Cover
Cover - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Mar. 19, 2024 | Jun. 30, 2023 | |
Entity Information [Line Items] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2023 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Transition Report | false | ||
Entity File Number | 001-35500 | ||
Entity Registrant Name | Brookfield Oaktree Holdings, LLC | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 26-0174894 | ||
Entity Address, Address Line One | 333 South Grand Avenue | ||
Entity Address, Address Line Two | 28th Floor | ||
Entity Address, City or Town | Los Angeles | ||
Entity Address, State or Province | CA | ||
Entity Address, Postal Zip Code | 90071 | ||
City Area Code | 213 | ||
Local Phone Number | 830-6300 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Non-accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | false | ||
Document Financial Statement Error Correction [Flag] | false | ||
Entity Shell Company | false | ||
Documents Incorporated by Reference | None | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2023 | ||
Document Fiscal Period Focus | FY | ||
Entity Central Index Key | 0001403528 | ||
Entity Public Float | $ 0 | ||
6.625% Series A preferred units | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | 6.625% Series A preferred units | ||
Trading Symbol | OAK-PA | ||
Security Exchange Name | NYSE | ||
6.550% Series B preferred units | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | 6.550% Series B preferred units | ||
Trading Symbol | OAK-PB | ||
Security Exchange Name | NYSE | ||
Class A Units | |||
Entity Information [Line Items] | |||
Entity Common Stock, Shares Outstanding | 109,198,991 | ||
Class B Units | |||
Entity Information [Line Items] | |||
Entity Common Stock, Shares Outstanding | 50,930,598 |
Audit Information
Audit Information | 12 Months Ended |
Dec. 31, 2023 | |
Auditor Information [Abstract] | |
Auditor Name | Ernst & Young LLP |
Auditor Location | Los Angeles, California |
Auditor Firm ID | 42 |
Consolidated Statements of Fina
Consolidated Statements of Financial Condition - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Assets | ||
Derivative assets, at fair value | $ 17,741 | $ 24,077 |
Total assets | 7,555,933 | 5,654,889 |
Liabilities: | ||
Derivative liabilities, at fair value | 30,750 | 35,862 |
Total liabilities | 1,634,479 | 1,565,837 |
Commitments and contingencies (Note 14) | ||
Unitholders’ capital: | ||
Paid-in capital | 1,529,909 | 908,142 |
Retained earnings | 334,314 | 246,353 |
Accumulated other comprehensive loss | (13,096) | (9,101) |
Unitholders’ capital attributable to Brookfield Oaktree Holdings, LLC | 2,251,711 | 1,545,978 |
Non-controlling interests in consolidated subsidiaries | 333,195 | 360,660 |
Total unitholders’ capital | 2,584,906 | 1,906,638 |
Total liabilities and unitholders’ capital | 7,555,933 | 5,654,889 |
Related Party | ||
Assets | ||
Due from affiliates | 232,485 | 207,874 |
Liabilities: | ||
Due to affiliates | 62,759 | 36,164 |
Series A Preferred Units | ||
Unitholders’ capital: | ||
Preferred stock | 173,669 | 173,669 |
Series B Preferred Units | ||
Unitholders’ capital: | ||
Preferred stock | 226,915 | 226,915 |
Class A Units | ||
Unitholders’ capital: | ||
Common stock | 0 | 0 |
Class B Units | ||
Unitholders’ capital: | ||
Common stock | 0 | 0 |
Oaktree Capital Group Excluding Consolidated Funds | ||
Assets | ||
Cash and cash-equivalents | 28,507 | 9,514 |
Investments | 1,532,208 | 1,191,504 |
Other assets, net | 66,650 | 51,008 |
Liabilities: | ||
Accrued compensation expense | 138,841 | 124,253 |
Debt obligations | 219,682 | 212,195 |
Oaktree Capital Group Excluding Consolidated Funds | Related Party | ||
Assets | ||
Due from affiliates | 232,485 | 207,874 |
Liabilities: | ||
Due to affiliates | 62,759 | 36,164 |
Oaktree Capital Group Excluding Consolidated Funds | Nonrelated Party | ||
Liabilities: | ||
Due to affiliates | 3,837 | 4,483 |
Consolidated Funds | ||
Assets | ||
Cash and cash-equivalents | 308,172 | 166,616 |
Investments | 5,143,677 | 3,908,613 |
Other assets, net | 78,411 | 42,232 |
Dividends and interest receivable | 37,839 | 26,029 |
Due from brokers | 0 | 37,375 |
Receivable for securities sold | 118,851 | 3,387 |
Derivative assets, at fair value | 9,133 | 10,737 |
Total assets | 5,700,000 | |
Liabilities: | ||
Due to affiliates | 14,701 | 8,985 |
Payables for securities purchased | 124,789 | 153,439 |
Derivative liabilities, at fair value | 22,230 | 24,022 |
Distributions payable | 95,690 | 1,437 |
Debt obligations of the consolidated funds | 951,950 | 1,000,859 |
Total liabilities | 1,200,000 | |
Non-controlling redeemable interests in consolidated funds | $ 3,336,548 | $ 2,182,414 |
Consolidated Statements of Fi_2
Consolidated Statements of Financial Condition (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Series A Preferred Units | ||
Preferred stock, shares issued (in shares) | 7,200,000 | 7,200,000 |
Preferred stock, shares outstanding (in shares) | 7,200,000 | 7,200,000 |
Series B Preferred Units | ||
Preferred stock, shares issued (in shares) | 9,400,000 | 9,400,000 |
Preferred stock, shares outstanding (in shares) | 9,400,000 | 9,400,000 |
Class A Units | ||
Common stock, par value (in dollars per share) | $ 0 | $ 0 |
Common stock, shares issued (in shares) | 109,198,991 | 103,080,160 |
Common stock, shares outstanding (in shares) | 109,198,991 | 103,080,160 |
Class B Units | ||
Common stock, par value (in dollars per share) | $ 0 | $ 0 |
Common stock, shares issued (in shares) | 50,915,764 | 56,922,688 |
Common stock, shares outstanding (in shares) | 50,915,764 | 56,922,688 |
Oaktree Capital Group Excluding Consolidated Funds | ||
Investments, at fair value | $ 402,620 | $ 108,159 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Revenues: | |||
Total revenues | $ 267,325 | $ 492,593 | $ 1,454,410 |
Expenses: | |||
Compensation and benefits | (675) | (142,079) | (162,260) |
Equity-based compensation | 0 | (6,566) | (10,521) |
Incentive income compensation | (134,837) | (94,427) | (594,300) |
Total compensation and benefits expense | (135,512) | (243,072) | (767,081) |
General and administrative | (5,556) | (24,512) | (21,694) |
Depreciation and amortization | 0 | (1,581) | (2,332) |
Consolidated fund expenses | (65,768) | (77,978) | (75,338) |
Total expenses | (206,836) | (347,143) | (866,445) |
Other income (loss): | |||
Interest expense | (50,272) | (248,401) | (155,265) |
Interest and dividend income | 348,801 | 557,844 | 389,251 |
Net realized gain (loss) on consolidated funds’ investments | 79,420 | (13,114) | 22,238 |
Net change in unrealized appreciation (depreciation) on consolidated funds’ investments | 29,064 | (15,023) | 122,517 |
Investment income | 72,664 | 51,265 | 203,041 |
Other income, net | 0 | 0 | 19 |
Total other income (loss) | 479,677 | 332,571 | 581,801 |
Income before income taxes | 540,166 | 478,021 | 1,169,766 |
Income taxes | 0 | (14,931) | (12,387) |
Net income | 540,166 | 463,090 | 1,157,379 |
Less: | |||
Net income attributable to Brookfield Oaktree Holdings, LLC | 221,177 | 203,646 | 631,660 |
Net (income) attributable to preferred unitholders | (27,316) | (27,316) | (27,316) |
Net income attributable to Brookfield Oaktree Holdings, LLC Class A unitholders | $ 193,861 | $ 176,330 | $ 604,344 |
Distributions declared per Class A unit (in dollars per share) | $ 1 | $ 1.86 | $ 4.68 |
Net income per unit (basic and diluted): | |||
Net income per Class A unit, basic (in dollars per share) | 1.80 | 1.73 | 6.10 |
Net income per Class A unit, diluted (in dollars per share) | $ 1.80 | $ 1.73 | $ 6.10 |
Weighted average number of Class A units outstanding, basic (in shares) | 107,590 | 102,043 | 99,031 |
Weighted average number of Class A units outstanding, diluted (in shares) | 107,590 | 102,043 | 99,031 |
Consolidated Funds | |||
Less: | |||
Net (income) loss attributable to non-controlling interests | $ (245,928) | $ (190,905) | $ (186,515) |
Consolidated Subsidiaries | |||
Less: | |||
Net (income) loss attributable to non-controlling interests | (73,061) | (68,539) | (339,204) |
Management fees | |||
Revenues: | |||
Total revenues | 0 | 224,141 | 234,786 |
Incentive income | |||
Revenues: | |||
Total revenues | $ 267,325 | $ 268,452 | $ 1,219,624 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Net income | $ 540,166 | $ 463,090 | $ 1,157,379 |
Other comprehensive income (loss), net of tax: | |||
Foreign currency translation adjustments | (6,529) | (8,621) | 4,418 |
Other comprehensive income (loss), net of tax | (6,529) | (8,621) | 4,418 |
Total comprehensive income | 533,637 | 454,469 | 1,161,797 |
Consolidated Funds | |||
Other comprehensive income (loss), net of tax: | |||
Less: Comprehensive (income) loss attributable to non-controlling interests | (245,928) | (190,905) | (186,515) |
Consolidated Subsidiaries | |||
Other comprehensive income (loss), net of tax: | |||
Less: Comprehensive (income) loss attributable to non-controlling interests | (70,527) | (65,685) | (341,542) |
Parent Company | |||
Other comprehensive income (loss), net of tax: | |||
Comprehensive income attributable to BOH | 217,182 | 197,879 | 633,740 |
Comprehensive (income) attributable to preferred unitholders | (27,316) | (27,316) | (27,316) |
Comprehensive income attributable to BOH Class A unitholders | $ 189,866 | $ 170,563 | $ 606,424 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Cash flows from operating activities: | |||
Net income | $ 540,166 | $ 463,090 | $ 1,157,379 |
Adjustments to reconcile net income to net cash used in operating activities: | |||
Investment income | (72,664) | (51,265) | (203,041) |
Depreciation and amortization | 0 | 1,581 | 2,332 |
Equity-based compensation | 0 | 6,566 | 10,521 |
Net realized and unrealized (gain) loss from consolidated funds’ investments | (108,484) | 28,137 | (144,755) |
Accretion of original issue and market discount of consolidated funds’ investments, net | (29,359) | (22,628) | (13,717) |
Income distributions from corporate investments in funds and companies | 62,622 | 111,904 | 201,983 |
SPAC deconsolidation gain and other non-cash items | (134) | (52,503) | (72,347) |
Cash flows due to changes in operating assets and liabilities: | |||
Net cash used in operating activities | (730,722) | (1,894,219) | (2,731,821) |
Cash flows from investing activities: | |||
Purchases of U.S. Treasury and other securities | 0 | (17,446) | (16,322) |
Proceeds from maturities and sales of U.S. Treasury and other securities | 0 | 12,948 | 23,938 |
Corporate investments in funds and companies | (488,280) | (308,394) | (179,996) |
Distributions and proceeds from corporate investments in funds and companies | 121,638 | 84,632 | 357,734 |
Purchases of fixed assets | 0 | (466) | (583) |
Net cash (used in) provided by investing activities | (366,642) | (228,726) | 184,771 |
Cash flows from financing activities: | |||
Capital contributions, net | 581,502 | 146,892 | 183,684 |
Net cash provided by financing activities | 1,261,908 | 1,994,683 | 2,747,040 |
Effect of exchange rate changes on cash | 856 | (26,248) | (24,753) |
Net (decrease) increase in cash and cash-equivalents | 165,400 | (154,510) | 175,237 |
Deconsolidation due to restructuring | 0 | (94,367) | 0 |
Initial consolidation (deconsolidation) of funds | (4,851) | (734,112) | (216,459) |
Cash and cash-equivalents, beginning balance | 176,130 | 1,159,119 | 1,200,341 |
Cash and cash-equivalents, ending balance | 336,679 | 176,130 | 1,159,119 |
Supplemental cash flow disclosures: | |||
Cash paid for interest | 48,223 | 202,740 | 127,228 |
Cash paid for income taxes | 0 | 8,786 | 8,208 |
Supplemental disclosure of non-cash activities: | |||
Net assets related to the deconsolidation of funds | 4,957 | 329,570 | 350,422 |
Net assets related to the deconsolidation due to 2022 Restructuring | 0 | 467,975 | 0 |
Oaktree Capital Group Excluding Consolidated Funds | |||
Cash flows due to changes in operating assets and liabilities: | |||
(Increase) decrease in deferred tax assets | 0 | 505 | 335 |
Decrease (increase) in other assets | 11,775 | (12,277) | 2,601 |
Increase (decrease) in net due to affiliates | 2,511 | 92,544 | (232,783) |
Increase (decrease) in accrued compensation expense | 14,588 | (1,387) | 108,922 |
Increase (decrease) in accounts payable, accrued expenses and other liabilities | (645) | 1,295 | (3,871) |
Cash flows from financing activities: | |||
Distributions to Class A unitholders | (97,293) | (190,591) | (465,669) |
Distributions to OCGH unitholders | (53,058) | (111,319) | (286,647) |
Distributions to preferred unitholders | (27,316) | (27,316) | (27,316) |
Proceeds from issuance of debt obligations | 0 | 214,094 | 0 |
Payment of debt issuance costs | (128) | (1,311) | 0 |
Cash and cash-equivalents, beginning balance | 9,514 | 167,319 | |
Cash and cash-equivalents, ending balance | 28,507 | 9,514 | 167,319 |
Consolidated Funds | |||
Cash flows due to changes in operating assets and liabilities: | |||
Increase (decrease) in accounts payable, accrued expenses and other liabilities | 99,194 | 13,869 | 41,764 |
Increase in dividends and interest receivable | (11,812) | (37,462) | (19,439) |
(Increase) decrease in due from brokers | 0 | (22,086) | (15,201) |
Increase in receivables for securities sold | (115,460) | 132,654 | (107,242) |
(Increase) decrease in other assets | 1,597 | (22,693) | 25,989 |
Increase in payables for securities purchased | (28,525) | (275,532) | 462,772 |
Purchases of securities | (4,800,884) | (7,730,412) | (9,683,352) |
Proceeds from maturities and sales of securities | 3,704,792 | 5,481,881 | 5,749,329 |
Cash flows from financing activities: | |||
Payment of debt issuance costs | 0 | (7,611) | (2,577) |
Contributions from non-controlling interests | 1,223,103 | 727,382 | 1,189,486 |
Distributions to non-controlling interests | (315,998) | (207,360) | (171,883) |
Proceeds from debt obligations issued by CLOs | 0 | 2,575,561 | 5,367,766 |
Repayment on debt obligations issued by CLOs | 0 | (1,042,672) | (3,800,803) |
Borrowings on credit facilities | 1,341,800 | 592,275 | 760,999 |
Repayments on credit facilities | (1,390,704) | (673,341) | 0 |
Cash and cash-equivalents, beginning balance | 166,616 | 991,800 | |
Cash and cash-equivalents, ending balance | $ 308,172 | $ 166,616 | $ 991,800 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Unitholders' Capital - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Beginning balance | $ 1,906,638 | $ 2,272,602 | $ 1,879,988 |
Capital contributions | 583,402 | 150,000 | 201,241 |
Restructuring equity distribution of entities | 0 | (467,975) | |
Equity reallocation between controlling and non-controlling interests | (1,900) | (3,108) | (3,816) |
Capital increase related to equity-based compensation | 0 | 6,566 | 10,521 |
Distributions declared | (190,943) | (315,011) | (790,614) |
Net income | 294,238 | 272,185 | 970,864 |
Foreign currency translation adjustment, net of tax | (6,529) | (8,621) | 4,418 |
Ending balance | 2,584,906 | 1,906,638 | 2,272,602 |
Cumulative-effect adjustment from adoption of accounting guidance | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Beginning balance | 0 | ||
Paid-in Capital | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Beginning balance | 908,142 | 1,011,333 | 819,963 |
Capital contributions | 583,402 | 150,000 | 196,015 |
Restructuring equity distribution of entities | 0 | (290,372) | |
Equity reallocation between controlling and non-controlling interests | 38,365 | 33,107 | (11,155) |
Capital increase related to equity-based compensation | 0 | 4,074 | 6,510 |
Ending balance | 1,529,909 | 908,142 | 1,011,333 |
Retained Earnings (Accumulated Deficit) | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Beginning balance | 246,353 | 251,791 | 119,920 |
Distributions declared | (105,900) | (181,768) | (472,473) |
Net income | 193,861 | 176,330 | 604,344 |
Ending balance | 334,314 | 246,353 | 251,791 |
Retained Earnings (Accumulated Deficit) | Cumulative-effect adjustment from adoption of accounting guidance | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Beginning balance | 0 | ||
Accumulated Other Comprehensive Income (Loss) | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Beginning balance | (9,101) | (3,334) | (5,414) |
Foreign currency translation adjustment, net of tax | (3,995) | (5,767) | 2,080 |
Ending balance | (13,096) | (9,101) | (3,334) |
Non-controlling Interests in Consolidated Subsidiaries | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Beginning balance | 360,660 | 612,228 | 544,935 |
Capital contributions | 0 | 0 | 5,226 |
Restructuring equity distribution of entities | 0 | (177,603) | |
Equity reallocation between controlling and non-controlling interests | (40,265) | (36,215) | 7,339 |
Capital increase related to equity-based compensation | 0 | 2,492 | 4,011 |
Distributions declared | (57,727) | (105,927) | (290,825) |
Net income | 73,061 | 68,539 | 339,204 |
Foreign currency translation adjustment, net of tax | (2,534) | (2,854) | 2,338 |
Ending balance | $ 333,195 | $ 360,660 | 612,228 |
Non-controlling Interests in Consolidated Subsidiaries | Cumulative-effect adjustment from adoption of accounting guidance | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Beginning balance | $ 0 | ||
Class A Units | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Beginning balance (in shares) | 103,080,160 | ||
Ending balance (in shares) | 109,198,991 | 103,080,160 | |
Class A Units | Common Stock | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Beginning balance (in shares) | 103,081,000 | 99,137,000 | 98,677,000 |
Unit exchange (in shares) | 6,118,000 | 3,944,000 | 460,000 |
Ending balance (in shares) | 109,199,000 | 103,081,000 | 99,137,000 |
Class B Units | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Beginning balance (in shares) | 56,922,688 | ||
Ending balance (in shares) | 50,915,764 | 56,922,688 | |
Class B Units | Common Stock | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Beginning balance (in shares) | 56,922,000 | 60,783,000 | 61,371,000 |
Issuance of units (in shares) | 137,000 | 105,000 | 4,000 |
Unit exchange (in shares) | (6,118,000) | (3,944,000) | (460,000) |
Cancellation of units associated with forfeitures (in shares) | (25,000) | (22,000) | (132,000) |
Ending balance (in shares) | 50,916,000 | 56,922,000 | 60,783,000 |
Series A Preferred Units | Preferred Stock | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Beginning balance | $ 173,669 | $ 173,669 | $ 173,669 |
Distributions declared | (11,924) | (11,924) | (11,924) |
Net income | 11,924 | 11,924 | 11,924 |
Ending balance | 173,669 | 173,669 | 173,669 |
Series B Preferred Units | Preferred Stock | |||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||
Beginning balance | 226,915 | 226,915 | 226,915 |
Distributions declared | (15,392) | (15,392) | (15,392) |
Net income | 15,392 | 15,392 | 15,392 |
Ending balance | $ 226,915 | $ 226,915 | $ 226,915 |
ORGANIZATION AND BASIS OF PRESE
ORGANIZATION AND BASIS OF PRESENTATION | 12 Months Ended |
Dec. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
ORGANIZATION AND BASIS OF PRESENTATION | ORGANIZATION AND BASIS OF PRESENTATION As used in these consolidated financial statements: “Oaktree” refers to the Oaktree Operating Group and, where applicable, their respective subsidiaries and affiliates; and the “Company” refers to Brookfield Oaktree Holdings, LLC (formerly known as Oaktree Capital Group, LLC) and, where applicable, its subsidiaries and affiliates Oaktree is a leader among global investment managers specializing in alternative investments. Oaktree emphasizes an opportunistic, value-oriented and risk-controlled approach to investments in credit, private equity, real assets and listed equities. Funds managed by Oaktree (the “Oaktree funds”) include commingled funds, separate accounts, collateralized loan obligation vehicles (“CLOs”) and business development companies (“BDCs”). Commingled funds include open-end and closed-end limited partnerships in which Oaktree makes an investment and for which it serves as the general partner. CLOs are structured finance vehicles in which Oaktree typically makes an investment and for which it serves as collateral manager. Brookfield Oaktree Holdings, LLC is a Delaware limited liability company that was formed on April 13, 2007 under the name of Oaktree Capital Group, LLC. The Company’s issued and outstanding member interests are divided into certain classes and series of units. The Company’s outstanding units are held by (i) an affiliate of Brookfield Corporation (formerly known as Brookfield Asset Management, Inc.) (“Brookfield”) as the sole holder of the Company’s Class A common units, (ii) preferred unitholders as the holders of Series A and Series B preferred units listed on the NYSE, which represent only the right to receive certain distributions from the Company and such other rights as are specified in the relevant preferred unit designations, and (iii) Oaktree Capital Group Holdings, L.P. (“OCGH”) as the sole holder of the Company’s Class B common units, which units do not represent an economic interest in the Company. OCGH is owned by Oaktree’s senior executives, current and former Oaktree employees, and their respective transferees (collectively, the “OCGH unitholders”). Subject to the operating agreement of the Company, to the extent the approval of any matter requires the vote of the Company’s unitholders, the Class A units are entitled to one vote per unit and the Class B units are entitled to ten votes per unit, voting together as a single class. The Company’s current ownership and operational structure were the results of certain mergers with affiliates of Brookfield completed on September 30, 2019 (the “Mergers”) and subsequent restructurings completed on October 1, 2019 in connection with the Mergers (the “2019 Restructuring”) and on November 30, 2022 in connection with an internal Oaktree reorganization to facilitate the separation of Brookfield’s capital business and asset management business (the “2022 Restructuring”). See Part I, Item I included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2019 filed with the SEC on March 2, 2020 for more information regarding the Mergers and the 2019 Restructuring. See Item 1.01 of the Company’s Current Report on Form 8-K filed with the SEC on December 6, 2022 for more information about the 2022 Restructuring. The Oaktree business is conducted through a group of six operating entities collectively referred to as the “Oaktree Operating Group.” The Oaktree Operating Group consists of: (i) Oaktree Capital I, L.P. (“Oaktree Capital I”), which acts as or controls the general partner of certain Oaktree funds and which holds a majority of Oaktree’s investments in its funds, (ii) Oaktree Capital II, L.P. (“Oaktree Capital II”), a series limited partnership which acts as or controls the general partner of certain Oaktree funds and which includes Oaktree’s investments in certain funds and other businesses, including Oaktree’s investment in DoubleLine Capital, L.P., (iii) Oaktree Capital Management, L.P. (“OCM”), the entity that serves as the U.S. registered investment adviser to most of the Oaktree funds, (iv) Oaktree Capital Management (Cayman), L.P. (“OCM Cayman”), which represents Oaktree’s non-U.S. fee business, (v) Oaktree Investment Holdings, L.P. (“Oaktree Investment Holdings”), which holds certain corporate investments in other entities and (vi) Oaktree AIF Investments, L.P. (“Oaktree AIF”), which primarily holds interests in certain Oaktree fund investments for regulatory and structuring purposes . From the date of the 2019 Restructuring until the date of the 2022 Restructuring, the Company’s operations were conducted through indirect economic interests in only two of these six Oaktree Operating Group entities, specifically Oaktree Capital I and OCM Cayman. As a result of the 2022 Restructuring, however, the Company (i) distributed all of its interests in the economic shares of Oaktree Holdings, Ltd., the parent entity of OCM Cayman, to its sole Class A unitholder and (ii) transferred all of its interests in the voting shares of Oaktree Holdings, Ltd. to Oaktree Capital Holdings, LLC (“OCH”) which is a non-subsidiary affiliate of the Company. Accordingly, subsequent to the 2022 Restructuring, the Company’s operations are now conducted through an indirect economic interest in only one of the Oaktree Operating Group entities, specifically Oaktree Capital I, and because the Company no longer controls or has an economic interest in OCM Cayman, OCM Cayman was deconsolidated as of the effective date of the 2022 Restructuring. Additionally, the Company concluded that it is no longer the primary beneficiary for CLOs as their direct ownership interests are held by OCM Cayman. OCM, an affiliate of the Company, has since the 2019 Restructuring provided certain administrative and other services relating to the operations of the Company’s business. These services are provided pursuant to a Services Agreement between the Company and OCM (as amended from time to time, the “Services Agreement”). Prior to the 2022 Restructuring, the Company’s employees directly provided investment management and administrative support for its non-U.S. fee-based operations, while providing investment management, marketing and administrative services to OCM. The Company received fees from OCM for providing these services. Subsequent to the 2022 Restructuring, the Company will no longer receive such fee-based income from OCM but will continue to pay fees to OCM under the Services Agreement for services it provides to the Company. Subsequent to the 2022 Restructuring, the Company’s revenue continues to include the incentive income generated by certain funds that OCM manages for which the Company acts as general partner and the investment income earned from the investments the Company makes in Oaktree funds, third-party funds and other companies. Investment income generally reflects the investment return on a mark-to-market basis and the Company’s equity participation on the amounts that it invests in Oaktree and third-party funds . Basis of Presentation The accompanying consolidated financial statements are prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”). The consolidated financial statements include the accounts of the Company, its wholly-owned or majority-owned subsidiaries and entities in which the Company is deemed to have a direct or indirect controlling financial interest based on either a variable interest model or voting interest model. Certain of the Oaktree funds consolidated by the Company are investment companies that follow a specialized basis of accounting established by GAAP. All intercompany transactions and balances have been eliminated in consolidation. Use of Estimates |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Accounting Policies of the Company Consolidation The Company consolidates entities in which it has a direct or indirect controlling financial interest based on either a variable interest model or voting interest model. A limited partnership or similar entity is a variable interest entity (“VIE”) if the unaffiliated limited partners do not have substantive kick-out or participating rights. Most of the Oaktree funds are VIEs because they have not granted unaffiliated limited partners substantive kick-out or participating rights. The Company consolidates those VIEs in which it is the primary beneficiary. An entity is deemed to be the primary beneficiary if it holds a controlling financial interest. A controlling financial interest is defined as (a) the power to direct the activities of a VIE that most significantly impact the entity’s economic performance and (b) the obligation to absorb losses of the entity or the right to receive benefits from the entity that could potentially be significant to the VIE. The consolidation guidance requires an analysis to determine (a) whether an entity in which the Company holds a variable interest is a VIE and (b) whether the Company’s involvement, through holding interests directly or indirectly in the entity or contractually through other variable interests (e.g., management and performance-based fees), would give it a controlling financial interest. A decision maker’s fee arrangement is not considered a variable interest if (a) it is compensation for services provided, commensurate with the level of effort required to provide those services, and part of a compensation arrangement that includes only terms, conditions or amounts that are customarily present in arrangements for similar services negotiated at arm’s length (“at-market”), and (b) the decision maker does not hold any other variable interests that absorb more than an insignificant amount of the potential VIE’s expected residual returns. The Company determines whether it is the primary beneficiary of a VIE at the time it becomes involved with a VIE and reconsiders that conclusion at each reporting date. In evaluating whether the Company is the primary beneficiary, the Company evaluates its economic interests in the entity held either directly by the Company or indirectly through related parties. The consolidation analysis can generally be performed qualitatively; however, if it is not readily apparent that the Company is not the primary beneficiary, a quantitative analysis may also be performed. Investments and redemptions (either by the Company, affiliates of the Company or third parties) or amendments to the governing documents of the respective Oaktree funds could affect an entity’s status as a VIE or the determination of the primary beneficiary. The Company does not consolidate most of the Oaktree funds because it is not the primary beneficiary of those funds due to the fact that its fee arrangements are considered at-market and thus not deemed to be variable interests, and it does not hold any other interests in those funds that are considered to be more than insignificant. Please see note 4 for more information regarding both consolidated and unconsolidated VIEs. For entities that are not VIEs, consolidation is evaluated through a majority voting interest model. “Consolidated funds” refers to Oaktree-managed funds and CLOs that the Company is required to consolidate. When funds or CLOs are consolidated, the Company reflects the assets, liabilities, revenues, expenses and cash flows of the funds or CLOs on a gross basis, and the majority of the economic interests in those funds or CLOs, which are held by third-party investors, are reflected as non-controlling interests in consolidated funds or debt obligations of CLOs in the consolidated financial statements. All of the revenues earned by the Company as investment manager of the consolidated funds are eliminated in consolidation. However, because the eliminated amounts are earned from and funded by third-party investors, the consolidation of a fund does not impact net income or loss attributable to the Company. As a result of the 2022 Restructuring, the Company no longer controls OCM Cayman and therefore OCM Cayman was deconsolidated as of the effective date of the 2022 Restructuring. Additionally, the Company concluded that it was no longer the primary beneficiary for CLOs as their direct ownership interests are held by OCM Cayman. Certain entities in which the Company has the ability to exert significant influence, including unconsolidated Oaktree funds for which the Company acts as general partner, are accounted for under the equity method of accounting. Non-controlling Redeemable Interests in Consolidated Funds The Company records non-controlling interests to reflect the economic interests of the unaffiliated limited partners in Oaktree-managed funds and the class A ordinary shareholders in Oaktree sponsored SPACs. These interests are presented as non-controlling redeemable interests in consolidated funds within the consolidated statements of financial condition, outside of the permanent capital section. Limited partners in open-end and evergreen funds generally have the right to withdraw their capital, subject to the terms of the respective limited partnership agreements, over periods ranging from one month to three years. While limited partners in consolidated closed-end funds generally have not been granted redemption rights, these limited partners do have withdrawal or redemption rights in certain limited circumstances that are beyond the control of the Company, such as instances in which retaining the limited partnership interest could cause the limited partner to violate a law, regulation or rule. For Oaktree sponsored SPACs, the class A ordinary shareholders have redemption rights that are considered to be outside of the Company’s control. These shares are presented as non-controlling redeemable interests on the Company’s consolidated statements of financial condition. The allocation of net income or loss to non-controlling redeemable interests in consolidated funds and Oaktree sponsored SPACs is based on the relative ownership interests of the unaffiliated limited partners after the consideration of contractual arrangements that govern allocations of income or loss. At the consolidated level, potential incentives are allocated to non-controlling redeemable interests in consolidated funds until such incentives become allocable to the Company under the substantive contractual terms of the limited partnership agreements of the funds. Non-controlling Interests in Consolidated Subsidiaries Non-controlling interests in consolidated subsidiaries reflect the portion of unitholders’ capital attributable to OCGH unitholders (“OCGH non-controlling interest”) and third parties. All non-controlling interests in consolidated subsidiaries are attributed a share of income or loss in the respective consolidated subsidiary based on the relative economic interests of the OCGH unitholders or third parties after consideration of contractual arrangements that govern allocations of income or loss. Please see note 11 for more information. Fair Value of Financial Instruments GAAP establishes a hierarchical disclosure framework that prioritizes the inputs used in measuring financial instruments at fair value into three levels based on their market observability. Market price observability is affected by a number of factors, such as the type of instrument and the characteristics specific to the instrument. Financial instruments with readily available quoted prices from an active market or for which fair value can be measured based on actively quoted prices generally will have a higher degree of market price observability and a lesser degree of judgment inherent in measuring fair value. Financial assets and liabilities measured and reported at fair value are classified as follows: • Level I – Quoted unadjusted prices for identical instruments in active markets to which the Company has access at the date of measurement. The types of investments in Level I include exchange-traded equities, debt and derivatives with quoted prices. • Level II – Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations in which all significant inputs are directly or indirectly observable. Level II inputs include interest rates, yield curves, volatilities, prepayment risks, loss severities, credit risks and default rates. The types of investments in Level II generally include corporate bonds and loans, government and agency securities, less liquid and restricted equity investments, over-the-counter traded derivatives, debt obligations of consolidated CLOs, and other investments where the fair value is based on observable inputs. • Level III – Valuations for which one or more significant inputs are unobservable. These inputs reflect the Company’s assessment of the assumptions that market participants use to value the investment based on the best available information. Level III inputs include prices of quoted securities in markets for which there are few transactions, less public information exists or prices vary among brokered market makers. The types of investments in Level III include non-publicly traded equity, debt, real estate and derivatives. In some instances, the inputs used to value an instrument may fall into multiple levels of the fair-value hierarchy. In such instances, the instrument’s level within the fair-value hierarchy is based on the lowest of the three levels (with Level III being the lowest) that is significant to the fair-value measurement. The Company’s assessment of the significance of an input requires judgment and considers factors specific to the instrument. Transfers of assets into or out of each fair value hierarchy level as a result of changes in the observability of the inputs used in measuring fair value are accounted for as of the beginning of the reporting period. Transfers resulting from a specific event, such as a reorganization or restructuring, are accounted for as of the date of the event that caused the transfer. In the absence of observable market prices, the Company values Level III investments inclusive of the Company’s investments in unconsolidated Oaktree funds using valuation methodologies applied on a consistent basis. The quarterly valuation process for Level III investments begins with each portfolio company, property or security being valued by the investment and/or valuation teams. With the exception of open-end funds, all unquoted Level III investment values are reviewed and approved by (i) the Company’s valuation officer, who is independent of the investment teams, (ii) a designated investment professional of each strategy and (iii) for a substantial majority of unquoted Level III holdings as measured by market value, a valuation committee of the respective strategy. For open-end funds, unquoted Level III investment values are reviewed and approved by the Company’s valuation officer. For certain investments, the valuation process also includes a review by independent valuation parties, at least annually, to determine whether the fair values determined by management are reasonable. Results of the valuation process are evaluated each quarter, including an assessment of whether the underlying calculations should be adjusted or recalibrated. In connection with this process, the Company periodically evaluates changes in fair-value measurements for reasonableness, considering items such as industry trends, general economic and market conditions, and factors specific to the investment. Certain assets are valued using prices obtained from pricing vendors or brokers. The Company seeks to obtain prices from at least two pricing vendors for the subject or similar securities. In cases where vendor pricing is not reflective of fair value, a secondary vendor is unavailable, or no vendor pricing is available, a comparison value made up of quotes for the subject or similar securities received from broker dealers may be used. These investments may be classified as Level III because the quoted prices may be indicative in nature for securities that are in an inactive market, may be for similar securities, or may require adjustment for investment-specific factors or restrictions. The Company evaluates the prices obtained from brokers or pricing vendors based on available market information, including trading activity of the subject or similar securities, or by performing a comparable security analysis to ensure that fair values are reasonably estimated. The Company also performs back-testing of valuation information obtained from pricing vendors and brokers against actual prices received in transactions. In addition to ongoing monitoring and back-testing, the Company performs due diligence procedures surrounding pricing vendors to understand their methodology and controls to support