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

250,817

250,800

111,485

111,476

'

'

'

'

'

'

'

Junior subordinated notes

283,517

283,517

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

283,517

283,517

'

'

'

'

'

Total borrowings

6,407,593

6,020,465

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Weighted Average Borrowing Rate (as a percent)

'

'

'

'

0.76%

0.73%

0.63%

0.63%

0.69%

0.69%

0.79%

0.79%

3.73%

3.65%

12.77%

18.15%

1.58%

1.57%

7.59%

7.44%

18.14%

42.22%

'

1.58%

1.25%

2.33%

2.34%

19.25%

11.67%

2.48%

1.39%

'

'

2.40%

2.42%

'

'

'

'

'

1.75%

1.75%

3.25%

3.25%

'

'

8.38%

8.38%

7.50%

7.50%

5.39%

5.39%

1.97%

1.98%

'

2.22%

'

Weighted Average Remaining Maturity

'

'

'

'

'1122 days

'1212 days

'1336 days

'1426 days

'1608 days

'1698 days

'2602 days

'2692 days

'2602 days

'2692 days

'2602 days

'2692 days

'1294 days

'1384 days

'1294 days

'1384 days

'1294 days

'1384 days

'

'1598 days

'1688 days

'3912 days

'4002 days

'3912 days

'4002 days

'609 days

'699 days

'

'

'584 days

'674 days

'

'1429 days

'1519 days

'

'

'

'

'

'

'

'

'10091 days

'10181 days

'10216 days

'10306 days

'8224 days

'8347 days

'4124 days

'4214 days

'

'4316 days

'

Total borrowings, fair value of collateral

$6,646,011

$6,645,905

$6,433,762

$6,431,970

$280,653

$303,104

$452,302

$496,917

$569,034

$649,894

$2,374,552

$2,354,938

$491,131

$461,250

$155,743

$154,456

$415,856

$540,677

$115,473

$69,867

$15,083

$19,063

'

$580,256

$517,597

$354,926

$376,603

$17,608

$18,689

'

'

'

'

$212,249

$213,935

'

'

'

'

'

'

'

'

'

$212,249

$213,935

'

'

'

'

'

'

$460,899

$468,915

'

$150,246

'

Debt, variable interest rate basis

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'three-month LIBOR

'

'

'

'

'

'

'

'

'LIBOR

'LIBOR

'LIBOR

'

'LIBOR

'

'

'LIBOR

'LIBOR

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'three-month LIBOR

'

'three-month LIBOR

BORROWINGS_Details_2

BORROWINGS (Details 2) (USD $)

3 Months Ended

0 Months Ended

3 Months Ended

0 Months Ended

3 Months Ended

0 Months Ended

0 Months Ended

Mar. 31, 2014

Mar. 31, 2013

Mar. 31, 2014

Mar. 31, 2013

Sep. 27, 2013

Mar. 31, 2014

Mar. 31, 2013

Sep. 27, 2013

Mar. 31, 2014

Mar. 31, 2014

Mar. 31, 2014

Jan. 23, 2014

Jan. 23, 2014

Jun. 25, 2013

Jun. 25, 2013

CLO 2007-A, CLO 2005-1, CLO 2005-2 and CLO 2006-1 senior notes

CLO 2007-A, CLO 2005-1, CLO 2005-2 and CLO 2006-1 senior notes

CLO 2011-1 senior debt

CLO 2011-1 senior debt

CLO 2011-1 senior debt

CLO 2011-1 senior debt

CLO 2007-1 Class E secured notes

CLO 2007-A Class G secured notes

CLO 2007-A Class H secured notes

CLO 2013-2 senior secured notes

CLO 2013-2 senior secured notes

CLO 2013-1 senior secured notes

CLO 2013-1 senior secured notes

Maximum

Nonaffiliates

Nonaffiliates

Details of Company's borrowings

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Collateralized loan obligation secured debt repaid

$54,449,000

$167,633,000

$54,400,000

$146,200,000

'

$0

$21,500,000

'

'

'

'

'

'

'

'

Par amount of notes issued

'

'

'

'

'

'

'

'

21,900,000

29,800,000

29,800,000

'

'

'

'

Proceeds from senior notes

'

'

'

'

'

'

'

'

21,900,000

30,200,000

30,100,000

'

'

'

'

Increase in the maximum borrowing capacity

'

'

'

'

300,000,000

'

'

'

'

'

'

'

'

'

'

Increase in current borrowing capacity

'

'

'

'

'

'

'

225,000,000

'

'

'

'

'

'

'

Par amount of notes issued

'

'

'

'

'

'

'

'

'

'

'

384,000,000

339,300,000

519,400,000

458,500,000

Floating rate senior secured note

'

'

'

'

'

'

'

'

'

'

'

'

319,300,000

'

442,000,000

Debt, variable interest rate basis

'

'

'

'

'three-month LIBOR

'

'

'

'

'

'

'

'three-month LIBOR

'

'three-month LIBOR

Percentage of margin added to reference rate to determine interest rate on debt (in percentage)

'

'

'

'

1.35%

'

'

'

'

'

'

'

2.16%

'

1.67%

Fixed rate senior secured note

'

'

'

'

'

'

'

'

'

'

'

'

$20,000,000

'

$16,500,000

Fixed rate (as a percent)

'

'

'

'

'

'

'

'

'

'

'

'

3.74%

'

3.73%

BORROWINGS_Details_3

BORROWINGS (Details 3) (USD $)

0 Months Ended

0 Months Ended

3 Months Ended

0 Months Ended

3 Months Ended

12 Months Ended

0 Months Ended

In Millions, unless otherwise specified

Nov. 30, 2012

Mar. 31, 2014

Dec. 31, 2013

Nov. 30, 2012

Nov. 30, 2012

Nov. 14, 2013

Mar. 31, 2014

Dec. 31, 2013

Nov. 14, 2013

Nov. 14, 2013

Feb. 27, 2013

Mar. 31, 2014

Dec. 31, 2013

Dec. 20, 2013

Mar. 31, 2014

Dec. 31, 2013

Feb. 27, 2013

Feb. 27, 2013

2015 Facility

2015 Facility

2015 Facility

2015 Facility

2015 Facility

2015 Natural Resources Facility

2015 Natural Resources Facility

2015 Natural Resources Facility

2015 Natural Resources Facility

2015 Natural Resources Facility

2018 Natural Resources Facility

2018 Natural Resources Facility

2018 Natural Resources Facility

2018 Natural Resources Facility

2018 Natural Resources Facility

2018 Natural Resources Facility

2018 Natural Resources Facility

2018 Natural Resources Facility

LIBOR

Alternate base rate

Minimum

Maximum

LIBOR

LIBOR

Minimum

Maximum

LIBOR

LIBOR

LIBOR

LIBOR

Details of Company's borrowings

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Credit facility term

'3 years

'

'

'

'

'5 years

'

'

'

'

'5 years

'

'

'

'

'

'

'

Current borrowing capacity under line of credit facility

$150

'

'

'

'

$94.60

'

'

'

'

'

'

'

'

'

'

'

'

Maximum borrowing capacity

'

'

'

'

'

'

'

'

'

'

6

'

'

42

'

'

'

'

Amount outstanding

'

$0

$75

'

'

'

$49.90

$50.30

'

'

'

$0

$0

'

