Silvercrest Asset Management Group LLC Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Investments and Fair Value Measurements (Tables)

Investments and Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2021

Schedule of Changes in Fair Value of Estimated Contingent Consideration

The following table represents changes in the fair value of estimated contingent consideration for the year ended December 31, 2020 and the three and six months ended June 30, 2021:

Balance at January 1, 2020	$	15,921
Additions to estimated contingent consideration		—
Payments of contingent consideration		(741	)
Non-cash changes in fair value of estimated contingent consideration		1,222
Balance at December 31, 2020		16,402
Additions to estimated contingent consideration		—
Payments of contingent consideration		(114	)
Non-cash changes in fair value of estimated contingent consideration		2,300
Balance at March 31, 2021		18,588
Additions to estimated contingent consideration		—
Payments of contingent consideration		(260	)
Non-cash changes in fair value of estimated contingent consideration		1,600
Balance at June 30, 2021	$	19,928

Schedule of Inputs Used in Fair Value Measurement of Estimated Contingent Consideration

Inputs used in the fair value measurement of estimated contingent consideration at June 30, 2021 and December 31, 2020 are summarized below:

Monte Carlo Simulation Model	June 30, 2021			December 31, 2020			Fair Value Hierarchy
Fair Value	$	19,928		$	16,402			Level 3
Forecasted growth rate		17.4	%		16.4	%
Discount rate		11.1	%		11.7	%

Category of Financial Instruments Not Held at Fair Value

At June 30, 2021 and December 31, 2020, financial instruments that are not held at fair value are categorized in the table below:

	June 30, 2021				December 31, 2020
	Carrying Amount		Fair Value		Carrying Amount		Fair Value		Fair Value Hierarchy
Financial Assets:
Cash and cash equivalents	$	53,631	$	53,631	$	62,498	$	62,498		Level 1	(1)
Investments	$	53	$	53	$	914	$	914		N/A	(2)

Financial liabilities:
Borrowings under credit facility	$	10,800	$	10,800	$	12,600	$	12,600		Level 2	(3)

(1)	Includes $1,398 and $1,398 of cash equivalents at June 30, 2021 and December 31, 2020, respectively, that fall under Level 1 in the fair value hierarchy.

(2)

Investments consist of the Company’s equity method investments in affiliated investment funds which have been established and managed by the Company and its affiliates. Fair value of investments is based on the net asset value of the affiliated investment funds which is a practical expedient for fair value, which is not included in the fair value hierarchy under GAAP.

(3)	The carrying value of borrowings under the revolving credit agreement approximates fair value, which is determined based on interest rates currently available to the Company for similar debt and the weighted average cost of capital of the Company.