their use in the valuation process. Foreign Currency The assets and liabilities of the Company’s foreign subsidiaries with non-U.S. dollar functional currencies are translated at exchange rates prevailing at the end of each reporting period. The results of foreign operations are translated at the weighted average exchange rate for each reporting period. Translation adjustments are included in other comprehensive income (loss) within the consolidated statements of financial condition until realized. Gains and losses resulting from foreign-currency transactions are included in general and administrative expense. Subsequent to the 2022 Restructuring, the Company deconsolidated OCM Cayman which included the Company’s foreign subsidiaries with non-U.S. dollar functional currencies. Derivatives and Hedging A derivative is a financial instrument whose value is derived from an underlying financial instrument or index, such as interest rates, equity securities, currencies, commodities or credit spreads. Derivatives include futures, forwards, swaps or option contracts, and other financial instruments with similar characteristics. Derivative contracts often involve future commitments to exchange interest payment streams or currencies based on a notional or contractual amount (e.g., interest-rate swaps, foreign-currency forwards or cross-currency swaps). The Company enters into derivatives as part of its overall risk management strategy or to facilitate its investment management activities. The Company manages its exposure to interest rate and foreign exchange market risks, when deemed appropriate, through the use of derivatives, including foreign currency forward and option contracts, interest-rate and cross currency swaps with financial counterparties. Risks associated with fluctuations in interest rates and foreign-currency exchange rates in the normal course of business are addressed as part of the Company’s overall risk management strategy that may result in the use of derivatives to economically hedge or reduce these exposures. From time to time, the Company may enter into (a) foreign-currency option and forward contracts to reduce earnings and cash-flow volatility associated with changes in foreign-currency exchange rates, and (b) interest-rate swaps to manage all or a portion of the interest-rate risk associated with its variable-rate borrowings. As a result of the use of these or other derivative contracts, the Company is exposed to the risk that counterparties will fail to fulfill their contractual obligations. The Company attempts to mitigate this counterparty risk by entering into derivative contracts only with major financial institutions that have investment-grade credit ratings. Counterparty credit risk is evaluated in determining the fair value of derivatives. The Company recognizes all derivatives as assets or liabilities in its consolidated statements of financial condition at fair value. In connection with its derivative activities, the Company generally enters into agreements subject to enforceable master netting arrangements that allow the Company to offset derivative assets and liabilities in the same currency by specific derivative type or, in the event of default by the counterparty, to offset derivative assets and liabilities with the same counterparty. While these derivatives are eligible to be offset in accordance with applicable accounting guidance, the Company has elected to present derivative assets and liabilities based on gross fair value in its consolidated statements of financial condition. When the Company enters into a derivative contract, it may or may not elect to designate the derivative as a hedging instrument and apply hedge accounting as part of its overall risk management strategy. In other situations, when a derivative does not qualify for hedge accounting or when the derivative and the hedged item are both recorded in current-period earnings and thus deemed to be economic hedges, hedge accounting is not applied. Freestanding derivatives are financial instruments that we enter into as part of our overall risk management strategy but do not utilize hedge accounting. These financial instruments may include foreign-currency exchange contracts, interest-rate swaps and other derivative contracts. Cash and Cash-equivalents Cash and cash-equivalents include demand deposit accounts, money market funds and other short-term investments with maturities of three months or less at the date of acquisition. At December 31, 2023 and 2022, the Company had cash balances with financial institutions in excess of Federal Deposit Insurance Corporation insured limits. The Company monitors the credit standing of these financial institutions. Corporate Investments Corporate investments may consist of investments in funds, companies in which the Company does not have a controlling financial interest, equities received as part of our sponsorship of SPACs, and non-investment grade debt securities. Investments for which the Company is deemed to exert significant influence are accounted for under the equity method of accounting and reflect Oaktree’s ownership interest in each fund or company. In the case of investments for which the Company is not deemed to exert significant influence or control, the fair value option of accounting has been elected. Investment income represents the Company’s pro-rata share of income or loss from these funds or companies, or the change in fair value of the investment, as applicable. Oaktree’s general partnership interests are substantially illiquid. While investments in funds reflect each respective fund’s holdings at fair value, equity-method investments in companies are not adjusted to reflect the fair value of the underlying company. The fair value of the underlying investments in Oaktree funds is based on the Company’s assessment, which takes into account expected cash flows, earnings multiples and/or comparisons to similar market transactions, among other factors. Valuation adjustments reflecting consideration of credit quality, concentration risk, sales restrictions and other liquidity factors are integral to valuing these instruments. Non-investment grade debt securities include domestic and international corporate fixed and floating rating debt and structured credit investments. These securities are classified as trading and are recorded at fair value with changes in fair value included in investment income. Revenue Recognition - Incentive Income The Company earns incentive income from the investment advisory services it provides to its customers. Revenue is recognized when control of the promised services is transferred to customers in an amount that reflects the consideration the Company expects to receive in exchange for those services. These services are generally capable of being distinct and each is accounted for as separate performance obligations comprised of distinct service periods because the services are performed over time . Incentive income generally represents 20% of each closed-end fund’s profits, subject to the return of contributed capital and a preferred return of typically 8% per annum, and up to 20% of certain evergreen fund’s annual profits, subject to high-water marks or hurdle rates. Incentive income is recognized when it is probable that a significant reversal will not occur. Revenue recognition is typically met (a) for closed-end funds, only after all contributed capital and the preferred return on that capital have been distributed to the fund’s investors, and (b) for certain evergreen funds, at the conclusion of each annual measurement period. Potential incentive income is highly susceptible to market volatility, the judgment and actions of third parties, and other factors outside of the Company’s control. The Company’s experience has demonstrated little predictive value in the amount of potential incentive income ultimately earned due to the highly uncertain nature of returns inherent in the markets and contingencies associated with many realization events. As a result, the amount of incentive income recognized in any given period is generally determined after giving consideration to a number of factors, including whether the fund is in its investment or liquidation period, and the nature and level of risk associated with changes in fair value of the remaining assets in the fund. In general, it would be unlikely that any amount of potential incentive income would be recognized until (a) the uncertainty is resolved or (b) the fund is near final liquidation, assets are under contract for sale or are at low risk of significant fluctuation in fair value, and the assets are significantly in excess of the threshold at which incentive income would be earned. Incentives received by the Company before the revenue recognition criteria have been met are deferred and recorded as a deferred incentive income liability within accounts payable, accrued expenses and other liabilities in the consolidated statements of financial condition. The Company may receive tax distributions related to taxable income allocated by funds, which are treated as an advance of incentive income and subject to the same recognition criteria. Tax distributions are contractually not subject to clawback. The Company may earn incentive income upon deconsolidation of a SPAC arising from the completion of a merger with an identified target. Upon deconsolidation, the Company will derecognize the net assets of the entity and record any gain or loss related to the remeasurement of its investments to fair value as incentive income in its consolidated statements of operations. Subsequent fair value changes in the Company’s investments held in the entity will be recorded in investment income in its consolidated statements of operations. Total Compensation and Benefits Incentive Income Compensation Incentive income compensation expense primarily reflects compensation directly related to incentive income, which generally consists of percentage interests (sometimes referred to as “points” or an allocation of shares received upon the completion of a successful SPAC merger) that the Company grants to its investment professionals associated with the particular fund or SPAC that generated the incentive income, and secondarily, compensation directly related to investment income. The Company has an obligation to pay a fixed percentage of the incentive income earned from a particular fund or SPAC, including income from consolidated funds that is eliminated in consolidation, to specified investment professionals responsible for the management of the fund or SPAC. Amounts payable pursuant to these arrangements are recorded as compensation expense when they have become probable and reasonably estimable. The Company’s determination of the point at which it becomes probable and reasonably estimable that incentive income compensation expense should be recorded is based on its assessment of numerous factors, particularly those related to the profitability, realizations, distribution status, investment profile and commitments or contingencies of the individual funds that may give rise to incentive income or the completion of a merger by an Oaktree sponsored SPAC. Incentive income compensation is generally expensed in the period in which the underlying income is recognized. Payment of incentive income compensation generally occurs in the same period the related income is received or in the next period. Participation in incentive income generated by the funds or SPACs is subject to forfeiture upon departure and to vesting provisions (generally over a period of five years), in each case, under certain circumstances set forth in the applicable governing documents. These provisions are generally only applicable to incentive income compensation that has not yet been recognized as an expense by the Company or paid to the participant. Other Income (Expense), Net Other income (expense), net represents non-operating income or expense items. Income Taxes The Company is a publicly traded partnership. Because it satisfies the qualifying income test, it is not required to be treated as a corporation for U.S. federal and state income tax purposes; rather it is taxed as a partnership. The Company analyzes its tax filing positions for all open tax years in all of the U.S. federal, state and local tax jurisdictions where it is required to file income tax returns. If the Company determines that uncertainties in tax positions exist, a reserve is established. The Company recognizes accrued interest and penalties related to uncertain tax positions within income tax expense in the consolidated statements of operations. Tax laws are complex and subject to different interpretations by the taxpayer and respective governmental taxing authorities. Significant judgment is required in determining tax expense and in evaluating tax positions, including evaluating uncertainties. The Company reviews its tax positions quarterly and adjusts its tax balances as new information becomes available. The Oaktree funds are generally not subject to U.S. federal and state income taxes and, consequently, no income tax provision has been made in the accompanying consolidated financial statements because individual partners are responsible for their proportionate share of the taxable income. Comprehensive Income (Loss) Comprehensive income (loss) consists of net income (loss) and other gains and losses affecting unitholders’ capital that are excluded from net income (loss). Other gains and losses result from foreign-currency translation adjustments, net of tax. Accounting Policies of Consolidated Funds Investment Transactions and Income Recognition The consolidated funds record investment transactions at cost on trade date for publicly-traded securities or when they have an enforceable right to acquire the security, which is generally on the closing date if not publicly traded. Realized gains and losses on investments are recorded on a specific-identification basis. The consolidated funds record dividend income on the ex-dividend date and interest income on an accrual basis, unless the related investment is in default or if collection of the income is otherwise considered doubtful. The consolidated funds may hold investments that provide for interest payable in-kind rather than in cash, in which case the related income is recorded at its estimated net realizable amount. Income Taxes The consolidated funds may invest in operating entities that are treated as partnerships for U.S. federal income tax purposes which may give rise to unrelated business taxable income or income effectively connected with a U.S. trade or business. In such situations, the consolidated funds permit certain investors to elect to participate in these investments through a “blocker structure” using entities that are treated as corporations for U.S. federal income tax purposes and are generally subject to U.S. federal, state and local taxes. The consolidated funds withhold blocker expenses and tax payments from electing limited partners, which are treated as deemed distributions to such limited partners pursuant to the terms of the respective limited partnership agreement. Foreign Currency Investments denominated in non-U.S. currencies are recorded in the consolidated financial statements after translation into U.S. dollars utilizing rates of exchange on the last business day of the period. Interest and dividend income is recorded net of foreign withholding taxes and calculated using the exchange rate in effect when the income is recognized. The effect of changes in exchange rates on assets and liabilities, income, and realized gains or losses is included as part of net realized gain (loss) on consolidated funds’ investments and net change in unrealized appreciation (depreciation) on consolidated funds’ investments in the consolidated statements of operations. Cash and Cash-equivalents Cash and cash-equivalents held at the consolidated funds represent cash that, although not legally restricted, is not available to support the general liquidity needs of the Company as the use of such amounts is generally limited to the investment activities of the consolidated funds. Cash-equivalents, a Level I valuation, include highly liquid investments such as money market funds, whose carrying value approximates fair value due to its short-term nature. Receivable for Investments Sold Receivables for investments sold by the consolidated funds are recorded at net realizable value. Changes in net realizable value are reflected within net change in unrealized appreciation (depreciation) on consolidated funds’ investments and realizations are reflected within net realized gain on consolidated funds’ investments in the consolidated statements of operations. Investments, at Fair Value The consolidated funds include investment limited partnerships and CLOs that reflect their investments, including majority-owned and controlled investments, at fair value. The Company has retained the specialized investment company accounting guidance for investment limited partnerships with respect to consolidated investments and has elected the fair value option for the financial assets of CLOs. Thus, the consolidated investments are reflected in the consolidated statements of financial condition at fair value, with unrealized gains and losses resulting from changes in fair value reflected as a component of net change in unrealized appreciation (depreciation) on consolidated funds’ investments in the consolidated statements of operations. Fair value is the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (i.e., the exit price). Non-publicly traded debt and equity securities and other securities or instruments for which reliable market quotations are not available are valued by management using valuation methodologies applied on a consistent basis. These securities may initially be valued at the acquisition price as the best indicator of fair value. The Company reviews the significant unobservable inputs, valuations of comparable investments and other similar transactions for investments valued at acquisition price to determine whether another valuation methodology should be utilized. Subsequent valuations will depend on the facts and circumstances known as of the valuation date and the application of valuation methodologies as further described below under “—Non-publicly Traded Equity and Real Estate Investments.” The fair value may also be based on a pending transaction expected to close after the valuation date. Exchange-traded Investments Securities listed on one or more national securities exchanges are valued at their last reported sales price on the date of valuation. If no sale occurred on the valuation date, the security is valued at the mean of the last “bid” and “ask” prices on the valuation date. Securities that are not readily marketable due to legal restrictions that may limit or restrict transferability are generally valued at a discount from quoted market prices. The discount would reflect the amount market participants would require due to the risk relating to the inability to access a public market for the security for the specified period and would vary depending on the nature and duration of the restriction and the perceived risk and volatility of the underlying securities. Securities with longer duration restrictions or higher volatility are gen |
REVENUES
REVENUES | 12 Months Ended |
Dec. 31, 2023 | |
Revenue from Contract with Customer [Abstract] | |
REVENUES | REVENUES Prior to the 2022 Restructuring, the Company provided investment management services to funds and separate accounts. The Company earned revenues from the management fees generated by the funds that it managed and continues to earn incentive income generated by the funds , for which it serves as general partner. Additionally, for acting as a sub-investment manager, or sub-advisor, to certain Oaktree funds, the Company earned sub-advisory fees. Under certain subsidiary services agreements the Company provided certain investment and marketing related services to Oaktree affiliated entities. Revenues are affected by economic factors related to the asset class composition of the holdings and the contractual terms such as the basis for calculating the management fees and investors’ ability to redeem. As a result of the 2022 Restructuring, management fees and sub-advisory fees are no longer earned by the Company due to the deconsolidation of OCM Cayman. Revenues by fund structure and sub-advisory fees are set forth below. Year Ended December 31, 2023 2022 2021 Management Fees Closed-end $ — $ 7,947 $ 4,572 Open-end — 4,254 6,124 Sub-advisory fees — 211,940 224,090 Total $ — $ 224,141 $ 234,786 Incentive Income Closed-end $ 257,296 $ 261,226 $ 1,156,472 Evergreen 10,029 7,226 63,152 Total $ 267,325 $ 268,452 $ 1,219,624 Contract Balances Prior to the 2022 Restructuring the Company received management fees monthly or quarterly in accordance with its contracts with customers. Incentive income is received generally after all contributed capital and the preferred return on that capital have been distributed to the fund’s investors. Contract assets relate to the Company’s conditional right to receive payment for its performance completed under the contract. Receivables are recorded when the right to consideration becomes unconditional (i.e., only requires the passage of time). Contract liabilities (i.e., deferred revenues) relate to payments received in advance of performance under the contract. Contract liabilities are recognized as revenues when the Company provides investment management services. The table below sets forth contract balances for the periods indicated: As of December 31, 2023 2022 Receivables $ 9,407 $ 8,471 Contract assets (1) 192,645 194,707 (1) The changes in the balances primarily relate to accruals, net of payments received. |
VARIABLE INTEREST ENTITIES
VARIABLE INTEREST ENTITIES | 12 Months Ended |
Dec. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
VARIABLE INTEREST ENTITIES | VARIABLE INTEREST ENTITIES The Company consolidates VIEs for which it is the primary beneficiary. VIEs include funds managed by Oaktree and CLOs for which Oaktree acts as collateral manager. The purpose of these VIEs is to provide investment opportunities for investors in exchange for management fees and, in certain cases, performance-based fees. While the investment strategies of the funds and CLOs differ by product, in general the fundamental risks of the funds and CLOs have similar characteristics, including loss of invested capital and reduction or absence of management and performance-based fees. As general partner or collateral manager, respectively, Oaktree generally considers itself the sponsor of the applicable fund or CLO. The Company does not provide performance guarantees and, other than capital commitments, has no financial obligation to provide funding to VIEs. As a result of the 2022 Restructuring, which constitutes a reconsideration event, the Company re-assessed the primary beneficiary determination and concluded that it was no longer the primary beneficiary for CLOs as their direct ownership interests are held by operating group entities no longer controlled directly by the Company. Consolidated VIEs As of December 31, 2023 and 2022, the Company consolidated 9 VIEs that are funds managed by Oaktree for which it was the primary beneficiary. As of December 31, 2023, the assets and liabilities of the 9 consolidated VIEs representing funds amounted to $5.7 billion and $1.2 billion. The assets of these consolidated VIEs primarily consisted of investments in debt and equity securities. The assets of these VIEs may be used only to settle obligations of the same VIE. In addition, there is no recourse to the Company for the VIEs’ liabilities. As of December 31, 2023, the Company’s investments in consolidated VIEs had a carrying value of $1.2 billion, which represented its maximum risk of loss as of that date. Unconsolidated VIEs The Company holds variable interests in certain VIEs in the form of direct equity interests that are not consolidated because it is not the primary beneficiary, inasmuch as its fee arrangements are considered at-market and it does not hold interests in those entities that are considered more than insignificant. The carrying value of the Company’s investments in VIEs that were not consolidated are shown below. As of December 31, 2023 2022 Corporate investments $ 999,112 $ 976,569 Due from affiliates 199,861 200,498 Maximum exposure to loss $ 1,198,973 $ 1,177,067 |
INVESTMENTS
INVESTMENTS | 12 Months Ended |
Dec. 31, 2023 | |
Investments [Abstract] | |
INVESTMENTS | INVESTMENTS Corporate Investments Corporate investments consisted of the following: As of December 31, Corporate Investments 2023 2022 Equity-method investments: Funds $ 1,434,988 $ 1,082,069 Companies 11,901 1,276 Other investments, at fair value 85,319 108,159 Total corporate investments $ 1,532,208 $ 1,191,504 The components of investment income are set forth below: Year Ended December 31, Investment Income (Loss) 2023 2022 2021 Equity-method investments: Funds $ 58,791 $ 54,345 $ 203,142 Companies 5 (10,305) 9,086 Other investments, at fair value 13,868 7,225 (9,187) Total investment income $ 72,664 $ 51,265 $ 203,041 Equity-method Investments The Company’s equity-method investments include its investments in Oaktree funds for which it serves as general partner, and other third-party funds and companies that are not consolidated, but for which the Company is deemed to exert significant influence. The Company’s share of income or loss generated by these investments is recorded within investment income in the consolidated statements of operations. The Company’s equity-method investments in Oaktree funds principally reflect the Company’s general partner interests in those funds, which typically does not exceed 2.5% in each fund. The Oaktree funds are investment companies that follow a specialized basis of accounting established by GAAP. On June 27, 2023, the Company entered into a contribution agreement with Brookfield Corporate Treasury Ltd. and acquired the equity ownership in certain entities which beneficially own shares in Brookfield Real Estate Income Trust. The Company accounted for the acquired interests as equity method investments with fair value election. The fair value option has been elected to simplify the accounting for the investment in NTR. Changes in the fair value and cash dividends received from the investment in NTR are included in investment income. During the year ended December 31, 2023, the Company recognized an equity investment loss of $3.6 million. Please refer to note 15 for the detailed description of the transaction. Each reporting period, the Company evaluates each of its equity-method investments to determine if any are considered significant, as defined by the SEC. As of December 31, 2023 and 2022, or for the years ended December 31, 2023, 2022 and 2021, no individual equity-method investment met the significance criteria. Summarized financial information of the Company’s equity-method investments is set forth below: As of December 31, Statements of Financial Condition 2023 2022 Assets: Cash and cash-equivalents $ 2,834,702 $ 3,056,609 Investments, at fair value 67,471,007 59,861,879 Other assets 2,007,260 1,555,704 Total assets $ 72,312,969 $ 64,474,192 Liabilities and Capital: Debt obligations $ 5,633,599 $ 3,165,317 Other liabilities 3,722,872 8,565,763 Total liabilities 9,356,471 11,731,080 Total capital 62,956,498 52,743,112 Total liabilities and capital $ 72,312,969 $ 64,474,192 Year Ended December 31, 2023 2022 2021 Statements of Operations Revenues / investment income $ 4,506,814 $ 3,460,281 $ 1,932,884 Interest expense (565,810) (378,567) (184,829) Other expenses (1,117,553) (905,289) (795,570) Net realized and unrealized gain on investments 862,771 2,612,383 10,242,513 Net income $ 3,686,222 $ 4,788,808 $ 11,194,998 Other Investments, at Fair Value Other investments, at fair value primarily consist of (a) investments in certain Oaktree and non-Oaktree funds, (b) non-investment grade debt securities, (c) equities received as part of our sponsorship of SPACs and (d) derivatives utilized to hedge the Company’s exposure to investment income earned from its funds. The following table summarizes net gains (losses) attributable to the Company’s other investments at fair value: Year Ended December 31, 2023 2022 2021 Realized gain $ 4,475 $ 4,072 $ 9,306 Net change in unrealized gain (loss) 9,393 3,153 (18,493) Total gain (loss) $ 13,868 $ 7,225 $ (9,187) Investments of Consolidated Funds Investments, at Fair Value Investments held and securities sold short by the consolidated funds are summarized below: Fair Value as of December 31, Fair Value as a Percentage of Investments of Consolidated Funds as of December 31, Investments 2023 2022 2023 2022 United States: Debt securities: Communication services $ 69,509 $ 100,995 1.4 % 2.6 % Consumer discretionary 202,355 127,170 3.9 3.3 Consumer staples 28,149 23,542 0.5 0.6 Energy 110,990 79,573 2.2 2.0 Financials 223,794 217,878 4.4 5.6 Health care 226,554 111,005 4.4 2.8 Industrials 379,538 206,479 7.5 5.3 Information technology 87,355 136,714 1.7 3.5 Materials 333,459 118,578 6.5 3.0 Real estate 97,621 182,643 1.9 4.7 Utilities 19,954 11,850 0.4 0.3 Other 549,164 1,890 10.6 — Total debt securities (cost: $2,341,421 and $1,437,262 as of December 31, 2023 and 2022, respectively) 2,328,442 1,318,317 45.4 33.7 Equity securities: Communication services 79,522 64,621 1.5 1.7 Consumer discretionary 68,056 133,104 1.3 3.4 Energy 427,034 482,984 8.3 12.3 Financials 171,924 181,980 3.3 4.7 Health care 32,418 26,191 0.6 0.7 Industrials 369,019 308,514 7.2 7.9 Information technology 44,350 14,107 0.9 0.4 Materials — 899 — — Utilities 89,427 98,335 1.7 2.5 Total equity securities (cost: $1,095,721 and $1,000,922 as of December 31, 2023 and 2022, respectively) 1,281,750 1,310,735 24.8 33.6 Real estate: Real estate 13,780 1,796 0.3 — Total real estate securities (cost: $22,716 and $1,797 as of December 31, 2023 and 2022, respectively) 13,780 1,796 0.3 — Fair Value as of December 31, Fair Value as a Percentage of Investments of Consolidated Funds as of December 31, Investments 2023 2022 2023 2022 Europe: Debt securities: Communication services $ 111,898 $ 103,068 2.1 % 2.7 % Consumer discretionary 18,560 13,997 0.4 0.4 Consumer staples 3,107 8,024 0.1 0.2 Energy 1,185 1,097 — — Financials 18,381 35,091 0.4 0.9 Health care 12,136 8,178 0.2 0.2 Industrials 15,993 12,384 0.3 0.3 Information technology 5,402 4,583 0.1 0.1 Materials 13,487 10,920 0.3 0.3 Real estate 13,424 12,888 0.3 0.3 Utilities 5,417 5,102 0.1 0.1 Other 34,686 2,484 0.6 0.1 Total debt securities (cost: $231,315 and $230,090 as of December 31, 2023 and 2022, respectively) 253,676 217,816 4.9 5.6 Equity securities: Consumer discretionary 52,468 130,868 1.0 3.3 Financials 49,496 31,701 1.0 0.8 Health care 19 9 — — Industrials 93,662 53,790 1.7 1.4 Materials 24,282 24,282 0.5 0.6 Real estate 44,637 25,622 0.9 0.7 Total equity securities (cost: $208,130 and $241,129 as of December 31, 2023 and 2022, respectively) 264,564 266,272 5.1 6.8 Real estate: Consumer Discretionary 61,357 — 1.2 — Real estate 100,216 72,675 1.9 1.9 Total real estate securities (cost: $159,423 and $69,100 as of December 31, 2023 and 2022, respectively) 161,573 72,675 3.1 1.9 Asia and other: Debt securities: Communication services 803 5,419 — 0.1 Consumer discretionary 17,195 5,641 0.3 0.2 Consumer staples 19,820 19,125 0.4 0.5 Energy 1,307 9,163 — 0.2 Financials 8,192 8,344 0.2 0.2 Health care 402 2,837 — 0.1 Industrials 4,181 3,754 0.1 0.1 Information technology 5 695 — — Materials 249,492 113,784 4.9 2.9 Real estate 435,799 328,343 8.5 8.4 Utilities 3,244 5,602 0.1 0.2 Other — 59,998 — 1.5 Total debt securities (cost: $761,394 and $581,467 as of December 31, 2023 and 2022, respectively) 740,440 562,705 14.5 14.4 Fair Value as of December 31, Fair Value as a Percentage of Investments of Consolidated Funds as of December 31, Investments 2023 2022 2023 2022 Asia and other: Equity securities: Energy — 7,581 — 0.2 Industrials 63,161 113,270 1.2 2.9 Real estate 32,916 32,916 0.6 0.8 Utilities 3,375 4,530 0.1 0.1 Total equity securities (cost: $90,638 and $722,128 as of December 31, 2023 and 2022, respectively) 99,452 158,297 1.9 4.0 Total debt securities 3,322,558 2,098,838 64.8 53.7 Total equity securities 1,645,766 1,735,304 31.8 44.4 Total real estate 175,353 74,471 3.4 1.9 Total investments, at fair value $ 5,143,677 $ 3,908,613 100.0 % 100.0 % As of December 31, 2023 and 2022, no single issuer or investment had a fair value that exceeded 5% of the Company’s total consolidated net assets. Net Gains (Losses) From Investment Activities of Consolidated Funds Net gains (losses) from investment activities in the consolidated statements of operations consist primarily of realized and unrealized gains and losses on the consolidated funds’ investments (including foreign exchange gains and losses attributable to foreign-denominated investments and related activities) and other financial instruments. Unrealized gains or losses result from changes in the fair value of these investments and other financial instruments. Upon disposition of an investment, unrealized gains or losses are reversed and an offsetting realized gain or loss is recognized in the current period. The following table summarizes net gains (losses) from investment activities: Year Ended December 31, 2023 2022 2021 Net Realized Gain (Loss) on Investments Net Change in Unrealized Appreciation (Depreciation) on Investments Net Realized Gain (Loss) on Investments Net Change in Unrealized Appreciation (Depreciation) on Investments Net Realized Gain (Loss) on Investments Net Change in Unrealized Appreciation (Depreciation) on Investments Investments and other financial instruments $ 63,213 $ 27,890 $ 4,103 $ 99,199 $ 25,599 $ 135,306 CLO liabilities (1) — — (30,033) (99,550) (6,951) (14,370) Foreign-currency forward contracts (2) 898 (14,909) 43,145 (10,777) 6,232 4,477 Total-return and interest-rate swaps (2) (235) 328 975 284 (92) (57) Options and futures (2) 4,382 (569) 13,322 (223) (2,550) (3,697) Commodity swaps (2) 11,162 16,324 (44,626) (3,956) — — Warrants (2) — — — — — 858 Total $ 79,420 $ 29,064 $ (13,114) $ (15,023) $ 22,238 $ 122,517 (1) Represents the net change in the fair value of CLO liabilities based on the more observable fair value of CLO assets, as measured under the CLO measurement guidance. Please see note 2 for more informatio n. Subsequent to the 2022 Restructuring, the assets and liabilities of the CLOs are no longer consolidated by the Company. (2) |
FAIR VALUE