'

'

'

'

Debt, variable interest rate basis

'

'

'

'LIBOR

'alternate base rate

'LIBOR

'LIBOR

'

'

'

'LIBOR

'

'

'

'LIBOR

'LIBOR

'

'

Percentage of margin added to reference rate to determine interest rate on debt (in percentage)

'

'

'

2.25%

1.25%

'

'

'

1.75%

2.75%

'

'

'

'

'

'

1.75%

3.25%

BORROWINGS_Details_4

BORROWINGS (Details 4) (USD $)	3 Months Ended	0 Months Ended
Share data in Millions, unless otherwise specified	Mar. 31, 2013	Jan. 18, 2013
		7.5% Convertible Senior Notes
Details of Company's borrowings	'	'
Interest rate (as a percent)	'	7.50%
Convertible senior notes issued, principal amount	'	$172,500,000
Conversion rate of common stock shares per $1,000 principal amount (in shares per USD)	'	0.1418256
Principal amount used for debt instrument conversion ratio	'	1,000
Conversion rate of additional common shares issued upon conversion per $1,000 principal amount to account for the make-whole premium (in shares per USD)	'	0.0092324
Amount of debt that had been tendered for conversion	$186,254,000	$172,500,000
Number of common shares of the entity issued in exchange of convertible notes (in shares)	'	26.1

DERIVATIVE_INSTRUMENTS_Details

DERIVATIVE INSTRUMENTS (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Summary of aggregate notional amount and estimated net fair value of the derivative instruments	'	'
Estimated Fair Value	($57,823)	($51,411)
Cash Flow Hedges: | Interest rate swaps	'	'
Summary of aggregate notional amount and estimated net fair value of the derivative instruments	'	'
Notional amount	469,333	478,333
Estimated Fair Value	-45,752	-42,078
Free-Standing Derivatives: | Commodity swaps	'	'
Summary of aggregate notional amount and estimated net fair value of the derivative instruments	'	'
Estimated Fair Value	-2,175	1,493
Free-Standing Derivatives: | Credit default swaps-protection purchased	'	'
Summary of aggregate notional amount and estimated net fair value of the derivative instruments	'	'
Notional amount	0	-100,000
Estimated Fair Value	'	-2,019
Free-Standing Derivatives: | Foreign exchange forward contracts	'	'
Summary of aggregate notional amount and estimated net fair value of the derivative instruments	'	'
Notional amount	-341,554	-320,380
Estimated Fair Value	-25,161	-25,258
Free-Standing Derivatives: | Foreign exchange options	'	'
Summary of aggregate notional amount and estimated net fair value of the derivative instruments	'	'
Notional amount	129,900	129,900
Estimated Fair Value	8,128	8,941
Free-Standing Derivatives: | Common stock warrants	'	'
Summary of aggregate notional amount and estimated net fair value of the derivative instruments	'	'
Estimated Fair Value	960	945
Free-Standing Derivatives: | Total Rate of Return Swaps	'	'
Summary of aggregate notional amount and estimated net fair value of the derivative instruments	'	'
Estimated Fair Value	-115	-229
Free-Standing Derivatives: | Options	'	'
Summary of aggregate notional amount and estimated net fair value of the derivative instruments	'	'
Estimated Fair Value	$6,292	$6,794

DERIVATIVE_INSTRUMENTS_Details1

DERIVATIVE INSTRUMENTS (Details 2) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Net (losses) gains recognized in accumulated other comprehensive loss on cash flow hedges	'	'
Net (losses) gains recognized in accumulated other comprehensive loss on cash flow hedges	($3,831)	$11,158

DERIVATIVE_INSTRUMENTS_Details2

DERIVATIVE INSTRUMENTS (Details 3) (USD $)	Mar. 31, 2014	Dec. 31, 2013	Mar. 31, 2014	Mar. 31, 2014	Mar. 31, 2014	Mar. 31, 2014	Mar. 31, 2014	Mar. 31, 2014	Mar. 31, 2014	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified	Foreign exchange options and forward contracts	Foreign exchange options and forward contracts	Free-Standing Derivatives:	Free-Standing Derivatives:	Free-Standing Derivatives:	Free-Standing Derivatives:	Free-Standing Derivatives:	Free-Standing Derivatives:	Free-Standing Derivatives:	Free-Standing Derivatives:	Free-Standing Derivatives:
			Natural gas positions	Natural gas positions	Natural gas positions	Natural gas liquid positions	Natural gas liquid positions	Oil positions	Oil positions	Credit default swaps-protection purchased	Credit default swaps-protection purchased
			2014	2015	2016	2014	2015	2014	2015
			MMBTU	MMBTU	MMBTU	MBbls	MBbls	MBbls	MBbls
Fixed price swaps	'	'	'	'	'	'	'	'	'	'	'
Hedged volume (MBbls)	'	'	'	'	'	122	41	573	541	'	'
Hedged volume (MMMBtu)	'	'	4,373	4,277	1,805	'	'	'	'	'	'
Average price ($/Bbl)	'	'	'	'	'	31.26	42.39	92.35	88.4	'	'
Average price ($/MMBtu)	'	'	4.34	4.73	4.44	'	'	'	'	'	'
Notional amount	'	'	'	'	'	'	'	'	'	'	'
Notional amount	$211,700	$190,500	'	'	'	'	'	'	'	$0	($100,000)

DERIVATIVE_INSTRUMENTS_Details3

DERIVATIVE INSTRUMENTS (Details 4) (Free-Standing Derivatives:, USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Effect on income from free-standing derivatives	'	'
Realized gains (losses)	($6,474)	($2,445)
Unrealized gains (losses)	-1,896	-6,407
Total	-8,370	-8,852
Commodity swaps	'	'
Effect on income from free-standing derivatives	'	'
Realized gains (losses)	-1,914	1,109
Unrealized gains (losses)	-3,667	-6,109
Total	-5,581	-5,000
Credit Default Swaps	'	'
Effect on income from free-standing derivatives	'	'
Realized gains (losses)	-2,167	-2,643
Unrealized gains (losses)	1,986	1,470
Total	-181	-1,173
Foreign exchange forward contracts and options	'	'
Effect on income from free-standing derivatives	'	'
Realized gains (losses)	-450	-911
Unrealized gains (losses)	68	-1,920
Total	-382	-2,831
Common stock warrants	'	'
Effect on income from free-standing derivatives	'	'
Unrealized gains (losses)	14	152
Total	14	152
Total Rate of Return Swaps	'	'
Effect on income from free-standing derivatives	'	'
Realized gains (losses)	-1,943	'
Unrealized gains (losses)	114	'
Total	-1,829	'
Options	'	'
Effect on income from free-standing derivatives	'	'
Unrealized gains (losses)	-411	'
Total	($411)	'

