Statement of Financial Condition slide image

Statement of Financial Condition

UBS Securities LLC Notes to the Statement of Financial Condition (continued) (In Thousands) 6. Fair Value Measurement (continued) Assets and liabilities measured at fair value on a recurring basis (continued) Financial liabilities designated at fair value Brokerage payables Equities and warrants ¹,2 (Level 1) $ $ (Level 2) $ 6,342,657 402,001 $ 6,744,658 (Level 3) $ 137,941 $ 137,941 Total fair value 1 Represents the Prepaid Variable forward agreements noted in Footnote 13. 2 Further breakdown of level 3 Prepaid Variable forward agreements can be found on the following tables. $ 6,342,657 539,942 $ 6,882,599 Transfers between Level 1 and Level 2 of the fair value hierarchy During the twelve months ended December 31, 2021, the Company did not have any material transfers of securities owned, at fair value and securities sold, not yet purchased at fair value between Levels 1 and 2 of the valuation hierarchy. Valuation techniques and inputs used in the fair value measurement of Level 3 assets and liabilities measured at fair value on a recurring basis The following table provides information on the valuation techniques, significant unobservable inputs and the range of values for those inputs for each category of assets and liabilities measured at fair value on a recurring basis, categorized as Level 3 of the fair value hierarchy at December 31, 2021. The range of values presented in this table is representative of the highest and lowest level of input used to value the significant instruments within each category. The disclosure below also includes qualitative information on the sensitivity of the fair value measurements to changes in the significant unobservable inputs. 21
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