FAIR VALUE | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE | FAIR VALUE Fair Value of Financial Assets and Liabilities The short-term nature of cash and cash-equivalents, receivables and accounts payable causes each of their carrying values to approximate fair value. The fair value of short-term investments included in cash and cash-equivalents is a Level I valuation. The Company’s other financial assets and financial liabilities by fair-value hierarchy level are set forth below. Please see notes 10 and 18 for the fair value of the Company’s outstanding debt obligations and amounts due from/to affiliates, respectively. As of December 31, 2023 As of December 31, 2022 Level I Level II Level III Total Level I Level II Level III Total Assets Corporate investments $ 72,085 $ 317,551 $ 20,994 $ 410,630 $ 109,078 $ 1,172 $ 8,470 $ 118,720 SPAC common stock and earn-out shares included in other assets 25,360 — 1,797 27,157 — — — — Foreign-currency forward contracts included in corporate investments — — — — — 1,279 — 1,279 Foreign-currency forward contracts included in other assets — 8,098 — 8,098 — 12,061 — 12,061 Total assets $ 97,445 $ 325,649 $ 22,791 $ 445,885 $ 109,078 $ 14,512 $ 8,470 $ 132,060 Liabilities Foreign-currency forward contracts included in corporate investments $ — $ (8,010) $ — $ (8,010) $ — $ (11,840) $ — $ (11,840) Total liabilities $ — $ (8,010) $ — $ (8,010) $ — $ (11,840) $ — $ (11,840) The Company’s Level III financial instrument held as of December 31, 2023 consists of sponsor earn-out shares received in connection with the deconsolidation of a SPAC and a mezzanine loan purchased during the second quarter of 2023. The table below sets forth a summary of the valuation techniques and quantitative information utilized in determining the fair value of the Company’s Level III financial instruments at December 31, 2023: Fair Value as of Significant Unobservable Input Financial Instrument December 31, 2023 Valuation Technique Input Value Mezzanine loan $ 18,297 Recent market information Broker quotations N/A Earn-out shares 4,494 Black-Scholes option pricing model Volatility 50% Total Level III Financial Instruments $ 22,791 Fair Value of Financial Instruments Held By Consolidated Funds The short-term nature of cash and cash-equivalents held at the consolidated funds causes their carrying value to approximate fair value. The fair value of cash-equivalents is a Level I valuation. Derivatives may relate to a mix of Level I, II or III investments, and therefore their fair-value hierarchy level may not correspond to the fair- value hierarchy level of the economically hedged investment. The table below summarizes the investments and other financial instruments of the consolidated funds by fair-value hierarchy level: As of December 31, 2023 As of December 31, 2022 Level I Level II Level III Total Level I Level II Level III Total Assets Investments: Corporate debt – bank debt $ — $ 641,615 $ 1,721,888 $ 2,363,503 $ — $ 411,997 $ 702,497 $ 1,114,494 Corporate debt – all other — 698,763 260,292 959,055 — 764,841 219,503 984,344 Equities – common stock 165,649 31,779 846,773 1,044,201 226,862 34,389 777,198 1,038,449 Equities – preferred stock 1,929 — 599,636 601,565 80,251 — 616,604 696,855 Real estate — — 175,353 175,353 — — 74,471 74,471 Total investments 167,578 1,372,157 3,603,942 5,143,677 307,113 1,211,227 2,390,273 3,908,613 Derivatives: Foreign-currency forward contracts — 475 — 475 — 9,758 — 9,758 Swaps 8,658 — — 8,658 — 700 — 700 Options and futures — — — — 279 — — 279 Total derivatives (1) 8,658 475 — 9,133 279 10,458 — 10,737 Total assets $ 176,236 $ 1,372,632 $ 3,603,942 $ 5,152,810 $ 307,392 $ 1,221,685 $ 2,390,273 $ 3,919,350 Liabilities Derivatives: Foreign-currency forward contracts — (21,659) — (21,659) — (16,356) — (16,356) Swaps — — — — (7,666) — — (7,666) Options and futures (571) — — (571) — — — — Total derivatives (2) (571) (21,659) — (22,230) (7,666) (16,356) — (24,022) Total liabilities $ (571) $ (21,659) $ — $ (22,230) $ (7,666) $ (16,356) $ — $ (24,022) (1) Amounts are included in other assets under “assets of consolidated funds” in the consolidated statements of financial condition. (2) Amounts are included in accounts payable, accrued expenses and other liabilities under “liabilities of consolidated funds” in the consolidated statements of financial condition. The following tables set forth a summary of changes in the fair value of Level III investments: Corporate Debt – Bank Debt Corporate Debt – All Other Equities – Common Stock Equities – Preferred Stock Real Estate Total 2023 Beginning balance $ 702,497 $ 219,503 $ 777,198 $ 616,604 $ 74,471 $ 2,390,273 Transfers into Level III 192,202 13,236 52,730 — 67,726 325,894 Transfers out of Level III (184,854) (15,170) (50,853) — — (250,877) Purchases 1,234,175 103,654 101,028 125,684 34,615 1,599,156 Sales (262,336) (76,295) (55,069) (85,171) — (478,871) Realized gain (loss), net (22) (639) 22,040 6,475 (13) 27,841 Unrealized appreciation (depreciation), net 40,226 16,003 (301) (63,956) (1,446) (9,474) Ending balance $ 1,721,888 $ 260,292 $ 846,773 $ 599,636 $ 175,353 $ 3,603,942 Net change in unrealized appreciation (depreciation) attributable to assets still held at end of period $ 28,278 $ 14,951 $ (342) $ (63,956) $ (1,444) $ (22,513) 2022 Beginning balance $ 597,188 $ 229,576 $ 581,748 $ 486,030 $ 33,834 $ 1,928,376 Deconsolidation of funds (196,906) — (964) (16) — (197,886) Transfers into Level III 116,213 10,548 — — — 126,761 Transfers out of Level III (53,653) (9,935) (122) — — (63,710) Purchases 518,173 16,116 259,004 234,652 36,782 1,064,727 Sales (296,175) (25,501) (193,950) (110,612) — (626,238) Realized loss, net (2,501) (1,692) (92,514) 2,299 (813) (95,221) Unrealized depreciation, net 20,158 391 223,996 4,251 4,668 253,464 Ending balance $ 702,497 $ 219,503 $ 777,198 $ 616,604 $ 74,471 $ 2,390,273 Net change in unrealized depreciation attributable to assets still held at end of period $ 18,104 $ 395 $ 93,676 $ 4,357 $ 4,670 $ 121,202 Total realized and unrealized gains and losses recorded for Level III investments are included in net realized gain on consolidated funds’ investments or net change in unrealized appreciation (depreciation) on consolidated funds’ investments in the consolidated statements of operations. Transfers out of Level III are generally attributable to certain investments that experienced a more significant level of market trading activity or completed an initial public offering during the respective period and thus were valued using observable inputs. Transfers into Level III typically reflect either investments that experienced a less significant level of market trading activity during the period or portfolio companies that undertook restructurings or bankruptcy proceedings and thus were valued in the absence of observable inputs. The following table sets forth a summary of the valuation techniques and quantitative information utilized in determining the fair value of the consolidated funds’ Level III investments as of December 31, 2023: Investment Type Fair Value Valuation Technique Significant Unobservable (1)(2) Range Weighted Average (3) Credit-oriented investments: Consumer discretionary: $ 11,311 Recent transaction price (4) Quoted prices Not applicable Not applicable 351 Recent market information (5) Quoted prices Not applicable Not applicable 55,326 Discounted cash flow (6) Discount rate 13% – 17% 16% Energy: 15,873 Discounted cash flow (6) Discount rate 14% – 14% 14% 69,871 Recent transaction price (4) Quoted prices Not applicable Not applicable 2,325 Recent market information (5) Quoted prices Not applicable Not applicable Financials: 26,689 Discounted cash flow (6) Discount rate 12% – 15% 15% 3,646 Recent transaction price (4) Quoted prices Not applicable Not applicable 26,102 Recent market information (5) Quoted prices Not applicable Not applicable 20,520 Market approach (comparable companies) (7) Multiple of underlying assets (9) 0.5x – 1.0x 0.7x Industrials: 79,824 Discounted cash flow (6) Discount rate 11% – 15% 13% 62,544 Market approach (comparable companies) (7) Earnings multiple (10) 9.8x –9.8x 9.8x 51,788 Recent transaction price (4) Quoted prices Not applicable Not applicable 452 Recent market information (5) Quoted prices Not applicable Not applicable Materials: 306,319 Discounted cash flow (6) Discount rate 10% – 15% 12% 193,614 Recent transaction price (4) Quoted prices Not applicable Not applicable Real estate: 35,084 Recent transaction price (4) Quoted prices Not applicable Not applicable 211,211 Discounted cash flow (6) Discount rate 13% – 15% 15% 37,419 Recent market information (5) Quoted prices Not applicable Not applicable 193,771 Market approach (comparable companies) (7) Multiple of underlying assets (9) 1.0x – 1.0x 1.0x Other: 4,316 Recent market information (5) Quoted prices Not applicable Not applicable 19,820 Market approach (comparable companies) (7) Earnings multiple (10) 6.0x – 6.0x 6.0x 1,345 Market approach (comparable companies) (7) Revenue multiple (8) 0.3x – 0.3x 0.3x 1,612 Recent transaction price (4) Quoted prices Not applicable Not applicable 551,047 Discounted cash flow (6) Discount rate 9% – 19% 18% Equity investments: 179,009 Recent transaction price (4) Quoted prices Not applicable Not applicable 670,215 Market approach (comparable companies) (7) Multiple of underlying assets (9) 0.9x – 1.0x 1.0x 396,688 Market approach (comparable companies) (7) Earnings multiple (10) 2.0x – 11.0x 8.5x 102,981 Discounted cash flow (6) Discount rate 12% – 20% 15% 60,841 Market approach (comparable companies) (7) Revenue multiple (8) 1.0x – 2.0x 1.5x 22,573 Discounted cash flow (6) / market approach (comparable companies) (7) Discount rate 12% – 12% 12% Earnings multiple (10) 9.0x – 11.0x 10.0x 14,102 Recent market information (5) Quoted prices Not applicable Not applicable Real estate-oriented: Consumer discretionary: 61,357 Discounted cash flow (6) Discount rate 20% – 20% 20% Real estate: 113,996 Discounted cash flow (6) Discount rate 4% – 27% 14% Total Level III $ 3,603,942 The following table sets forth a summary of the valuation techniques and quantitative information utilized in determining the fair value of the consolidated funds’ Level III investments as of December 31, 2022: Investment Type Fair Value Valuation Technique Significant Unobservable (1)(2) Range Weighted Average (3) Credit-oriented investments: Consumer Discretionary: $ 43,934 Recent transaction price (4) Quoted prices Not applicable Not applicable 293 Recent market information (5) Quoted prices Not applicable Not applicable 16,062 Discounted cash flow (6) Discount rate 12% – 15% 14% Communication Services: 67,500 Discounted cash flow (6) Discount rate 12% – 13% 13% Energy: 32,765 Discounted cash flow (6) Discount rate 13% – 21% 18% 2,676 Recent market information (5) Quoted prices Not applicable Not applicable Financials: 66,204 Discounted cash flow (6) Discount rate 12% – 19% 15% 12,880 Recent market information (5) Quoted prices Not applicable Not applicable 6,143 Market approach (comparable companies) Multiple of underlying assets (9) 0.9x – 1.0x 1.0x Industrials 9,875 Discounted cash flow (6) Discount rate 12% – 15% 14% 35,124 Market approach (comparable companies) Multiple of underlying assets (9) 0.9x – 1.0x 1.0x 4,527 Recent transaction price (4) Quoted prices Not applicable Not applicable Materials: 197,427 Discounted cash flow (6) Discount rate 10% – 14% 12% Real estate: 32,173 Recent transaction price (4) Quoted prices Not applicable Not applicable 3,643 Discounted cash flow (6) Discount rate 9% – 9% 9% 35,525 Recent market information (5) Quoted prices Not applicable Not applicable 302,179 Market approach (comparable companies) Multiple of underlying assets (9) 0.76x – 1.00x 0.95x Other: (1,137) Recent market information (5) Quoted prices Not applicable Not applicable 22,732 Recent transaction price (4) Quoted prices Not applicable Not applicable 31,474 Discounted cash flow (6) Discount rate 10% – 18% 14% Equity investments: 74,329 Recent transaction price (4) Quoted prices Not applicable Not applicable 582,299 Market approach (comparable companies) (7) Multiple of underlying assets (9) 0.9x – 1.1x 1.0x 336,831 Market approach (comparable companies) (7) Earnings multiple (10) 5x – 20x 9x 214,172 Discounted cash flow (6) Discount rate 12% – 21% 19% 27,347 Discounted cash flow (6) / market approach (comparable companies) (7) Discount rate 14% – 14% 14% 83,644 Market approach (comparable companies) (7) Revenue multiple (8) 1x – 2x 1.81x 75,181 Recent market information (5) Quoted prices Not applicable Not applicable Real estate-oriented: 7,695 Recent transaction price (4) Quoted prices Not applicable Not applicable 66,776 Discounted cash flow (6) Discount rate 14% – 25% 18% Total Level III $ 2,390,273 (1) The discount rate is the significant unobservable input used in the fair-value measurement of performing credit-oriented investments in which the consolidated funds do not have a controlling interest in the underlying issuer, as well as certain equity investments and real estate loan portfolios. An increase (decrease) in the discount rate would result in a lower (higher) fair-value measurement. (2) Multiple of either earnings or underlying assets is the significant unobservable input used in the market approach for the fair-value measurement of distressed credit-oriented investments, credit-oriented investments in which the consolidated funds have a controlling interest in the underlying issuer, equity investments and certain real estate-oriented investments. An increase (decrease) in the multiple would result in a higher (lower) fair-value measurement. (3) The weighted average is based on the fair value of the investments included in the range. (4) Certain investments are valued based on recent transactions, generally defined as investments purchased or sold within six months of the valuation date. The fair value may also be based on a pending transaction expected to close after the valuation date. (5) Certain investments are valued using vendor prices or broker quotes for the subject or similar securities. Generally, investments valued in this manner are classified as Level III because the quoted prices may be indicative in nature for securities that are in an inactive market, may be for similar securities, or may require adjustment for investment-specific factors or restrictions. (6) A discounted cash-flow method is generally used to value performing credit-oriented investments in which the consolidated funds do not have a controlling interest in the underlying issuer, as well as certain equity investments, real estate-oriented investments and real estate loan portfolios. (7) A market approach is generally used to value distressed investments and investments in which the consolidated funds have a controlling interest in the underlying. (8) Revenue multiples are based on comparable public companies and transactions with comparable companies. The Company typically applies the multiple to trailing twelve-months’ revenue. However, in certain cases other revenue measures, such as pro forma revenue, may be utilized if deemed to be more relevant. (9) A market approach using the value of underlying assets utilizes a multiple, based on comparable companies, of underlying assets or the net book value of the portfolio company. The Company typically obtains the value of underlying assets from the underlying portfolio company’s financial statements or from pricing vendors. The Company may value the underlying assets by using prices and other relevant information from market transactions involving comparable assets. (10) Earnings multiples are based on comparable public companies and transactions with comparable companies. The Company typically utilizes multiples of EBITDA; however, in certain cases the Company may use other earnings multiples believed to be most relevant to the investment. The Company typically applies the multiple to trailing twelve-months’ EBITDA. However, in certain cases other earnings measures, such as pro forma EBITDA, may be utilized if deemed to be more relevant. A significant amount of judgment may be required when using unobservable inputs, including assessing the accuracy of source data and the results of pricing models. The Company assesses the accuracy and reliability of the sources it uses to develop unobservable inputs. These sources may include third-party vendors that the Company believes are reliable and commonly utilized by other marketplace participants. As described in note 2, other factors beyond the unobservable inputs described above may have a significant impact on investment valuations. |
DERIVATIVES AND HEDGING
DERIVATIVES AND HEDGING | 12 Months Ended |
Dec. 31, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVES AND HEDGING | DERIVATIVES AND HEDGING The fair value of freestanding derivatives consisted of the following: Assets Liabilities Notional Fair Value Notional Fair Value As of December 31, 2023 Foreign-currency forward contracts $ 221,910 $ 8,608 $ (234,353) $ (8,520) As of December 31, 2022 Foreign-currency forward contracts $ 221,836 $ 13,340 $ (200,319) $ (11,840) Realized and unrealized gains and losses arising from freestanding derivatives were recorded in the consolidated statements of operations as follows: Year Ended December 31, 2023 2022 2021 Investment income (loss) $ (3,501) $ 16,259 $ 15,924 General and administrative expense (1) 3,153 7,817 7,866 Total gain (loss) $ (348) $ 24,076 $ 23,790 (1) To the extent that the Company’s freestanding derivatives are utilized to hedge its foreign-currency exposure to investment income and management fees earned from consolidated funds, the related hedged items are eliminated in consolidation, with the derivative impact (a positive number reflects a reduction in expenses) reflected in consolidated general and administrative expense. There were no derivatives outstanding that were designated as hedging instruments for accounting purposes as of December 31, 2023 and 2022. Derivatives Held By Consolidated Funds Certain consolidated funds utilize derivatives in their ongoing investment operations. These derivatives primarily consist of foreign-currency forward contracts and options utilized to manage currency risk, interest-rate swaps to hedge interest-rate risk, options and futures used to hedge certain exposures for specific securities, and total-return swaps utilized mainly to obtain exposure to leveraged loans or to participate in foreign markets not readily accessible. The primary risk exposure for options and futures is price, while the primary risk exposure for total-return swaps is credit. None of the derivative instruments are accounted for as a hedging instrument utilizing hedge accounting. The fair value of derivatives held by the consolidated funds consisted of the following: Assets Liabilities Notional Fair Value Notional Fair Value As of December 31, 2023 Foreign-currency forward contracts $ 508,174 $ 475 $ (118,263) $ (21,659) Total-return and interest-rate swaps 41,113 8,658 — — Options and futures 6,749 — (163,187) (571) Total $ 556,036 $ 9,133 $ (281,450) $ (22,230) As of December 31, 2022 Foreign-currency forward contracts $ 427,141 $ 9,758 $ (52,531) $ (16,356) Total-return and interest-rate swaps 12,604 700 (3,182) (7,666) Options and futures 378,042 279 (125,283) — Total $ 817,787 $ 10,737 $ (180,996) $ (24,022) The impact of derivatives held by the consolidated funds in the consolidated statements of operations was as follows: Year Ended December 31, 2023 2022 2021 Net Realized Gain (Loss) on Investments Net Change in Unrealized Appreciation (Depreciation) on Investments Net Realized Gain (Loss) on Investments Net Change in Unrealized Appreciation (Depreciation) on Investments Net Realized Gain (Loss) on Investments Net Change in Unrealized Appreciation (Depreciation) on Investments Foreign-currency forward contracts $ 898 $ (14,909) $ 43,145 $ (10,777) $ 6,232 $ 4,477 Total-return and interest-rate and credit default swaps (235) 328 975 284 (92) (57) Options and futures 4,382 (569) 13,322 (223) (2,550) (3,697) Warrants — — — — — 858 Commodity swaps 11,162 16,324 (44,626) (3,956) — — Total $ 16,207 $ 1,174 $ 12,816 $ (14,672) $ 3,590 $ 1,581 Balance Sheet Offsetting The Company recognizes all derivatives as assets or liabilities at fair value in its consolidated statements of financial condition. In connection with its derivative activities, the Company generally enters into agreements subject to enforceable master netting arrangements that allow the Company to offset derivative assets and liabilities in the same currency by specific derivative type or, in the event of default by the counterparty, to offset derivative assets and liabilities with the same counterparty. While these derivatives are eligible to be offset in accordance with applicable accounting guidance, the Company has elected to present derivative assets and liabilities based on gross fair value in its consolidated statements of financial condition. The table below sets forth the setoff rights and related arrangements associated with derivatives held by the Company. The “gross amounts not offset in statements of financial condition” columns represent derivatives that management has elected not to offset in the consolidated statements of financial condition even though they are eligible to be offset in accordance with applicable accounting guidance. Gross Amounts of Assets (Liabilities) Presented Gross Amounts Not Offset in Statements of Financial Condition Net Amount As of December 31, 2023 Derivative Assets (Liabilities) Cash Collateral Received (Pledged) Derivative Assets: Foreign-currency forward contracts $ 8,608 $ 510 $ — $ 8,098 Derivative assets of consolidated funds: Foreign-currency forward contracts 475 — — 475 Total-return and interest-rate and credit default swaps 8,658 — — 8,658 Subtotal 9,133 — — 9,133 Total $ 17,741 $ 510 $ — $ 17,231 Derivative Liabilities: Foreign-currency forward contracts $ (8,520) $ (510) $ — $ (8,010) Derivative liabilities of consolidated funds: Foreign-currency forward contracts (21,659) — — (21,659) Options and futures (571) — — (571) Subtotal (22,230) — — (22,230) Total $ (30,750) $ (510) $ — $ (30,240) Gross Amounts of Assets (Liabilities) Presented Gross Amounts Not Offset in Statements of Financial Condition Net Amount As of December 31, 2022 Derivative Assets (Liabilities) Cash Collateral Received (Pledged) Derivative Assets: Foreign-currency forward contracts $ 13,340 $ 1,279 $ — $ 12,061 Derivative assets of consolidated funds: Foreign-currency forward contracts 9,758 — — 9,758 Total-return and interest-rate swaps 700 — — 700 Options and futures 279 — — 279 Subtotal 10,737 — — 10,737 Total $ 24,077 $ 1,279 $ — $ 22,798 Derivative Liabilities: Foreign-currency forward contracts $ (11,840) $ (1,279) $ — $ (10,561) Derivative liabilities of consolidated funds: Foreign-currency forward contracts (16,356) — — (16,356) Total-return and interest-rate swaps (7,666) — — (7,666) Warrants — — — — Subtotal (24,022) — — (24,022) Total $ (35,862) $ (1,279) $ — $ (34,583) |
GOODWILL
GOODWILL | 12 Months Ended |
Dec. 31, 2023 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
GOODWILL | GOODWILL Goodwill represents the excess of cost over the fair value of identifiable net assets of acquired businesses. Goodwill has an indefinite useful life and is not amortized, but instead is tested for impairment annually in the fourth quarter of each fiscal year, or more frequently if events or circumstances indicate that impairment may have occurred. Goodwill is included in other assets in the consolidated statements of financial position. As of December 31, 2023, the Company determined there was no goodwill impairment. The carrying value of goodwill was $18.4 million as of December 31, 2023 and 2022, and is included in other assets in the consolidated statements of financial condition. |
DEBT OBLIGATIONS AND CREDIT FAC
DEBT OBLIGATIONS AND CREDIT FACILITIES | 12 Months Ended |
Dec. 31, 2023 | |
Debt Disclosure [Abstract] | |
DEBT OBLIGATIONS AND CREDIT FACILITIES | DEBT OBLIGATIONS AND CREDIT FACILITIES Oaktree Capital I Debt Obligations On March 30, 2022, Oaktree Capital I entered into a note and guaranty agreement with certain accredited investors pursuant to which Oaktree Capital I agreed to issue and sell to such investors €50 million of its 2.20% Senior Notes, Series A, due 2032, €75 million of its 2.40% Senior Notes, Series B, due 2034, and €75 million of its 2.58% Senior Notes, Series C, due 2037. These notes are senior unsecured obligations of Oaktree Capital I, a consolidated subsidiary of the Company, and jointly and severally guaranteed by OCM, Oaktree Capital II, L.P. (“Oaktree Capital II”) and Oaktree AIF Investments, L.P. (“Oaktree AIF”). The offering closed on June 8, 2022, and Oaktree Capital I received proceeds of €200 million on the closing date. As of December 31, 2023 December 31, 2022 Senior unsecured notes €50,000, 2.20%, issued in June 2022, payable on June 8, 2032 $ 55,233 $ 53,362 €75,000, 2.40%, issued in June 2022, payable on June 8, 2034 82,849 80,044 €75,000, 2.58%, issued in June 2022, payable on June 8, 2037 82,849 80,044 Total remaining principal 220,931 213,450 Less: Debt issuance costs (1,249) (1,255) Total debt obligations, net $ 219,682 $ 212,195 Oaktree Capital I Guaranty Agreements As of December 31, 2023, OCM, Oaktree Capital I, Oaktree Capital II, Oaktree AIF and OCM Cayman are co-obligors and jointly and severally liable for all debt obligations listed below, while the debt obligations are reflected in the consolidated financial statements based upon the entity that actually made the borrowing and received the related proceeds. Prior to 2022, OCM had historically been the only direct borrower or issuer under credit agreements and private placement notes with third parties and made all payments of principal and interest. The Company’s financial statements after the 2019 Restructuring generally do not reflect debt obligations, interest expense or related liabilities associated with OCM, Oaktree Capital II and Oaktree AIF. Subsequent to the 2022 Restructuring, the Company’s financial statements no longer reflect debt obligations, interest expense or related liabilities associated with OCM, OCM Cayman, Oaktree Capital II and Oaktree AIF. On April 7, 2023, OCM, Oaktree Capital I, Oaktree Capital II, Oaktree AIF and OCM Cayman (collectively, the “Obligors”) entered into amendments to each of the note and guaranty agreements listed below for each series of outstanding senior notes issued by OCM and Oaktree Capital I. Pursuant to these amendments, OCM Cayman became a guarantor of each such series of senior notes. These amendments also amended certain provisions in these note and guaranty agreements, including financial definitions, in order to facilitate the joinder of OCM Cayman as an obligor. Additionally, the amendments for the note purchase agreements executed in 2014 and 2020 amended the assets under management covenants to clarify the treatment of entities that the Obligors account for using equity method accounting. On the same date that the note and guaranty agreement amendments took effect, OCM Cayman became a Borrower under the $650 million revolving credit facility with OCM, Oaktree Capital I, Oaktree Capital II and Oaktree AIF pursuant to a joinder agreement executed by OCM Cayman as part of the Seventh Amendment to the credit facility. On May 20, 2020, OCM entered into a note a nd guaranty agreement with certain accredited investors pursuant to which OCM agreed to issue and sell to such investors $250 million of senior unsecured notes that bear a blended 3.68% fixed rate of interest and a weighted average maturity of 2031. These notes are guaranteed by Oaktree Capital I, a consolidated subsidiary of the Company, along with Oaktree Capital II, Oaktree AIF and OCM Cayman, as co-obligors. The offering closed on July 22, 2020 and OCM received proceeds of $250 million on the closing date. As OCM is the issuer of such senior notes, the outstanding principal and interest payments guaranteed by Oaktree Capital I will not be included in the Company’s financial statements unless an event of default occurs. Oaktree Capital I, along with certain other Oaktree Operating Group members as co-borrowers, are parties to a credit agreement with a subsidiary of Brookfield that provides for a subordinated credit facility. The subordinated credit facility has a revolving loan commitment of $250 million and bo rrowings generally bear interest at a spread to either LIBOR or an alternative base rate. Borrowings on the subordinated credit facility are subordinate to the outstanding debt obligations and borrowings on the primary credit facility of Oaktree Capital I and its co-borrowers. Oaktree Capital I is jointly and severally liable, along with its co-obligors for outstanding borrowings on the subordinated credit facility. The Company’s financial statements generally will not reflect debt obligations, interest expense or related liabilities associated with the subordinated credit facility until such time as Oaktree Capital I directly borrows from it. In March 2022, this credit facility was amended to extend the revolving credit maturity date from May 19, 2023 to September 14, 2026. On October 6, 2023, an amendment was signed to further extend the maturity date to October 6, 2028 and change the interest rate to the SOFR plus 1.6% or an alternative base rate plus 0.5%. The amendment also provided that the maturity date will automatically extend annually in one-year increments until the lenders notify the borrowers of their intention to terminate the subordinated credit facility. No amounts were outstanding on the subordinated credit facility as of December 31, 2023. On November 4, 2021, OCM entered into a note and guaranty agreement with certain accredited investors pursuant to which OCM agreed to issue and sell to such investors $200 million aggregate principal amount of its 3.06% Senior Notes due January 12, 2037. These notes are guaranteed by Oaktree Capital I, a consolidated subsidiary of the Company, along with Oaktree Capital II, Oaktree AIF and OCM Cayman, as co-obligors. The offering closed on January 12, 2022 and OCM received proceeds of $200 million on the closing date. As OCM is the issuer of such notes, the outstanding principal and interest payments guaranteed by Oaktree Capital I will not be included in the Company’s financial statements unless an event of default occurs. Oaktree’s credit facility was amended on September 14, 2021 to among other things, (i) extend the maturity date from December 13, 2024 to September 14, 2026, (ii) modify the assets under management covenant threshold from $65 billion of assets under management to $57.5 billion of management-fee generating assets under management and (iii) increase the maximum leverage ratio to 4.00 to 1.00. Oaktree’s credit facility was further amended on December 15, 2022 to among other things, extend the maturity date from September 14, 2026 to December 15, 2027 with the potential to extend the maturity for up to two . The credit agreement contains customary financial covenants and restrictions, including a maximum leverage ratio and a minimum required level of assets under management (as defined in the credit agreement, as amended above). As of December 31, 2023, no amounts were outstanding under the revolving credit facility. The fair value of the Company’s debt obligations, which are carried at amortized cost, is a Level III valuation that is estimated based on a discounted cash-flow calculation using estimated rates that would be offered to Oaktree for debt of similar terms and maturities. The fair value of these debt obligations, gross of debt issuance costs, was $175.9 million and $163.9 million as of December 31, 2023 and 2022, respectively, utilizing average borrowing rates of 4.9% and 5.1%, respectively. OCM and the Company were in compliance with all financial maintenance covenants associated with its senior notes and bank credit facility as of December 31, 2023 and 2022, respectively. As of December 31, 2023, Oaktree Capital I is jointly and severally liable, along with its co-obligors, for the debt obligations listed below with an aggregate outstanding principal balance o f $1.05 billion . The Company’s maximum exposure to these debt obligations is set forth below: As of December 31, 2023 2022 Senior unsecured notes $50,000, 3.91%, issued in September 2014, payable on September 3, 2024 $ 50,000 $ 50,000 $100,000, 4.01%, issued in September 2014, payable on September 3, 2026 100,000 100,000 $100,000, 4.21%, issued in September 2014, payable on September 3, 2029 100,000 100,000 $100,000, 3.69%, issued in July 2016, payable on July 12, 2031 100,000 100,000 $250,000, 3.78%, issued in December 2017, payable on December 18, 2032 250,000 250,000 $200,000, 3.64%, issued in July 2020, payable on July 22, 2030 200,000 200,000 $50,000, 3.84%, issued in July 2020, payable on July 22, 2035 50,000 50,000 $200,000, 3.06%, issued in January 2022, payable on January 12, 2037 200,000 200,000 Total remaining principal $ 1,050,000 $ 1,050,000 Debt Obligations of the Consolidated Funds Certain consolidated funds may maintain revolving credit facilities that are secured by the assets of the fund or may issue senior variable rate notes to fund investments on a longer-term basis, generally up to ten years. The obligations of the consolidated funds are nonrecourse to the Company. The consolidated funds had the following debt obligations outstanding: Outstanding Amount as of December 31, Facility Capacity Weighted Average Interest Rate Weighted Average Remaining Maturity (years) Commitment Fee Rate L/C Fee Credit Agreement 2023 2022 Revolving credit facilities (1) $ 951,950 $ 1,000,859 $1,316,463 7.47% 1.2 0.25% 2.05% Less: Debt issuance costs (2) (6,155) (1,972) Total debt obligations, net $ 945,795 $ 998,887 (1) Facility capacity, weighted average interest rate, weighted average remaining maturity, commitment fee rate and letter of credit fee are as of December 31, 2023. The credit facility capacity is calculated on a pro rata basis using fund commitments. (2) Debt issuance costs are included in other asset as of December 31, 2023 and December 31, 2022. The carrying value of the revolving credit facilities approximated fair value due to recent issuance. Financial instruments that are valued using quoted prices for the security or similar securities are generally classified as Level III because the quoted prices may be indicative in nature for securities that are in an inactive market, may be for similar securities or may require adjustment for investment-specific factors or restrictions. |
NON-CONTROLLING REDEEMABLE INTE
NON-CONTROLLING REDEEMABLE INTERESTS IN CONSOLIDATED FUNDS | 12 Months Ended |
Dec. 31, 2023 | |
Non-Controlling Redeemable Interests in Consolidated Funds [Abstract] | |
NON-CONTROLLING REDEEMABLE INTERESTS IN CONSOLIDATED FUNDS | NON-CONTROLLING REDEEMABLE INTERESTS IN CONSOLIDATED FUNDS The following table sets forth a summary of changes in the non-controlling redeemable interests in the consolidated funds. Dividends reinvested and in-kind contributions or distributions are non-cash in nature and have been presented on a gross basis in the table below. Year Ended December 31, 2023 2022 2021 Beginning balance $ 2,182,414 $ 1,723,294 $ 715,347 Deconsolidation of funds (242) (249,903) (192,984) Contributions 1,223,103 727,382 1,189,486 Distributions (221,745) (207,360) (171,883) Net income (loss) 245,928 190,905 186,515 Change in distributions payable (94,253) (1,314) 9,975 Foreign-currency translation and other 1,343 (590) (13,162) Ending balance $ 3,336,548 $ 2,182,414 $ 1,723,294 |
UNITHOLDERS' CAPITAL
UNITHOLDERS' CAPITAL | 12 Months Ended |
Dec. 31, 2023 | |
Equity [Abstract] | |
UNITHOLDERS' CAPITAL | UNITHOLDERS’ CAPITAL Unitholders’ capital reflects the economic interests attributable to Class A unitholders, preferred unitholders, non-controlling interests in consolidated subsidiaries and non-controlling interests in consolidated funds. Non-controlling interests in consolidated subsidiaries represent the portion of unitholders’ capital attributable to the OCGH non-controlling interest and third parties. The OCGH non-controlling interest is determined at the Oaktree Operating Group level, after giving effect to distributions, if any, attributable to the preferred unitholders, based on the proportionate share of Oaktree Operating Group units held by the OCGH unitholders. Certain expenses, such as income taxes and related administrative expenses of Brookfield Oaktree Holdings, LLC and the holding companies through which the Company holds interests in Oaktree Capital I, are solely attributable to the Class A unitholders. As of December 31, 2023 and 2022, OCGH units represented 50,915,764 of the total 160,114,755 Oaktree Operating Group units and 56,922,688 of the total 160,002,848 Oaktree Operating Group units, respectively. Based on total allocable capital of $1,058,126 and $1,017,192 as of December 31, 2023 and 2022, respectively, the OCGH non-controlling interest was $333,195 and $360,660. Distributions per Class A unit are set forth below: Payment Date Record Date Applicable to Period Ended Distribution Per Unit November 10, 2023 November 3, 2023 September 30, 2023 $ 0.08 August 10, 2023 August 2, 2023 June 30, 2023 0.09 May 10, 2023 May 1, 2023 March 31, 2023 0.72 February 24, 2023 February 15, 2023 December 31, 2022 0.11 Total 2023 $ 1.00 November 10, 2022 October 31, 2022 September 30, 2022 $ 0.31 August 10, 2022 August 3, 2022 June 30, 2022 0.38 May 10, 2022 April 30, 2022 March 31, 2022 0.27 February 25, 2022 February 15, 2022 December 31, 2021 0.90 Total 2022 $ 1.86 November 10, 2021 October 31, 2021 September 30, 2021 $ 0.83 August 10, 2021 July 30, 2021 June 30, 2021 0.50 May 10, 2021 April 30, 2021 March 31, 2021 2.28 February 25, 2021 February 15, 2021 December 31, 2020 1.07 Total 2021 $ 4.68 Preferred Unit Issuances On May 17, 2018, the Company issued 7,200,000 of its 6.625% Series A preferred units representing limited liability company interests with a liquidation preference of $25.00 per unit. The issuance resulted in $173.7 million in net proceeds to the Company. Distributions on the Series A preferred units, when and if declared by the board of directors of Oaktree, will be paid quarterly on March 15, June 15, September 15 and December 15 of each year. The first distribution was paid on September 17, 2018. Distributions on the Series A preferred units are non-cumulative. On August 9, 2018, the Company issued 9,400,000 of its 6.550% Series B preferred units representing limited liability company interests with a liquidation preference of $25.00 per unit. The issuance resulted in $226.9 million in net proceeds to the Company. Distributions on the Series B preferred units, when and if declared by the board of directors of Oaktree, will be paid quarterly on March 15, June 15, September 15 and December 15 of each year. The first distribution was paid on December 17, 2018. Distributions on the Series B preferred units are non-cumulative. Unless distributions have been declared and paid or declared and set apart for payment on the preferred units for a quarterly distribution period, during the remainder of that distribution period the Company may not repurchase any common units or any other units that are junior in rank, as to the payment of distributions, to the preferred units and the Company may not declare or pay or set apart payment for distributions on any common units or junior units for the remainder of that distribution period, other than certain Permitted Distributions (as defined in the unit designation related to the applicable preferred units (each, the “Preferred Unit Designation”)). The Company may redeem, at its option, out of funds legally available, at any time, in whole or in part, the Series A preferred units or the Series B preferred units, at a price of $25.00 per preferred unit plus declared and unpaid distributions to, but excluding, the redemption date, without payment of any undeclared distributions. Holders of the preferred units have no right to require the redemption of the preferred units. The preferred units are not convertible into Class A units or any other class or series of the Company’s interests or any other security. Holders of the preferred units do not have any of the voting rights given to holders of our Class A units, except that holders of the preferred units are entitled to certain voting rights under certain conditions. The following table sets forth a summary of net income attributable to the preferred unitholders, the OCGH and other non-controlling interests and the Class A common unitholders: Year Ended December 31, 2023 2022 2021 Weighted average Oaktree Capital I units outstanding (in thousands): OCGH and other non-controlling interests 56,306 60,704 60,956 Class A unitholders 103,791 99,211 99,031 Total weighted average units outstanding 160,097 159,915 159,987 Oaktree Capital I net income: Net income attributable to preferred unitholders (1) $ 27,316 $ 27,316 $ 27,316 Net income attributable to OCGH and other non-controlling interests 73,061 68,539 339,250 Net income attributable to BOH Class A unitholders 139,542 131,001 544,551 Oaktree Capital I net income $ 239,919 $ 226,856 $ 911,117 Net income attributable to BOH Class A unitholders: Oaktree Capital I net income attributable to BOH Class A unitholders $ 139,542 $ 131,001 $ 544,551 Non-Operating Group income (expense) 54,319 45,329 59,793 Net income attributable to BOH Class A unitholders $ 193,861 $ 176,330 $ 604,344 (1) Represents distributions declared, if any, on the preferred units. The change in the Company’s ownership interest in the Oaktree Operating Group is set forth below: Year Ended December 31, 2023 2022 2021 Net income attributable to BOH Class A unitholders $ 193,861 $ 176,330 $ 604,344 Equity reallocation between controlling and non-controlling interests 38,365 33,107 (11,155) Change from net income attributable to BOH Class A unitholders and transfers from non-controlling interests $ 232,226 $ 209,437 $ 593,189 |
EARNINGS PER UNIT
EARNINGS PER UNIT | 12 Months Ended |
Dec. 31, 2023 | |
Earnings Per Unit [Abstract] | |
EARNINGS PER UNIT | EARNINGS PER UNIT The computation of net income per Class A unit is set forth below: Year Ended December 31, 2023 2022 2021 Net income (net of tax) per Class A unit (basic and diluted): (in thousands, except per unit amounts) Net income attributable to BOH Class A unitholders $ 193,861 $ 176,330 $ 604,344 Weighted average number of Class A units outstanding (basic and diluted) 107,590 102,043 99,031 Basic and diluted net income (net of tax) per Class A unit $ 1.80 $ 1.73 $ 6.10 OCGH units are not exchangeable into Class A units. As the restrictions set forth in the then-current exchange agreement were in place for each applicable reporting period, OCGH units were not included in the computation of diluted earnings per unit for the years ended December 31, 2023 and 2022. |
INCOME TAXES AND RELATED PAYMEN