ACCUMULATED_OTHER_COMPREHENSIV2

ACCUMULATED OTHER COMPREHENSIVE LOSS (Details) (USD $)	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
ACCUMULATED OTHER COMPREHENSIVE LOSS	'	'
Impairment charge for investments which were determined to be other-than-temporary	$2,900,000	$5,900,000
Components of changes in accumulated other comprehensive income (loss)	'	'
Beginning balance	-15,652,000	-70,226,000
Other comprehensive (loss) income before reclassifications	-4,134,000	13,570,000
Amounts reclassified from accumulated other comprehensive loss	-1,586,000	3,113,000
Net current-period other comprehensive (loss) income	-5,720,000	16,683,000
Ending balance	-21,372,000	-53,543,000
Net unrealized gains on available-for-sale securities	'	'
Components of changes in accumulated other comprehensive income (loss)	'	'
Beginning balance	23,567,000	17,472,000
Other comprehensive (loss) income before reclassifications	-303,000	2,412,000
Amounts reclassified from accumulated other comprehensive loss	-1,586,000	3,113,000
Net current-period other comprehensive (loss) income	-1,889,000	5,525,000
Ending balance	21,678,000	22,997,000
Net unrealized losses on cash flow hedges	'	'
Components of changes in accumulated other comprehensive income (loss)	'	'
Beginning balance	-39,219,000	-87,698,000
Other comprehensive (loss) income before reclassifications	-3,831,000	11,158,000
Net current-period other comprehensive (loss) income	-3,831,000	11,158,000
Ending balance	($43,050,000)	($76,540,000)

COMMITMENTS_CONTINGENCIES_Deta

COMMITMENTS & CONTINGENCIES (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Millions, unless otherwise specified
Guarantees	'	'
Non-recourse debt	$297.50	$231.70
Financial guarantees related to natural resources investments	17.9	17.9
Debt Instrument	'	'
Estimated future contributions for interests in joint ventures and partnerships	251	325.5
Corporate Loans	'	'
Debt Instrument	'	'
Aggregate par amounts to purchase corporate loans	309.5	62.7
Unfunded financing commitments for corporate loans	$15.10	$17.40

SHAREHOLDERS_EQUITY_Details

SHAREHOLDERS' EQUITY (Details) (USD $)

3 Months Ended

0 Months Ended

3 Months Ended

3 Months Ended

3 Months Ended

Mar. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Dec. 16, 2013

Jan. 17, 2013

Mar. 31, 2014

Mar. 31, 2014

Mar. 31, 2013

Mar. 31, 2014

Mar. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Mar. 31, 2014

Series A LLC Preferred Shares

Series A LLC Preferred Shares

Series A LLC Preferred Shares

Restricted common shares

Restricted common shares

Restricted common shares

Restricted common shares

Restricted common shares

Restricted common shares

Common share options

Common share options

Manager

Manager

Directors

Directors

Maximum

Stock-based compensation

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Preferred shares, shares issued

'

14,950,000

14,950,000

'

14,950,000

'

'

'

'

'

'

'

'

'

Gross proceeds from issue of preferred shares (in dollars)

'

'

'

'

$373,800,000

'

'

'

'

'

'

'

'

'

Net proceeds from issuance of preferred stock (in dollars)

361,622,000

'

'

'

361,622,000

'

'

'

'

'

'

'

'

'

Preferred shares, dividend rate (as a percent)

'

'

'

7.38%

7.38%

7.38%

'

'

'

'

'

'

'

'

Exercise price of share options granted, minimum (as a percent)

'

'

'

'

'

'

'

'

'

'

'

'

100.00%

'

Termination period from date of grant

'

'

'

'

'

'

'

'

'

'

'

'

'

'10 years

Authorized shares available to satisfy awards as of the balance sheet date

'

'

'

'

'

'

'

'

'

'

'

'

8,964,625

'

Restricted common share transactions

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Unvested shares at the beginning of the period

'

'

'

'

'

'

669,828

'

584,634

'

85,194

85,194

'

'

Vested (in shares)

'

'

'

'

'

'

-243,648

'

-243,648

'

'

'

'

'

Unvested shares at the end of the period

'

'

'

'

'

'

426,180

'

340,986

'

85,194

85,194

'

'

Value of unvested restricted common shares granted (in dollars per share)

'

'

'

'

'

'

'

'

$11.57

$11.07

'

'

'

'

Unrecognized compensation cost (in dollars)

'

'

'

'

'

'

$2,400,000

$5,300,000

'

'

'

'

'

'

SHAREHOLDERS_EQUITY_Details_2

SHAREHOLDERS' EQUITY (Details 2) (Common share options, USD $)	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013
Common share options	'	'
Number of Options	'	'
Outstanding at the beginning of the period (in shares)	1,932,279	'
Granted (in shares)	0	'
Exercised (in shares)	0	'
Forfeited (in shares)	0	'
Outstanding at the end of the period (in shares)	1,932,279	'
Exercisable at the end of the period (in shares)	1,932,279	1,932,279
Weighted Average Exercise Price	'	'
Outstanding at the beginning of the period (in dollars per share)	$20	'
Granted (in dollars per share)	$0	'
Exercised (in dollars per share)	$0	'
Forfeited (in dollars per share)	$0	'
Outstanding at the end of the period (in dollars per share)	$20	'

SHAREHOLDERS_EQUITY_Details_3

SHAREHOLDERS' EQUITY (Details 3) (Restricted common shares, USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Stock-based compensation	'	'
Share-based compensation expense (in dollars)	$841	$980
Manager	'	'
Stock-based compensation	'	'
Share-based compensation expense (in dollars)	577	719
Directors	'	'
Stock-based compensation	'	'
Share-based compensation expense (in dollars)	$264	$261

MANAGEMENT_AGREEMENT_AND_RELAT2

MANAGEMENT AGREEMENT AND RELATED PARTY TRANSACTIONS (Details) (USD $)	3 Months Ended
	Mar. 31, 2014	Mar. 31, 2013	Sep. 30, 2007
Management Agreement and Related Party Transactions	'	'	'
Related party transaction expense	$12,900,000	$17,200,000	'
Total related party management compensation	25,617,000	28,306,000	'
Restricted common shares	'	'	'
Management Agreement and Related Party Transactions	'	'	'
Share-based compensation	841,000	980,000	'
CLO Management Fees	'	'	'
Management Agreement and Related Party Transactions	'	'	'
Number of CLOs the Company owns less than 100% of subordinated notes	3	'	'
CLO Management Fees | Maximum	'	'	'
Management Agreement and Related Party Transactions	'	'	'
Entity's percentage in subordinated notes (as a percent)	100.00%	'	'
CLO Management Fees | CLO 2013-1 and CLO 2013-2	'	'	'
Management Agreement and Related Party Transactions	'	'	'
Entity's percentage in subordinated notes (as a percent)	100.00%	'	'
Manager	'	'	'
Management Agreement and Related Party Transactions	'	'	'
Renewal period	'1 year	'	'
Votes for termination, minimum (as a percent)	66.70%	'	'
Notice period for termination	'180 days	'	'
Multiplier used to determine termination fee	4	'	'
Number of 12 month periods considered for calculation of termination fee (in periods)	2	'	'
Specified period for which average annual incentive fee to be considered	'12 months	'	'
Manager | Base Management Fees	'	'	'
Management Agreement and Related Party Transactions	'	'	'
Related party transaction expense	3,622,000	9,557,000	'
Common shares offering	'	'	230,400,000
Common share right offering	'	'	270,000,000
Common share closing price, minimum (in dollars per share)	$20	'	'
Number of consecutive trading days	'5 days	'	'
Fees, waived	2,200,000	2,200,000	'
Manager | Incentive Fees	'	'	'
Management Agreement and Related Party Transactions	'	'	'
Related party transaction expense	12,882,000	17,181,000	'
Manager | Manager Share-Based Compensation | Restricted common shares	'	'	'
Management Agreement and Related Party Transactions	'	'	'
Share-based compensation	577,000	719,000	'
Collateral manager | CLO Management Fees	'	'	'
Management Agreement and Related Party Transactions	'	'	'
Related party transaction expense	8,536,000	849,000	'
Fees, waived	$1,600,000	$7,700,000	'

