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INVESTMENTS
 12 Months Ended
Dec. 31, 2024
Investments, Debt and Equity Securities [Abstract]  
INVESTMENTS
NOTE 4—INVESTMENTS:

Investments consisted of the following at:
December 31, 2024December 31, 2023
CostFair ValueCostFair Value
Joint ventures and other non-control investments, at fair value
$44,039 $57,678 $38,660 $41,587 
Debt securities available-for-sale, at fair value
23,934 23,916 32,372 32,171 
Federal Home Loan Bank and Federal Reserve Bank stock
3,585 3,585 3,635 3,635 
Total investments$71,558 $85,179 $74,667 $77,393 
The Company’s Investments in Joint Ventures (JV) and Other Non-Control Investments

NCL JV: On May 20, 2019, the Company and its joint venture partner launched NCL JV to provide ALP loans (formerly referred to as non-conforming conventional commercial and industrial term loans) to U.S. middle-market companies and small businesses. NCL JV is a 50/50 joint venture between NCL a wholly-owned subsidiary of the Company, and Conventional Lending TCP Holding, LLC, a wholly-owned, indirect subsidiary of BlackRock TCP Capital Corp. (Nasdaq: TCPC). NCL JV ceased funding new ALP loans during 2020. On January 28, 2022, NCL JV closed a securitization with the sale of $56.3 million of Class A Notes, NCL Business Loan Trust 2022-1, Business Loan-Backed Notes, Series 2022-1, secured by a segregated asset pool consisting primarily of NCL JV’s portfolio of ALP loans secured by liens on commercial or residential mortgaged properties, originated by NCL JV and NBL. The Notes were rated “A” (sf) by DBRS Morningstar. The Notes were priced at a yield of 3.209%. The proceeds of the securitization were used, in part, to repay NCL JV’s credit facility and return capital to the NCL JV partners.

The following tables show certain summarized financial information for NCL JV:

Selected Statements of Assets and Liabilities Information (Unaudited)
December 31, 2024December 31, 2023
Cash$587 $612 
Restricted cash5,513 3,298 
Loans, at FV (amortized cost of $52,751 and $68,404, respectively)
53,895 70,083 
Other assets1,737 1,614 
Total assets$61,732 $75,607 
Securitization notes payable$25,322 $38,805 
Other liabilities867 905 
Total liabilities26,189 39,710 
Net assets35,543 35,897 
Total liabilities and net assets$61,732 $75,607 

Selected Statements of Operations Information (Unaudited)
Year Ended December 31,
202420232022
Interest and other income$4,984 $6,160 $6,966 
Total expenses1,797 2,524 2,916 
Net investment income3,187 3,636 4,050 
Unrealized (depreciation) appreciation on investments(536)1,869 (4,494)
Net increase in net assets resulting from operations$2,651 $5,505 $(444)
TSO JV: On August 5, 2022, NCL and TSO II Booster Aggregator, L.P. (“TSO II”) entered into a joint venture, TSO JV, governed by the Amended and Restated Limited Partnership Agreement for the TSO JV. TSO JV began making investments in ALP loans during the fourth quarter of 2022. NCL and TSO II each committed to contribute an equal share of equity funding to the TSO JV and each have equal voting rights on all material matters. On July 23, 2024, TSO JV closed a securitization backed by ALP loans, selling $137.2 million of Class A Notes and $17.2 million of Class B Notes (collectively, the “TSO Notes”) issued by NALP Business Loan Trust 2024-1. The TSO Notes were backed by $190.5 million of collateral, consisting of Company originated ALP loans . The Class A and Class B Notes received Morningstar DBRS ratings of “A (sf)” and “BBB (high) (sf),” respectively. TSO JV ceased investing in new ALP loans in July 2023.
The following tables show certain summarized financial information for TSO JV:

Selected Statements of Assets and Liabilities Information (Unaudited)
December 31, 2024December 31, 2023
Cash$1,780 $4,401 
Restricted cash18,399 1,183 
Loans, at FV (amortized cost of $173,654 and $62,695, respectively)
183,084 66,689 
Other assets5,112 1,374 
Total assets$208,375 $73,647 
Bank notes payable$— $29,636 
Securitization notes payable140,224 — 
Other liabilities427 1,092 
Total liabilities140,651 30,728 
Net assets67,724 42,919 
Total net assets$208,375 $73,647 