INCOME TAXES AND RELATED PAYMENTS | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES AND RELATED PAYMENTS | INCOME TAXES AND RELATED PAYMENTS The Company is a publicly traded partnership and as a result of the 2019 Restructuring, held interests in Oaktree Capital I (a non-corporate entity that is not subject to U.S. federal corporate income tax) and OCM Cayman (which holds subsidiaries that are taxable in non-U.S. jurisdictions). Subsequent to the 2022 Restructuring, however, the Company no longer holds interests in OCM Cayman and no longer consolidates OCM Cayman. All tax balances related to OCM Cayman were therefore deconsolidated as of the effective date of the 2022 Restructuring and the Company will no longer incur income tax expense. Income tax expense from operations consisted of the following: Year Ended December 31, 2023 2022 2021 Current: Foreign income tax $ — $ 15,290 $ 12,105 $ — $ 15,290 $ 12,105 Deferred: Foreign income tax $ — $ (359) $ 282 $ — $ (359) $ 282 Total: Foreign income tax $ — $ 14,931 $ 12,387 Income tax expense $ — $ 14,931 $ 12,387 The Company’s income (loss) before income taxes consisted of the following: Year Ended December 31, 2023 2022 2021 Domestic income (loss) before income taxes $ 540,166 $ 437,779 $ 1,073,218 Foreign income (loss) before income taxes — 40,242 96,548 Total income (loss) before income taxes $ 540,166 $ 478,021 $ 1,169,766 The Company’s effective tax rate differed from the federal statutory rate for the following reasons: Year Ended December 31, 2023 2022 2021 Income tax expense at federal statutory rate — % 21.00 % 21.00 % Income passed through — (19.23) (19.27) Foreign taxes — 1.35 (0.67) Total effective rate — % 3.12 % 1.06 % The components of the Company’s deferred tax assets and liabilities were as follows: As of December 31, 2023 2022 2021 Deferred tax assets: Net operating losses $ — $ — $ 1,817 Other (1) — — 1,731 Total deferred tax assets — — 3,548 Total deferred tax liabilities — — — Net deferred tax assets before valuation allowance — — 3,548 Valuation allowance — — — Net deferred tax assets $ — $ — $ 3,548 All tax balances related to OCM Cayman were deconsolidated as part of the 2022 Restructuring. When assessing the realizability of deferred tax assets, the Company considers whether it is probable that some or all of the deferred tax assets will not be realized. In determining whether the deferred tax assets are realizable, the Company considers the period of expiration of the tax asset, historical and projected taxable income, and tax liabilities for the tax jurisdiction in which the tax asset is located. The deferred tax asset recognized by the Company, as it relates to the higher tax basis in the carrying value of certain assets compared to the book basis of those assets, will be recognized in future years by these taxable entities. Deferred tax assets are based on the amount of the tax benefit that the Company’s management has determined is more likely than not to be realized in future periods. In determining the realizability of this tax benefit, management considered numerous factors that will give rise to pre-tax income in future periods. Among these are the historical and expected future book and tax basis pre-tax income of the Company and unrealized gains in the Company’s assets at the determination date. All deferred tax assets related to OCM Cayman were deconsolidated as part of the 2022 Restructuring. The Company recognizes tax benefits related to its tax positions only where the position is “more likely than not” to be sustained in the event of examination by tax authorities. As part of its assessment, the Company analyzes its tax filing positions in all of the federal, state and foreign tax jurisdictions where it is required to file income tax returns, and for all open tax years in these jurisdictions. All income tax reserve balances related to OCM Cayman were deconsolidated as part of the 2022 Restructuring. As of December 31, 2023, 2022 and 2021, the Company had no unrecognized tax benefits. The Company recognizes interest and penalties related to unrecognized tax positions in the provision for income taxes in the consolidated statements of operations. As of December 31, 2023 and 2022, there were no aggregate amount of interest and penalties accrued. The Company recognized no expense in 2023, 2022, and 2021. The Company files its tax returns as prescribed by the tax laws of the jurisdictions in which it operates. In the normal course of business, the Company is subject to examination by the relevant tax authorities. With limited exceptions, the Company is no longer subject to income tax audits by taxing authorities for periods before 2020. The Company believes that it has adequately provided for any reasonably foreseeable outcomes related to its tax examinations and that any settlements related thereto will not have a material adverse effect on the Company’s consolidated financial statements; however, there can be no assurances as to the ultimate outcomes. Exchange Agreement and Tax Receivable Agreement Under the terms of an exchange agreement in effect prior to the 2019 Restructuring, each OCGH unitholder, subject to certain restrictions, including the approval of our board of directors, had the right to (or could have been required to) exchange his or her OCGH units for, at the option of the Company’s board of directors, Class A units, an equivalent amount of cash based on then-prevailing market prices, other consideration of equal value or any combination of the foregoing. These exchanges resulted in, increases in the tax basis of the tangible and intangible assets of the Oaktree Operating Group. These increases in tax basis have increased and will increase (for tax purposes) depreciation and amortization deductions and reduce gain on sales of assets, and therefore reduced the taxes of two companies, Oaktree Holdings, Inc. and Oaktree AIF Holdings, Inc., that were the Company’s subsidiaries prior to the 2019 Restructuring. At the closing of the 2019 Restructuring, Oaktree entered into a Third Amended and Restated Tax Receivable Agreement (the TRA Amendment), which amended and restated the Original TRA. Pursuant to the TRA Amendment, the Original TRA no longer applies and no Tax Benefit Payments (as defined in the Original TRA) will be made with respect to any exchanges of OCGH units that occur on or after March 13, 2019. With respect to any exchanges of OCGH units that occurred prior to March 13, 2019, the TRA Amendment provides that Tax Benefit Payments (as defined in the Original TRA) will continue to be made with respect to such exchanges in accordance with the Original TRA (as amended in certain respects, including that such payments will be calculated without taking into account any tax attributes of Brookfield). Note that upon closing of the 2019 Restructuring, all of the obligation for future Tax Benefit Payments were transferred to the entities that were deconsolidated as part of the 2019 Restructuring. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Dec. 31, 2023 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENCIES | COMMITMENTS AND CONTINGENCIES In the normal course of business, Oaktree enters into contracts that contain certain representations, warranties and indemnifications. The Company’s exposure under these arrangements would involve future claims that have not yet been asserted. Inasmuch as no such claims currently exist or are expected to arise, the Company has not accrued any liability in connection with these indemnifications. Legal Actions Oaktree, its affiliates, investment professionals, and portfolio companies are routinely involved in litigation and other legal actions in the ordinary course of their business and investing activities. In addition, Oaktree is subject to the authority of a number of U.S. and non-U.S. regulators, including the SEC and the Financial Industry Regulatory Authority, and those authorities periodically conduct examinations of Oaktree and make other inquiries that may result in the commencement of regulatory proceedings against Oaktree and its personnel. Oaktree is currently not subject to any pending actions or regulatory proceedings that either individually or in the aggregate are expected to have a material impact on its consolidated financial statements. Incentive Income In addition to the incentive income recognized by the Company, certain of its funds have amounts recorded as potentially allocable to the Company as its share of potential future incentive income, based on each fund’s net asset value. Inasmuch as this incentive income is contingent upon future investment activity and other factors, it is not recognized by the Company as revenue until it is probable that a significant reversal will not occur. As of both December 31, 2023 and 2022, the aggregate of such amounts recorded at the fund level in excess of incentive income recognized by the Company was $1.8 billion, for which related direct incentive income compensation expense was estimated to be $739.1 million and $950.3 million, respectively. Commitments to Funds As of December 31, 2023 and 2022, the Company, generally in its capacity as general partner, had undrawn capital commitments of $349.9 million and $275.4 million, respectively, including commitments to both unconsolidated and consolidated funds. Additionally, as of December 31, 2023, the Company had undrawn capital commitments of $112.5 million in its capacity as a limited partner in Opps XI and undrawn commitments of $750.0 million in its capacity as a limited partner in Opps XII (Opps XI and Opps XII as defined in note 15). Investment Commitments of the Consolidated Funds Certain of the consolidated funds are parties to credit arrangements that provide for the issuance of letters of credit and/or revolving loans, which may require the particular fund to extend loans to investee companies. The consolidated funds use the same investment criteria in making these commitments as they do for investments that are included in the consolidated statements of financial condition. The unfunded liability associated with these credit arrangements is equal to the amount by which the contractual loan commitment exceeds the sum of funded debt and cash held in escrow, if any. As of December 31, 2023 and 2022, the consolidated funds had no potential aggregate commitments . A consolidated fund may agree to guarantee the repayment obligations of certain investee companies. As of December 31, 2023 and 2022, there were no guaranteed amounts under such arrangements. Certain consolidated funds are investment companies that are required to disclose financial support provided or contractually required to be provided to any of their portfolio companies. During the year ended December 31, 2023 and 2022, the consolidated funds did not provide any financial support to portfolio companies. |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 12 Months Ended |
Dec. 31, 2023 | |
Related Party Transactions [Abstract] | |
RELATED PARTY TRANSACTIONS | RELATED PARTY TRANSACTIONS The Company considers its executive officers, employees, if any, and unconsolidated Oaktree funds to be affiliates (as defined in the FASB ASC Master Glossary). Amounts due from and to affiliates are set forth below. The fair value of amounts due from and to affiliates is a Level III valuation and was valued based on a discounted cash-flow analysis. The carrying value of amounts due from affiliates approximated fair value due to their short-term nature or because their weighted average interest rate approximated the Company’s cost of debt. As of December 31, 2023 2022 Due from affiliates: Management fees and incentive income due from unconsolidated funds and affiliates 202,052 203,178 Payments made on behalf of unconsolidated entities 30,433 4,696 Total due from affiliates $ 232,485 $ 207,874 Due to affiliates: Amounts due to unconsolidated entities $ 62,759 $ 36,164 Total due to affiliates $ 62,759 $ 36,164 Loans To Affiliates and Employees Loans primarily consist of interest-bearing loans made to affiliates and interest-bearing loans made to certain Oaktree employees to meet tax obligations related to the purchase or vesting of equity awards. On May 7, 2021 the Company, through its consolidated subsidiary Oaktree Capital I, entered into two revolving line of credit notes with OCM, one as a borrower and the other as a lender. Both revolving line of credit notes allow for outstanding principal amounts not to exceed $250.0 million and mature on May 7, 2024. On February 17, 2023, the revolving line of credit notes were replaced with an intercompany loan agreement with a maturity of February 17, 2026. Loans outstanding on February 17, 2023 from Oaktree Capital I to OCM under the revolving line of credit notes were reclassified as loans under the intercompany loan agreement. As of December 31, 2023, OCM had borrowed $26.0 million from the Company through Oaktree Capital I, which was included in due from affiliates, and generated $810 of interest income for the year ended December 31, 2023. As of December 31, 2023, the Company through Oaktree Capital I has borrowed $48.0 million from OCM, which was included in due to affiliates, and incurred $1,370 of interest expense for the year ended December 31, 2023. There were no loans to affiliates as of December 31, 2022 and $10 of interest income was generated for the year ended December 31, 2022. As of December 31, 2022, the Company through Oaktree Capital I had borrowed $36.0 million from OCM and incurred $255 of interest expense for the year ended December 31, 2022. Revenues Earned From Oaktree Funds In aggregate, management fees and incentive income earned from unconsolidated Oaktree funds totaled $267.3 million, $280.7 million and $1.2 billion for the years ended December 31, 2023, 2022 and 2021, respectively. Subsequent to the 2022 Restructuring, the Company no longer earns management fees as a result of the deconsolidation of OCM Cayman. Aircraft Services OCM owns an aircraft for business purposes. Howard Marks, the Company’s Co-Chairman, may use this aircraft for personal travel and will reimburse OCM to the extent his use of the aircraft for personal travel exceeds a certain threshold pursuant to an Oaktree policy. Oaktree also provides certain of its senior executives a personal travel allowance for private aircraft usage up to a certain threshold pursuant to the same Oaktree policy. Additionally, Oaktree occasionally makes use of an aircraft owned by one of its senior executives for business purposes at a price to Oaktree that is based on market rates. Special Allocations Certain executive officers of the Company receive special allocations based on a percentage of profits of the Oaktree Operating Group. These special allocations, which are recorded as compensation expense, are made on a current basis for so long as the executive officers remain senior executives of Oaktree, with limited exceptions. Administrative Services The Company is party to the Services Agreement with OCM. Pursuant to the Services Agreement, OCM provides administrative services to the Company necessary for the operations of the Company, which include providing office facilities, equipment, clerical, bookkeeping and record keeping services at such facilities and such other services as OCM, subject to review by the Company’s Board of Directors, shall from time to time deem to be necessary or useful to perform its obligations under the Services Agreement. OCM may, on behalf of the Company, conduct relations and negotiate agreements with custodians, trustees, depositories, attorneys, underwriters, brokers and dealers, corporate fiduciaries, insurers, banks and such other persons in any such other capacity deemed to be necessary or desirable. OCM is responsible for the financial and other records that the Company is required to maintain and prepares, prints and disseminates reports to the Company’s unitholders and all other materials filed with the SEC. In addition, OCM assists the Company in overseeing the preparation and filing of the Company’s tax returns, and generally overseeing the payment of the Company’s expenses and the performance of administrative and professional services rendered to the Company by others. On an annual basis the Company will reimburse OCM $750,000 of the costs incurred for providing these administrative services. This reimbursement is payable quarterly, in equal installments, and relates to the Company’s allocable portion of overhead and other expenses (facilities and personnel) incurred by OCM in performing its obligations under the Services Agreement. This amount includes the Company’s allocable portion of (i) the rent of the Company’s principal executive offices (which are located in a building owned by a Brookfield affiliate) at market rates and (ii) the costs of compensation and related expenses of various personnel at Oaktree that perform duties for the Company. The Services Agreement may be terminated by either party without penalty upon 90 days’ written notice to the other. For each of the years ended December 31, 2023 and 2022, the Company incurred administrative services expense of $0.8 million. Subordinated Credit Facility Oaktree Capital I, along with certain other Oaktree Operating Group members as co-borrowers, are parties to a credit agreement with a subsidiary of Brookfield that provides for a subordinated credit facility. The subordinated credit facility has a revolving loan commitment of $250 million and borrowings generally bear interest at a spread to either LIBOR or an alternative base rate. Borrowings on the subordinated credit facility are subordinate to the outstanding debt obligations and borrowings on the primary credit facility of Oaktree Capital I and its co-borrowers as detailed in note 9. Oaktree Capital I is jointly and severally liable, along with its co-obligors for outstanding borrowings on the subordinated credit facility. As set forth in note 9, the Company’s financial statements generally will not reflect debt obligations, interest expense or related liabilities associated with its operating subsidiaries until such time as Oaktree Capital I directly borrows from the subordinated credit facility. In March 2022, this credit facility was amended to extend the revolving credit maturity date from May 19, 2023 to September 14, 2026. On October 6, 2023, an amendment was signed to further extend the maturity date to October 6, 2028, and change the interest rate to SOFR plus 1.6% or an alternative base rate plus 0.5%. The amendment also provided that the maturity date will automatically extend annually in one-year increments until the lenders notify the borrowers of their intention to terminate the subordinated credit facility. No amounts were outstanding on the subordinated credit facility as of December 31, 2023 . Investment in Oaktree Opportunities Fund XI The Company has subscribed for a limited partner interest in, and made a capital commitment of, $750 million to Oaktree Opportunities Fund XI, L.P., a parallel investment vehicle thereof or a feeder fund in respect of one of the foregoing (such limited partner interest, the “Opps XI Investment” and such fund entities collectively, “Opps XI”). In order to make the Opps XI Investment, the Company’s sole Class A unitholder, or one of its affiliates, will contribute cash as a capital contribution (the “Opps XI Investment Cash”) as and to the extent required to satisfy the Company’s obligations to Opps XI. The Company will use the Opps XI Investment Cash solely to fund the Opps XI Investment and satisfy its obligations in respect of Opps XI and distributions from the Opps XI Investment are intended solely for the benefit of the Class A unitholder, subject to applicable law. The Company’s preferred unitholders should not rely on distributions received by the Company in respect of the Company’s Opps XI Investment for payment of distributions on or redemption of the preferred units. For the year ended December 31, 2023, the Company funded $262.5 million of its capital commitment. As of December 31, 2023, the Company has funded in the aggregate $637.5 million of the $750 million of its capital commitment. Investment in Oaktree Opportunities Fund XII On May 22, 2023, the Company subscribed for a limited partner interest in, and made a capital commitment of, $750 million to Oaktree Opportunities Fund XII, L.P., a parallel investment vehicle thereof or a feeder fund in respect of one of the foregoing (such limited partner interest, the “Opps XII Investment” and such fund entities collectively, “Opps XII”). In order to make the Opps XII Investment, the Company’s sole Class A unitholder, or one of its affiliates, will contribute cash as a capital contribution (the “Opps XII Investment Cash”) as and to the extent required to satisfy the Company’s obligations to Opps XII. The Company will use the Opps XII Investment Cash solely to fund the Opps XII Investment and satisfy its obligations in respect of Opps XII and distributions from the Opps XII Investment are intended solely for the benefit of the Class A unitholder, subject to applicable law. The Company’s preferred unitholders should not rely on distributions received by the Company in respect of the Company’s Opps XII Investment for payment of distributions on or redemption of the preferred units. As of December 31, 2023, the Company has not funded any of its capital commitment. Deposit Agreement with Brookfield On May 1, 2023, Brookfield and OCM, Oaktree Capital I, Oaktree Capital II, OCM Cayman, Oaktree AIF and Oaktree Investment Holdings, L.P. (collectively, the “Oaktree Depositors”) entered into a deposit agreement under which each of the Oaktree Depositors has the ability to place up to $750 million in the aggregate (subject in the case of Oaktree Capital I to a sub-limit of $200 million) at any time on deposit with Brookfield. This deposit arrangement is set up to facilitate a more efficient use of cash across the Brookfield family of companies and provides Oaktree with the option to deposit excess operational cash. Oaktree can deposit cash from time to time, subject to the aggregate limits, and can withdraw deposited funds on two business days’ notice. Each deposit will earn interest on the outstanding principal amount at an agreed rate. There is no set maturity on any deposit balance. As of December 31, 2023, the Company has not deposited any amount under the agreement. N on-Traded REIT On June 27, 2023, the Company entered into a contribution agreement (the “Treasury Contribution Agreement”) with Brookfield Corporate Treasury Ltd. (“Treasury”). Treasury holds all of the outstanding Class A units of the Company. Pursuant to the Treasury Contribution Agreement, Treasury agreed to contribute to the Company an amount (the “Contributed Amount”) equal to the value of BUSI II GP-C LLC, BUSI II-C L.P., BUSI II SLP-GP LLC and Brookfield REIT OP Special Limited Partner L.P. (collectively, and together with any additional entities that may become direct or indirect subsidiaries of NTR (as defined below) and that beneficially own shares of Brookfield REIT (as defined below), the “REIT Entities”), including their indirect ownership in Brookfield Real Estate Income Trust Inc., a Maryland corporation (“Brookfield REIT”), as of June 30, 2023, and the Company agreed to contribute the Contributed Amount to OCG NTR Holdings, LLC, a wholly owned subsidiary of the Company (“NTR”), in connection with the Company’s indirect acquisition (the “Acquisition”) of 100% of the interests in the REIT Entities. An amount of $307.0 million in respect of the Contributed Amount was contributed to the Company on June 27, 2023 (the “Purchase Price”) and a true-up contribution of $13.9 million was made on July 31, 2023 (the “True-Up Payment”). Also on June 27, 2023, the Company entered into a contribution agreement (the “NTR Contribution Agreement”) with NTR whereby the Company contributed the Purchase Price to NTR and agreed to make a contribution in an amount equal to the True-Up Payment to NTR, and NTR agreed to use the Contributed Amount in connection with the Acquisition. On June 29, 2023, NTR entered into an agreement of purchase and sale (the “Agreement of Purchase and Sale”) to effect the Acquisition, whereby NTR acquired 100% of the interests in the REIT Entities from BUSI II NTR Sub LLC in exchange for cash. The Acquisition was completed on June 30, 2023. As of December 31, 2023, the carrying value of NTR included in corporate investments was $317.3 million. In connection with the Acquisition, on June 29, 2023, the Company entered into a letter agreement (the “Restructuring Letter Agreement”) with Treasury whereby, among other things, the Company agreed that, notwithstanding any provision of the operating agreement of the Company to the contrary, Treasury will have the right, in its sole and absolute discretion, to make up to $200.0 million of additional capital contributions to the Company to be utilized in connection with the Company’s indirect ownership of Brookfield REIT or any other matters with respect to the operations of NTR and the REIT Entities, and no vote, approval or other authorization will be required in connection with such additional capital contributions. Also on June 29, 2023, the Company entered into a letter agreement (the “Indemnification Letter Agreement”) with BP US REIT LLC (“BP US”) whereby, among other things, BP US agrees to defend, indemnify and hold harmless the Company, its members and the Company’s and such members’ respective officers, directors, employees, agents, successors, and assigns from any third-party claims brought against any of them related to the ownership, management or ongoing operating of the REIT Entities, and any subsidiaries thereof. |
SEGMENT REPORTING
SEGMENT REPORTING | 12 Months Ended |
Dec. 31, 2023 | |
Segment Reporting [Abstract] | |
SEGMENT REPORTING | SEGMENT REPORTING As a global investment manager, Oaktree provides investment management services through funds, separate accounts and subsidiary services agreements. Prior to the 2022 Restructuring, the Company earned revenues from the management fees and incentive income generated by the funds that it manages or serves as the general partner. Additionally, prior to the 2022 Restructuring, the Company earned sub-advisory fees for acting as a sub-investment manager, or sub-advisor, to certain Oaktree funds. Under such subsidiary services agreements, the Company provided certain investment and marketing related services to Oaktree affiliated entities. Subsequent to the 2022 Restructuring, however, the Company no longer earns management fees and sub-advisory fees as a result of the deconsolidation of OCM Cayman. Management uses a consolidated approach to assess performance and allocate resources. As such, the Company’s business is comprised of one segment, the investment management business. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Dec. 31, 2023 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | SUBSEQUENT EVENTS Class A Unit Distribution A distribution of $0.14 per Class A unit was paid on February 23, 2024 to holders of record at the close of business on February 15, 2024. Preferred Unit Distributions A distribution of $0.414063 per Series A preferred unit was paid on March 15, 2024 to Series A preferred unitholders of record at the close of business on March 1, 2024. A distribution of $0.409375 per Series B preferred unit was paid on March 15, 2024 to Series B preferred unitholders of record at the close of business on March 1, 2024. Letter Agreement with OCH On March 20, 2024, the Company entered into a letter agreement (the “Letter Agreement”) with OCH whereby OCH agreed that, so long as any (i) of the preferred units or (ii) the Series A Preferred Mirror Units or the Series B Preferred Mirror Units of Oaktree Capital I (collectively, the “Preferred Mirror Units”) are outstanding, for any then-current quarterly distribution period, unless distributions have been declared and paid or declared and set apart for payment on the preferred units or the Preferred Mirror Units, then, in each case for such then-current quarterly distribution period only, OCH (a) shall not cause or permit any of its operating subsidiaries to repurchase such operating subsidiary’s common units or other junior units and (b) shall not cause or permit any of its operating subsidiaries to declare or pay or set apart payment for distributions on any of such operating subsidiary’s common units or other junior units, other than, in the case of each of clauses (a) and (b), certain permitted distributions, or repurchases or distributions the proceeds of which are used, directly or indirectly, to effect any permitted distribution. OCH indirectly controls the entities in the Oaktree Operating Group that are not controlled by the Company. |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Pay vs Performance Disclosure | |||
Net Income (Loss) Attributable to Parent | $ 221,177 | $ 203,646 | $ 631,660 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Dec. 31, 2023 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation |
Use of Estimates | Use of Estimates |
Consolidation | Consolidation The Company consolidates entities in which it has a direct or indirect controlling financial interest based on either a variable interest model or voting interest model. A limited partnership or similar entity is a variable interest entity (“VIE”) if the unaffiliated limited partners do not have substantive kick-out or participating rights. Most of the Oaktree funds are VIEs because they have not granted unaffiliated limited partners substantive kick-out or participating rights. The Company consolidates those VIEs in which it is the primary beneficiary. An entity is deemed to be the primary beneficiary if it holds a controlling financial interest. A controlling financial interest is defined as (a) the power to direct the activities of a VIE that most significantly impact the entity’s economic performance and (b) the obligation to absorb losses of the entity or the right to receive benefits from the entity that could potentially be significant to the VIE. The consolidation guidance requires an analysis to determine (a) whether an entity in which the Company holds a variable interest is a VIE and (b) whether the Company’s involvement, through holding interests directly or indirectly in the entity or contractually through other variable interests (e.g., management and performance-based fees), would give it a controlling financial interest. A decision maker’s fee arrangement is not considered a variable interest if (a) it is compensation for services provided, commensurate with the level of effort required to provide those services, and part of a compensation arrangement that includes only terms, conditions or amounts that are customarily present in arrangements for similar services negotiated at arm’s length (“at-market”), and (b) the decision maker does not hold any other variable interests that absorb more than an insignificant amount of the potential VIE’s expected residual returns. The Company determines whether it is the primary beneficiary of a VIE at the time it becomes involved with a VIE and reconsiders that conclusion at each reporting date. In evaluating whether the Company is the primary beneficiary, the Company evaluates its economic interests in the entity held either directly by the Company or indirectly through related parties. The consolidation analysis can generally be performed qualitatively; however, if it is not readily apparent that the Company is not the primary beneficiary, a quantitative analysis may also be performed. Investments and redemptions (either by the Company, affiliates of the Company or third parties) or amendments to the governing documents of the respective Oaktree funds could affect an entity’s status as a VIE or the determination of the primary beneficiary. The Company does not consolidate most of the Oaktree funds because it is not the primary beneficiary of those funds due to the fact that its fee arrangements are considered at-market and thus not deemed to be variable interests, and it does not hold any other interests in those funds that are considered to be more than insignificant. Please see note 4 for more information regarding both consolidated and unconsolidated VIEs. For entities that are not VIEs, consolidation is evaluated through a majority voting interest model. “Consolidated funds” refers to Oaktree-managed funds and CLOs that the Company is required to consolidate. When funds or CLOs are consolidated, the Company reflects the assets, liabilities, revenues, expenses and cash flows of the funds or CLOs on a gross basis, and the majority of the economic interests in those funds or CLOs, which are held by third-party investors, are reflected as non-controlling interests in consolidated funds or debt obligations of CLOs in the consolidated financial statements. All of the revenues earned by the Company as investment manager of the consolidated funds are eliminated in consolidation. However, because the eliminated amounts are earned from and funded by third-party investors, the consolidation of a fund does not impact net income or loss attributable to the Company. As a result of the 2022 Restructuring, the Company no longer controls OCM Cayman and therefore OCM Cayman was deconsolidated as of the effective date of the 2022 Restructuring. Additionally, the Company concluded that it was no longer the primary beneficiary for CLOs as their direct ownership interests are held by OCM Cayman. Certain entities in which the Company has the ability to exert significant influence, including unconsolidated Oaktree funds for which the Company acts as general partner, are accounted for under the equity method of accounting. |
Non-controlling Redeemable Interests in Consolidated Funds | Non-controlling Redeemable Interests in Consolidated Funds The Company records non-controlling interests to reflect the economic interests of the unaffiliated limited partners in Oaktree-managed funds and the class A ordinary shareholders in Oaktree sponsored SPACs. These interests are presented as non-controlling redeemable interests in consolidated funds within the consolidated statements of financial condition, outside of the permanent capital section. Limited partners in open-end and evergreen funds generally have the right to withdraw their capital, subject to the terms of the respective limited partnership agreements, over periods ranging from one month to three years. While limited partners in consolidated closed-end funds generally have not been granted redemption rights, these limited partners do have withdrawal or redemption rights in certain limited circumstances that are beyond the control of the Company, such as instances in which retaining the limited partnership interest could cause the limited partner to violate a law, regulation or rule. For Oaktree sponsored SPACs, the class A ordinary shareholders have redemption rights that are considered to be outside of the Company’s control. These shares are presented as non-controlling redeemable interests on the Company’s consolidated statements of financial condition. The allocation of net income or loss to non-controlling redeemable interests in consolidated funds and Oaktree sponsored SPACs is based on the relative ownership interests of the unaffiliated limited partners after the consideration of contractual arrangements that govern allocations of income or loss. At the consolidated level, potential incentives are allocated to non-controlling redeemable interests in consolidated funds until such incentives become allocable to the Company under the substantive contractual terms of the limited partnership agreements of the funds. |
Non-controlling Interests in Consolidated Subsidiaries | Non-controlling Interests in Consolidated Subsidiaries |
Fair Value of Financial Instruments and Fair Value Option | Fair Value of Financial Instruments GAAP establishes a hierarchical disclosure framework that prioritizes the inputs used in measuring financial instruments at fair value into three levels based on their market observability. Market price observability is affected by a number of factors, such as the type of instrument and the characteristics specific to the instrument. Financial instruments with readily available quoted prices from an active market or for which fair value can be measured based on actively quoted prices generally will have a higher degree of market price observability and a lesser degree of judgment inherent in measuring fair value. Financial assets and liabilities measured and reported at fair value are classified as follows: • Level I – Quoted unadjusted prices for identical instruments in active markets to which the Company has access at the date of measurement. The types of investments in Level I include exchange-traded equities, debt and derivatives with quoted prices. • Level II – Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations in which all significant inputs are directly or indirectly observable. Level II inputs include interest rates, yield curves, volatilities, prepayment risks, loss severities, credit risks and default rates. The types of investments in Level II generally include corporate bonds and loans, government and agency securities, less liquid and restricted equity investments, over-the-counter traded derivatives, debt obligations of consolidated CLOs, and other investments where the fair value is based on observable inputs. • Level III – Valuations for which one or more significant inputs are unobservable. These inputs reflect the Company’s assessment of the assumptions that market participants use to value the investment based on the best available information. Level III inputs include prices of quoted securities in markets for which there are few transactions, less public information exists or prices vary among brokered market makers. The types of investments in Level III include non-publicly traded equity, debt, real estate and derivatives. In some instances, the inputs used to value an instrument may fall into multiple levels of the fair-value hierarchy. In such instances, the instrument’s level within the fair-value hierarchy is based on the lowest of the three levels (with Level III being the lowest) that is significant to the fair-value measurement. The Company’s assessment of the significance of an input requires judgment and considers factors specific to the instrument. Transfers of assets into or out of each fair value hierarchy level as a result of changes in the observability of the inputs used in measuring fair value are accounted for as of the beginning of the reporting period. Transfers resulting from a specific event, such as a reorganization or restructuring, are accounted for as of the date of the event that caused the transfer. In the absence of observable market prices, the Company values Level III investments inclusive of the Company’s investments in unconsolidated Oaktree funds using valuation methodologies applied on a consistent basis. The quarterly valuation process for Level III investments begins with each portfolio company, property or security being valued by the investment and/or valuation teams. With the exception of open-end funds, all unquoted Level III investment values are reviewed and approved by (i) the Company’s valuation officer, who is independent of the investment teams, (ii) a designated investment professional of each strategy and (iii) for a substantial majority of unquoted Level III holdings as measured by market value, a valuation committee of the respective strategy. For open-end funds, unquoted Level III investment values are reviewed and approved by the Company’s valuation officer. For certain investments, the valuation process also includes a review by independent valuation parties, at least annually, to determine whether the fair values determined by management are reasonable. Results of the valuation process are evaluated each quarter, including an assessment of whether the underlying calculations should be adjusted or recalibrated. In connection with this process, the Company periodically evaluates changes in fair-value measurements for reasonableness, considering items such as industry trends, general economic and market conditions, and factors specific to the investment. Certain assets are valued using prices obtained from pricing vendors or brokers. The Company seeks to obtain prices from at least two pricing vendors for the subject or similar securities. In cases where vendor pricing is not reflective of fair value, a secondary vendor is unavailable, or no vendor pricing is available, a comparison value made up of quotes for the subject or similar securities received from broker dealers may be used. These investments may be classified as Level III because the quoted prices may be indicative in nature for securities that are in an inactive market, may be for similar securities, or may require adjustment for investment-specific factors or restrictions. The Company evaluates the prices obtained from brokers or pricing vendors based on available market information, including trading activity of the subject or similar securities, or by performing a comparable security analysis to ensure that fair values are reasonably estimated. The Company also performs back-testing of valuation information obtained from pricing vendors and brokers against actual prices received in transactions. In addition to ongoing monitoring and back-testing, the Company performs due diligence procedures surrounding pricing vendors to understand their methodology and controls to support their use in the valuation process. |