MANAGEMENT_AGREEMENT_AND_RELAT3

MANAGEMENT AGREEMENT AND RELATED PARTY TRANSACTIONS (Details 2) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013
Management Agreement and Related Party Transactions	'	'
Total related party transaction expense	$12,900	$17,200
Manager | Base Management Fees	'	'
Management Agreement and Related Party Transactions	'	'
Base management fees, gross	9,992	9,557
CLO management fees credit	-6,370	'
Total related party transaction expense	$3,622	$9,557

MANAGEMENT_AGREEMENT_AND_RELAT4

MANAGEMENT AGREEMENT AND RELATED PARTY TRANSACTIONS (Details 3) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013	Dec. 31, 2013
Management Agreement and Related Party Transactions	'	'	'
Total related party transaction expense	$12,900	$17,200	'
Related party payable	18,018	'	5,574
Restricted common shares	'	'	'
Management Agreement and Related Party Transactions	'	'	'
Expenses recognized for restricted common shares granted	841	980	'
Collateral manager | CLO Management Fees	'	'	'
Management Agreement and Related Party Transactions	'	'	'
Charged and retained CLO management fees	2,166	849	'
CLO management fees credit	-6,370	'	'
Total related party transaction expense	8,536	849	'
Manager | Incentive Fees	'	'	'
Management Agreement and Related Party Transactions	'	'	'
Total related party transaction expense	12,882	17,181	'
Related party payable	12,900	'	'
Manager | Manager Share-Based Compensation | Restricted common shares	'	'	'
Management Agreement and Related Party Transactions	'	'	'
Expenses recognized for restricted common shares granted	577	719	'
Manager | Reimbursable General and Administrative Expenses	'	'	'
Management Agreement and Related Party Transactions	'	'	'
Total related party transaction expense	$1,900	$1,700	'

MANAGEMENT_AGREEMENT_AND_RELAT5

MANAGEMENT AGREEMENT AND RELATED PARTY TRANSACTIONS (Details 4) (Affiliates, USD $)	3 Months Ended	12 Months Ended
In Millions, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Investments in affiliates	'	'
Investment in affiliates, number of issuers	28	28
Par	2,100	2,100
Corporate loans	'	'
Investments in affiliates	'	'
Par	2,000	1,900
Corporate debt securities	'	'
Investments in affiliates	'	'
Par	39.5	52.8
Equity investments, at estimated fair value	'	'
Investments in affiliates	'	'
Par	97.2	84.5
Joint ventures and partnerships	'	'
Investments in affiliates	'	'
Aggregate cost amount	454.9	400.3
Affiliated investments | Percent to total investment in corporate loans, debt securities and other investments	'	'
Investments in affiliates	'	'
Investment in affiliates as a percentage of total investment (in percentage)	29.00%	27.00%

FAIR_VALUE_OF_FINANCIAL_INSTRU2

FAIR VALUE OF FINANCIAL INSTRUMENTS (Details) (USD $)

Mar. 31, 2014

Dec. 31, 2013

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2013

Dec. 31, 2012

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Dec. 31, 2013

Proved oil and natural gas properties

Corporate loans

Corporate loans

Corporate loans

Corporate loans

Corporate loans held for sale

Corporate loans held for sale

Quoted Prices in Active Markets for Identical Assets (Level 1)

Quoted Prices in Active Markets for Identical Assets (Level 1)

Significant Other Observable Inputs (Level 2)

Significant Other Observable Inputs (Level 2)

Significant Other Observable Inputs (Level 2)

Significant Other Observable Inputs (Level 2)

Significant Other Observable Inputs (Level 2)

Significant Other Observable Inputs (Level 2)

Significant Unobservable Inputs (Level 3)

Significant Unobservable Inputs (Level 3)

Significant Unobservable Inputs (Level 3)

Significant Unobservable Inputs (Level 3)

Significant Unobservable Inputs (Level 3)

Significant Unobservable Inputs (Level 3)

Carrying Amount

Carrying Amount

Carrying Amount

Carrying Amount

Carrying Amount

Carrying Amount

Carrying Amount

Carrying Amount

Estimated Fair Value

Estimated Fair Value

Estimated Fair Value

Estimated Fair Value

Estimated Fair Value

Estimated Fair Value

Estimated Fair Value

Corporate loans

Corporate loans

Corporate loans held for sale

Corporate loans held for sale

Corporate loans

Corporate loans

Corporate loans held for sale

Corporate loans held for sale

Proved oil and natural gas properties

Corporate loans

Corporate loans

Corporate loans held for sale

Corporate loans held for sale

Corporate loans held for sale

Proved oil and natural gas properties

Corporate loans

Corporate loans

Corporate loans held for sale

Corporate loans held for sale

Assets:

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Cash, restricted cash, and cash equivalents

'

'

'

'

'

'

'

'

'

$1,020,733,000

$507,552,000

'

'

'

'

'

'

'

'

'

'

'

'

$1,020,733,000

$507,552,000

'

'

'

'

'

'

$1,020,733,000

$507,552,000

'

'

'

'

'

Corporate loans, net of allowance for loan losses of $223,541 and $224,999 as of March 31, 2014 and December 31, 2013, respectively

'

'

'

'

'

'

'

'

'

'

'

'

'

5,484,290,000

5,691,988,000

'

'

'

'

119,565,000

359,653,000

'

'

'

'

'

5,458,118,000

5,949,492,000

'

'

'

'

'

'

5,603,855,000

6,051,641,000

'

'

Allowances for loan losses

223,541,000

224,999,000

'

223,541,000

224,999,000

206,227,000

223,472,000

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Corporate loans held for sale

510,687,000

279,748,000

'

'

'

'

'

510,700,000

279,700,000

'

'

'

'

'

'

489,351,000

267,169,000

'

'

'

'

27,192,000

14,109,000

'

'

'

'

'

510,687,000

279,748,000

107,400,000

'

'

'

'

'

516,543,000

281,278,000

Private equity investments, at cost

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

5,695,000

4,496,000

'

'

'

'

405,000

405,000

'

'

'

'

'

'

5,695,000

4,496,000

'

'

'

'

'

Other assets

'

'

'

'

'

'

'

'

'

'

'

5,330,000

5,513,000

'

'

'

'

'

'

'

'

'

'

5,775,000

5,763,000

'

'

'

'

'

'

5,330,000

5,513,000

'

'

'

'

'

Liabilities:

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Collateralized loan obligation secured debt

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

5,657,936,000

5,179,207,000

'

'

'

'

5,711,885,000

5,249,383,000

'

'

'

'

'

'

5,657,936,000

5,179,207,000

'

'

'

'

'

Credit facilities

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

49,889,000

125,289,000

'

'

'

'

49,889,000

125,289,000

'

'

'

'

'

'

49,889,000

125,289,000

'

'

'

'

'

Senior notes

362,302,000

362,276,000

'

'

'

'

'

'

'

410,700,000

393,772,000

'

