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

Investments in Marketable Debt Securities, Available for Sale (Tables)

Investments in Marketable Debt Securities, Available for Sale (Tables)

9 Months Ended

Sep. 30, 2021

Investments, Debt and Equity Securities [Abstract]

Schedule of Amortized Cost, Allowance for Credit Losses, Gross Unrealized Gains/Losses in Accumulated Other Comprehensive Income/Loss and Fair Value of Marketable Securities, Available-for-Sale, by Type of Security

Amortized cost, allowance for credit losses, gross unrealized gains/losses in accumulated other comprehensive income/loss and fair value of marketable debt securities,

available-for-sale,

by type of security consisted of the following (in thousands):


	September 30, 2021
	Amortized Cost		Allowance for Credit Losses		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
Short-term investments:

U.S. treasuries	$	19,984	$	—	$	7	$	—		$	19,991
Corporate debt		96,868		—		43		—			96,911

	$	116,852	$	—	$	50	$	—		$	116,902

Long-term investments:
U.S. treasuries	$	86,893	$	—	$	190	$	(26	)	$	87,057
U.S. government sponsored entities		797		—		27		(2	)		822
Corporate debt		33,845		—		1,422		(33	)		35,234
Asset-backed securities (“ABS”) and other		7,253		—		141		(5	)		7,389

	$	128,788	$	—	$	1,780	$	(66	)	$	130,502


	December 31, 2020
	Amortized Cost		Allowance for Credit Losses		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
Short-term investments:

U.S. treasuries	$	75,887	$	—	$	88	$	(5	)	$	75,970
U.S. government sponsored entities		32,439		—		8		—			32,447
Corporate debt		49,822		—		20		(1	)		49,841

	$	158,148	$	—	$	116	$	(6	)	$	158,258

Long-term investments:
U.S. treasuries	$	3,375	$	—	$	266	$	—		$	3,641
U.S. government sponsored entities		1,114		—		38		—			1,152
Corporate debt		34,183		—		2,137		(33	)		36,287
ABS and other		6,509		—		195		(11	)		6,693

	$	45,181	$	—	$	2,636	$	(44	)	$	47,773

Available-for-sale Marketable Debt Securities in a Continuous Unrealized Loss Position

The Company’s investments in marketable debt s

curities,

available-for-sale,

that have been in a continuous unrealized loss position, for which an allowance for credit losses has not been recorded, by type of security consisted of the following (in thousands):


	September 30, 2021
	Less than 12 months					12 months or greater					Total
	Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses
U.S. treasuries	$	44,428	$	(26	)	$	—	$	—		$	44,428	$	(26	)
U.S. government sponsored entities		123		(2	)		—		—			123		(2	)
Corporate debt		12,501		(33	)		—		—			12,501		(33	)
ABS and other		1,129		(4	)		221		(1	)		1,350		(5	)

	$	58,181	$	(65	)	$	221	$	(1	)	$	58,402	$	(66	)


	December 31, 2020
	Less than 12 months					12 months or greater					Total
	Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses			Fair Value		Gross Unrealized Losses

U.S. treasuries	$	41,702	$	(5	)	$	—	$	—		$	41,702	$	(5	)
Corporate debt		29,810		(34	)		—		—			29,810		(34	)
ABS and other		546		(6	)		157		(5	)		703		(11	)

	$	72,058	$	(45	)	$	157	$	(5	)	$	72,215	$	(50	)

Gross Realized Gains and Losses from Sale of Available for Sale Marketable Debt Securities

Gross realized gains and losses from the sales of the Company’s marketable debt securities,

available-for-sale,

consisted of the following (in thousands):


	Three Months Ended September 30,					Nine Months Ended September 30,
	2021		2020			2021		2020

Gross realized gains (1)	$	68	$	97		$	78	$	229

Gross realized losses (1)	$	—	$	(34	)	$	—	$	(49	)

(1)	Recorded in other income (expense), net in the condensed consolidated statements of net and comprehensive income. The cost basis of securities sold were determined based on the specific identification method.

Amortized Cost and Fair Value of Marketable Debt Securities, Available-for-Sale, by Contractual Maturity

Amortized cost and fair value of marketable debt securities,

available-for-sale,

by contractual maturity consisted of the following (in thousands, except weighted average data):


	September 30, 2021				December 31, 2020
	Amortized Cost		Fair Value		Amortized Cost		Fair Value

Due in one year or less	$	116,852	$	116,902	$	158,148	$	158,258
Due after one year through five years		112,288		113,167		30,604		32,041
Due after five years through ten years		11,618		12,334		10,022		11,044
Due after ten years		4,882		5,001		4,555		4,688

	$	245,640	$	247,404	$	203,329	$	206,031

Weighted average contractual maturity				1.9 years				1.6 years