Foreign Currency | Foreign Currency The assets and liabilities of the Company’s foreign subsidiaries with non-U.S. dollar functional currencies are translated at exchange rates prevailing at the end of each reporting period. The results of foreign operations are translated at the weighted average exchange rate for each reporting period. Translation adjustments are included in other comprehensive income (loss) within the consolidated statements of financial condition until realized. Gains and losses resulting from foreign-currency transactions are included in general and administrative expense. Subsequent to the 2022 Restructuring, the Company deconsolidated OCM Cayman which included the Company’s foreign subsidiaries with non-U.S. dollar functional currencies. Foreign Currency |
Derivatives and Hedging | Derivatives and Hedging A derivative is a financial instrument whose value is derived from an underlying financial instrument or index, such as interest rates, equity securities, currencies, commodities or credit spreads. Derivatives include futures, forwards, swaps or option contracts, and other financial instruments with similar characteristics. Derivative contracts often involve future commitments to exchange interest payment streams or currencies based on a notional or contractual amount (e.g., interest-rate swaps, foreign-currency forwards or cross-currency swaps). The Company enters into derivatives as part of its overall risk management strategy or to facilitate its investment management activities. The Company manages its exposure to interest rate and foreign exchange market risks, when deemed appropriate, through the use of derivatives, including foreign currency forward and option contracts, interest-rate and cross currency swaps with financial counterparties. Risks associated with fluctuations in interest rates and foreign-currency exchange rates in the normal course of business are addressed as part of the Company’s overall risk management strategy that may result in the use of derivatives to economically hedge or reduce these exposures. From time to time, the Company may enter into (a) foreign-currency option and forward contracts to reduce earnings and cash-flow volatility associated with changes in foreign-currency exchange rates, and (b) interest-rate swaps to manage all or a portion of the interest-rate risk associated with its variable-rate borrowings. As a result of the use of these or other derivative contracts, the Company is exposed to the risk that counterparties will fail to fulfill their contractual obligations. The Company attempts to mitigate this counterparty risk by entering into derivative contracts only with major financial institutions that have investment-grade credit ratings. Counterparty credit risk is evaluated in determining the fair value of derivatives. The Company recognizes all derivatives as assets or liabilities in its consolidated statements of financial condition at fair value. In connection with its derivative activities, the Company generally enters into agreements subject to enforceable master netting arrangements that allow the Company to offset derivative assets and liabilities in the same currency by specific derivative type or, in the event of default by the counterparty, to offset derivative assets and liabilities with the same counterparty. While these derivatives are eligible to be offset in accordance with applicable accounting guidance, the Company has elected to present derivative assets and liabilities based on gross fair value in its consolidated statements of financial condition. |
Cash and Cash-equivalents | Cash and Cash-equivalents Cash and Cash-equivalents |
Corporate Investments | Corporate Investments Corporate investments may consist of investments in funds, companies in which the Company does not have a controlling financial interest, equities received as part of our sponsorship of SPACs, and non-investment grade debt securities. Investments for which the Company is deemed to exert significant influence are accounted for under the equity method of accounting and reflect Oaktree’s ownership interest in each fund or company. In the case of investments for which the Company is not deemed to exert significant influence or control, the fair value option of accounting has been elected. Investment income represents the Company’s pro-rata share of income or loss from these funds or companies, or the change in fair value of the investment, as applicable. Oaktree’s general partnership interests are substantially illiquid. While investments in funds reflect each respective fund’s holdings at fair value, equity-method investments in companies are not adjusted to reflect the fair value of the underlying company. The fair value of the underlying investments in Oaktree funds is based on the Company’s assessment, which takes into account expected cash flows, earnings multiples and/or comparisons to similar market transactions, among other factors. Valuation adjustments reflecting consideration of credit quality, concentration risk, sales restrictions and other liquidity factors are integral to valuing these instruments. Non-investment grade debt securities include domestic and international corporate fixed and floating rating debt and structured credit investments. These securities are classified as trading and are recorded at fair value with changes in fair value included in investment income. |
Revenue Recognition - Incentive Income | Revenue Recognition - Incentive Income The Company earns incentive income from the investment advisory services it provides to its customers. Revenue is recognized when control of the promised services is transferred to customers in an amount that reflects the consideration the Company expects to receive in exchange for those services. These services are generally capable of being distinct and each is accounted for as separate performance obligations comprised of distinct service periods because the services are performed over time . Incentive income generally represents 20% of each closed-end fund’s profits, subject to the return of contributed capital and a preferred return of typically 8% per annum, and up to 20% of certain evergreen fund’s annual profits, subject to high-water marks or hurdle rates. Incentive income is recognized when it is probable that a significant reversal will not occur. Revenue recognition is typically met (a) for closed-end funds, only after all contributed capital and the preferred return on that capital have been distributed to the fund’s investors, and (b) for certain evergreen funds, at the conclusion of each annual measurement period. Potential incentive income is highly susceptible to market volatility, the judgment and actions of third parties, and other factors outside of the Company’s control. The Company’s experience has demonstrated little predictive value in the amount of potential incentive income ultimately earned due to the highly uncertain nature of returns inherent in the markets and contingencies associated with many realization events. As a result, the amount of incentive income recognized in any given period is generally determined after giving consideration to a number of factors, including whether the fund is in its investment or liquidation period, and the nature and level of risk associated with changes in fair value of the remaining assets in the fund. In general, it would be unlikely that any amount of potential incentive income would be recognized until (a) the uncertainty is resolved or (b) the fund is near final liquidation, assets are under contract for sale or are at low risk of significant fluctuation in fair value, and the assets are significantly in excess of the threshold at which incentive income would be earned. Incentives received by the Company before the revenue recognition criteria have been met are deferred and recorded as a deferred incentive income liability within accounts payable, accrued expenses and other liabilities in the consolidated statements of financial condition. The Company may receive tax distributions related to taxable income allocated by funds, which are treated as an advance of incentive income and subject to the same recognition criteria. Tax distributions are contractually not subject to clawback. The Company may earn incentive income upon deconsolidation of a SPAC arising from the completion of a merger with an identified target. Upon deconsolidation, the Company will derecognize the net assets of the entity and record any gain or loss related to the remeasurement of its investments to fair value as incentive income in its consolidated statements of operations. Subsequent fair value changes in the Company’s investments held in the entity will be recorded in investment income in |
Total Compensation and Benefits | Total Compensation and Benefits Incentive Income Compensation Incentive income compensation expense primarily reflects compensation directly related to incentive income, which generally consists of percentage interests (sometimes referred to as “points” or an allocation of shares received upon the completion of a successful SPAC merger) that the Company grants to its investment professionals associated with the particular fund or SPAC that generated the incentive income, and secondarily, compensation directly related to investment income. The Company has an obligation to pay a fixed percentage of the incentive income earned from a particular fund or SPAC, including income from consolidated funds that is eliminated in consolidation, to specified investment professionals responsible for the management of the fund or SPAC. Amounts payable pursuant to these arrangements are recorded as compensation expense when they have become probable and reasonably estimable. The Company’s determination of the point at which it becomes probable and reasonably estimable that incentive income compensation expense should be recorded is based on its assessment of numerous factors, particularly those related to the profitability, realizations, distribution status, investment profile and commitments or contingencies of the individual funds that may give rise to incentive income or the completion of a merger by an Oaktree sponsored SPAC. Incentive income compensation is generally |
Other Income (Expense), Net | Other Income (Expense), Net |
Income Taxes | Income Taxes The Company is a publicly traded partnership. Because it satisfies the qualifying income test, it is not required to be treated as a corporation for U.S. federal and state income tax purposes; rather it is taxed as a partnership. The Company analyzes its tax filing positions for all open tax years in all of the U.S. federal, state and local tax jurisdictions where it is required to file income tax returns. If the Company determines that uncertainties in tax positions exist, a reserve is established. The Company recognizes accrued interest and penalties related to uncertain tax positions within income tax expense in the consolidated statements of operations. Tax laws are complex and subject to different interpretations by the taxpayer and respective governmental taxing authorities. Significant judgment is required in determining tax expense and in evaluating tax positions, including evaluating uncertainties. The Company reviews its tax positions quarterly and adjusts its tax balances as new information becomes available. Income Taxes |
Comprehensive Income (Loss) | Comprehensive Income (Loss) |
Investment Transactions and Income Recognition | Investment Transactions and Income Recognition |
Receivable for Investments Sold | Receivable for Investments Sold Receivables for investments sold by the consolidated funds are recorded at net realizable value. Changes in net realizable value are reflected within net change in unrealized appreciation (depreciation) on consolidated funds’ investments and realizations are reflected within net realized gain on consolidated funds’ investments in the consolidated statements of operations. |
Investments, at Fair Value | Investments, at Fair Value The consolidated funds include investment limited partnerships and CLOs that reflect their investments, including majority-owned and controlled investments, at fair value. The Company has retained the specialized investment company accounting guidance for investment limited partnerships with respect to consolidated investments and has elected the fair value option for the financial assets of CLOs. Thus, the consolidated investments are reflected in the consolidated statements of financial condition at fair value, with unrealized gains and losses resulting from changes in fair value reflected as a component of net change in unrealized appreciation (depreciation) on consolidated funds’ investments in the consolidated statements of operations. Fair value is the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date (i.e., the exit price). Non-publicly traded debt and equity securities and other securities or instruments for which reliable market quotations are not available are valued by management using valuation methodologies applied on a consistent basis. These securities may initially be valued at the acquisition price as the best indicator of fair value. The Company reviews the significant unobservable inputs, valuations of comparable investments and other similar transactions for investments valued at acquisition price to determine whether another valuation methodology should be utilized. Subsequent valuations will depend on the facts and circumstances known as of the valuation date and the application of valuation methodologies as further described below under “—Non-publicly Traded Equity and Real Estate Investments.” The fair value may also be based on a pending transaction expected to close after the valuation date. Exchange-traded Investments Securities listed on one or more national securities exchanges are valued at their last reported sales price on the date of valuation. If no sale occurred on the valuation date, the security is valued at the mean of the last “bid” and “ask” prices on the valuation date. Securities that are not readily marketable due to legal restrictions that may limit or restrict transferability are generally valued at a discount from quoted market prices. The discount would reflect the amount market participants would require due to the risk relating to the inability to access a public market for the security for the specified period and would vary depending on the nature and duration of the restriction and the perceived risk and volatility of the underlying securities. Securities with longer duration restrictions or higher volatility are generally valued at a higher discount. Such discounts are generally estimated based on put option models or an analysis of market studies. Instances where the Company has applied discounts to quoted prices of restricted listed securities have been infrequent. The impact of such discounts is not material to the Company’s consolidated statements of financial condition and results of operations for all periods presented. Credit-oriented Investments (including Real Estate Loan Portfolios) Investments in corporate and government debt which are not listed or admitted to trading on any securities exchange are valued at the mean of the last bid and ask prices on the valuation date based on quotations supplied by recognized quotation services or by reputable broker-dealers. The market-yield approach is considered in the valuation of non-publicly traded debt securities, utilizing expected future cash flows and discounted using estimated current market rates. Discounted cash-flow calculations may be adjusted to reflect current market conditions and/or the perceived credit risk of the borrower. Consideration is also given to a borrower’s ability to meet principal and interest obligations; this may include an evaluation of collateral and/or the underlying value of the borrower utilizing techniques described below under “—Non-publicly Traded Equity and Real Estate Investments.” Non-publicly Traded Equity and Real Estate Investments The fair value of equity and real estate investments is determined using a cost, market or income approach. The cost approach is based on the current cost of reproducing a real estate investment less deterioration and functional and economic obsolescence. The market approach utilizes valuations of comparable public companies and transactions, and generally seeks to establish the enterprise value of the portfolio company or investment property using a market-multiple methodology. This approach takes into account the financial measure (such as EBITDA, adjusted EBITDA, free cash flow, net operating income, net income, book value or net asset value) believed to be most relevant for the given company or investment property. Consideration also may be given to factors such as acquisition price of the security or investment property, historical and projected operational and financial results for the portfolio company, the strengths and weaknesses of the portfolio company or investment property relative to its comparable companies or properties, industry trends, general economic and market conditions, and others deemed relevant. The income approach is typically a discounted cash-flow method that incorporates expected timing and level of cash flows. It incorporates assumptions in determining growth rates, income and expense projections, discount and capitalization rates, capital structure, terminal values, and other factors. The applicability and weight assigned to market and income approaches are determined based on the availability of reliable projections and comparable companies and transactions. The valuation of securities may be impacted by expectations of investors’ receptiveness to a public offering of the securities, the size of the holding of the securities and any associated control, information with respect to transactions or offers for the securities (including the transaction pursuant to which the investment was made and the elapsed time from the date of the investment to the valuation date), and applicable restrictions on the transferability of the securities. |
Securities Sold Short | Securities Sold Short Securities sold short represent obligations of the consolidated funds to make a future delivery of a specific security and, correspondingly, create an obligation to purchase the security at prevailing market prices (or deliver the security, if owned by the consolidated funds) as of the delivery date. As a result, these short sales create the risk that the funds’ obligations to satisfy the delivery requirement may exceed the amount recorded in the accompanying consolidated statements of financial condition. Securities sold short are recorded at fair value, with the resulting change in value reflected as a component of net change in unrealized appreciation (depreciation) on consolidated funds’ investments in the consolidated statements of operations. When the securities are delivered, any gain or loss is included in net realized gain on consolidated funds’ investments. The funds maintain cash deposits with prime brokers in order to cover their |
Options | Options The purchase price of a call option or a put option is recorded as an investment, which is carried at fair value. If a purchased option expires, a loss in the amount of the cost of the option is realized. When there is a closing sale transaction, a gain or loss is realized if the proceeds are greater or less than, respectively, the cost of the option. When a call option is exercised, the cost of the security purchased upon exercise is increased by the premium originally paid. |
Total-return Swaps | Total-return Swaps |
Due From Brokers | Due From Brokers |
Risks and Uncertainties | Risks and Uncertainties Certain consolidated funds invest primarily in the securities of entities that are undergoing, or are considered likely to undergo, reorganization, debt restructuring, liquidation or other extraordinary transactions. Investments in such entities are considered speculative and involve substantial risk of principal loss. Certain of the consolidated funds’ investments may also consist of securities that are thinly traded, securities and other assets for which no market exists, and securities which are restricted as to their transferability. Additionally, investments are subject to concentration and industry risks, reflecting numerous factors, including political, regulatory or economic issues that could cause the investments and their markets to be relatively illiquid and their prices relatively volatile. Investments denominated in non-U.S. currencies or involving non-U.S. domiciled entities are subject to risks and special considerations not typically associated with U.S. investments. Such risks may include, but are not limited to, investment and repatriation restrictions; currency exchange-rate fluctuations; adverse political, social and economic developments; less liquidity; smaller capital markets; and certain local tax law considerations. Credit risk is the potential loss that may be incurred from the failure of a counterparty or an issuer to make payments according to the terms of a contract. Some consolidated funds are subject to additional credit risk due to strategies of investing in debt of financially distressed issuers or derivatives, as well as involvement in privately-negotiated structured notes and structured-credit transactions. Counterparties include custodian banks, major brokerage houses and their affiliates. The Company monitors the creditworthiness of the financial institutions with which it conducts business. Bank debt has exposure to certain types of risk, including interest rate, market, and the potential non-payment of principal and interest as a result of default or bankruptcy of the issuer. Loans are generally subject to prepayment risk, which will affect the maturity of such loans. The consolidated funds may enter into bank debt participation agreements through contractual relationships with a third-party intermediary, causing the consolidated funds to assume the credit risk of both the borrower and the intermediary. Certain consolidated funds may invest in real property and real estate-related investments, including commercial mortgage-backed securities (“CMBS”) and real estate loans, that entail substantial inherent risks. There can be no assurance that such investments will increase in value or that significant losses will not be incurred. CMBS are subject to a number of risks, including credit, interest rate, prepayment and market. These risks can be affected by a number of factors, including general economic conditions, particularly those in the area where the related mortgaged properties are located, the level of the borrowers’ equity in the mortgaged properties, and the relative timing and rate of delinquencies and prepayments of mortgage loans bearing a higher rate of interest. Real estate loans include residential or commercial loans that are non-performing at the time of their acquisition or that become non-performing following their acquisition. Non-performing real estate loans may require a substantial amount of workout negotiations or restructuring, which may entail, among other things, a substantial reduction in the interest rate and/or write-down of the principal balance. Moreover, foreclosure on collateral securing one or more real estate loans held by the consolidated funds may be necessary, which may be lengthy and expensive. Residential loans are typically subject to risks associated with the value of the underlying properties, which may be affected by a number of factors including general economic conditions, mortgage qualification standards, local market conditions such as employment levels, the supply of homes, and the safety, convenience and attractiveness of the properties and neighborhoods. Commercial loans are typically subject to risks associated with the ability of the borrower to repay, which may be impacted by general economic conditions, as well as borrower-specific factors including the quality of management, the ability to generate sufficient income to make scheduled principal and interest payments, or the ability to obtain alternative financing to repay the loan. |
Recent Accounting Developments | Recent Accounting Developments In March 2020, the Financial Accounting Standards Board (“FASB”) issued guidance which provides temporary optional expedients and exceptions to the U.S. GAAP guidance on contract modifications and hedge accounting to ease the financial reporting burdens of the expected market transition from LIBOR and other interbank offered rates to alternative reference rates. The guidance is effective upon issuance and generally may be elected over time through December 31, 2024. The Company has not adopted any of the optional expedients or exceptions through December 31, 2023, but will continue to evaluate the possible adoption (including potential impact) of any such expedients or exceptions during the effective period as circumstances evolve. In November 2023, the FASB issued ASU 2023-07, Segment Reporting – Improvements to Reportable Segment Disclosures, which requires, among other things, disclosure of significant segment expense categories and other segment items on an interim and annual basis. Public entities with a single reportable segment are required to provide the new disclosures and all the disclosures required under ASC 280, Segment Reporting. The guidance is effective for fiscal years beginning after December 15, 2023, and interim periods in fiscal years beginning after December 15, 2024, with early adoption permitted. The Company is currently evaluating the impact of this guidance on its consolidated financial statements. |
REVENUES (Tables)
REVENUES (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Revenue Disaggregated by Fund Structure | Year Ended December 31, 2023 2022 2021 Management Fees Closed-end $ — $ 7,947 $ 4,572 Open-end — 4,254 6,124 Sub-advisory fees — 211,940 224,090 Total $ — $ 224,141 $ 234,786 Incentive Income Closed-end $ 257,296 $ 261,226 $ 1,156,472 Evergreen 10,029 7,226 63,152 Total $ 267,325 $ 268,452 $ 1,219,624 |
Schedule of Contract Balances | The table below sets forth contract balances for the periods indicated: As of December 31, 2023 2022 Receivables $ 9,407 $ 8,471 Contract assets (1) 192,645 194,707 (1) The changes in the balances primarily relate to accruals, net of payments received. |
VARIABLE INTEREST ENTITIES (Tab
VARIABLE INTEREST ENTITIES (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Variable Interest Entities | The carrying value of the Company’s investments in VIEs that were not consolidated are shown below. As of December 31, 2023 2022 Corporate investments $ 999,112 $ 976,569 Due from affiliates 199,861 200,498 Maximum exposure to loss $ 1,198,973 $ 1,177,067 |
INVESTMENTS (Tables)
INVESTMENTS (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Investments [Abstract] | |
Schedule of Corporate Investments | Corporate investments consisted of the following: As of December 31, Corporate Investments 2023 2022 Equity-method investments: Funds $ 1,434,988 $ 1,082,069 Companies 11,901 1,276 Other investments, at fair value 85,319 108,159 Total corporate investments $ 1,532,208 $ 1,191,504 Summarized financial information of the Company’s equity-method investments is set forth below: As of December 31, Statements of Financial Condition 2023 2022 Assets: Cash and cash-equivalents $ 2,834,702 $ 3,056,609 Investments, at fair value 67,471,007 59,861,879 Other assets 2,007,260 1,555,704 Total assets $ 72,312,969 $ 64,474,192 Liabilities and Capital: Debt obligations $ 5,633,599 $ 3,165,317 Other liabilities 3,722,872 8,565,763 Total liabilities 9,356,471 11,731,080 Total capital 62,956,498 52,743,112 Total liabilities and capital $ 72,312,969 $ 64,474,192 Year Ended December 31, 2023 2022 2021 Statements of Operations Revenues / investment income $ 4,506,814 $ 3,460,281 $ 1,932,884 Interest expense (565,810) (378,567) (184,829) Other expenses (1,117,553) (905,289) (795,570) Net realized and unrealized gain on investments 862,771 2,612,383 10,242,513 Net income $ 3,686,222 $ 4,788,808 $ 11,194,998 |
Schedule of Investment | The components of investment income are set forth below: Year Ended December 31, Investment Income (Loss) 2023 2022 2021 Equity-method investments: Funds $ 58,791 $ 54,345 $ 203,142 Companies 5 (10,305) 9,086 Other investments, at fair value 13,868 7,225 (9,187) Total investment income $ 72,664 $ 51,265 $ 203,041 |
Schedule of Investments, at Fair Value | The following table summarizes net gains (losses) attributable to the Company’s other investments at fair value: Year Ended December 31, 2023 2022 2021 Realized gain $ 4,475 $ 4,072 $ 9,306 Net change in unrealized gain (loss) 9,393 3,153 (18,493) Total gain (loss) $ 13,868 $ 7,225 $ (9,187) Investments held and securities sold short by the consolidated funds are summarized below: Fair Value as of December 31, Fair Value as a Percentage of Investments of Consolidated Funds as of December 31, Investments 2023 2022 2023 2022 United States: Debt securities: Communication services $ 69,509 $ 100,995 1.4 % 2.6 % Consumer discretionary 202,355 127,170 3.9 3.3 Consumer staples 28,149 23,542 0.5 0.6 Energy 110,990 79,573 2.2 2.0 Financials 223,794 217,878 4.4 5.6 Health care 226,554 111,005 4.4 2.8 Industrials 379,538 206,479 7.5 5.3 Information technology 87,355 136,714 1.7 3.5 Materials 333,459 118,578 6.5 3.0 Real estate 97,621 182,643 1.9 4.7 Utilities 19,954 11,850 0.4 0.3 Other 549,164 1,890 10.6 — Total debt securities (cost: $2,341,421 and $1,437,262 as of December 31, 2023 and 2022, respectively) 2,328,442 1,318,317 45.4 33.7 Equity securities: Communication services 79,522 64,621 1.5 1.7 Consumer discretionary 68,056 133,104 1.3 3.4 Energy 427,034 482,984 8.3 12.3 Financials 171,924 181,980 3.3 4.7 Health care 32,418 26,191 0.6 0.7 Industrials 369,019 308,514 7.2 7.9 Information technology 44,350 14,107 0.9 0.4 Materials — 899 — — Utilities 89,427 98,335 1.7 2.5 Total equity securities (cost: $1,095,721 and $1,000,922 as of December 31, 2023 and 2022, respectively) 1,281,750 1,310,735 24.8 33.6 Real estate: Real estate 13,780 1,796 0.3 — Total real estate securities (cost: $22,716 and $1,797 as of December 31, 2023 and 2022, respectively) 13,780 1,796 0.3 — Fair Value as of December 31, Fair Value as a Percentage of Investments of Consolidated Funds as of December 31, Investments 2023 2022 2023 2022 Europe: Debt securities: Communication services $ 111,898 $ 103,068 2.1 % 2.7 % Consumer discretionary 18,560 13,997 0.4 0.4 Consumer staples 3,107 8,024 0.1 0.2 Energy 1,185 1,097 — — Financials 18,381 35,091 0.4 0.9 Health care 12,136 8,178 0.2 0.2 Industrials 15,993 12,384 0.3 0.3 Information technology 5,402 4,583 0.1 0.1 Materials 13,487 10,920 0.3 0.3 Real estate 13,424 12,888 0.3 0.3 Utilities 5,417 5,102 0.1 0.1 Other 34,686 2,484 0.6 0.1 Total debt securities (cost: $231,315 and $230,090 as of December 31, 2023 and 2022, respectively) 253,676 217,816 4.9 5.6 Equity securities: Consumer discretionary 52,468 130,868 1.0 3.3 Financials 49,496 31,701 1.0 0.8 Health care 19 9 — — Industrials 93,662 53,790 1.7 1.4 Materials 24,282 24,282 0.5 0.6 Real estate 44,637 25,622 0.9 0.7 Total equity securities (cost: $208,130 and $241,129 as of December 31, 2023 and 2022, respectively) 264,564 266,272 5.1 6.8 Real estate: Consumer Discretionary 61,357 — 1.2 — Real estate 100,216 72,675 1.9 1.9 Total real estate securities (cost: $159,423 and $69,100 as of December 31, 2023 and 2022, respectively) 161,573 72,675 3.1 1.9 Asia and other: Debt securities: Communication services 803 5,419 — 0.1 Consumer discretionary 17,195 5,641 0.3 0.2 Consumer staples 19,820 19,125 0.4 0.5 Energy 1,307 9,163 — 0.2 Financials 8,192 8,344 0.2 0.2 Health care 402 2,837 — 0.1 Industrials 4,181 3,754 0.1 0.1 Information technology 5 695 — — Materials 249,492 113,784 4.9 2.9 Real estate 435,799 328,343 8.5 8.4 Utilities 3,244 5,602 0.1 0.2 Other — 59,998 — 1.5 Total debt securities (cost: $761,394 and $581,467 as of December 31, 2023 and 2022, respectively) 740,440 562,705 14.5 14.4 Fair Value as of December 31, Fair Value as a Percentage of Investments of Consolidated Funds as of December 31, Investments 2023 2022 2023 2022 Asia and other: Equity securities: Energy — 7,581 — 0.2 Industrials 63,161 113,270 1.2 2.9 Real estate 32,916 32,916 0.6 0.8 Utilities 3,375 4,530 0.1 0.1 Total equity securities (cost: $90,638 and $722,128 as of December 31, 2023 and 2022, respectively) 99,452 158,297 1.9 4.0 Total debt securities 3,322,558 2,098,838 64.8 53.7 Total equity securities 1,645,766 1,735,304 31.8 44.4 Total real estate 175,353 74,471 3.4 1.9 Total investments, at fair value $ 5,143,677 $ 3,908,613 100.0 % 100.0 % |
Schedule of Net Gains (Losses) from Investment Activities of Consolidated Funds | The following table summarizes net gains (losses) from investment activities: Year Ended December 31, 2023 2022 2021 Net Realized Gain (Loss) on Investments Net Change in Unrealized Appreciation (Depreciation) on Investments Net Realized Gain (Loss) on Investments Net Change in Unrealized Appreciation (Depreciation) on Investments Net Realized Gain (Loss) on Investments Net Change in Unrealized Appreciation (Depreciation) on Investments Investments and other financial instruments $ 63,213 $ 27,890 $ 4,103 $ 99,199 $ 25,599 $ 135,306 CLO liabilities (1) — — (30,033) (99,550) (6,951) (14,370) Foreign-currency forward contracts (2) 898 (14,909) 43,145 (10,777) 6,232 4,477 Total-return and interest-rate swaps (2) (235) 328 975 284 (92) (57) Options and futures (2) 4,382 (569) 13,322 (223) (2,550) (3,697) Commodity swaps (2) 11,162 16,324 (44,626) (3,956) — — Warrants (2) — — — — — 858 Total $ 79,420 $ 29,064 $ (13,114) $ (15,023) $ 22,238 $ 122,517 (1) Represents the net change in the fair value of CLO liabilities based on the more observable fair value of CLO assets, as measured under the CLO measurement guidance. Please see note 2 for more informatio n. Subsequent to the 2022 Restructuring, the assets and liabilities of the CLOs are no longer consolidated by the Company. (2) |
FAIR VALUE (Tables)
FAIR VALUE (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, by Balance Sheet Grouping | The Company’s other financial assets and financial liabilities by fair-value hierarchy level are set forth below. Please see notes 10 and 18 for the fair value of the Company’s outstanding debt obligations and amounts due from/to affiliates, respectively. As of December 31, 2023 As of December 31, 2022 Level I Level II Level III Total Level I Level II Level III Total Assets Corporate investments $ 72,085 $ 317,551 $ 20,994 $ 410,630 $ 109,078 $ 1,172 $ 8,470 $ 118,720 SPAC common stock and earn-out shares included in other assets 25,360 — 1,797 27,157 — — — — Foreign-currency forward contracts included in corporate investments — — — — — 1,279 — 1,279 Foreign-currency forward contracts included in other assets — 8,098 — 8,098 — 12,061 — 12,061 Total assets $ 97,445 $ 325,649 $ 22,791 $ 445,885 $ 109,078 $ 14,512 $ 8,470 $ 132,060 Liabilities Foreign-currency forward contracts included in corporate investments $ — $ (8,010) $ — $ (8,010) $ — $ (11,840) $ — $ (11,840) Total liabilities $ — $ (8,010) $ — $ (8,010) $ — $ (11,840) $ — $ (11,840) |