'

'

'

'

'

'

'

'

'

'

'

362,302,000

362,276,000

'

'

'

'

'

'

410,700,000

393,772,000

'

'

'

'

'

Junior subordinated notes

283,517,000

283,517,000

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

249,241,000

247,416,000

'

'

'

'

283,517,000

283,517,000

'

'

'

'

'

'

249,241,000

247,416,000

'

'

'

'

'

Oil and natural gas properties

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Impairment charges of oil and natural gas properties

'

'

10,400,000

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Oil and natural gas properties

$427,672,000

$400,369,000

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

$16,100,000

'

'

'

'

'

'

'

$5,700,000

'

'

'

'

FAIR_VALUE_OF_FINANCIAL_INSTRU3

FAIR VALUE OF FINANCIAL INSTRUMENTS (Details 2) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Assets:	'	'
Securities available-for-sale	$357,263	$350,341
Total securities	557,757	573,312
Corporate loans, estimated fair value	233,927	237,480
Equity investments, at estimated fair value	285,988	181,212
Derivatives:	'	'
Total derivatives	27,053	30,224
Derivatives:	'	'
Total derivatives	84,876	81,635
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1)	'	'
Assets:	'	'
Equity investments, at estimated fair value	26,702	39,515
Interests in joint ventures and partnerships	15,849	14,836
Derivatives:	'	'
Total	42,551	54,351
Recurring basis | Significant Other Observable Inputs (Level 2)	'	'
Assets:	'	'
Securities available-for-sale	333,735	326,940
Total securities	349,965	366,377
Equity investments, at estimated fair value	309	3,638
Derivatives:	'	'
Total derivatives	12,433	14,489
Total	443,239	469,184
Derivatives:	'	'
Total derivatives	84,876	81,635
Total	84,876	81,635
Recurring basis | Significant Other Observable Inputs (Level 2) | Other securities, at estimated fair value	'	'
Assets:	'	'
Trading securities	16,230	39,437
Recurring basis | Significant Other Observable Inputs (Level 2) | Interest rate swaps	'	'
Derivatives:	'	'
Derivative assets	1,871	3,290
Derivatives:	'	'
Derivative liabilities	47,623	45,368
Recurring basis | Significant Other Observable Inputs (Level 2) | Commodity swaps	'	'
Derivatives:	'	'
Derivative assets	4,210	5,408
Derivatives:	'	'
Derivative liabilities	6,385	3,915
Recurring basis | Significant Other Observable Inputs (Level 2) | Credit default swaps-protection purchased	'	'
Derivatives:	'	'
Derivative liabilities	'	2,019
Recurring basis | Significant Other Observable Inputs (Level 2) | Foreign exchange forward contracts	'	'
Derivatives:	'	'
Derivative assets	5,353	4,846
Derivatives:	'	'
Derivative liabilities	30,514	30,104
Recurring basis | Significant Other Observable Inputs (Level 2) | Common stock warrants	'	'
Derivatives:	'	'
Derivative assets	960	945
Recurring basis | Significant Other Observable Inputs (Level 2) | Total Rate of Return Swaps	'	'
Derivatives:	'	'
Derivative assets	39	'
Derivatives:	'	'
Derivative liabilities	154	229
Recurring basis | Significant Other Observable Inputs (Level 2) | Options	'	'
Derivatives:	'	'
Derivative liabilities	200	'
Recurring basis | Significant Other Observable Inputs (Level 2) | Portion at estimated fair value	'	'
Assets:	'	'
Corporate loans, estimated fair value	80,532	84,680
Recurring basis | Significant Unobservable Inputs (Level 3)	'	'
Assets:	'	'
Securities available-for-sale	23,528	23,401
Total securities	207,792	206,935
Equity investments, at estimated fair value	258,977	138,059
Interests in joint ventures and partnerships	494,420	415,247
Derivatives:	'	'
Total derivatives	14,620	15,735
Total	1,129,204	928,776
Recurring basis | Significant Unobservable Inputs (Level 3) | Other securities, at estimated fair value	'	'
Assets:	'	'
Trading securities	125,511	107,530
Recurring basis | Significant Unobservable Inputs (Level 3) | Residential mortgage-backed securities	'	'
Assets:	'	'
Trading securities	58,753	76,004
Recurring basis | Significant Unobservable Inputs (Level 3) | Foreign exchange options	'	'
Derivatives:	'	'
Derivative assets	8,128	8,941
Recurring basis | Significant Unobservable Inputs (Level 3) | Options	'	'
Derivatives:	'	'
Derivative assets	6,492	6,794
Recurring basis | Significant Unobservable Inputs (Level 3) | Portion at estimated fair value	'	'
Assets:	'	'
Corporate loans, estimated fair value	153,395	152,800
Recurring basis | Estimated Fair Value	'	'
Assets:	'	'
Securities available-for-sale	357,263	350,341
Total securities	557,757	573,312
Equity investments, at estimated fair value	285,988	181,212
Interests in joint ventures and partnerships	510,269	430,083
Derivatives:	'	'
Total derivatives	27,053	30,224
Total	1,614,994	1,452,311
Derivatives:	'	'
Total derivatives	84,876	81,635
Total	84,876	81,635
Recurring basis | Estimated Fair Value | Other securities, at estimated fair value	'	'
Assets:	'	'
Trading securities	141,741	146,967
Recurring basis | Estimated Fair Value | Residential mortgage-backed securities	'	'
Assets:	'	'
Trading securities	58,753	76,004
Recurring basis | Estimated Fair Value | Interest rate swaps	'	'
Derivatives:	'	'
Derivative assets	1,871	3,290
Derivatives:	'	'
Derivative liabilities	47,623	45,368
Recurring basis | Estimated Fair Value | Commodity swaps	'	'
Derivatives:	'	'
Derivative assets	4,210	5,408
Derivatives:	'	'
Derivative liabilities	6,385	3,915
Recurring basis | Estimated Fair Value | Foreign exchange forward contracts	'	'
Derivatives:	'	'
Derivative assets	5,353	4,846
Derivatives:	'	'
Derivative liabilities	30,514	30,104
Recurring basis | Estimated Fair Value | Foreign exchange options	'	'
Derivatives:	'	'
Derivative assets	8,128	8,941
Recurring basis | Estimated Fair Value | Common stock warrants	'	'
Derivatives:	'	'
Derivative assets	960	945
Recurring basis | Estimated Fair Value | Total Rate of Return Swaps	'	'
Derivatives:	'	'
Derivative assets	39	'
Derivatives:	'	'
Derivative liabilities	154	229
Recurring basis | Estimated Fair Value | Options	'	'
Derivatives:	'	'
Derivative assets	6,492	6,794
Derivatives:	'	'
Derivative liabilities	200	'
Recurring basis | Estimated Fair Value | Credit default swaps-protection sold	'	'
Derivatives:	'	'
Derivative liabilities	'	2,019
Recurring basis | Estimated Fair Value | Portion at estimated fair value	'	'
Assets:	'	'
Corporate loans, estimated fair value	$233,927	$237,480

