Marcus & Millichap, Inc. Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Fair Value Measurements (Tables)

Fair Value Measurements (Tables)

9 Months Ended

Sep. 30, 2019

Schedule of Assets and liabilities at Fair Value on Recurring Basis

Assets and liabilities carried at fair value on a recurring basis consisted of the following (in thousands):


	September 30, 2019								December 31, 2018
	Fair Value		Level 1		Level 2		Level 3		Fair Value		Level 1		Level 2		Level 3
Assets:
Assets held in rabbi trust	$	9,102	$	—	$	9,102	$	—	$	8,268	$	—	$	8,268	$	—

Cash equivalents (1) :
Commercial paper and other	$	12,480	$	—	$	12,480	$	—	$	1,599	$	1,599	$	—	$	—
Money market funds		167,321		167,321		—		—		163,126		163,126		—		—

	$	179,801	$	167,321	$	12,480	$	—	$	164,725	$	164,725	$	—	$	—

Marketable securities, available-for-sale:
Short-term investments:
U.S. treasuries	$	109,399	$	109,399	$	—	$	—	$	121,180	$	121,180	$	—	$	—
U.S. government sponsored entities		—		—		—		—		3,505		—		3,505		—
Corporate debt securities		15,076		—		15,076		—		11,951		—		11,951		—
Asset-backed securities and other		—		—		—		—		800		—		800		—

	$	124,475	$	109,399	$	15,076	$	—	$	137,436	$	121,180	$	16,256	$	—

Long-term investments:
U.S. treasuries	$	30,456	$	30,456	$	—	$	—	$	45,010	$	45,010	$	—	$	—
U.S. government sponsored entities		1,413		—		1,413		—		1,507		—		1,507		—
Corporate debt securities		30,842		—		30,842		—		31,837		—		31,837		—
Asset-backed securities and other		8,074		—		8,074		—		4,855		—		4,855		—

	$	70,785	$	30,456	$	40,329	$	—	$	83,209	$	45,010	$	38,199	$	—

Liabilities:
Contingent consideration (2)	$	2,864	$	—	$	—	$	2,864	$	2,875	$	—	$	—	$	2,875

Deferred compensation liability	$	8,192	$	8,192	$	—	$	—	$	7,893	$	7,893	$	—	$	—

(1)	Included in cash and cash equivalents on the accompanying condensed consolidated balance sheets.

(2)

As of September 30, 2019, contingent consideration has a maximum undiscounted payment of $4.2 million.

Assuming the achievement of the applicable performance criteria, the Company anticipates these earn-out payments will be made over the next three to seven-year period. A reconciliation of contingent consideration measured at fair value on a recurring basis consisted of the following (in thousands):

Schedule of Reconciliation of Contingent Consideration Measured at Fair Value on Recurring Basis


	September 30, 2019			December 31, 2018
Beginning balance	$	2,875		$	—
Contingent consideration in connection with acquisitions		—			2,674
Change in fair value of contingent consideration		(11	)		201
Payments of contingent consideration		—			—

Ending balance	$	2,864		$	2,875