Schedule of Valuation Techniques and Quantitative Information | The table below sets forth a summary of the valuation techniques and quantitative information utilized in determining the fair value of the Company’s Level III financial instruments at December 31, 2023: Fair Value as of Significant Unobservable Input Financial Instrument December 31, 2023 Valuation Technique Input Value Mezzanine loan $ 18,297 Recent market information Broker quotations N/A Earn-out shares 4,494 Black-Scholes option pricing model Volatility 50% Total Level III Financial Instruments $ 22,791 The following table sets forth a summary of the valuation techniques and quantitative information utilized in determining the fair value of the consolidated funds’ Level III investments as of December 31, 2023: Investment Type Fair Value Valuation Technique Significant Unobservable (1)(2) Range Weighted Average (3) Credit-oriented investments: Consumer discretionary: $ 11,311 Recent transaction price (4) Quoted prices Not applicable Not applicable 351 Recent market information (5) Quoted prices Not applicable Not applicable 55,326 Discounted cash flow (6) Discount rate 13% – 17% 16% Energy: 15,873 Discounted cash flow (6) Discount rate 14% – 14% 14% 69,871 Recent transaction price (4) Quoted prices Not applicable Not applicable 2,325 Recent market information (5) Quoted prices Not applicable Not applicable Financials: 26,689 Discounted cash flow (6) Discount rate 12% – 15% 15% 3,646 Recent transaction price (4) Quoted prices Not applicable Not applicable 26,102 Recent market information (5) Quoted prices Not applicable Not applicable 20,520 Market approach (comparable companies) (7) Multiple of underlying assets (9) 0.5x – 1.0x 0.7x Industrials: 79,824 Discounted cash flow (6) Discount rate 11% – 15% 13% 62,544 Market approach (comparable companies) (7) Earnings multiple (10) 9.8x –9.8x 9.8x 51,788 Recent transaction price (4) Quoted prices Not applicable Not applicable 452 Recent market information (5) Quoted prices Not applicable Not applicable Materials: 306,319 Discounted cash flow (6) Discount rate 10% – 15% 12% 193,614 Recent transaction price (4) Quoted prices Not applicable Not applicable Real estate: 35,084 Recent transaction price (4) Quoted prices Not applicable Not applicable 211,211 Discounted cash flow (6) Discount rate 13% – 15% 15% 37,419 Recent market information (5) Quoted prices Not applicable Not applicable 193,771 Market approach (comparable companies) (7) Multiple of underlying assets (9) 1.0x – 1.0x 1.0x Other: 4,316 Recent market information (5) Quoted prices Not applicable Not applicable 19,820 Market approach (comparable companies) (7) Earnings multiple (10) 6.0x – 6.0x 6.0x 1,345 Market approach (comparable companies) (7) Revenue multiple (8) 0.3x – 0.3x 0.3x 1,612 Recent transaction price (4) Quoted prices Not applicable Not applicable 551,047 Discounted cash flow (6) Discount rate 9% – 19% 18% Equity investments: 179,009 Recent transaction price (4) Quoted prices Not applicable Not applicable 670,215 Market approach (comparable companies) (7) Multiple of underlying assets (9) 0.9x – 1.0x 1.0x 396,688 Market approach (comparable companies) (7) Earnings multiple (10) 2.0x – 11.0x 8.5x 102,981 Discounted cash flow (6) Discount rate 12% – 20% 15% 60,841 Market approach (comparable companies) (7) Revenue multiple (8) 1.0x – 2.0x 1.5x 22,573 Discounted cash flow (6) / market approach (comparable companies) (7) Discount rate 12% – 12% 12% Earnings multiple (10) 9.0x – 11.0x 10.0x 14,102 Recent market information (5) Quoted prices Not applicable Not applicable Real estate-oriented: Consumer discretionary: 61,357 Discounted cash flow (6) Discount rate 20% – 20% 20% Real estate: 113,996 Discounted cash flow (6) Discount rate 4% – 27% 14% Total Level III $ 3,603,942 The following table sets forth a summary of the valuation techniques and quantitative information utilized in determining the fair value of the consolidated funds’ Level III investments as of December 31, 2022: Investment Type Fair Value Valuation Technique Significant Unobservable (1)(2) Range Weighted Average (3) Credit-oriented investments: Consumer Discretionary: $ 43,934 Recent transaction price (4) Quoted prices Not applicable Not applicable 293 Recent market information (5) Quoted prices Not applicable Not applicable 16,062 Discounted cash flow (6) Discount rate 12% – 15% 14% Communication Services: 67,500 Discounted cash flow (6) Discount rate 12% – 13% 13% Energy: 32,765 Discounted cash flow (6) Discount rate 13% – 21% 18% 2,676 Recent market information (5) Quoted prices Not applicable Not applicable Financials: 66,204 Discounted cash flow (6) Discount rate 12% – 19% 15% 12,880 Recent market information (5) Quoted prices Not applicable Not applicable 6,143 Market approach (comparable companies) Multiple of underlying assets (9) 0.9x – 1.0x 1.0x Industrials 9,875 Discounted cash flow (6) Discount rate 12% – 15% 14% 35,124 Market approach (comparable companies) Multiple of underlying assets (9) 0.9x – 1.0x 1.0x 4,527 Recent transaction price (4) Quoted prices Not applicable Not applicable Materials: 197,427 Discounted cash flow (6) Discount rate 10% – 14% 12% Real estate: 32,173 Recent transaction price (4) Quoted prices Not applicable Not applicable 3,643 Discounted cash flow (6) Discount rate 9% – 9% 9% 35,525 Recent market information (5) Quoted prices Not applicable Not applicable 302,179 Market approach (comparable companies) Multiple of underlying assets (9) 0.76x – 1.00x 0.95x Other: (1,137) Recent market information (5) Quoted prices Not applicable Not applicable 22,732 Recent transaction price (4) Quoted prices Not applicable Not applicable 31,474 Discounted cash flow (6) Discount rate 10% – 18% 14% Equity investments: 74,329 Recent transaction price (4) Quoted prices Not applicable Not applicable 582,299 Market approach (comparable companies) (7) Multiple of underlying assets (9) 0.9x – 1.1x 1.0x 336,831 Market approach (comparable companies) (7) Earnings multiple (10) 5x – 20x 9x 214,172 Discounted cash flow (6) Discount rate 12% – 21% 19% 27,347 Discounted cash flow (6) / market approach (comparable companies) (7) Discount rate 14% – 14% 14% 83,644 Market approach (comparable companies) (7) Revenue multiple (8) 1x – 2x 1.81x 75,181 Recent market information (5) Quoted prices Not applicable Not applicable Real estate-oriented: 7,695 Recent transaction price (4) Quoted prices Not applicable Not applicable 66,776 Discounted cash flow (6) Discount rate 14% – 25% 18% Total Level III $ 2,390,273 (1) The discount rate is the significant unobservable input used in the fair-value measurement of performing credit-oriented investments in which the consolidated funds do not have a controlling interest in the underlying issuer, as well as certain equity investments and real estate loan portfolios. An increase (decrease) in the discount rate would result in a lower (higher) fair-value measurement. (2) Multiple of either earnings or underlying assets is the significant unobservable input used in the market approach for the fair-value measurement of distressed credit-oriented investments, credit-oriented investments in which the consolidated funds have a controlling interest in the underlying issuer, equity investments and certain real estate-oriented investments. An increase (decrease) in the multiple would result in a higher (lower) fair-value measurement. (3) The weighted average is based on the fair value of the investments included in the range. (4) Certain investments are valued based on recent transactions, generally defined as investments purchased or sold within six months of the valuation date. The fair value may also be based on a pending transaction expected to close after the valuation date. (5) Certain investments are valued using vendor prices or broker quotes for the subject or similar securities. Generally, investments valued in this manner are classified as Level III because the quoted prices may be indicative in nature for securities that are in an inactive market, may be for similar securities, or may require adjustment for investment-specific factors or restrictions. (6) A discounted cash-flow method is generally used to value performing credit-oriented investments in which the consolidated funds do not have a controlling interest in the underlying issuer, as well as certain equity investments, real estate-oriented investments and real estate loan portfolios. (7) A market approach is generally used to value distressed investments and investments in which the consolidated funds have a controlling interest in the underlying. (8) Revenue multiples are based on comparable public companies and transactions with comparable companies. The Company typically applies the multiple to trailing twelve-months’ revenue. However, in certain cases other revenue measures, such as pro forma revenue, may be utilized if deemed to be more relevant. (9) A market approach using the value of underlying assets utilizes a multiple, based on comparable companies, of underlying assets or the net book value of the portfolio company. The Company typically obtains the value of underlying assets from the underlying portfolio company’s financial statements or from pricing vendors. The Company may value the underlying assets by using prices and other relevant information from market transactions involving comparable assets. |
Schedule of Valuation of Investments and Other Financial Instruments | The table below summarizes the investments and other financial instruments of the consolidated funds by fair-value hierarchy level: As of December 31, 2023 As of December 31, 2022 Level I Level II Level III Total Level I Level II Level III Total Assets Investments: Corporate debt – bank debt $ — $ 641,615 $ 1,721,888 $ 2,363,503 $ — $ 411,997 $ 702,497 $ 1,114,494 Corporate debt – all other — 698,763 260,292 959,055 — 764,841 219,503 984,344 Equities – common stock 165,649 31,779 846,773 1,044,201 226,862 34,389 777,198 1,038,449 Equities – preferred stock 1,929 — 599,636 601,565 80,251 — 616,604 696,855 Real estate — — 175,353 175,353 — — 74,471 74,471 Total investments 167,578 1,372,157 3,603,942 5,143,677 307,113 1,211,227 2,390,273 3,908,613 Derivatives: Foreign-currency forward contracts — 475 — 475 — 9,758 — 9,758 Swaps 8,658 — — 8,658 — 700 — 700 Options and futures — — — — 279 — — 279 Total derivatives (1) 8,658 475 — 9,133 279 10,458 — 10,737 Total assets $ 176,236 $ 1,372,632 $ 3,603,942 $ 5,152,810 $ 307,392 $ 1,221,685 $ 2,390,273 $ 3,919,350 Liabilities Derivatives: Foreign-currency forward contracts — (21,659) — (21,659) — (16,356) — (16,356) Swaps — — — — (7,666) — — (7,666) Options and futures (571) — — (571) — — — — Total derivatives (2) (571) (21,659) — (22,230) (7,666) (16,356) — (24,022) Total liabilities $ (571) $ (21,659) $ — $ (22,230) $ (7,666) $ (16,356) $ — $ (24,022) (1) Amounts are included in other assets under “assets of consolidated funds” in the consolidated statements of financial condition. (2) Amounts are included in accounts payable, accrued expenses and other liabilities under “liabilities of consolidated funds” in the consolidated statements of financial condition. |
Schedule of Changes in Fair Value of Level III Investments | The following tables set forth a summary of changes in the fair value of Level III investments: Corporate Debt – Bank Debt Corporate Debt – All Other Equities – Common Stock Equities – Preferred Stock Real Estate Total 2023 Beginning balance $ 702,497 $ 219,503 $ 777,198 $ 616,604 $ 74,471 $ 2,390,273 Transfers into Level III 192,202 13,236 52,730 — 67,726 325,894 Transfers out of Level III (184,854) (15,170) (50,853) — — (250,877) Purchases 1,234,175 103,654 101,028 125,684 34,615 1,599,156 Sales (262,336) (76,295) (55,069) (85,171) — (478,871) Realized gain (loss), net (22) (639) 22,040 6,475 (13) 27,841 Unrealized appreciation (depreciation), net 40,226 16,003 (301) (63,956) (1,446) (9,474) Ending balance $ 1,721,888 $ 260,292 $ 846,773 $ 599,636 $ 175,353 $ 3,603,942 Net change in unrealized appreciation (depreciation) attributable to assets still held at end of period $ 28,278 $ 14,951 $ (342) $ (63,956) $ (1,444) $ (22,513) 2022 Beginning balance $ 597,188 $ 229,576 $ 581,748 $ 486,030 $ 33,834 $ 1,928,376 Deconsolidation of funds (196,906) — (964) (16) — (197,886) Transfers into Level III 116,213 10,548 — — — 126,761 Transfers out of Level III (53,653) (9,935) (122) — — (63,710) Purchases 518,173 16,116 259,004 234,652 36,782 1,064,727 Sales (296,175) (25,501) (193,950) (110,612) — (626,238) Realized loss, net (2,501) (1,692) (92,514) 2,299 (813) (95,221) Unrealized depreciation, net 20,158 391 223,996 4,251 4,668 253,464 Ending balance $ 702,497 $ 219,503 $ 777,198 $ 616,604 $ 74,471 $ 2,390,273 Net change in unrealized depreciation attributable to assets still held at end of period $ 18,104 $ 395 $ 93,676 $ 4,357 $ 4,670 $ 121,202 |
DERIVATIVES AND HEDGING (Tables
DERIVATIVES AND HEDGING (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Foreign Exchange Contracts, Statement of Financial Position | The fair value of freestanding derivatives consisted of the following: Assets Liabilities Notional Fair Value Notional Fair Value As of December 31, 2023 Foreign-currency forward contracts $ 221,910 $ 8,608 $ (234,353) $ (8,520) As of December 31, 2022 Foreign-currency forward contracts $ 221,836 $ 13,340 $ (200,319) $ (11,840) |
Schedule of Impact of Derivative Instruments on Condensed Consolidated Statement of Operations | Realized and unrealized gains and losses arising from freestanding derivatives were recorded in the consolidated statements of operations as follows: Year Ended December 31, 2023 2022 2021 Investment income (loss) $ (3,501) $ 16,259 $ 15,924 General and administrative expense (1) 3,153 7,817 7,866 Total gain (loss) $ (348) $ 24,076 $ 23,790 (1) To the extent that the Company’s freestanding derivatives are utilized to hedge its foreign-currency exposure to investment income and management fees earned from consolidated funds, the related hedged items are eliminated in consolidation, with the derivative impact (a positive number reflects a reduction in expenses) reflected in consolidated general and administrative expense. The impact of derivatives held by the consolidated funds in the consolidated statements of operations was as follows: Year Ended December 31, 2023 2022 2021 Net Realized Gain (Loss) on Investments Net Change in Unrealized Appreciation (Depreciation) on Investments Net Realized Gain (Loss) on Investments Net Change in Unrealized Appreciation (Depreciation) on Investments Net Realized Gain (Loss) on Investments Net Change in Unrealized Appreciation (Depreciation) on Investments Foreign-currency forward contracts $ 898 $ (14,909) $ 43,145 $ (10,777) $ 6,232 $ 4,477 Total-return and interest-rate and credit default swaps (235) 328 975 284 (92) (57) Options and futures 4,382 (569) 13,322 (223) (2,550) (3,697) Warrants — — — — — 858 Commodity swaps 11,162 16,324 (44,626) (3,956) — — Total $ 16,207 $ 1,174 $ 12,816 $ (14,672) $ 3,590 $ 1,581 |
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value | The fair value of derivatives held by the consolidated funds consisted of the following: Assets Liabilities Notional Fair Value Notional Fair Value As of December 31, 2023 Foreign-currency forward contracts $ 508,174 $ 475 $ (118,263) $ (21,659) Total-return and interest-rate swaps 41,113 8,658 — — Options and futures 6,749 — (163,187) (571) Total $ 556,036 $ 9,133 $ (281,450) $ (22,230) As of December 31, 2022 Foreign-currency forward contracts $ 427,141 $ 9,758 $ (52,531) $ (16,356) Total-return and interest-rate swaps 12,604 700 (3,182) (7,666) Options and futures 378,042 279 (125,283) — Total $ 817,787 $ 10,737 $ (180,996) $ (24,022) |
Schedule of Balance Sheet Offsetting Assets | The “gross amounts not offset in statements of financial condition” columns represent derivatives that management has elected not to offset in the consolidated statements of financial condition even though they are eligible to be offset in accordance with applicable accounting guidance. Gross Amounts of Assets (Liabilities) Presented Gross Amounts Not Offset in Statements of Financial Condition Net Amount As of December 31, 2023 Derivative Assets (Liabilities) Cash Collateral Received (Pledged) Derivative Assets: Foreign-currency forward contracts $ 8,608 $ 510 $ — $ 8,098 Derivative assets of consolidated funds: Foreign-currency forward contracts 475 — — 475 Total-return and interest-rate and credit default swaps 8,658 — — 8,658 Subtotal 9,133 — — 9,133 Total $ 17,741 $ 510 $ — $ 17,231 Derivative Liabilities: Foreign-currency forward contracts $ (8,520) $ (510) $ — $ (8,010) Derivative liabilities of consolidated funds: Foreign-currency forward contracts (21,659) — — (21,659) Options and futures (571) — — (571) Subtotal (22,230) — — (22,230) Total $ (30,750) $ (510) $ — $ (30,240) Gross Amounts of Assets (Liabilities) Presented Gross Amounts Not Offset in Statements of Financial Condition Net Amount As of December 31, 2022 Derivative Assets (Liabilities) Cash Collateral Received (Pledged) Derivative Assets: Foreign-currency forward contracts $ 13,340 $ 1,279 $ — $ 12,061 Derivative assets of consolidated funds: Foreign-currency forward contracts 9,758 — — 9,758 Total-return and interest-rate swaps 700 — — 700 Options and futures 279 — — 279 Subtotal 10,737 — — 10,737 Total $ 24,077 $ 1,279 $ — $ 22,798 Derivative Liabilities: Foreign-currency forward contracts $ (11,840) $ (1,279) $ — $ (10,561) Derivative liabilities of consolidated funds: Foreign-currency forward contracts (16,356) — — (16,356) Total-return and interest-rate swaps (7,666) — — (7,666) Warrants — — — — Subtotal (24,022) — — (24,022) Total $ (35,862) $ (1,279) $ — $ (34,583) |
Schedule of Balance Sheet Offsetting Liabilities | The “gross amounts not offset in statements of financial condition” columns represent derivatives that management has elected not to offset in the consolidated statements of financial condition even though they are eligible to be offset in accordance with applicable accounting guidance. Gross Amounts of Assets (Liabilities) Presented Gross Amounts Not Offset in Statements of Financial Condition Net Amount As of December 31, 2023 Derivative Assets (Liabilities) Cash Collateral Received (Pledged) Derivative Assets: Foreign-currency forward contracts $ 8,608 $ 510 $ — $ 8,098 Derivative assets of consolidated funds: Foreign-currency forward contracts 475 — — 475 Total-return and interest-rate and credit default swaps 8,658 — — 8,658 Subtotal 9,133 — — 9,133 Total $ 17,741 $ 510 $ — $ 17,231 Derivative Liabilities: Foreign-currency forward contracts $ (8,520) $ (510) $ — $ (8,010) Derivative liabilities of consolidated funds: Foreign-currency forward contracts (21,659) — — (21,659) Options and futures (571) — — (571) Subtotal (22,230) — — (22,230) Total $ (30,750) $ (510) $ — $ (30,240) Gross Amounts of Assets (Liabilities) Presented Gross Amounts Not Offset in Statements of Financial Condition Net Amount As of December 31, 2022 Derivative Assets (Liabilities) Cash Collateral Received (Pledged) Derivative Assets: Foreign-currency forward contracts $ 13,340 $ 1,279 $ — $ 12,061 Derivative assets of consolidated funds: Foreign-currency forward contracts 9,758 — — 9,758 Total-return and interest-rate swaps 700 — — 700 Options and futures 279 — — 279 Subtotal 10,737 — — 10,737 Total $ 24,077 $ 1,279 $ — $ 22,798 Derivative Liabilities: Foreign-currency forward contracts $ (11,840) $ (1,279) $ — $ (10,561) Derivative liabilities of consolidated funds: Foreign-currency forward contracts (16,356) — — (16,356) Total-return and interest-rate swaps (7,666) — — (7,666) Warrants — — — — Subtotal (24,022) — — (24,022) Total $ (35,862) $ (1,279) $ — $ (34,583) |
DEBT OBLIGATIONS AND CREDIT F_2
DEBT OBLIGATIONS AND CREDIT FACILITIES (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Debt Disclosure [Abstract] | |
Schedule of Debt Obligations | The offering closed on June 8, 2022, and Oaktree Capital I received proceeds of €200 million on the closing date. As of December 31, 2023 December 31, 2022 Senior unsecured notes €50,000, 2.20%, issued in June 2022, payable on June 8, 2032 $ 55,233 $ 53,362 €75,000, 2.40%, issued in June 2022, payable on June 8, 2034 82,849 80,044 €75,000, 2.58%, issued in June 2022, payable on June 8, 2037 82,849 80,044 Total remaining principal 220,931 213,450 Less: Debt issuance costs (1,249) (1,255) Total debt obligations, net $ 219,682 $ 212,195 As of December 31, 2023 2022 Senior unsecured notes $50,000, 3.91%, issued in September 2014, payable on September 3, 2024 $ 50,000 $ 50,000 $100,000, 4.01%, issued in September 2014, payable on September 3, 2026 100,000 100,000 $100,000, 4.21%, issued in September 2014, payable on September 3, 2029 100,000 100,000 $100,000, 3.69%, issued in July 2016, payable on July 12, 2031 100,000 100,000 $250,000, 3.78%, issued in December 2017, payable on December 18, 2032 250,000 250,000 $200,000, 3.64%, issued in July 2020, payable on July 22, 2030 200,000 200,000 $50,000, 3.84%, issued in July 2020, payable on July 22, 2035 50,000 50,000 $200,000, 3.06%, issued in January 2022, payable on January 12, 2037 200,000 200,000 Total remaining principal $ 1,050,000 $ 1,050,000 |
Schedule of Collateralized Loan Obligation | The consolidated funds had the following debt obligations outstanding: Outstanding Amount as of December 31, Facility Capacity Weighted Average Interest Rate Weighted Average Remaining Maturity (years) Commitment Fee Rate L/C Fee Credit Agreement 2023 2022 Revolving credit facilities (1) $ 951,950 $ 1,000,859 $1,316,463 7.47% 1.2 0.25% 2.05% Less: Debt issuance costs (2) (6,155) (1,972) Total debt obligations, net $ 945,795 $ 998,887 (1) Facility capacity, weighted average interest rate, weighted average remaining maturity, commitment fee rate and letter of credit fee are as of December 31, 2023. The credit facility capacity is calculated on a pro rata basis using fund commitments. (2) Debt issuance costs are included in other asset as of December 31, 2023 and December 31, 2022. |
NON-CONTROLLING REDEEMABLE IN_2
NON-CONTROLLING REDEEMABLE INTERESTS IN CONSOLIDATED FUNDS (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Non-Controlling Redeemable Interests in Consolidated Funds [Abstract] | |
Schedule of Changes in Non-controlling Redeemable Interests in Consolidated Funds | The following table sets forth a summary of changes in the non-controlling redeemable interests in the consolidated funds. Dividends reinvested and in-kind contributions or distributions are non-cash in nature and have been presented on a gross basis in the table below. Year Ended December 31, 2023 2022 2021 Beginning balance $ 2,182,414 $ 1,723,294 $ 715,347 Deconsolidation of funds (242) (249,903) (192,984) Contributions 1,223,103 727,382 1,189,486 Distributions (221,745) (207,360) (171,883) Net income (loss) 245,928 190,905 186,515 Change in distributions payable (94,253) (1,314) 9,975 Foreign-currency translation and other 1,343 (590) (13,162) Ending balance $ 3,336,548 $ 2,182,414 $ 1,723,294 |
UNITHOLDERS' CAPITAL (Tables)
UNITHOLDERS' CAPITAL (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Equity [Abstract] | |
Schedule of Distributions Made | Distributions per Class A unit are set forth below: Payment Date Record Date Applicable to Period Ended Distribution Per Unit November 10, 2023 November 3, 2023 September 30, 2023 $ 0.08 August 10, 2023 August 2, 2023 June 30, 2023 0.09 May 10, 2023 May 1, 2023 March 31, 2023 0.72 February 24, 2023 February 15, 2023 December 31, 2022 0.11 Total 2023 $ 1.00 November 10, 2022 October 31, 2022 September 30, 2022 $ 0.31 August 10, 2022 August 3, 2022 June 30, 2022 0.38 May 10, 2022 April 30, 2022 March 31, 2022 0.27 February 25, 2022 February 15, 2022 December 31, 2021 0.90 Total 2022 $ 1.86 November 10, 2021 October 31, 2021 September 30, 2021 $ 0.83 August 10, 2021 July 30, 2021 June 30, 2021 0.50 May 10, 2021 April 30, 2021 March 31, 2021 2.28 February 25, 2021 February 15, 2021 December 31, 2020 1.07 Total 2021 $ 4.68 |
Schedule of Net Income (Loss) | The following table sets forth a summary of net income attributable to the preferred unitholders, the OCGH and other non-controlling interests and the Class A common unitholders: Year Ended December 31, 2023 2022 2021 Weighted average Oaktree Capital I units outstanding (in thousands): OCGH and other non-controlling interests 56,306 60,704 60,956 Class A unitholders 103,791 99,211 99,031 Total weighted average units outstanding 160,097 159,915 159,987 Oaktree Capital I net income: Net income attributable to preferred unitholders (1) $ 27,316 $ 27,316 $ 27,316 Net income attributable to OCGH and other non-controlling interests 73,061 68,539 339,250 Net income attributable to BOH Class A unitholders 139,542 131,001 544,551 Oaktree Capital I net income $ 239,919 $ 226,856 $ 911,117 Net income attributable to BOH Class A unitholders: Oaktree Capital I net income attributable to BOH Class A unitholders $ 139,542 $ 131,001 $ 544,551 Non-Operating Group income (expense) 54,319 45,329 59,793 Net income attributable to BOH Class A unitholders $ 193,861 $ 176,330 $ 604,344 (1) Represents distributions declared, if any, on the preferred units. |
Schedule of Changes in Company Ownership Interest | The change in the Company’s ownership interest in the Oaktree Operating Group is set forth below: Year Ended December 31, 2023 2022 2021 Net income attributable to BOH Class A unitholders $ 193,861 $ 176,330 $ 604,344 Equity reallocation between controlling and non-controlling interests 38,365 33,107 (11,155) Change from net income attributable to BOH Class A unitholders and transfers from non-controlling interests $ 232,226 $ 209,437 $ 593,189 |
EARNINGS PER UNIT (Tables)
EARNINGS PER UNIT (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Earnings Per Unit [Abstract] | |
Schedule of Computations of Net Income Per Unit | The computation of net income per Class A unit is set forth below: Year Ended December 31, 2023 2022 2021 Net income (net of tax) per Class A unit (basic and diluted): (in thousands, except per unit amounts) Net income attributable to BOH Class A unitholders $ 193,861 $ 176,330 $ 604,344 Weighted average number of Class A units outstanding (basic and diluted) 107,590 102,043 99,031 Basic and diluted net income (net of tax) per Class A unit $ 1.80 $ 1.73 $ 6.10 |
INCOME TAXES AND RELATED PAYM_2
INCOME TAXES AND RELATED PAYMENTS (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Income Tax Disclosure [Abstract] | |
Schedule of Components of Income Tax Expense | Income tax expense from operations consisted of the following: Year Ended December 31, 2023 2022 2021 Current: Foreign income tax $ — $ 15,290 $ 12,105 $ — $ 15,290 $ 12,105 Deferred: Foreign income tax $ — $ (359) $ 282 $ — $ (359) $ 282 Total: Foreign income tax $ — $ 14,931 $ 12,387 Income tax expense $ — $ 14,931 $ 12,387 |
Schedule of Income before Income Tax, Domestic and Foreign | The Company’s income (loss) before income taxes consisted of the following: Year Ended December 31, 2023 2022 2021 Domestic income (loss) before income taxes $ 540,166 $ 437,779 $ 1,073,218 Foreign income (loss) before income taxes — 40,242 96,548 Total income (loss) before income taxes $ 540,166 $ 478,021 $ 1,169,766 |
Schedule of Effective Income Tax Rate Reconciliation | The Company’s effective tax rate differed from the federal statutory rate for the following reasons: Year Ended December 31, 2023 2022 2021 Income tax expense at federal statutory rate — % 21.00 % 21.00 % Income passed through — (19.23) (19.27) Foreign taxes — 1.35 (0.67) Total effective rate — % 3.12 % 1.06 % |
Schedule of Deferred Tax Assets and Liabilities | The components of the Company’s deferred tax assets and liabilities were as follows: As of December 31, 2023 2022 2021 Deferred tax assets: Net operating losses $ — $ — $ 1,817 Other (1) — — 1,731 Total deferred tax assets — — 3,548 Total deferred tax liabilities — — — Net deferred tax assets before valuation allowance — — 3,548 Valuation allowance — — — Net deferred tax assets $ — $ — $ 3,548 |
RELATED PARTY TRANSACTIONS (Tab
RELATED PARTY TRANSACTIONS (Tables) | 12 Months Ended |
Dec. 31, 2023 | |
Related Party Transactions [Abstract] | |
Amounts Due from and Due to Affiliates | Amounts due from and to affiliates are set forth below. The fair value of amounts due from and to affiliates is a Level III valuation and was valued based on a discounted cash-flow analysis. The carrying value of amounts due from affiliates approximated fair value due to their short-term nature or because their weighted average interest rate approximated the Company’s cost of debt. As of December 31, 2023 2022 Due from affiliates: Management fees and incentive income due from unconsolidated funds and affiliates 202,052 203,178 Payments made on behalf of unconsolidated entities 30,433 4,696 Total due from affiliates $ 232,485 $ 207,874 Due to affiliates: Amounts due to unconsolidated entities $ 62,759 $ 36,164 Total due to affiliates $ 62,759 $ 36,164 |
ORGANIZATION AND BASIS OF PRE_2
ORGANIZATION AND BASIS OF PRESENTATION (Details) | 38 Months Ended | |
Nov. 30, 2022 entity | Dec. 31, 2023 vote entity | |
Class of Stock | ||
Number of operating group entities | entity | 6 | |
Number of operating group entities with operations | entity | 2 | |
Class A Units | ||
Class of Stock | ||
Number of votes entitled per unit | vote | 1 | |
Class B Units | ||
Class of Stock | ||
Number of votes entitled per unit | vote | 10 |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Non-controlling Redeemable Interests in Consolidated Funds (Details) | 12 Months Ended |
Dec. 31, 2023 | |
Minimum | |
Variable Interest Entity [Line Items] | |
Withdrawal period | 1 month |
Maximum | |
Variable Interest Entity [Line Items] | |
Withdrawal period | 3 years |
SUMMARY OF SIGNIFICANT ACCOUN_4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Revenue Recognition (Details) | 12 Months Ended |
Dec. 31, 2023 | |
Incentive Income, Closed-end | |
Disaggregation of Revenue [Line Items] | |
Preferred return on funds | 20% |
Percentage of fund profits | 8% |
Incentive Income, Evergreen | |
Disaggregation of Revenue [Line Items] | |
Preferred return on funds | 20% |
SUMMARY OF SIGNIFICANT ACCOUN_5
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Total Compensation and Benefits (Details) | 12 Months Ended |
Dec. 31, 2023 | |
Accounting Policies [Abstract] | |
Incentive income compensation vesting period | 5 years |
REVENUES - Revenues Disaggregat
REVENUES - Revenues Disaggregated by Fund Structure (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disaggregation of Revenue [Line Items] | |||
Total revenues | $ 267,325 | $ 492,593 | $ 1,454,410 |
Management Fees | |||
Disaggregation of Revenue [Line Items] | |||
Total revenues | 0 | 224,141 | 234,786 |
Closed-end | |||
Disaggregation of Revenue [Line Items] | |||
Total revenues | 0 | 7,947 | 4,572 |
Open-end | |||
Disaggregation of Revenue [Line Items] | |||
Total revenues | 0 | 4,254 | 6,124 |
Sub-advisory fees | |||
Disaggregation of Revenue [Line Items] | |||
Total revenues | 0 | 211,940 | 224,090 |
Incentive Income | |||
Disaggregation of Revenue [Line Items] | |||
Total revenues | 267,325 | 268,452 | 1,219,624 |
Closed-end | |||
Disaggregation of Revenue [Line Items] | |||
Total revenues | 257,296 | 261,226 | 1,156,472 |
Evergreen | |||
Disaggregation of Revenue [Line Items] | |||
Total revenues | $ 10,029 | $ 7,226 | $ 63,152 |
REVENUES - Contract Balances (D
REVENUES - Contract Balances (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Revenue from Contract with Customer [Abstract] | ||
Receivables | $ 9,407 | $ 8,471 |
Contract assets | $ 192,645 | $ 194,707 |
VARIABLE INTEREST ENTITIES - Na
VARIABLE INTEREST ENTITIES - Narrative (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 USD ($) entity | Dec. 31, 2022 USD ($) | |
Variable Interest Entity [Line Items] | ||
Assets | $ 7,555,933 | $ 5,654,889 |
Liabilities | $ 1,634,479 | $ 1,565,837 |
Consolidated VIEs | ||
Variable Interest Entity [Line Items] | ||
Number of VIE's consolidated (in entity) | entity | 9 | |
Assets | $ 5,700,000 | |
Liabilities | 1,200,000 | |
Maximum loss exposure | $ 1,200,000 | |
Number of remaining variable interest entities | Consolidated VIEs | ||
Variable Interest Entity [Line Items] | ||
Number of VIE's consolidated (in entity) | entity | 9 |
VARIABLE INTEREST ENTITIES - VI
VARIABLE INTEREST ENTITIES - VIEs Not Consolidated (Details) - VIEs not consolidated - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Variable Interest Entity [Line Items] | ||
Maximum exposure to loss | $ 1,198,973 | $ 1,177,067 |
Corporate investments | ||
Variable Interest Entity [Line Items] | ||
Maximum exposure to loss | 999,112 | 976,569 |
Due from affiliates | ||
Variable Interest Entity [Line Items] | ||
Maximum exposure to loss | $ 199,861 | $ 200,498 |
INVESTMENTS - Corporate Investm
INVESTMENTS - Corporate Investments (Details) - Oaktree Capital Group Excluding Consolidated Funds - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Schedule of Equity Method Investments [Line Items] | ||
Other investments, at fair value | $ 85,319 | $ 108,159 |
Total corporate investments | 1,532,208 | 1,191,504 |
Funds | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity-method investments: | 1,434,988 | 1,082,069 |
Companies | ||
Schedule of Equity Method Investments [Line Items] | ||
Equity-method investments: | $ 11,901 | $ 1,276 |
INVESTMENTS - Investment Income
INVESTMENTS - Investment Income (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Schedule of Equity Method Investments [Line Items] | |||
Other investments, at fair value | $ 13,868 | $ 7,225 | $ (9,187) |
Total investment income | 72,664 | 51,265 | 203,041 |
Funds | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity-method investments | 58,791 | 54,345 | 203,142 |
Companies | |||
Schedule of Equity Method Investments [Line Items] | |||
Equity-method investments | $ 5 | $ (10,305) | $ 9,086 |
INVESTMENTS - Additional Inform
INVESTMENTS - Additional Information (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2023 USD ($) | |
Brookfield Corporate Treasury Ltd. (“Treasury”) | |
Schedule of Equity Method Investments [Line Items] | |
Loss from equity method investments | $ 3.6 |
Maximum | Oaktree Funds | |
Schedule of Equity Method Investments [Line Items] | |
Ownership interest (percent) | 2.50% |
INVESTMENTS - Equity-method Inv
INVESTMENTS - Equity-method Investments (Details) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 | |
Assets | ||||
Total assets | $ 7,555,933 | $ 5,654,889 | ||
Liabilities and Capital: | ||||
Total liabilities | 1,634,479 | 1,565,837 | ||
Total unitholders’ capital | 2,584,906 | 1,906,638 | $ 2,272,602 | $ 1,879,988 |
Total liabilities and unitholders’ capital | 7,555,933 | 5,654,889 | ||
Interest expense | (50,272) | (248,401) | (155,265) | |
Net realized and unrealized gain on investments | 108,484 | (28,137) | 144,755 | |
Net income | 540,166 | 463,090 | 1,157,379 | |
Equity Method Investment, Nonconsolidated | ||||
Assets | ||||
Cash and cash-equivalents | 2,834,702 | 3,056,609 | ||
Investments, at fair value | 67,471,007 | 59,861,879 | ||
Other assets | 2,007,260 | 1,555,704 | ||
Total assets | 72,312,969 | 64,474,192 | ||
Liabilities and Capital: | ||||
Debt obligations | 5,633,599 | 3,165,317 | ||
Other liabilities | 3,722,872 | 8,565,763 | ||
Total liabilities | 9,356,471 | 11,731,080 | ||
Total unitholders’ capital | 62,956,498 | 52,743,112 | ||
Total liabilities and unitholders’ capital | 72,312,969 | 64,474,192 | ||
Revenues / investment income | 4,506,814 | 3,460,281 | 1,932,884 | |
Interest expense | (565,810) | (378,567) | (184,829) | |
Other expenses | (1,117,553) | (905,289) | (795,570) | |
Net realized and unrealized gain on investments | 862,771 | 2,612,383 | 10,242,513 | |
Net income | $ 3,686,222 | $ 4,788,808 | $ 11,194,998 |
INVESTMENTS - Other Investments
INVESTMENTS - Other Investments (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Schedule of Investments [Line Items] | |||
Realized gain | $ 79,420 | $ (13,114) | $ 22,238 |
Net change in unrealized gain (loss) | 29,064 | (15,023) | 122,517 |
Total gain (loss) | 108,484 | (28,137) | 144,755 |
Other | |||
Schedule of Investments [Line Items] | |||
Realized gain | 4,475 | 4,072 | 9,306 |
Net change in unrealized gain (loss) | 9,393 | 3,153 | (18,493) |
Total gain (loss) | $ 13,868 | $ 7,225 | $ (9,187) |
INVESTMENTS - Investments, at F
INVESTMENTS - Investments, at Fair Value (Details) $ in Thousands | Dec. 31, 2023 USD ($) investment | Dec. 31, 2022 USD ($) investment |
Schedule Of Investments In Marketable Securities [Line Items] | ||
Investments, percentage of net assets, threshold percentage | 5% | 5% |
Consolidated Funds | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 3,322,558 | $ 2,098,838 |
Debt securities, fair value as a percentage of investments of consolidated funds | 64.80% | 53.70% |
Equity securities, fair value | $ 1,645,766 | $ 1,735,304 |
Equity securities, fair value as a percentage of investments of consolidated funds | 31.80% | 44.40% |
Real estate investments, at fair value | $ 175,353 | $ 74,471 |
Real estate, fair value as a percentage of investments of consolidated funds | 3.40% | 1.90% |
Investments, at fair value | $ 5,143,677 | $ 3,908,613 |
Total investments, fair value as a percentage of investments of consolidated funds | 100% | 100% |
Consolidated Funds | Health care | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Equity securities, fair value as a percentage of investments of consolidated funds | 0% | |
Consolidated Funds | United States: | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 2,328,442 | $ 1,318,317 |
Debt securities, fair value as a percentage of investments of consolidated funds | 45.40% | 33.70% |
Total debt securities, cost | $ 2,341,421 | $ 1,437,262 |
Equity securities, fair value | $ 1,281,750 | $ 1,310,735 |
Equity securities, fair value as a percentage of investments of consolidated funds | 24.80% | 33.60% |
Total equity securities, cost | $ 1,095,721 | $ 1,000,922 |
Real estate investments, at fair value | $ 13,780 | $ 1,796 |
Real estate, fair value as a percentage of investments of consolidated funds | 0.30% | 0% |
Real estate securities, cost | $ 22,716 | $ 1,797 |
Investments, fair value that exceeds threshold | investment | 0 | 0 |
Consolidated Funds | United States: | Communication services | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 69,509 | $ 100,995 |
Debt securities, fair value as a percentage of investments of consolidated funds | 1.40% | 2.60% |
Equity securities, fair value | $ 79,522 | $ 64,621 |
Equity securities, fair value as a percentage of investments of consolidated funds | 1.50% | 1.70% |
Consolidated Funds | United States: | Consumer discretionary | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 202,355 | $ 127,170 |
Debt securities, fair value as a percentage of investments of consolidated funds | 3.90% | 3.30% |
Equity securities, fair value | $ 68,056 | $ 133,104 |
Equity securities, fair value as a percentage of investments of consolidated funds | 1.30% | 3.40% |
Consolidated Funds | United States: | Consumer staples | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 28,149 | $ 23,542 |
Debt securities, fair value as a percentage of investments of consolidated funds | 0.50% | 0.60% |
Consolidated Funds | United States: | Energy | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 110,990 | $ 79,573 |
Debt securities, fair value as a percentage of investments of consolidated funds | 2.20% | 2% |
Equity securities, fair value | $ 427,034 | $ 482,984 |
Equity securities, fair value as a percentage of investments of consolidated funds | 8.30% | 12.30% |
Consolidated Funds | United States: | Financials | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 223,794 | $ 217,878 |
Debt securities, fair value as a percentage of investments of consolidated funds | 4.40% | 5.60% |
Equity securities, fair value | $ 171,924 | $ 181,980 |
Equity securities, fair value as a percentage of investments of consolidated funds | 3.30% | 4.70% |
Consolidated Funds | United States: | Health care | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 226,554 | $ 111,005 |
Debt securities, fair value as a percentage of investments of consolidated funds | 4.40% | 2.80% |
Equity securities, fair value | $ 32,418 | $ 26,191 |
Equity securities, fair value as a percentage of investments of consolidated funds | 0.60% | 0.70% |
Consolidated Funds | United States: | Industrials | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 379,538 | $ 206,479 |
Debt securities, fair value as a percentage of investments of consolidated funds | 7.50% | 5.30% |
Equity securities, fair value | $ 369,019 | $ 308,514 |
Equity securities, fair value as a percentage of investments of consolidated funds | 7.20% | 7.90% |
Consolidated Funds | United States: | Information technology | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 87,355 | $ 136,714 |
Debt securities, fair value as a percentage of investments of consolidated funds | 1.70% | 3.50% |
Equity securities, fair value | $ 44,350 | $ 14,107 |
Equity securities, fair value as a percentage of investments of consolidated funds | 0.90% | 0.40% |
Consolidated Funds | United States: | Materials | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 333,459 | $ 118,578 |
Debt securities, fair value as a percentage of investments of consolidated funds | 6.50% | 3% |
Equity securities, fair value | $ 0 | $ 899 |
Equity securities, fair value as a percentage of investments of consolidated funds | 0% | 0% |
Consolidated Funds | United States: | Real estate | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 97,621 | $ 182,643 |
Debt securities, fair value as a percentage of investments of consolidated funds | 1.90% | 4.70% |
Consolidated Funds | United States: | Utilities | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 19,954 | $ 11,850 |
Debt securities, fair value as a percentage of investments of consolidated funds | 0.40% | 0.30% |
Equity securities, fair value | $ 89,427 | $ 98,335 |
Equity securities, fair value as a percentage of investments of consolidated funds | 1.70% | 2.50% |
Consolidated Funds | United States: | Other | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 549,164 | $ 1,890 |
Debt securities, fair value as a percentage of investments of consolidated funds | 10.60% | 0% |
Consolidated Funds | Europe: | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 253,676 | $ 217,816 |
Debt securities, fair value as a percentage of investments of consolidated funds | 4.90% | 5.60% |
Total debt securities, cost | $ 231,315 | $ 230,090 |
Equity securities, fair value | $ 264,564 | $ 266,272 |
Equity securities, fair value as a percentage of investments of consolidated funds | 5.10% | 6.80% |
Total equity securities, cost | $ 208,130 | $ 241,129 |
Real estate investments, at fair value | $ 161,573 | $ 72,675 |
Real estate, fair value as a percentage of investments of consolidated funds | 3.10% | 1.90% |
Real estate securities, cost | $ 159,423 | $ 69,100 |
Consolidated Funds | Europe: | Communication services | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 111,898 | $ 103,068 |
Debt securities, fair value as a percentage of investments of consolidated funds | 2.10% | 2.70% |
Consolidated Funds | Europe: | Consumer discretionary | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 18,560 | $ 13,997 |