FAIR_VALUE_OF_FINANCIAL_INSTRU4

FAIR VALUE OF FINANCIAL INSTRUMENTS (Details 3) (USD $)	Mar. 31, 2014	Dec. 31, 2013
In Thousands, unless otherwise specified
Assets and liabilities measured at fair value on a recurring and non- recurring basis	'	'
Net carrying value	$6,202,732	$6,466,720
Corporate loans held for sale	'	'
Assets and liabilities measured at fair value on a recurring and non- recurring basis	'	'
Net carrying value	510,687	279,748
Amortized Cost | Corporate loans held for sale	'	'
Assets and liabilities measured at fair value on a recurring and non- recurring basis	'	'
Loans held for sale	362,300	183,600
Non-recurring basis | Significant Other Observable Inputs (Level 2)	'	'
Assets and liabilities measured at fair value on a recurring and non- recurring basis	'	'
Loans held for sale	140,166	90,485
Asset, fair value	140,166	90,485
Non-recurring basis | Significant Unobservable Inputs (Level 3)	'	'
Assets and liabilities measured at fair value on a recurring and non- recurring basis	'	'
Loans held for sale	8,203	5,568
Asset, fair value	8,203	5,568
Non-recurring basis | Estimated Fair Value	'	'
Assets and liabilities measured at fair value on a recurring and non- recurring basis	'	'
Liabilities measured at fair value on a non-recurring basis	0	0
Loans held for sale	148,369	96,053
Asset, fair value	$148,369	$96,053

FAIR_VALUE_OF_FINANCIAL_INSTRU5

FAIR VALUE OF FINANCIAL INSTRUMENTS (Details 4) (USD $)

3 Months Ended

12 Months Ended

3 Months Ended

In Thousands, unless otherwise specified

Mar. 31, 2014

Dec. 31, 2013

Mar. 31, 2014

Mar. 31, 2013

Mar. 31, 2014

Mar. 31, 2013

Mar. 31, 2014

Mar. 31, 2013

Mar. 31, 2014

Mar. 31, 2013

Mar. 31, 2014

Mar. 31, 2013

Mar. 31, 2014

Mar. 31, 2013

Mar. 31, 2014

Mar. 31, 2013

Mar. 31, 2013

Mar. 31, 2014

Securities Available-For-Sale: Corporate Debt Securities

Securities Available-For-Sale: Corporate Debt Securities

Other Securities, at Estimated Fair Value

Other Securities, at Estimated Fair Value

Residential Mortgage-Backed Securities

Residential Mortgage-Backed Securities

Corporate Loans, at Estimated Fair Value

Corporate Loans, at Estimated Fair Value

Equity investments, at estimated fair value

Equity investments, at estimated fair value

Interests in Joint Ventures and Partnerships

Interests in Joint Ventures and Partnerships

Foreign Exchange Options, Net

Foreign Exchange Options, Net

Common Stock Warrants

Options

Reconciliation of assets measured on Level 3 basis

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Balance at the beginning of the period

'

'

$23,401

$42,221

$107,530

$2,909

$76,004

$83,842

$152,800

$16,141

$138,059

$97,746

$415,247

$142,477

$8,941

$8,277

$1,574

$6,794

Total gain or losses (for the period)

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Included in earnings

'

'

22

-117

3,059

328

3,088

5,721

-5,123

-1,426

9,076

4,516

22,377

6,679

-813

-2,927

245

-302

Included in other comprehensive income

'

'

121

90

'

'

'

'

'

'

'

'

'

'

'

'

'

'

Transfers out of Level 3

'

'

'

'

'

'

'

'

'

'

-8,751

'

'

'

'

'

'

'

Purchases

'

'

'

'

25,000

'

'

'

8,822

3,073

'

'

42,683

22,812

'

'

'

'

Sales

'

'

'

'

'

'

-17,810

'

'

'

'

'

'

'

'

'

'

'

Settlements

'

'

-16

-111

-10,078

'

-2,529

-2,535

-3,104

-463

120,593

'

14,113

-2,037

'

'

'

'

Balance at the end of the period

'

'

23,528

42,083

125,511

3,237

58,753

87,028

153,395

17,325

258,977

102,262

494,420

169,931

8,128

5,350

1,819

6,492

Change in unrealized gains or losses for the period included in earnings for assets held at the end of the reporting period

'

'

22

-117

3,059

328

3,739

12,088

3,205

-1,722

8,156

4,516

22,377

6,679

-813

-2,927

245

-302

Transfers into Level 3

$0

$0

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

'

