Quarterly report pursuant to Section 13 or 15(d)

Fair Value Measurements

v3.22.1
Fair Value Measurements
3 Months Ended
Mar. 31, 2022
Fair Value Disclosures [Abstract]  
Fair Value Measurements Fair Value Measurements
The Company's financial instruments consist primarily of cash and cash equivalents, investments, accounts receivable, accounts payable and accrued liabilities. The carrying value of accounts receivable, accounts payable and accrued liabilities approximate their fair value because of their short-term nature. Estimated fair values of held to maturity and available-for-sale debt securities are generally based on prices obtained from commercial pricing services.
In connection with measuring the fair value of its assets and liabilities, the Company seeks to maximize the use of observable inputs (market data obtained from sources independent from the Company) and to minimize the use of unobservable inputs (the Company’s assumptions about how market participants would price assets and liabilities). As a basis for considering such assumptions, a three-tier fair value hierarchy has been established, which prioritizes the inputs used in measuring fair value as follows:
Level 1 - Observable inputs such as quoted prices (unadjusted) in active markets for identical assets or liabilities.
Level 2 - Inputs other than quoted prices that are observable for the asset or liability, either directly or indirectly. These include quoted prices for similar assets or liabilities in active markets and quoted prices for identical or similar assets or liabilities in markets that are not active.
Level 3 - Unobservable inputs that reflect the reporting entity’s own assumptions.
The Company's Level 1 instruments include deposits held with banks and short-term investments that are valued using quoted market prices. Level 2 instruments include the Company's short-term investments that are valued through third-party pricing services that use verifiable observable market data. The Company has no Level 3 instruments as of March 31, 2022 and December 31, 2021.
The following tables present the financial assets measured at fair value on a recurring basis:
March 31, 2022
(in thousands) Level 1 Level 2 Level 3 Total
Assets:
Cash and cash equivalents:
Deposits held with banks $ 113,268  $   $   $ 113,268 
Short-term highly liquid investments 19,274      19,274 
Investments 152,295  133,915  —  286,210 
Total $ 284,837  $ 133,915  $   $ 418,752 
December 31, 2021
(in thousands) Level 1 Level 2 Level 3 Total
Assets:
Cash and cash equivalents:
Deposits held with banks $ 214,702  $ —  $ —  $ 214,702 
Short-term highly liquid investments 17,198  —  —  17,198 
Investments 206,724  27,454  —  234,178 
Total $ 438,624  $ 27,454  $ —  $ 466,078 
Refer to Note 4, “Investments,” for the carrying amount and related unrealized gains (losses) by type of investment.