Debt securities, fair value as a percentage of investments of consolidated funds | 0.40% | 0.40% |
Equity securities, fair value | $ 52,468 | $ 130,868 |
Equity securities, fair value as a percentage of investments of consolidated funds | 1% | 3.30% |
Real estate investments, at fair value | $ 61,357 | $ 0 |
Real estate, fair value as a percentage of investments of consolidated funds | 1.20% | 0% |
Consolidated Funds | Europe: | Consumer staples | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 3,107 | $ 8,024 |
Debt securities, fair value as a percentage of investments of consolidated funds | 0.10% | 0.20% |
Consolidated Funds | Europe: | Energy | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 1,185 | $ 1,097 |
Debt securities, fair value as a percentage of investments of consolidated funds | 0% | 0% |
Consolidated Funds | Europe: | Financials | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 18,381 | $ 35,091 |
Debt securities, fair value as a percentage of investments of consolidated funds | 0.40% | 0.90% |
Equity securities, fair value | $ 49,496 | $ 31,701 |
Equity securities, fair value as a percentage of investments of consolidated funds | 1% | 0.80% |
Consolidated Funds | Europe: | Health care | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 12,136 | $ 8,178 |
Debt securities, fair value as a percentage of investments of consolidated funds | 0.20% | 0.20% |
Equity securities, fair value | $ 19 | $ 9 |
Equity securities, fair value as a percentage of investments of consolidated funds | 0% | |
Consolidated Funds | Europe: | Industrials | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 15,993 | $ 12,384 |
Debt securities, fair value as a percentage of investments of consolidated funds | 0.30% | 0.30% |
Equity securities, fair value | $ 93,662 | $ 53,790 |
Equity securities, fair value as a percentage of investments of consolidated funds | 1.70% | 1.40% |
Consolidated Funds | Europe: | Information technology | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 5,402 | $ 4,583 |
Debt securities, fair value as a percentage of investments of consolidated funds | 0.10% | 0.10% |
Consolidated Funds | Europe: | Materials | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 13,487 | $ 10,920 |
Debt securities, fair value as a percentage of investments of consolidated funds | 0.30% | 0.30% |
Equity securities, fair value | $ 24,282 | $ 24,282 |
Equity securities, fair value as a percentage of investments of consolidated funds | 0.50% | 0.60% |
Consolidated Funds | Europe: | Real estate | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 13,424 | $ 12,888 |
Debt securities, fair value as a percentage of investments of consolidated funds | 0.30% | 0.30% |
Equity securities, fair value | $ 44,637 | $ 25,622 |
Equity securities, fair value as a percentage of investments of consolidated funds | 0.90% | 0.70% |
Real estate investments, at fair value | $ 100,216 | $ 72,675 |
Real estate, fair value as a percentage of investments of consolidated funds | 1.90% | 1.90% |
Consolidated Funds | Europe: | Utilities | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 5,417 | $ 5,102 |
Debt securities, fair value as a percentage of investments of consolidated funds | 0.10% | 0.10% |
Consolidated Funds | Europe: | Other | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 34,686 | $ 2,484 |
Debt securities, fair value as a percentage of investments of consolidated funds | 0.60% | 0.10% |
Consolidated Funds | Asia and other: | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 740,440 | $ 562,705 |
Debt securities, fair value as a percentage of investments of consolidated funds | 14.50% | 14.40% |
Total debt securities, cost | $ 761,394 | $ 581,467 |
Equity securities, fair value | $ 99,452 | $ 158,297 |
Equity securities, fair value as a percentage of investments of consolidated funds | 1.90% | 4% |
Total equity securities, cost | $ 90,638 | $ 722,128 |
Consolidated Funds | Asia and other: | Communication services | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 803 | $ 5,419 |
Debt securities, fair value as a percentage of investments of consolidated funds | 0% | 0.10% |
Consolidated Funds | Asia and other: | Consumer discretionary | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 17,195 | $ 5,641 |
Debt securities, fair value as a percentage of investments of consolidated funds | 0.30% | 0.20% |
Consolidated Funds | Asia and other: | Consumer staples | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 19,820 | $ 19,125 |
Debt securities, fair value as a percentage of investments of consolidated funds | 0.40% | 0.50% |
Consolidated Funds | Asia and other: | Energy | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 1,307 | $ 9,163 |
Debt securities, fair value as a percentage of investments of consolidated funds | 0% | 0.20% |
Equity securities, fair value | $ 0 | $ 7,581 |
Equity securities, fair value as a percentage of investments of consolidated funds | 0% | 0.20% |
Consolidated Funds | Asia and other: | Financials | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 8,192 | $ 8,344 |
Debt securities, fair value as a percentage of investments of consolidated funds | 0.20% | 0.20% |
Consolidated Funds | Asia and other: | Health care | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 402 | $ 2,837 |
Debt securities, fair value as a percentage of investments of consolidated funds | 0% | 0.10% |
Consolidated Funds | Asia and other: | Industrials | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 4,181 | $ 3,754 |
Debt securities, fair value as a percentage of investments of consolidated funds | 0.10% | 0.10% |
Equity securities, fair value | $ 63,161 | $ 113,270 |
Equity securities, fair value as a percentage of investments of consolidated funds | 1.20% | 2.90% |
Consolidated Funds | Asia and other: | Information technology | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 5 | $ 695 |
Debt securities, fair value as a percentage of investments of consolidated funds | 0% | 0% |
Consolidated Funds | Asia and other: | Materials | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 249,492 | $ 113,784 |
Debt securities, fair value as a percentage of investments of consolidated funds | 4.90% | 2.90% |
Consolidated Funds | Asia and other: | Real estate | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 435,799 | $ 328,343 |
Debt securities, fair value as a percentage of investments of consolidated funds | 8.50% | 8.40% |
Equity securities, fair value | $ 32,916 | $ 32,916 |
Equity securities, fair value as a percentage of investments of consolidated funds | 0.60% | 0.80% |
Consolidated Funds | Asia and other: | Utilities | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 3,244 | $ 5,602 |
Debt securities, fair value as a percentage of investments of consolidated funds | 0.10% | 0.20% |
Equity securities, fair value | $ 3,375 | $ 4,530 |
Equity securities, fair value as a percentage of investments of consolidated funds | 0.10% | 0.10% |
Consolidated Funds | Asia and other: | Other | ||
Schedule Of Investments In Marketable Securities [Line Items] | ||
Debt securities, fair value | $ 0 | $ 59,998 |
Debt securities, fair value as a percentage of investments of consolidated funds | 0% | 1.50% |
INVESTMENTS - Net Gains (Losses
INVESTMENTS - Net Gains (Losses) from Investment Activities of Consolidated Funds (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Gain (Loss) on Securities [Line Items] | |||
Net Realized Gain (Loss) on Investments | $ 79,420 | $ (13,114) | $ 22,238 |
Net Change in Unrealized Appreciation (Depreciation) on Investments | 29,064 | (15,023) | 122,517 |
Consolidated Funds | Not Designated as Hedging Instrument | |||
Gain (Loss) on Securities [Line Items] | |||
Net Realized Gain (Loss) on Investments | 79,420 | (13,114) | 22,238 |
Net Change in Unrealized Appreciation (Depreciation) on Investments | 29,064 | (15,023) | 122,517 |
Consolidated Funds | Not Designated as Hedging Instrument | Investments and other financial instruments | |||
Gain (Loss) on Securities [Line Items] | |||
Net Realized Gain (Loss) on Investments | 63,213 | 4,103 | 25,599 |
Net Change in Unrealized Appreciation (Depreciation) on Investments | 27,890 | 99,199 | 135,306 |
Consolidated Funds | Not Designated as Hedging Instrument | CLO liabilities | |||
Gain (Loss) on Securities [Line Items] | |||
Net Realized Gain (Loss) on Investments | 0 | (30,033) | (6,951) |
Net Change in Unrealized Appreciation (Depreciation) on Investments | 0 | (99,550) | (14,370) |
Consolidated Funds | Not Designated as Hedging Instrument | Foreign-currency forward contracts | |||
Gain (Loss) on Securities [Line Items] | |||
Net Realized Gain (Loss) on Investments | 898 | 43,145 | 6,232 |
Net Change in Unrealized Appreciation (Depreciation) on Investments | (14,909) | (10,777) | 4,477 |
Consolidated Funds | Not Designated as Hedging Instrument | Total-return and interest-rate swaps | |||
Gain (Loss) on Securities [Line Items] | |||
Net Realized Gain (Loss) on Investments | (235) | 975 | (92) |
Net Change in Unrealized Appreciation (Depreciation) on Investments | 328 | 284 | (57) |
Consolidated Funds | Not Designated as Hedging Instrument | Options and futures | |||
Gain (Loss) on Securities [Line Items] | |||
Net Realized Gain (Loss) on Investments | 4,382 | 13,322 | (2,550) |
Net Change in Unrealized Appreciation (Depreciation) on Investments | (569) | (223) | (3,697) |
Consolidated Funds | Not Designated as Hedging Instrument | Commodity swaps | |||
Gain (Loss) on Securities [Line Items] | |||
Net Realized Gain (Loss) on Investments | 11,162 | (44,626) | 0 |
Net Change in Unrealized Appreciation (Depreciation) on Investments | 16,324 | (3,956) | 0 |
Consolidated Funds | Not Designated as Hedging Instrument | Warrants | |||
Gain (Loss) on Securities [Line Items] | |||
Net Realized Gain (Loss) on Investments | 0 | 0 | 0 |
Net Change in Unrealized Appreciation (Depreciation) on Investments | $ 0 | $ 0 | $ 858 |
FAIR VALUE - Financial Instrume
FAIR VALUE - Financial Instruments by Fair-value Hierarchy Level (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets, at fair value | $ 17,741 | $ 24,077 |
Derivative liabilities | (30,750) | (35,862) |
Oaktree Capital Group Excluding Consolidated Funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total investments | 402,620 | 108,159 |
Oaktree Capital Group Excluding Consolidated Funds | Foreign-currency forward contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets, at fair value | 8,608 | 13,340 |
Derivative liabilities | (8,520) | (11,840) |
Oaktree Capital Group Excluding Consolidated Funds | Fair Value, Measurements, Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
SPAC common stock and earn-out shares included in other assets | 27,157 | 0 |
Total assets | 445,885 | 132,060 |
Total liabilities | 8,010 | 11,840 |
Oaktree Capital Group Excluding Consolidated Funds | Fair Value, Measurements, Recurring | Foreign-currency forward contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative liabilities | (8,010) | (11,840) |
Oaktree Capital Group Excluding Consolidated Funds | Fair Value, Measurements, Recurring | Foreign-currency forward contracts | Investments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets, at fair value | 0 | 1,279 |
Oaktree Capital Group Excluding Consolidated Funds | Fair Value, Measurements, Recurring | Foreign-currency forward contracts | Other Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets, at fair value | 8,098 | 12,061 |
Oaktree Capital Group Excluding Consolidated Funds | Fair Value, Measurements, Recurring | Corporate investments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total investments | 410,630 | 118,720 |
Oaktree Capital Group Excluding Consolidated Funds | Fair Value, Measurements, Recurring | Level I | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
SPAC common stock and earn-out shares included in other assets | 25,360 | 0 |
Total assets | 97,445 | 109,078 |
Total liabilities | 0 | 0 |
Oaktree Capital Group Excluding Consolidated Funds | Fair Value, Measurements, Recurring | Level I | Foreign-currency forward contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative liabilities | 0 | 0 |
Oaktree Capital Group Excluding Consolidated Funds | Fair Value, Measurements, Recurring | Level I | Foreign-currency forward contracts | Investments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets, at fair value | 0 | 0 |
Oaktree Capital Group Excluding Consolidated Funds | Fair Value, Measurements, Recurring | Level I | Foreign-currency forward contracts | Other Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets, at fair value | 0 | 0 |
Oaktree Capital Group Excluding Consolidated Funds | Fair Value, Measurements, Recurring | Level I | Corporate investments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total investments | 72,085 | 109,078 |
Oaktree Capital Group Excluding Consolidated Funds | Fair Value, Measurements, Recurring | Level II | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
SPAC common stock and earn-out shares included in other assets | 0 | 0 |
Total assets | 325,649 | 14,512 |
Total liabilities | 8,010 | 11,840 |
Oaktree Capital Group Excluding Consolidated Funds | Fair Value, Measurements, Recurring | Level II | Foreign-currency forward contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative liabilities | (8,010) | (11,840) |
Oaktree Capital Group Excluding Consolidated Funds | Fair Value, Measurements, Recurring | Level II | Foreign-currency forward contracts | Investments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets, at fair value | 0 | 1,279 |
Oaktree Capital Group Excluding Consolidated Funds | Fair Value, Measurements, Recurring | Level II | Foreign-currency forward contracts | Other Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets, at fair value | 8,098 | 12,061 |
Oaktree Capital Group Excluding Consolidated Funds | Fair Value, Measurements, Recurring | Level II | Corporate investments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total investments | 317,551 | 1,172 |
Oaktree Capital Group Excluding Consolidated Funds | Fair Value, Measurements, Recurring | Level III | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
SPAC common stock and earn-out shares included in other assets | 1,797 | 0 |
Total assets | 22,791 | 8,470 |
Total liabilities | 0 | 0 |
Oaktree Capital Group Excluding Consolidated Funds | Fair Value, Measurements, Recurring | Level III | Foreign-currency forward contracts | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative liabilities | 0 | 0 |
Oaktree Capital Group Excluding Consolidated Funds | Fair Value, Measurements, Recurring | Level III | Foreign-currency forward contracts | Investments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets, at fair value | 0 | 0 |
Oaktree Capital Group Excluding Consolidated Funds | Fair Value, Measurements, Recurring | Level III | Foreign-currency forward contracts | Other Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets, at fair value | 0 | 0 |
Oaktree Capital Group Excluding Consolidated Funds | Fair Value, Measurements, Recurring | Level III | Corporate investments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total investments | $ 20,994 | $ 8,470 |
FAIR VALUE - Valuation Techniqu
FAIR VALUE - Valuation Techniques (Details) $ in Thousands | Dec. 31, 2023 USD ($) | Dec. 31, 2022 USD ($) |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Derivative liabilities, at fair value | $ 30,750 | $ 35,862 |
Oaktree Capital Group Excluding Consolidated Funds | Black-Scholes option pricing model | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Derivative liabilities, at fair value | 22,791 | |
Oaktree Capital Group Excluding Consolidated Funds | Black-Scholes option pricing model | Mezzanine loan | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Derivative liabilities, at fair value | 18,297 | |
Oaktree Capital Group Excluding Consolidated Funds | Black-Scholes option pricing model | Earn-out shares | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Derivative liabilities, at fair value | $ 4,494 | |
Oaktree Capital Group Excluding Consolidated Funds | Black-Scholes option pricing model | Volatility | Earn-out shares | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Input Value (percent) | 50 |
FAIR VALUE - Valuation of Inves
FAIR VALUE - Valuation of Investments and Other Financial Instruments (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total derivatives | $ 17,741 | $ 24,077 |
Derivative liabilities | (30,750) | (35,862) |
Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total investments | 5,143,677 | 3,908,613 |
Total derivatives | 9,133 | 10,737 |
Derivative liabilities | (22,230) | (24,022) |
Options and futures | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total derivatives | 279 | |
Warrants | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Derivative liabilities | 0 | |
Level III | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total investments | 3,603,942 | 2,390,273 |
Fair Value, Measurements, Recurring | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total investments | 5,143,677 | 3,908,613 |
Total derivatives | 9,133 | 10,737 |
Total assets | 5,152,810 | 3,919,350 |
Derivative liabilities | (22,230) | (24,022) |
Total liabilities | (22,230) | (24,022) |
Fair Value, Measurements, Recurring | Foreign-currency forward contracts | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total derivatives | 475 | 9,758 |
Derivative liabilities | (21,659) | (16,356) |
Fair Value, Measurements, Recurring | Swaps | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total derivatives | 8,658 | 700 |
Derivative liabilities | 0 | (7,666) |
Fair Value, Measurements, Recurring | Options and futures | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total derivatives | 0 | 279 |
Derivative liabilities | (571) | 0 |
Fair Value, Measurements, Recurring | Corporate debt – bank debt | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total investments | 2,363,503 | 1,114,494 |
Fair Value, Measurements, Recurring | Corporate debt – all other | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total investments | 959,055 | 984,344 |
Fair Value, Measurements, Recurring | Equities – Common Stock | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total investments | 1,044,201 | 1,038,449 |
Fair Value, Measurements, Recurring | Equities – preferred stock | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total investments | 601,565 | 696,855 |
Fair Value, Measurements, Recurring | Real estate | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total investments | 175,353 | 74,471 |
Fair Value, Measurements, Recurring | Level I | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total investments | 167,578 | 307,113 |
Total derivatives | 8,658 | 279 |
Total assets | 176,236 | 307,392 |
Derivative liabilities | (571) | (7,666) |
Total liabilities | (571) | (7,666) |
Fair Value, Measurements, Recurring | Level I | Foreign-currency forward contracts | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total derivatives | 0 | 0 |
Derivative liabilities | 0 | 0 |
Fair Value, Measurements, Recurring | Level I | Swaps | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total derivatives | 8,658 | 0 |
Derivative liabilities | 0 | (7,666) |
Fair Value, Measurements, Recurring | Level I | Options and futures | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total derivatives | 0 | 279 |
Derivative liabilities | (571) | 0 |
Fair Value, Measurements, Recurring | Level I | Corporate debt – bank debt | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total investments | 0 | 0 |
Fair Value, Measurements, Recurring | Level I | Corporate debt – all other | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total investments | 0 | 0 |
Fair Value, Measurements, Recurring | Level I | Equities – Common Stock | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total investments | 165,649 | 226,862 |
Fair Value, Measurements, Recurring | Level I | Equities – preferred stock | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total investments | 1,929 | 80,251 |
Fair Value, Measurements, Recurring | Level I | Real estate | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total investments | 0 | 0 |
Fair Value, Measurements, Recurring | Level II | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total investments | 1,372,157 | 1,211,227 |
Total derivatives | 475 | 10,458 |
Total assets | 1,372,632 | 1,221,685 |
Derivative liabilities | (21,659) | (16,356) |
Total liabilities | (21,659) | (16,356) |
Fair Value, Measurements, Recurring | Level II | Foreign-currency forward contracts | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total derivatives | 475 | 9,758 |
Derivative liabilities | (21,659) | (16,356) |
Fair Value, Measurements, Recurring | Level II | Swaps | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total derivatives | 0 | 700 |
Derivative liabilities | 0 | 0 |
Fair Value, Measurements, Recurring | Level II | Options and futures | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total derivatives | 0 | 0 |
Derivative liabilities | 0 | 0 |
Fair Value, Measurements, Recurring | Level II | Corporate debt – bank debt | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total investments | 641,615 | 411,997 |
Fair Value, Measurements, Recurring | Level II | Corporate debt – all other | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total investments | 698,763 | 764,841 |
Fair Value, Measurements, Recurring | Level II | Equities – Common Stock | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total investments | 31,779 | 34,389 |
Fair Value, Measurements, Recurring | Level II | Equities – preferred stock | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total investments | 0 | 0 |
Fair Value, Measurements, Recurring | Level II | Real estate | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total investments | 0 | 0 |
Fair Value, Measurements, Recurring | Level III | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total investments | 3,603,942 | 2,390,273 |
Total derivatives | 0 | 0 |
Total assets | 3,603,942 | 2,390,273 |
Derivative liabilities | 0 | 0 |
Total liabilities | 0 | 0 |
Fair Value, Measurements, Recurring | Level III | Foreign-currency forward contracts | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total derivatives | 0 | 0 |
Derivative liabilities | 0 | 0 |
Fair Value, Measurements, Recurring | Level III | Swaps | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total derivatives | 0 | 0 |
Derivative liabilities | 0 | 0 |
Fair Value, Measurements, Recurring | Level III | Options and futures | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total derivatives | 0 | 0 |
Derivative liabilities | 0 | 0 |
Fair Value, Measurements, Recurring | Level III | Corporate debt – bank debt | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total investments | 1,721,888 | 702,497 |
Fair Value, Measurements, Recurring | Level III | Corporate debt – all other | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total investments | 260,292 | 219,503 |
Fair Value, Measurements, Recurring | Level III | Equities – Common Stock | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total investments | 846,773 | 777,198 |
Fair Value, Measurements, Recurring | Level III | Equities – preferred stock | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total investments | 599,636 | 616,604 |
Fair Value, Measurements, Recurring | Level III | Real estate | Consolidated Funds | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Total investments | $ 175,353 | $ 74,471 |
FAIR VALUE - Summary of Changes
FAIR VALUE - Summary of Changes in Fair Value of Level III Investments (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Corporate Investments | ||
Fair Value, Asset, Recurring Basis, Still Held, Unrealized Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Net change in unrealized appreciation (depreciation) on consolidated funds’ investments | Net change in unrealized appreciation (depreciation) on consolidated funds’ investments |
Consolidated Funds | ||
Corporate Investments | ||
Beginning balance | $ 2,390,273 | $ 1,928,376 |
Deconsolidation of funds | (197,886) | |
Transfers into Level III | 325,894 | 126,761 |
Transfers out of Level III | (250,877) | (63,710) |
Purchases | 1,599,156 | 1,064,727 |
Sales | (478,871) | (626,238) |
Realized gain (loss), net | 27,841 | (95,221) |
Unrealized appreciation (depreciation), net | (9,474) | 253,464 |
Ending balance | 3,603,942 | 2,390,273 |
Net change in unrealized appreciation (depreciation) attributable to assets still held at end of period | (22,513) | 121,202 |
Consolidated Funds | Corporate Debt – Bank Debt | ||
Corporate Investments | ||
Beginning balance | 702,497 | 597,188 |
Deconsolidation of funds | (196,906) | |
Transfers into Level III | 192,202 | 116,213 |
Transfers out of Level III | (184,854) | (53,653) |
Purchases | 1,234,175 | 518,173 |
Sales | (262,336) | (296,175) |
Realized gain (loss), net | (22) | (2,501) |
Unrealized appreciation (depreciation), net | 40,226 | 20,158 |
Ending balance | 1,721,888 | 702,497 |
Net change in unrealized appreciation (depreciation) attributable to assets still held at end of period | 28,278 | 18,104 |
Consolidated Funds | Corporate Debt – All Other | ||
Corporate Investments | ||
Beginning balance | 219,503 | 229,576 |
Deconsolidation of funds | 0 | |
Transfers into Level III | 13,236 | 10,548 |
Transfers out of Level III | (15,170) | (9,935) |
Purchases | 103,654 | 16,116 |
Sales | (76,295) | (25,501) |
Realized gain (loss), net | (639) | (1,692) |
Unrealized appreciation (depreciation), net | 16,003 | 391 |
Ending balance | 260,292 | 219,503 |
Net change in unrealized appreciation (depreciation) attributable to assets still held at end of period | 14,951 | 395 |
Consolidated Funds | Equities – Common Stock | ||
Corporate Investments | ||
Beginning balance | 777,198 | 581,748 |
Deconsolidation of funds | (964) | |
Transfers into Level III | 52,730 | 0 |
Transfers out of Level III | (50,853) | (122) |
Purchases | 101,028 | 259,004 |
Sales | (55,069) | (193,950) |
Realized gain (loss), net | 22,040 | (92,514) |
Unrealized appreciation (depreciation), net | (301) | 223,996 |
Ending balance | 846,773 | 777,198 |
Net change in unrealized appreciation (depreciation) attributable to assets still held at end of period | (342) | 93,676 |
Consolidated Funds | Equities – Preferred Stock | ||
Corporate Investments | ||
Beginning balance | 616,604 | 486,030 |
Deconsolidation of funds | (16) | |
Transfers into Level III | 0 | 0 |
Transfers out of Level III | 0 | 0 |
Purchases | 125,684 | 234,652 |
Sales | (85,171) | (110,612) |
Realized gain (loss), net | 6,475 | 2,299 |
Unrealized appreciation (depreciation), net | (63,956) | 4,251 |
Ending balance | 599,636 | 616,604 |
Net change in unrealized appreciation (depreciation) attributable to assets still held at end of period | (63,956) | 4,357 |
Consolidated Funds | Real Estate | ||
Corporate Investments | ||
Beginning balance | 74,471 | 33,834 |
Deconsolidation of funds | 0 | |
Transfers into Level III | 67,726 | 0 |
Transfers out of Level III | 0 | 0 |
Purchases | 34,615 | 36,782 |
Sales | 0 | 0 |
Realized gain (loss), net | (13) | (813) |
Unrealized appreciation (depreciation), net | (1,446) | 4,668 |
Ending balance | 175,353 | 74,471 |
Net change in unrealized appreciation (depreciation) attributable to assets still held at end of period | $ (1,444) | $ 4,670 |
FAIR VALUE - Summary of Valuati
FAIR VALUE - Summary of Valuation Techniques and Quantitative Information (Details) - Consolidated Funds $ in Thousands | Dec. 31, 2023 USD ($) | Dec. 31, 2022 USD ($) |
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Real estate investments, at fair value | $ 175,353 | $ 74,471 |
Investments, at fair value | 5,143,677 | 3,908,613 |
Level III | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Investments, at fair value | 3,603,942 | 2,390,273 |
Level III | Recent transaction price | Consumer discretionary | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, at fair value | 11,311 | 43,934 |
Level III | Recent transaction price | Energy | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, at fair value | 69,871 | |
Level III | Recent transaction price | Financials | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, at fair value | 3,646 | |
Level III | Recent transaction price | Industrials | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, at fair value | 51,788 | 4,527 |
Level III | Recent transaction price | Materials | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, at fair value | 193,614 | |
Level III | Recent transaction price | Real estate: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, at fair value | 35,084 | 32,173 |
Level III | Recent transaction price | Other: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, at fair value | 1,612 | 22,732 |
Level III | Recent transaction price | Equity investments: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Equity investments, at fair value | 179,009 | 74,329 |
Level III | Recent transaction price | Real estate-oriented: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Real estate investments, at fair value | 7,695 | |
Level III | Recent market information | Consumer discretionary | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, at fair value | 351 | 293 |
Level III | Recent market information | Energy | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, at fair value | 2,325 | 2,676 |
Level III | Recent market information | Financials | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, at fair value | 26,102 | 12,880 |
Level III | Recent market information | Industrials | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, at fair value | 452 | |
Level III | Recent market information | Real estate: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, at fair value | 37,419 | 35,525 |
Level III | Recent market information | Other: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, at fair value | 4,316 | (1,137) |
Level III | Recent market information | Equity investments: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Equity investments, at fair value | 14,102 | 75,181 |
Level III | Discounted cash flow | Consumer discretionary | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, at fair value | 55,326 | 16,062 |
Real estate investments, at fair value | 61,357 | |
Level III | Discounted cash flow | Communication services | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, at fair value | 67,500 | |
Level III | Discounted cash flow | Energy | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, at fair value | 15,873 | 32,765 |
Level III | Discounted cash flow | Financials | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, at fair value | 26,689 | 66,204 |
Level III | Discounted cash flow | Industrials | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, at fair value | 79,824 | 9,875 |
Level III | Discounted cash flow | Materials | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, at fair value | 306,319 | 197,427 |
Level III | Discounted cash flow | Real estate: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, at fair value | 211,211 | 3,643 |
Level III | Discounted cash flow | Other: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, at fair value | 551,047 | 31,474 |
Level III | Discounted cash flow | Equity investments: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Equity investments, at fair value | 102,981 | 214,172 |
Level III | Discounted cash flow | Real estate-oriented: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Real estate investments, at fair value | 113,996 | 66,776 |
Level III | Market approach (comparable companies) | Financials | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, at fair value | 20,520 | 6,143 |
Level III | Market approach (comparable companies) | Industrials | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, at fair value | 62,544 | 35,124 |
Level III | Market approach (comparable companies) | Real estate: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, at fair value | 193,771 | 302,179 |
Level III | Market approach (comparable companies) | Equity investments: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Equity investments, at fair value | 670,215 | |
Level III | Discounted cash flow and market approach comparable companies | Equity investments: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Equity investments, at fair value | $ 22,573 | $ 27,347 |
Discount rate | Level III | Discounted cash flow | Minimum | Consumer discretionary | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 0.13 | 0.12 |
Real estate oriented, measurement input | 20% | |
Discount rate | Level III | Discounted cash flow | Minimum | Communication services | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 0.12 | |
Discount rate | Level III | Discounted cash flow | Minimum | Energy | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 0.14 | 0.13 |
Discount rate | Level III | Discounted cash flow | Minimum | Financials | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 0.12 | 0.12 |
Discount rate | Level III | Discounted cash flow | Minimum | Industrials | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 0.11 | 0.12 |
Discount rate | Level III | Discounted cash flow | Minimum | Materials | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 0.10 | 0.10 |
Discount rate | Level III | Discounted cash flow | Minimum | Real estate: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 0.13 | 0.09 |
Discount rate | Level III | Discounted cash flow | Minimum | Other: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 0.09 | 0.10 |
Discount rate | Level III | Discounted cash flow | Minimum | Equity investments: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Equity investments, measurement inputs | 0.12 | 0.12 |
Discount rate | Level III | Discounted cash flow | Minimum | Real estate-oriented: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Equity investments, measurement inputs | 0.14 | |
Real estate oriented, measurement input | 4% | |
Discount rate | Level III | Discounted cash flow | Maximum | Consumer discretionary | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 0.17 | 0.15 |
Real estate oriented, measurement input | 20% | |
Discount rate | Level III | Discounted cash flow | Maximum | Communication services | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 0.13 | |
Discount rate | Level III | Discounted cash flow | Maximum | Energy | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 0.14 | 0.21 |
Discount rate | Level III | Discounted cash flow | Maximum | Financials | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 0.15 | 0.19 |
Discount rate | Level III | Discounted cash flow | Maximum | Industrials | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 0.15 | 0.15 |
Discount rate | Level III | Discounted cash flow | Maximum | Materials | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 0.15 | 0.14 |
Discount rate | Level III | Discounted cash flow | Maximum | Real estate: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 0.15 | 0.09 |
Discount rate | Level III | Discounted cash flow | Maximum | Other: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 0.19 | 0.18 |
Discount rate | Level III | Discounted cash flow | Maximum | Equity investments: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Equity investments, measurement inputs | 0.20 | 0.21 |
Discount rate | Level III | Discounted cash flow | Maximum | Real estate-oriented: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Equity investments, measurement inputs | 0.25 | |
Real estate oriented, measurement input | 27% | |
Discount rate | Level III | Discounted cash flow | Weighted Average | Consumer discretionary | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 0.16 | 0.14 |
Real estate oriented, measurement input | 20% | |
Discount rate | Level III | Discounted cash flow | Weighted Average | Communication services | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 0.13 | |
Discount rate | Level III | Discounted cash flow | Weighted Average | Energy | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 0.14 | 0.18 |
Discount rate | Level III | Discounted cash flow | Weighted Average | Financials | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 0.15 | 0.15 |
Discount rate | Level III | Discounted cash flow | Weighted Average | Industrials | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 0.13 | 0.14 |
Discount rate | Level III | Discounted cash flow | Weighted Average | Materials | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 0.12 | 0.12 |
Discount rate | Level III | Discounted cash flow | Weighted Average | Real estate: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 0.15 | 0.09 |
Discount rate | Level III | Discounted cash flow | Weighted Average | Other: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 0.18 | 0.14 |
Discount rate | Level III | Discounted cash flow | Weighted Average | Equity investments: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Equity investments, measurement inputs | 0.15 | 0.19 |
Discount rate | Level III | Discounted cash flow | Weighted Average | Real estate-oriented: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Equity investments, measurement inputs | 0.18 | |
Real estate oriented, measurement input | 14% | |
Discount rate | Level III | Discounted cash flow and market approach comparable companies | Minimum | Equity investments: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Equity investments, measurement inputs | 0.12 | 0.14 |
Discount rate | Level III | Discounted cash flow and market approach comparable companies | Maximum | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Equity investments, measurement inputs | 0.14 | |
Discount rate | Level III | Discounted cash flow and market approach comparable companies | Maximum | Equity investments: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Equity investments, measurement inputs | 0.12 | |
Discount rate | Level III | Discounted cash flow and market approach comparable companies | Weighted Average | Equity investments: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Equity investments, measurement inputs | 0.12 | 0.14 |
Multiple of underlying assets | Level III | Market approach (comparable companies) | Equity investments: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Equity investments, at fair value | $ 582,299 | |
Multiple of underlying assets | Level III | Market approach (comparable companies) | Minimum | Financials | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 0.5 | 0.9 |
Multiple of underlying assets | Level III | Market approach (comparable companies) | Minimum | Industrials | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 9.8 | 0.9 |
Multiple of underlying assets | Level III | Market approach (comparable companies) | Minimum | Real estate: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 1 | 0.76 |
Multiple of underlying assets | Level III | Market approach (comparable companies) | Minimum | Equity investments: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Equity investments, measurement inputs | 0.9 | 0.9 |
Multiple of underlying assets | Level III | Market approach (comparable companies) | Maximum | Financials | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 1 | 1 |
Multiple of underlying assets | Level III | Market approach (comparable companies) | Maximum | Industrials | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 9.8 | 1 |
Multiple of underlying assets | Level III | Market approach (comparable companies) | Maximum | Real estate: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 1 | 1 |