FAIR_VALUE_OF_FINANCIAL_INSTRU6

FAIR VALUE OF FINANCIAL INSTRUMENTS (Details 5) (USD $)	3 Months Ended	12 Months Ended
In Thousands, except Per Share data, unless otherwise specified	Mar. 31, 2014	Dec. 31, 2013
Minimum	'	'
Valuation techniques used for assets, measured at fair value	'	'
Weight ascribed to each valuation technique	0.00%	0.00%
Maximum	'	'
Valuation techniques used for assets, measured at fair value	'	'
Weight ascribed to each valuation technique	100.00%	100.00%
Unobservable Inputs | Foreign exchange options	'	'
Valuation techniques used for assets, measured at fair value	'	'
Assets, fair value (in dollars)	8,128	8,941
Unobservable Inputs | Securities available-for-sale | Corporate debt securities	'	'
Valuation techniques used for assets, measured at fair value	'	'
Assets, fair value (in dollars)	23,528	23,401
Unobservable Inputs | Other securities, at estimated fair value	'	'
Valuation techniques used for assets, measured at fair value	'	'
Assets, fair value (in dollars)	125,511	107,530
Unobservable Inputs | Residential mortgage-backed securities	'	'
Valuation techniques used for assets, measured at fair value	'	'
Assets, fair value (in dollars)	58,753	76,004
Unobservable Inputs | Corporate loans, at estimated fair value	'	'
Valuation techniques used for assets, measured at fair value	'	'
Assets, fair value (in dollars)	153,395	152,800
Unobservable Inputs | Equity investments, at estimated fair value	'	'
Valuation techniques used for assets, measured at fair value	'	'
Assets, fair value (in dollars)	258,977	138,059
Unobservable Inputs | Equity investments, at estimated fair value | Minimum	'	'
Valuation techniques used for assets, measured at fair value	'	'
Illiquidity discount	5.00%	5.00%
Unobservable Inputs | Interests in joint ventures and partnerships	'	'
Valuation techniques used for assets, measured at fair value	'	'
Assets, fair value (in dollars)	494,420	415,247
Unobservable Inputs | Options	'	'
Valuation techniques used for assets, measured at fair value	'	'
Assets, fair value (in dollars)	6,492	6,794
Unobservable Inputs | Yield Analysis | Securities available-for-sale | Corporate debt securities | Weighted Average	'	'
Valuation techniques used for assets, measured at fair value	'	'
Yield	10.00%	10.00%
Net leverage	12	12
EBITDA multiple	9	8
Unobservable Inputs | Yield Analysis | Securities available-for-sale | Corporate debt securities | Minimum	'	'
Valuation techniques used for assets, measured at fair value	'	'
Yield	6.00%	6.00%
Net leverage	11	11
EBITDA multiple	8	8
Unobservable Inputs | Yield Analysis | Securities available-for-sale | Corporate debt securities | Maximum	'	'
Valuation techniques used for assets, measured at fair value	'	'
Yield	12.00%	12.00%
Net leverage	12	12
EBITDA multiple	9	9
Unobservable Inputs | Yield Analysis | Other securities, at estimated fair value	'	'
Valuation techniques used for assets, measured at fair value	'	'
Illiquidity discount	'	3.00%
EBITDA multiple	7	'
Discount margin	5.30%	'
Unobservable Inputs | Yield Analysis | Other securities, at estimated fair value | Weighted Average	'	'
Valuation techniques used for assets, measured at fair value	'	'
Yield	13.00%	12.00%
Net leverage	'	1
Illiquidity discount	'	3.00%
EBITDA multiple	7	8
Discount margin	5.30%	'
Unobservable Inputs | Yield Analysis | Other securities, at estimated fair value | Minimum	'	'
Valuation techniques used for assets, measured at fair value	'	'
Yield	7.00%	7.00%
Net leverage	'	1
EBITDA multiple	'	7
Unobservable Inputs | Yield Analysis | Other securities, at estimated fair value | Maximum	'	'
Valuation techniques used for assets, measured at fair value	'	'
Yield	15.00%	17.00%
Net leverage	'	2
EBITDA multiple	'	8
Unobservable Inputs | Yield Analysis | Corporate loans, at estimated fair value | Weighted Average	'	'
Valuation techniques used for assets, measured at fair value	'	'
Yield	14.00%	16.00%
Net leverage	7	7
EBITDA multiple	9	8
Unobservable Inputs | Yield Analysis | Corporate loans, at estimated fair value | Minimum	'	'
Valuation techniques used for assets, measured at fair value	'	'
Yield	5.00%	14.00%
Net leverage	4	4
EBITDA multiple	6	6
Unobservable Inputs | Yield Analysis | Corporate loans, at estimated fair value | Maximum	'	'
Valuation techniques used for assets, measured at fair value	'	'
Yield	18.00%	23.00%
Net leverage	16	12
EBITDA multiple	12	11
Unobservable Inputs | Broker quotes | Securities available-for-sale | Corporate debt securities	'	'
Valuation techniques used for assets, measured at fair value	'	'
Offered quotes (in dollars per share)	105	'
Unobservable Inputs | Broker quotes | Securities available-for-sale | Corporate debt securities | Weighted Average	'	'
Valuation techniques used for assets, measured at fair value	'	'
Offered quotes (in dollars per share)	105	105
Unobservable Inputs | Broker quotes | Securities available-for-sale | Corporate debt securities | Minimum	'	'
Valuation techniques used for assets, measured at fair value	'	'
Offered quotes (in dollars per share)	'	104
Unobservable Inputs | Broker quotes | Securities available-for-sale | Corporate debt securities | Maximum	'	'
Valuation techniques used for assets, measured at fair value	'	'
Offered quotes (in dollars per share)	'	105
Unobservable Inputs | Broker quotes | Other securities, at estimated fair value | Weighted Average	'	'
Valuation techniques used for assets, measured at fair value	'	'
Offered quotes (in dollars per share)	103	102
Unobservable Inputs | Broker quotes | Other securities, at estimated fair value | Minimum	'	'
Valuation techniques used for assets, measured at fair value	'	'
Offered quotes (in dollars per share)	103	101
Unobservable Inputs | Broker quotes | Other securities, at estimated fair value | Maximum	'	'
Valuation techniques used for assets, measured at fair value	'	'
Offered quotes (in dollars per share)	104	102
Unobservable Inputs | Discounted cash flow | Residential mortgage-backed securities | Weighted Average	'	'
Valuation techniques used for assets, measured at fair value	'	'
Probability of default	7.00%	7.00%
Loss severity	25.00%	28.00%
Constant prepayment rate	13.00%	15.00%
Unobservable Inputs | Discounted cash flow | Residential mortgage-backed securities | Minimum	'	'
Valuation techniques used for assets, measured at fair value	'	'
Probability of default	0.00%	0.00%
Loss severity	12.00%	16.00%
Constant prepayment rate	5.00%	3.00%
Unobservable Inputs | Discounted cash flow | Residential mortgage-backed securities | Maximum	'	'
Valuation techniques used for assets, measured at fair value	'	'
Probability of default	21.00%	21.00%
Loss severity	37.00%	77.00%
Constant prepayment rate	24.00%	35.00%
Unobservable Inputs | Discounted cash flow | Equity investments, at estimated fair value | Weighted Average	'	'
Valuation techniques used for assets, measured at fair value	'	'
Weighted average cost of capital	14.00%	11.00%
LTM EBITDA exit multiple	8	10
Unobservable Inputs | Discounted cash flow | Equity investments, at estimated fair value | Minimum	'	'
Valuation techniques used for assets, measured at fair value	'	'
Weighted average cost of capital	9.00%	8.00%
LTM EBITDA exit multiple	4	4
Unobservable Inputs | Discounted cash flow | Equity investments, at estimated fair value | Maximum	'	'
Valuation techniques used for assets, measured at fair value	'	'
Weighted average cost of capital	20.00%	14.00%
LTM EBITDA exit multiple	10	11
Unobservable Inputs | Discounted cash flow | Interests in joint ventures and partnerships | Weighted Average	'	'
Valuation techniques used for assets, measured at fair value	'	'
Weighted average cost of capital	12.00%	12.00%
Unobservable Inputs | Discounted cash flow | Interests in joint ventures and partnerships | Minimum	'	'
Valuation techniques used for assets, measured at fair value	'	'
Weighted average cost of capital	8.00%	8.00%
Unobservable Inputs | Discounted cash flow | Interests in joint ventures and partnerships | Maximum	'	'
Valuation techniques used for assets, measured at fair value	'	'
Weighted average cost of capital	24.00%	24.00%
Unobservable Inputs | Discounted cash flow | Options	'	'
Valuation techniques used for assets, measured at fair value	'	'
Weighted average cost of capital	12.00%	12.00%
LTM EBITDA exit multiple	10	'
Unobservable Inputs | Discounted cash flow | Options | Weighted Average	'	'
Valuation techniques used for assets, measured at fair value	'	'
Weighted average cost of capital	12.00%	12.00%
LTM EBITDA exit multiple	10	10
Unobservable Inputs | Discounted cash flow | Options | Minimum	'	'
Valuation techniques used for assets, measured at fair value	'	'
LTM EBITDA exit multiple	'	9
Unobservable Inputs | Discounted cash flow | Options | Maximum	'	'
Valuation techniques used for assets, measured at fair value	'	'
LTM EBITDA exit multiple	'	10
Unobservable Inputs | Market comparables | Equity investments, at estimated fair value | Weighted Average	'	'
Valuation techniques used for assets, measured at fair value	'	'
LTM EBITDA multiple	10	12
Forward EBITDA multiple	10	12
Unobservable Inputs | Market comparables | Equity investments, at estimated fair value | Minimum	'	'
Valuation techniques used for assets, measured at fair value	'	'
LTM EBITDA multiple	6	6
Forward EBITDA multiple	7	10
Unobservable Inputs | Market comparables | Equity investments, at estimated fair value | Maximum	'	'
Valuation techniques used for assets, measured at fair value	'	'
LTM EBITDA multiple	18	16
Forward EBITDA multiple	16	14
Unobservable Inputs | Market comparables | Interests in joint ventures and partnerships	'	'
Valuation techniques used for assets, measured at fair value	'	'
LTM EBITDA multiple	9	9
Unobservable Inputs | Market comparables | Interests in joint ventures and partnerships | Weighted Average	'	'
Valuation techniques used for assets, measured at fair value	'	'
LTM EBITDA multiple	9	9
Current capitalization rate	7.00%	7.00%
Unobservable Inputs | Market comparables | Interests in joint ventures and partnerships | Minimum	'	'
Valuation techniques used for assets, measured at fair value	'	'
Current capitalization rate	6.00%	6.00%
Unobservable Inputs | Market comparables | Interests in joint ventures and partnerships | Maximum	'	'
Valuation techniques used for assets, measured at fair value	'	'
Current capitalization rate	9.00%	9.00%
Unobservable Inputs | Market comparables | Options	'	'
Valuation techniques used for assets, measured at fair value	'	'
LTM EBITDA multiple	9	9
Unobservable Inputs | Market comparables | Options | Weighted Average	'	'
Valuation techniques used for assets, measured at fair value	'	'
LTM EBITDA multiple	9	9
Unobservable Inputs | Inputs to both market comparables and discounted cash flow | Equity investments, at estimated fair value | Weighted Average	'	'
Valuation techniques used for assets, measured at fair value	'	'
Weight ascribed to market comparables	54.00%	50.00%
Weight ascribed to discounted cash flows	62.00%	59.00%
Unobservable Inputs | Inputs to both market comparables and discounted cash flow | Equity investments, at estimated fair value | Minimum	'	'
Valuation techniques used for assets, measured at fair value	'	'
Weight ascribed to market comparables	25.00%	33.00%
Weight ascribed to discounted cash flows	50.00%	50.00%
Unobservable Inputs | Inputs to both market comparables and discounted cash flow | Equity investments, at estimated fair value | Maximum	'	'
Valuation techniques used for assets, measured at fair value	'	'
Weight ascribed to market comparables	100.00%	100.00%
Weight ascribed to discounted cash flows	100.00%	100.00%
Unobservable Inputs | Inputs to both market comparables and discounted cash flow | Interests in joint ventures and partnerships | Weighted Average	'	'
Valuation techniques used for assets, measured at fair value	'	'
Weight ascribed to market comparables	52.00%	50.00%
Weight ascribed to discounted cash flows	65.00%	50.00%
Unobservable Inputs | Inputs to both market comparables and discounted cash flow | Interests in joint ventures and partnerships | Minimum	'	'
Valuation techniques used for assets, measured at fair value	'	'
Weight ascribed to market comparables	50.00%	50.00%
Weight ascribed to discounted cash flows	50.00%	50.00%
Unobservable Inputs | Inputs to both market comparables and discounted cash flow | Interests in joint ventures and partnerships | Maximum	'	'
Valuation techniques used for assets, measured at fair value	'	'
Weight ascribed to market comparables	100.00%	100.00%
Weight ascribed to discounted cash flows	100.00%	100.00%
Unobservable Inputs | Inputs to both market comparables and discounted cash flow | Options	'	'
Valuation techniques used for assets, measured at fair value	'	'
Weight ascribed to market comparables	50.00%	50.00%
Weight ascribed to discounted cash flows	50.00%	50.00%
Unobservable Inputs | Inputs to both market comparables and discounted cash flow | Options | Weighted Average	'	'
Valuation techniques used for assets, measured at fair value	'	'
Weight ascribed to market comparables	50.00%	50.00%
Weight ascribed to discounted cash flows	50.00%	50.00%
Unobservable Inputs | Option pricing model | Foreign exchange options | Weighted Average	'	'
Valuation techniques used for assets, measured at fair value	'	'
Forward and spot rates, Assets	1	1
Unobservable Inputs | Option pricing model | Foreign exchange options | Minimum	'	'
Valuation techniques used for assets, measured at fair value	'	'
Forward and spot rates, Assets	0	0
Unobservable Inputs | Option pricing model | Foreign exchange options | Maximum	'	'
Valuation techniques used for assets, measured at fair value	'	'
Forward and spot rates, Assets	1	1

SEGMENT_REPORTING_Details

SEGMENT REPORTING (Details) (USD $)	3 Months Ended
In Thousands, unless otherwise specified	Mar. 31, 2014	Mar. 31, 2013	Dec. 31, 2013
Reconciliation of operating profit loss from segment to consolidated	'	'	'
Total revenues	$140,590	$140,450	'
Total investment costs and expenses	73,770	81,049	'
Total other income (loss)	72,840	74,220	'
Total other expenses	31,458	34,827	'
Income tax expense	19	458	'
Net income	108,183	98,336	'
Incentive fees	12,900	17,200	'
Net loss on restructuring and extinguishment of debt	'	20,269	'
Total assets	9,162,329	'	8,717,198
Reportable segments | Credit	'	'	'
Reconciliation of operating profit loss from segment to consolidated	'	'	'
Total revenues	96,562	115,149	'
Total investment costs and expenses	45,873	61,399	'
Total other income (loss)	64,516	93,926	'
Total other expenses	15,835	13,968	'
Income tax expense	19	457	'
Net income	99,351	133,251	'
Total assets	8,407,372	'	8,020,353
Reportable segments | Natural Resources	'	'	'
Reconciliation of operating profit loss from segment to consolidated	'	'	'
Total revenues	44,028	23,805	'
Total investment costs and expenses	27,576	19,469	'
Total other income (loss)	-5,389	-4,746	'
Total other expenses	1,154	1,630	'
Net income	9,909	-2,040	'
Total assets	528,705	'	505,029
Reportable segments | Other	'	'	'
Reconciliation of operating profit loss from segment to consolidated	'	'	'
Total revenues	'	1,496	'
Total investment costs and expenses	321	181	'
Total other income (loss)	13,713	5,309	'
Total other expenses	140	124	'
Income tax expense	'	1	'
Net income	13,252	6,499	'
Total assets	225,552	'	190,946
Reconciling Items	'	'	'
Reconciliation of operating profit loss from segment to consolidated	'	'	'
Total other income (loss)	'	-20,269	'
Total other expenses	14,329	19,105	'
Net income	-14,329	-39,374	'
Total assets	$700	'	$870

SUBSEQUENT_EVENTS_Details

SUBSEQUENT EVENTS (Details) (USD $)	Mar. 31, 2014	Dec. 31, 2013	Mar. 25, 2014	Nov. 30, 2012	Mar. 31, 2014	Dec. 31, 2013	Mar. 31, 2014	Dec. 31, 2013	Mar. 31, 2014	Apr. 30, 2014
			Series A LLC Preferred Shares	2015 Facility	2015 Facility	2015 Facility	TXU	TXU	TXU	Subsequent Event
									Corporate Loans Held for Sale	2015 Facility
Subsequent events	'	'	'	'	'	'	'	'	'	'
Terminated revolving credit facility, term	'	'	'	'3 years	'	'	'	'	'	'3 years
Borrowing capacity of terminated revolving credit facility	'	'	'	$150,000,000	'	'	'	'	'	$150,000,000
Amount outstanding	'	'	'	'	0	75,000,000	'	'	'	'
Aggregate amortization cost of impaired loans	'	'	'	'	'	'	311,600,000	311,600,000	'	'
Recorded investment	$397,580,000	$554,442,000	'	'	'	'	'	'	$29,800,000	'
Cash distribution declared (in dollars per share)	'	'	$0.46	'	'	'	'	'	'	'