Multiple of underlying assets | Level III | Market approach (comparable companies) | Maximum | Equity investments: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Equity investments, measurement inputs | 1 | 1.1 |
Multiple of underlying assets | Level III | Market approach (comparable companies) | Weighted Average | Financials | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 0.7 | 1 |
Multiple of underlying assets | Level III | Market approach (comparable companies) | Weighted Average | Industrials | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 9.8 | 1 |
Multiple of underlying assets | Level III | Market approach (comparable companies) | Weighted Average | Real estate: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 1 | 0.95 |
Multiple of underlying assets | Level III | Market approach (comparable companies) | Weighted Average | Equity investments: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Equity investments, measurement inputs | 1 | 1 |
Earning multiple | Level III | Market approach (comparable companies) | Other: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, at fair value | $ 19,820 | |
Earning multiple | Level III | Market approach (comparable companies) | Equity investments: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Equity investments, at fair value | $ 396,688 | $ 336,831 |
Earning multiple | Level III | Market approach (comparable companies) | Minimum | Other: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 6 | |
Earning multiple | Level III | Market approach (comparable companies) | Minimum | Equity investments: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Equity investments, measurement inputs | 2 | 5 |
Earning multiple | Level III | Market approach (comparable companies) | Maximum | Other: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 6 | |
Earning multiple | Level III | Market approach (comparable companies) | Maximum | Equity investments: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Equity investments, measurement inputs | 11 | 20 |
Earning multiple | Level III | Market approach (comparable companies) | Weighted Average | Other: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 6 | |
Earning multiple | Level III | Market approach (comparable companies) | Weighted Average | Equity investments: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Equity investments, measurement inputs | 8.5 | 9 |
Earning multiple | Level III | Discounted cash flow and market approach comparable companies | Minimum | Equity investments: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Equity investments, measurement inputs | 9 | |
Earning multiple | Level III | Discounted cash flow and market approach comparable companies | Maximum | Equity investments: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Equity investments, measurement inputs | 11 | |
Earning multiple | Level III | Discounted cash flow and market approach comparable companies | Weighted Average | Equity investments: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Equity investments, measurement inputs | 10 | |
Revenue multiple | Level III | Market approach (comparable companies) | Other: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, at fair value | $ 1,345 | |
Revenue multiple | Level III | Market approach (comparable companies) | Equity investments: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Equity investments, at fair value | $ 60,841 | $ 83,644 |
Revenue multiple | Level III | Market approach (comparable companies) | Minimum | Other: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 0.3 | |
Revenue multiple | Level III | Market approach (comparable companies) | Minimum | Equity investments: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Equity investments, measurement inputs | 1 | 1 |
Revenue multiple | Level III | Market approach (comparable companies) | Maximum | Other: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 0.3 | |
Revenue multiple | Level III | Market approach (comparable companies) | Maximum | Equity investments: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Equity investments, measurement inputs | 2 | 2 |
Revenue multiple | Level III | Market approach (comparable companies) | Weighted Average | Other: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Credit-oriented investments, measurement inputs | 0.3 | |
Revenue multiple | Level III | Market approach (comparable companies) | Weighted Average | Equity investments: | ||
Fair Value Measurement Inputs and Valuation Techniques [Line Items] | ||
Equity investments, measurement inputs | 1.5 | 1.81 |
DERIVATIVES AND HEDGING - Fair
DERIVATIVES AND HEDGING - Fair Value of Derivatives (Details) - Foreign-currency forward contracts - Not Designated as Hedging Instrument - Oaktree Capital Group Excluding Consolidated Funds - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Assets | ||
Notional | $ 221,910 | $ 221,836 |
Fair Value | 8,608 | 13,340 |
Liabilities | ||
Notional | (234,353) | (200,319) |
Fair Value | $ (8,520) | $ (11,840) |
DERIVATIVES AND HEDGING - Summa
DERIVATIVES AND HEDGING - Summary of Impact of Derivative Instruments on Condensed Consolidated Statement of Operations (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||
Total gain (loss) | $ (348) | $ 24,076 | $ 23,790 |
Investment income (loss) | Not Designated as Hedging Instrument | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Total gain (loss) | (3,501) | 16,259 | 15,924 |
General and administrative expense | Not Designated as Hedging Instrument | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Total gain (loss) | $ 3,153 | $ 7,817 | $ 7,866 |
DERIVATIVES AND HEDGING - Fai_2
DERIVATIVES AND HEDGING - Fair Value of Derivatives of Consolidated Funds (Details) - Consolidated Funds - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Options and futures | ||
Liabilities | ||
Fair Value | $ 571 | |
Not Designated as Hedging Instrument | ||
Assets | ||
Notional | 556,036 | $ 817,787 |
Fair Value | 9,133 | 10,737 |
Liabilities | ||
Notional | (281,450) | (180,996) |
Fair Value | (22,230) | (24,022) |
Not Designated as Hedging Instrument | Foreign-currency forward contracts | ||
Assets | ||
Notional | 508,174 | 427,141 |
Fair Value | 475 | 9,758 |
Liabilities | ||
Notional | (118,263) | (52,531) |
Fair Value | (21,659) | (16,356) |
Not Designated as Hedging Instrument | Total-return and interest-rate swaps | ||
Assets | ||
Notional | 41,113 | 12,604 |
Fair Value | 8,658 | 700 |
Liabilities | ||
Notional | 0 | (3,182) |
Fair Value | 0 | (7,666) |
Not Designated as Hedging Instrument | Options and futures | ||
Assets | ||
Notional | 6,749 | 378,042 |
Fair Value | 0 | 279 |
Liabilities | ||
Notional | (163,187) | (125,283) |
Fair Value | $ (571) | $ 0 |
DERIVATIVES AND HEDGING - Impac
DERIVATIVES AND HEDGING - Impact of Derivatives Held by the Consolidated Fund on the Consolidated Statements of Operations (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Consolidated Funds | Not Designated as Hedging Instrument | |||
Derivatives, Fair Value [Line Items] | |||
Net Realized Gain (Loss) on Investments | $ 16,207 | $ 12,816 | $ 3,590 |
Net Change in Unrealized Appreciation (Depreciation) on Investments | 1,174 | (14,672) | 1,581 |
Consolidated Funds | Not Designated as Hedging Instrument | Foreign-currency forward contracts | |||
Derivatives, Fair Value [Line Items] | |||
Net Realized Gain (Loss) on Investments | 898 | 43,145 | 6,232 |
Net Change in Unrealized Appreciation (Depreciation) on Investments | (14,909) | (10,777) | 4,477 |
Consolidated Funds | Not Designated as Hedging Instrument | Total-return and interest-rate and credit default swaps | |||
Derivatives, Fair Value [Line Items] | |||
Net Realized Gain (Loss) on Investments | (235) | 975 | (92) |
Net Change in Unrealized Appreciation (Depreciation) on Investments | 328 | 284 | (57) |
Consolidated Funds | Not Designated as Hedging Instrument | Options and futures | |||
Derivatives, Fair Value [Line Items] | |||
Net Realized Gain (Loss) on Investments | 4,382 | 13,322 | (2,550) |
Net Change in Unrealized Appreciation (Depreciation) on Investments | (569) | (223) | (3,697) |
Consolidated Funds | Not Designated as Hedging Instrument | Commodity swaps | |||
Derivatives, Fair Value [Line Items] | |||
Net Change in Unrealized Appreciation (Depreciation) on Investments | 0 | ||
VIEs not consolidated | Designated as Hedging Instrument | Warrants | |||
Derivatives, Fair Value [Line Items] | |||
Net Realized Gain (Loss) on Investments | 0 | 0 | 0 |
Net Change in Unrealized Appreciation (Depreciation) on Investments | 0 | 0 | 858 |
VIEs not consolidated | Designated as Hedging Instrument | Commodity swaps | |||
Derivatives, Fair Value [Line Items] | |||
Net Realized Gain (Loss) on Investments | 11,162 | (44,626) | $ 0 |
Net Change in Unrealized Appreciation (Depreciation) on Investments | $ 16,324 | $ (3,956) |
DERIVATIVES AND HEDGING - Balan
DERIVATIVES AND HEDGING - Balance Sheet Offsetting (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Derivative Assets: | ||
Gross Amounts of Assets (Liabilities) Presented | $ 17,741 | $ 24,077 |
Gross Amounts Not Offset in Statements of Financial Condition, Derivative Assets (Liabilities) | 510 | 1,279 |
Gross Amounts Not Offset in Statements of Financial Condition, Cash Collateral Received (Pledged) | 0 | 0 |
Net Amount | 17,231 | 22,798 |
Derivative Liabilities: | ||
Gross Amounts of Assets (Liabilities) Presented | (30,750) | (35,862) |
Gross Amounts Not Offset in Statements of Financial Condition, Derivative (Liabilities) | (510) | (1,279) |
Gross Amounts Not Offset in Statements of Financial Condition, Cash Collateral Received (Pledged) | 0 | 0 |
Net Amount | (30,240) | (34,583) |
Oaktree Capital Group Excluding Consolidated Funds | Foreign-currency forward contracts | ||
Derivative Assets: | ||
Gross Amounts of Assets (Liabilities) Presented | 8,608 | 13,340 |
Gross Amounts Not Offset in Statements of Financial Condition, Derivative Assets (Liabilities) | 510 | 1,279 |
Gross Amounts Not Offset in Statements of Financial Condition, Cash Collateral Received (Pledged) | 0 | 0 |
Net Amount | 8,098 | 12,061 |
Derivative Liabilities: | ||
Gross Amounts of Assets (Liabilities) Presented | (8,520) | (11,840) |
Gross Amounts Not Offset in Statements of Financial Condition, Derivative (Liabilities) | (510) | (1,279) |
Gross Amounts Not Offset in Statements of Financial Condition, Cash Collateral Received (Pledged) | 0 | 0 |
Net Amount | (8,010) | (10,561) |
Consolidated Funds | ||
Derivative Assets: | ||
Gross Amounts of Assets (Liabilities) Presented | 9,133 | 10,737 |
Gross Amounts Not Offset in Statements of Financial Condition, Derivative Assets (Liabilities) | 0 | 0 |
Gross Amounts Not Offset in Statements of Financial Condition, Cash Collateral Received (Pledged) | 0 | 0 |
Net Amount | 9,133 | 10,737 |
Derivative Liabilities: | ||
Gross Amounts of Assets (Liabilities) Presented | (22,230) | (24,022) |
Gross Amounts Not Offset in Statements of Financial Condition, Derivative (Liabilities) | 0 | 0 |
Gross Amounts Not Offset in Statements of Financial Condition, Cash Collateral Received (Pledged) | 0 | 0 |
Net Amount | (22,230) | (24,022) |
Consolidated Funds | Foreign-currency forward contracts | ||
Derivative Assets: | ||
Gross Amounts of Assets (Liabilities) Presented | 475 | 9,758 |
Gross Amounts Not Offset in Statements of Financial Condition, Derivative Assets (Liabilities) | 0 | 0 |
Gross Amounts Not Offset in Statements of Financial Condition, Cash Collateral Received (Pledged) | 0 | 0 |
Net Amount | 475 | 9,758 |
Derivative Liabilities: | ||
Gross Amounts of Assets (Liabilities) Presented | (21,659) | (16,356) |
Gross Amounts Not Offset in Statements of Financial Condition, Derivative (Liabilities) | 0 | 0 |
Gross Amounts Not Offset in Statements of Financial Condition, Cash Collateral Received (Pledged) | 0 | 0 |
Net Amount | (21,659) | (16,356) |
Consolidated Funds | Total-return and interest-rate and credit default swaps | ||
Derivative Assets: | ||
Gross Amounts of Assets (Liabilities) Presented | 8,658 | 700 |
Gross Amounts Not Offset in Statements of Financial Condition, Derivative Assets (Liabilities) | 0 | 0 |
Gross Amounts Not Offset in Statements of Financial Condition, Cash Collateral Received (Pledged) | 0 | 0 |
Net Amount | 8,658 | 700 |
Derivative Liabilities: | ||
Gross Amounts of Assets (Liabilities) Presented | (7,666) | |
Gross Amounts Not Offset in Statements of Financial Condition, Derivative (Liabilities) | 0 | |
Gross Amounts Not Offset in Statements of Financial Condition, Cash Collateral Received (Pledged) | 0 | |
Net Amount | (7,666) | |
Consolidated Funds | Options and futures | ||
Derivative Assets: | ||
Gross Amounts of Assets (Liabilities) Presented | 279 | |
Gross Amounts Not Offset in Statements of Financial Condition, Derivative Assets (Liabilities) | 0 | |
Gross Amounts Not Offset in Statements of Financial Condition, Cash Collateral Received (Pledged) | 0 | |
Net Amount | 279 | |
Derivative Liabilities: | ||
Gross Amounts Not Offset in Statements of Financial Condition, Derivative (Liabilities) | 0 | |
Gross Amounts Not Offset in Statements of Financial Condition, Cash Collateral Received (Pledged) | 0 | |
Net Amount | $ (571) | |
Consolidated Funds | Warrants | ||
Derivative Liabilities: | ||
Gross Amounts of Assets (Liabilities) Presented | 0 | |
Gross Amounts Not Offset in Statements of Financial Condition, Derivative (Liabilities) | 0 | |
Gross Amounts Not Offset in Statements of Financial Condition, Cash Collateral Received (Pledged) | 0 | |
Net Amount | $ 0 |
GOODWILL (Details)
GOODWILL (Details) - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Goodwill, impairment | $ 0 | |
Goodwill | $ 18,400,000 | $ 18,400,000 |
DEBT OBLIGATIONS AND CREDIT F_3
DEBT OBLIGATIONS AND CREDIT FACILITIES - Additional Information (Details) | 12 Months Ended | ||||||||||||
Oct. 06, 2023 | Jun. 08, 2022 EUR (€) | Jan. 12, 2022 USD ($) | Jul. 22, 2020 USD ($) | May 19, 2020 USD ($) | Dec. 31, 2023 USD ($) | Apr. 07, 2023 USD ($) | Dec. 31, 2022 USD ($) | Mar. 30, 2022 EUR (€) | Nov. 04, 2021 USD ($) | Sep. 14, 2021 USD ($) | Sep. 13, 2021 USD ($) | May 20, 2020 USD ($) | |
Debt Instrument [Line Items] | |||||||||||||
Long-term debt, gross | $ 220,931,000 | $ 213,450,000 | |||||||||||
Oaktree Capital Group Excluding Consolidated Funds | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Long-term debt, gross | 1,050,000,000 | 1,050,000,000 | |||||||||||
Consolidated Funds | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt obligations of the consolidated funds | 951,950,000 | 1,000,859,000 | |||||||||||
Revolving credit facilities | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt obligations of the consolidated funds | $ 0 | ||||||||||||
Secured borrowings | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Proceeds from senior unsecured notes | € | € 200,000,000 | ||||||||||||
Senior Unsecured Notes | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Stated percentage | 3.68% | ||||||||||||
Proceeds from senior unsecured notes | $ 250,000,000 | ||||||||||||
Facility Capacity | $ 650,000,000 | $ 250,000,000 | |||||||||||
Senior unsecured notes purchase commitment | $ 250,000,000 | ||||||||||||
Line of Credit | Consolidated Funds | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Term (up to) | 10 years | ||||||||||||
Line of Credit | Revolving credit facilities | Oaktree Capital Group Excluding Consolidated Funds | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Spread on variable rate (percent) | 110% | ||||||||||||
Commitment fee payable on unused funds | 10% | ||||||||||||
Line of Credit | Revolving credit facilities | Consolidated Funds | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Facility Capacity | $ 1,316,463,000 | ||||||||||||
Commitment fee payable on unused funds | 2.05% | ||||||||||||
Average borrowing rate (percent) | 7.47% | ||||||||||||
Long-term debt, gross | $ 951,950,000 | 1,000,859,000 | |||||||||||
Line of Credit | Term loan | Oaktree Capital Group Excluding Consolidated Funds | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Debt obligations of the consolidated funds | 0 | ||||||||||||
Assets under management, carrying amount | $ 57,500,000,000 | $ 65,000,000,000 | |||||||||||
Potential additional maturity term extension | 2 years | ||||||||||||
Leverage ratio, maximum | 4 | ||||||||||||
Debt fair value | $ 175,900,000 | $ 163,900,000 | |||||||||||
Average borrowing rate (percent) | 4.90% | 5.10% | |||||||||||
€50,000, 2.20%, issued in June 2022, payable on June 8, 2032 | Secured borrowings | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Face amount | € | € 50,000,000 | ||||||||||||
Stated percentage | 2.20% | ||||||||||||
Long-term debt, gross | $ 55,233,000 | $ 53,362,000 | |||||||||||
€75,000, 2.40%, issued in June 2022, payable on June 8, 2034 | Secured borrowings | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Face amount | € | € 75,000,000 | ||||||||||||
Stated percentage | 2.40% | ||||||||||||
Long-term debt, gross | 82,849,000 | 80,044,000 | |||||||||||
€75,000, 2.58%, issued in June 2022, payable on June 8, 2037 | Secured borrowings | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Face amount | € | € 75,000,000 | ||||||||||||
Stated percentage | 2.58% | ||||||||||||
Long-term debt, gross | 82,849,000 | $ 80,044,000 | |||||||||||
Senior Unsecured Notes Due 2037 | Secured borrowings | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Face amount | $ 200,000,000 | ||||||||||||
Senior Unsecured Notes Due 2037 | Senior Unsecured Notes | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Stated percentage | 3.06% | ||||||||||||
Proceeds from senior unsecured notes | $ 200,000,000 | ||||||||||||
Subordinated Credit Facility | Revolving credit facilities | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Facility Capacity | 250,000,000 | ||||||||||||
Subordinated Credit Facility | Revolving credit facilities | Related Party | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Maturity extension, term | 1 year | ||||||||||||
Debt obligations of the consolidated funds | $ 0 | ||||||||||||
Subordinated Credit Facility | Line of Credit | Revolving credit facilities | Related Party | Secured Overnight Financing Rate | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Spread on variable rate (percent) | 1.60% | ||||||||||||
Subordinated Credit Facility | Line of Credit | Revolving credit facilities | Related Party | Base Rate | |||||||||||||
Debt Instrument [Line Items] | |||||||||||||
Spread on variable rate (percent) | 0.50% |
DEBT OBLIGATIONS AND CREDIT F_4
DEBT OBLIGATIONS AND CREDIT FACILITIES - Oaktree Capital Debt Obligation (Details) $ in Thousands | Dec. 31, 2023 USD ($) | Dec. 31, 2022 USD ($) | Mar. 30, 2022 EUR (€) |
Debt Instrument [Line Items] | |||
Long-term debt, gross | $ 220,931 | $ 213,450 | |
Secured borrowings | |||
Debt Instrument [Line Items] | |||
Less: Debt issuance costs | (1,249) | (1,255) | |
Total debt obligations, net | 219,682 | 212,195 | |
Secured borrowings | €50,000, 2.20%, issued in June 2022, payable on June 8, 2032 | |||
Debt Instrument [Line Items] | |||
Face amount | € | € 50,000,000 | ||
Stated percentage | 2.20% | ||
Long-term debt, gross | 55,233 | 53,362 | |
Secured borrowings | €75,000, 2.40%, issued in June 2022, payable on June 8, 2034 | |||
Debt Instrument [Line Items] | |||
Face amount | € | € 75,000,000 | ||
Stated percentage | 2.40% | ||
Long-term debt, gross | 82,849 | 80,044 | |
Secured borrowings | €75,000, 2.58%, issued in June 2022, payable on June 8, 2037 | |||
Debt Instrument [Line Items] | |||
Face amount | € | € 75,000,000 | ||
Stated percentage | 2.58% | ||
Long-term debt, gross | $ 82,849 | $ 80,044 |
DEBT OBLIGATIONS AND CREDIT F_5
DEBT OBLIGATIONS AND CREDIT FACILITIES - Debt Obligations (Details) - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Debt Instrument [Line Items] | ||
Long-term debt, gross | $ 220,931,000 | $ 213,450,000 |
Oaktree Capital Group Excluding Consolidated Funds | ||
Debt Instrument [Line Items] | ||
Long-term debt, gross | 1,050,000,000 | 1,050,000,000 |
Oaktree Capital Group Excluding Consolidated Funds | Senior secured notes | $50,000, 3.91%, issued in September 2014, payable on September 3, 2024 | ||
Debt Instrument [Line Items] | ||
Face amount | $ 50,000 | |
Stated rate | 3.91% | |
Long-term debt, gross | $ 50,000,000 | 50,000,000 |
Oaktree Capital Group Excluding Consolidated Funds | Senior secured notes | $100,000, 4.01%, issued in September 2014, payable on September 3, 2026 | ||
Debt Instrument [Line Items] | ||
Face amount | $ 100,000 | |
Stated rate | 4.01% | |
Long-term debt, gross | $ 100,000,000 | 100,000,000 |
Oaktree Capital Group Excluding Consolidated Funds | Senior secured notes | $100,000, 4.21%, issued in September 2014, payable on September 3, 2029 | ||
Debt Instrument [Line Items] | ||
Face amount | $ 100,000 | |
Stated rate | 4.21% | |
Long-term debt, gross | $ 100,000,000 | 100,000,000 |
Oaktree Capital Group Excluding Consolidated Funds | Senior secured notes | $100,000, 3.69%, issued in July 2016, payable on July 12, 2031 | ||
Debt Instrument [Line Items] | ||
Face amount | $ 100,000 | |
Stated rate | 3.69% | |
Long-term debt, gross | $ 100,000,000 | 100,000,000 |
Oaktree Capital Group Excluding Consolidated Funds | Senior secured notes | $250,000, 3.78%, issued in December 2017, payable on December 18, 2032 | ||
Debt Instrument [Line Items] | ||
Face amount | $ 250,000 | |
Stated rate | 3.78% | |
Long-term debt, gross | $ 250,000,000 | 250,000,000 |
Oaktree Capital Group Excluding Consolidated Funds | Senior secured notes | $200,000, 3.64%, issued in July 2020, payable on July 22, 2030 | ||
Debt Instrument [Line Items] | ||
Face amount | $ 200,000 | |
Stated rate | 3.64% | |
Long-term debt, gross | $ 200,000,000 | 200,000,000 |
Oaktree Capital Group Excluding Consolidated Funds | Senior secured notes | $50,000, 3.84%, issued in July 2020, payable on July 22, 2035 | ||
Debt Instrument [Line Items] | ||
Face amount | $ 50,000 | |
Stated rate | 3.84% | |
Long-term debt, gross | $ 50,000,000 | 50,000,000 |
Oaktree Capital Group Excluding Consolidated Funds | Senior secured notes | $200,000, 3.06%, issued in January 2022, payable on January 12, 2037 | ||
Debt Instrument [Line Items] | ||
Face amount | $ 200,000 | |
Stated rate | 3.06% | |
Long-term debt, gross | $ 200,000,000 | $ 200,000,000 |
DEBT OBLIGATIONS AND CREDIT F_6
DEBT OBLIGATIONS AND CREDIT FACILITIES - Credit Facilities of Consolidated Funds (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2023 | Dec. 31, 2022 | |
Debt Instrument [Line Items] | ||
Outstanding amount | $ 220,931 | $ 213,450 |
Revolving credit facilities | Consolidated Funds | ||
Debt Instrument [Line Items] | ||
Less: Debt issuance costs | (6,155) | (1,972) |
Total debt obligations, net | 945,795 | 998,887 |
Revolving credit facilities | Consolidated Funds | Revolving credit facilities | ||
Debt Instrument [Line Items] | ||
Outstanding amount | 951,950 | $ 1,000,859 |
Facility Capacity | $ 1,316,463 | |
Weighted Average Interest Rate | 7.47% | |
Weighted Average Remaining Maturity (years) | 1 year 2 months 12 days | |
Commitment Fee Rate | 25% | |
L/C Fee | 2.05% |
NON-CONTROLLING REDEEMABLE IN_3
NON-CONTROLLING REDEEMABLE INTERESTS IN CONSOLIDATED FUNDS - Summary of Changes in Non-controlling Redeemable Interests in Consolidated Funds (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Non-Controlling Redeemable Interests in Consolidated Funds [Roll Forward] | |||
Beginning balance | $ 2,182,414 | $ 1,723,294 | $ 715,347 |
Deconsolidation of funds | (242) | (249,903) | (192,984) |
Contributions | 1,223,103 | 727,382 | 1,189,486 |
Distributions | (221,745) | (207,360) | (171,883) |
Net income (loss) | 245,928 | 190,905 | 186,515 |
Change in distributions payable | (94,253) | (1,314) | 9,975 |
Foreign-currency translation and other | 1,343 | (590) | (13,162) |
Ending balance | $ 3,336,548 | $ 2,182,414 | $ 1,723,294 |
UNITHOLDERS' CAPITAL - Addition
UNITHOLDERS' CAPITAL - Additional Information (Details) - USD ($) $ / shares in Units, $ in Thousands | Aug. 09, 2018 | May 17, 2018 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | Dec. 31, 2020 |
Class of Stock | ||||||
Total capital | $ 2,584,906 | $ 1,906,638 | $ 2,272,602 | $ 1,879,988 | ||
Preferred redemption price (in dollars per share) | $ 25 | |||||
Series A Preferred Units | ||||||
Class of Stock | ||||||
Preferred dividend rate | 6.625% | |||||
Preferred redemption price (in dollars per share) | $ 25 | |||||
Net proceeds from units sold | $ 173,700 | |||||
Series A Preferred Units | Preferred Unit Issuance | ||||||
Class of Stock | ||||||
Number of units issued and sold (in shares) | 7,200,000 | |||||
Series B Preferred Units | ||||||
Class of Stock | ||||||
Preferred dividend rate | 6.55% | |||||
Preferred redemption price (in dollars per share) | $ 25 | |||||
Net proceeds from units sold | $ 226,900 | |||||
Series B Preferred Units | Preferred Unit Issuance | ||||||
Class of Stock | ||||||
Number of units issued and sold (in shares) | 9,400,000 | |||||
OCGH | ||||||
Class of Stock | ||||||
Unitholders' capital (in shares) | 50,915,764 | 56,922,688 | ||||
Non-controlling interests in consolidated funds | $ 333,195 | $ 360,660 | ||||
Oaktree Operating Group | ||||||
Class of Stock | ||||||
Subsidiary units outstanding (in shares) | 160,002,848 | |||||
Total capital | $ 1,058,126 | $ 1,017,192 | ||||
Oaktree Operating Group | Converted OCGH Units and OCGH Units | ||||||
Class of Stock | ||||||
Subsidiary units outstanding (in shares) | 160,114,755 |
UNITHOLDERS' CAPITAL - Summary
UNITHOLDERS' CAPITAL - Summary of Distributions Made (Details) - $ / shares | 12 Months Ended | ||||||||||||||
Nov. 10, 2023 | Aug. 10, 2023 | May 10, 2023 | Feb. 24, 2023 | Nov. 10, 2022 | Aug. 10, 2022 | May 10, 2022 | Feb. 25, 2022 | Nov. 10, 2021 | Aug. 10, 2021 | May 10, 2021 | Feb. 25, 2021 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Class A Units | |||||||||||||||
Class of Stock | |||||||||||||||
Distribution Per Unit (in dollars per unit) | $ 0.08 | $ 0.09 | $ 0.72 | $ 0.11 | $ 0.31 | $ 0.38 | $ 0.27 | $ 0.90 | $ 0.83 | $ 0.50 | $ 2.28 | $ 1.07 | $ 1 | $ 1.86 | $ 4.68 |
UNITHOLDERS' CAPITAL - Summar_2
UNITHOLDERS' CAPITAL - Summary of Net Income (Loss) (Details) - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Weighted average Oaktree Capital I units outstanding (in thousands): | |||
Total weighted average units outstanding, basic (in shares) | 107,590 | 102,043 | 99,031 |
Total weighted average units outstanding, diluted (in shares) | 107,590 | 102,043 | 99,031 |
Oaktree Capital I net income: | |||
Net income | $ 540,166 | $ 463,090 | $ 1,157,379 |
Net income attributable to BOH Class A unitholders: | |||
Oaktree Capital I net income attributable to BOH Class A unitholders | 139,542 | 131,001 | 544,551 |
Non-Operating Group income (expense) | 54,319 | 45,329 | 59,793 |
Net income attributable to Brookfield Oaktree Holdings, LLC Class A unitholders | $ 193,861 | $ 176,330 | $ 604,344 |
Oaktree Operating Group | |||
Weighted average Oaktree Capital I units outstanding (in thousands): | |||
Total weighted average units outstanding, basic (in shares) | 160,097 | 159,915 | 159,987 |
Total weighted average units outstanding, diluted (in shares) | 160,097 | 159,915 | 159,987 |
Oaktree Capital I net income: | |||
Net income | $ 239,919 | $ 226,856 | $ 911,117 |
OCGH Units | Oaktree Operating Group | |||
Weighted average Oaktree Capital I units outstanding (in thousands): | |||
Total weighted average units outstanding, basic (in shares) | 56,306 | 60,704 | 60,956 |
Total weighted average units outstanding, diluted (in shares) | 56,306 | 60,704 | 60,956 |
Oaktree Capital I net income: | |||
Net income | $ 73,061 | $ 68,539 | $ 339,250 |
Class A Units | |||
Weighted average Oaktree Capital I units outstanding (in thousands): | |||
Total weighted average units outstanding, basic (in shares) | 107,590 | 102,043 | 99,031 |
Net income attributable to BOH Class A unitholders: | |||
Net income attributable to Brookfield Oaktree Holdings, LLC Class A unitholders | $ 193,861 | $ 176,330 | $ 604,344 |
Class A Units | Oaktree Operating Group | |||
Weighted average Oaktree Capital I units outstanding (in thousands): | |||
Total weighted average units outstanding, basic (in shares) | 103,791 | 99,211 | 99,031 |
Total weighted average units outstanding, diluted (in shares) | 103,791 | 99,211 | 99,031 |
Oaktree Capital I net income: | |||
Net income | $ 139,542 | $ 131,001 | $ 544,551 |
Series A Preferred Units | Oaktree Operating Group | |||
Oaktree Capital I net income: | |||
Net income | $ 27,316 | $ 27,316 | $ 27,316 |
UNITHOLDERS' CAPITAL - Changes
UNITHOLDERS' CAPITAL - Changes in Company Ownership Interest (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Equity [Abstract] | |||
Net income attributable to BOH Class A unitholders | $ 193,861 | $ 176,330 | $ 604,344 |
Equity reallocation between controlling and non-controlling interests | 38,365 | 33,107 | (11,155) |
Change from net income attributable to BOH Class A unitholders and transfers from non-controlling interests | $ 232,226 | $ 209,437 | $ 593,189 |
EARNINGS PER UNIT (Details)
EARNINGS PER UNIT (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Earnings Per Share [Line Items] | |||
Net income attributable to OCG Class A unitholders, basic | $ 193,861 | $ 176,330 | $ 604,344 |
Net income attributable to OCG Class A unitholders, diluted | $ 193,861 | $ 176,330 | $ 604,344 |
Weighted average number of Class A units outstanding, basic (in shares) | 107,590 | 102,043 | 99,031 |
Weighted average number of Class A units outstanding, diluted (in shares) | 107,590 | 102,043 | 99,031 |
Basic, Net income per Class A unit (in dollars per share) | $ 1.80 | $ 1.73 | $ 6.10 |
Diluted, Net income per Class A unit (in dollars per share) | $ 1.80 | $ 1.73 | $ 6.10 |
Class A Units | |||
Earnings Per Share [Line Items] | |||
Net income attributable to OCG Class A unitholders, basic | $ 193,861 | $ 176,330 | $ 604,344 |
Weighted average number of Class A units outstanding, basic (in shares) | 107,590 | 102,043 | 99,031 |
Diluted, Net income per Class A unit (in dollars per share) | $ 1.80 | $ 1.73 | $ 6.10 |
INCOME TAXES AND RELATED PAYM_3
INCOME TAXES AND RELATED PAYMENTS - Additional Information (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |||
Unrecognized tax benefits | $ 0 | $ 0 | $ 0 |
Income tax penalties and interest accrued | 0 | 0 | |
Income tax penalties and interest expenses | $ 0 | $ 0 | $ 0 |
INCOME TAXES AND RELATED PAYM_4
INCOME TAXES AND RELATED PAYMENTS - Components of Income Tax Expense (Benefit) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Current: | |||
Foreign income tax | $ 0 | $ 15,290 | $ 12,105 |
Current | 0 | 15,290 | 12,105 |
Deferred: | |||
Foreign income tax | 0 | (359) | 282 |
Deferred | 0 | (359) | 282 |
Total: | |||
Foreign income tax | 0 | 14,931 | 12,387 |
Income tax expense | $ 0 | $ 14,931 | $ 12,387 |
INCOME TAXES AND RELATED PAYM_5
INCOME TAXES AND RELATED PAYMENTS - Income Before Income Taxes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |||
Domestic income (loss) before income taxes | $ 540,166 | $ 437,779 | $ 1,073,218 |
Foreign income (loss) before income taxes | 0 | 40,242 | 96,548 |
Income before income taxes | $ 540,166 | $ 478,021 | $ 1,169,766 |
INCOME TAXES AND RELATED PAYM_6
INCOME TAXES AND RELATED PAYMENTS - Effective Tax Rate Reconciliation (Details) | 12 Months Ended | ||
Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |||
Income tax expense at federal statutory rate | 0% | 21% | 21% |
Income passed through | 0% | (19.23%) | (19.27%) |
Foreign taxes | 0% | 1.35% | (0.67%) |
Total effective rate | 0% | 3.12% | 1.06% |
INCOME TAXES AND RELATED PAYM_7
INCOME TAXES AND RELATED PAYMENTS - Income Tax Effects of Temporary Differences (Details) - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 |
Deferred tax assets: | |||
Net operating losses | $ 0 | $ 0 | $ 1,817 |
Other | 0 | 0 | 1,731 |
Total deferred tax assets | 0 | 0 | 3,548 |
Total deferred tax liabilities | 0 | 0 | 0 |
Net deferred tax assets before valuation allowance | 0 | 0 | 3,548 |
Valuation allowance | 0 | 0 | 0 |
Net deferred tax assets | $ 0 | $ 0 | $ 3,548 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Details) - USD ($) | Dec. 31, 2023 | Dec. 31, 2022 |
Loss Contingencies [Line Items] | ||
Accrued incentives (fund level) | $ 1,800,000,000 | $ 1,800,000,000 |
Compensation expense related to accrued incentives (fund level) | 739,100,000 | 950,300,000 |
Capital commitments | 349,900,000 | $ 275,400,000 |
Consolidated Funds | ||
Loss Contingencies [Line Items] | ||
Aggregate potential credit and investment commitments | 0 | |
Oaktree Opportunities Fund XI, L.P. | ||
Loss Contingencies [Line Items] | ||
Capital commitments | 112,500,000 | |
Oaktree Opportunities Fund XII, L.P. | ||
Loss Contingencies [Line Items] | ||
Capital commitments | $ 750,000,000 |
RELATED-PARTY TRANSACTIONS - Am
RELATED-PARTY TRANSACTIONS - Amounts Due from and Due to Affiliates (Details) - Related Party - USD ($) $ in Thousands | Dec. 31, 2023 | Dec. 31, 2022 |
Due from affiliates: | ||
Due from affiliates | $ 232,485 | $ 207,874 |
Due to affiliates: | ||
Due to affiliates | 62,759 | 36,164 |
Management fees and incentive income due from unconsolidated funds and affiliates | ||
Due from affiliates: | ||
Due from affiliates | 202,052 | 203,178 |
Payments made on behalf of unconsolidated entities | ||
Due from affiliates: | ||
Due from affiliates | 30,433 | 4,696 |
Amounts due to unconsolidated entities | ||
Due to affiliates: | ||
Due to affiliates | $ 62,759 | $ 36,164 |
RELATED-PARTY TRANSACTIONS - Ad
RELATED-PARTY TRANSACTIONS - Additional Information (Details) | 12 Months Ended | 13 Months Ended | |||||||||
Oct. 06, 2023 | Jul. 31, 2023 USD ($) | Jun. 29, 2023 USD ($) | Jun. 27, 2023 USD ($) | May 22, 2023 USD ($) | Dec. 31, 2023 USD ($) | Dec. 31, 2022 USD ($) | Dec. 31, 2021 USD ($) | Dec. 31, 2023 USD ($) | May 01, 2023 USD ($) | May 07, 2021 USD ($) instrument | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||
Interest expense | $ 50,272,000 | $ 248,401,000 | $ 155,265,000 | ||||||||
Total revenues | 267,325,000 | 492,593,000 | 1,454,410,000 | ||||||||
General and administrative expense | 5,556,000 | 24,512,000 | 21,694,000 | ||||||||
Revolving credit facilities | |||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||
Debt obligations of the consolidated funds | 0 | $ 0 | |||||||||
Revolving credit facilities | Subordinated Credit Facility | |||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||
Facility Capacity | 250,000,000 | 250,000,000 | |||||||||
Revolving credit facilities | Oaktree Capital I, L.P | Line of Credit | Oaktree Capital Management, L.P. | |||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||
Number of debt instruments | instrument | 2 | ||||||||||
Facility Capacity | $ 250,000,000 | ||||||||||
Oaktree Capital Group Excluding Consolidated Funds | |||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||
Investments | $ 1,532,208,000 | 1,191,504,000 | 1,532,208,000 | ||||||||
Oaktree Capital Group Excluding Consolidated Funds | Revolving credit facilities | Line of Credit | |||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||
Spread on variable rate (percent) | 110% | ||||||||||
Related Party | Brookfield Deposit Agreement | |||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||
Deposit agreement deposit, aggregate | $ 750,000,000 | ||||||||||
Deposit agreement deposit, sub-limit | $ 200,000,000 | ||||||||||
Related Party | Brookfield Corporate Treasury Ltd. (“Treasury”) | Non-Traded REIT Acquisition | |||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||
Capital commitment | $ 200,000,000 | ||||||||||
Related Party | Revolving credit facilities | Subordinated Credit Facility | |||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||
Debt obligations of the consolidated funds | $ 0 | 0 | |||||||||
Maturity extension, term | 1 year | ||||||||||
Related Party | Revolving credit facilities | Secured Overnight Financing Rate | Line of Credit | Subordinated Credit Facility | |||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||
Spread on variable rate (percent) | 1.60% | ||||||||||
Related Party | Revolving credit facilities | Base Rate | Line of Credit | Subordinated Credit Facility | |||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||
Spread on variable rate (percent) | 0.50% | ||||||||||
Related Party | Oaktree Opportunities Fund XI, L.P. | Investment In Oaktree Opportunities Fund XI | |||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||
Capital commitment | 750,000,000 | 750,000,000 | |||||||||
Payments to acquire investments | 262,500,000 | 637,500,000 | |||||||||
Related Party | Oaktree Opportunities Fund XII, L.P. | Revolving Line Of Credit Note With Oaktree Capital Management L.P. | |||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||
Capital commitment | $ 750,000,000 | ||||||||||
Related Party | OCG NTR Holdings | Non-Traded REIT Acquisition | |||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||
Payments to acquire investments | $ 13,900,000 | $ 307,000,000 | |||||||||
Investments | 317,300,000 | 317,300,000 | |||||||||
Related Party | OCG NTR Holdings | Non-Traded REIT Acquisition | |||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||
Business acquisition, percentage of voting interests acquired | 100% | ||||||||||
Affiliated Entity | |||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||
Reimbursable expenses payable | $ 750,000 | $ 750,000 | |||||||||
Termination period (in days) | 90 days | ||||||||||
Affiliated Entity | Administrative Service | |||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||
General and administrative expense | $ 800,000 | 800,000 | |||||||||
Affiliated Entity | Revolving credit facilities | Line of Credit | Oaktree Capital Management, L.P. | Revolving Line Of Credit Note With Oaktree Capital Management L.P. | |||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||
Proceeds from borrowing | 48,000,000 | 36,000,000 | |||||||||
Interest expense | 1,370,000 | 255,000 | |||||||||
Affiliated Entity | Revolving credit facilities | Oaktree Capital Management, L.P. | Line of Credit | |||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||
Interest income, operating | 810,000 | 10,000 | |||||||||
Affiliated Entity | Revolving credit facilities | Oaktree Capital Management, L.P. | Line of Credit | Revolving Line Of Credit Note With Oaktree Capital Management L.P. | |||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||
Proceeds from borrowing | 26,000,000 | ||||||||||
Debt obligations of the consolidated funds | 0 | ||||||||||
Affiliated Entity | Oaktree Capital Group Excluding Consolidated Funds | |||||||||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||||||||||
Total revenues | $ 267,300,000 | $ 280,700,000 | $ 1,200,000,000 |
SEGMENT REPORTING (Details)
SEGMENT REPORTING (Details) | 12 Months Ended |
Dec. 31, 2023 segment | |
Segment Reporting [Abstract] | |
Number of segments | 1 |
SUBSEQUENT EVENTS (Details)
SUBSEQUENT EVENTS (Details) - Subsequent Event - $ / shares | Mar. 15, 2024 | Feb. 23, 2024 |
Class A Units | ||
Subsequent Event [Line Items] | ||
Distributions declared per preferred unit (in dollars per share) | $ 0.14 | |
Series A Preferred Units | ||
Subsequent Event [Line Items] | ||
Distributions declared per preferred unit (in dollars per share) | $ 0.414063 | |
Series B Preferred Units | ||
Subsequent Event [Line Items] | ||
Distributions declared per preferred unit (in dollars per share) | $ 0.409375 |