Selected Statements of Operations Information (Unaudited)
Year Ended December 31,
202420232022
Interest and other income$17,964 $3,823 $101 
Total expenses9,813 4,430 385 
Net investment income8,151 (607)(284)
Unrealized appreciation (depreciation) on investments5,438 2,580 1,412 
Realized loss on investments— (16)— 
Realized gain (loss) on derivative transactions(391)399 — 
Unrealized (loss) gain on derivative transactions694 (911)218 
Net increase in net assets resulting from operations$13,892 $1,445 $1,346 
Transactions with Affiliated Companies

An affiliated company is an unconsolidated entity in which the Company has an ownership of 5% or more of its voting securities. Transactions related to our joint ventures and other non-controlled investments for the years ended December 31, 2024 and 2023 were as follows:
CompanyFair Value at December 31, 2023Purchases (Cost)Return of Investment
Net Gains/(Losses)
Fair Value at December 31, 2024Dividend Income
Joint Ventures
Newtek Conventional Lending, LLC$19,400 $— $— $(600)$18,800 $1,503 
Newtek TSO II Conventional Credit Partners, LP21,459 25,642 (20,185)11,184 38,100 — 
Total Joint Ventures$40,859 $25,642 $(20,185)$10,584 $56,900 $1,503 
Other Non-Control Investments
EMCAP Loan Holdings, LLC$368 $— $(116)$68 $320 $16 
Biller Genie Software, LLC360 38 — 60 458 — 
Total Other Non-Control Investments$728 $38 $(116)$128 $778 $16 
Total Joint Ventures and Other Non-Control Investments$41,587 $25,680 $(20,301)$10,712 $57,678 $1,519 
CompanyFair Value at December 31, 2022Purchases (Cost)Return of Investment
Net Gains/(Losses)
Fair Value at December 31, 2023Dividend Income
Joint Ventures
Newtek Conventional Lending, LLC$16,587 $248 $— $2,565 $19,400 $1,641 
Newtek TSO II Conventional Credit Partners, LP6,435 14,302 — 722 21,459 — 
Total Joint Ventures$23,022 $14,550 $— $3,287 $40,859 $1,641 
Other Non-Control Investments
EMCAP Loan Holdings, LLC$1,000 $— $(564)$(68)$368 $116 
Biller Genie Software, LLC360 — — — 360 — 
Total Other Non-Control Investments$1,360 $— $(564)$(68)$728 $116 
Total Joint Ventures and Other Non-Control Investments$24,382 $14,550 $(564)$3,219 $41,587 $1,757 
Debt Securities Available-for-Sale

The following tables summarize the amortized cost and fair value of debt securities available-for-sale by major type as of December 31, 2024 and 2023:

December 31, 2024December 31, 2023
Amortized CostUnrealized GainsUnrealized LossesFair ValueAmortized CostUnrealized GainsUnrealized LossesFair Value
U.S. Treasury notes$23,934 $11 $29 $23,916 $29,372 $— $67 $29,305 
Government agency debentures— —03,000 —1342,866 
Total$23,934 $11 $29 $23,916 $32,372 $— $201 $32,171 

As of December 31, 2024 and December 31, 2023, there was $30.4 thousand and $0.2 million of accrued interest receivable on available-for-sale securities, respectively, included in Other assets in the accompanying Consolidated Statements of Financial Condition.
During the years ended December 31, 2024 and 2023, securities sold or settled were as follows:

Year Ended December 31,
20242023
#
$
#
$
Securities sold or settled
5$42,500—$—
Unrealized Losses

The following tables summarize the gross unrealized losses and fair value of debt securities available-for-sale by length of time each major security type has been in a continuous unrealized loss position:

December 31, 2024
Less Than 12 Months12 Months or MoreTotal
Fair ValueUnrealized LossesFair ValueUnrealized LossesNumber of Holdings Fair ValueUnrealized Losses
U.S. Treasury notes$12,061 $27 $— $— 2 $12,061 $27 
Government agency debentures— — — — — — — 
Total$12,061 $27 $— $— $2 $12,061 $27 
December 31, 2023
Less Than 12 Months12 Months or MoreTotal
Fair ValueUnrealized LossesFair ValueUnrealized LossesNumber of Holdings Fair ValueUnrealized Losses
U.S. Treasury notes$29,304 $67 $— $— 1 $29,304 $67 
Government agency debentures2,867 134 — — 2 2,867 134 
Total$32,171 $201 $— $— 3 $32,171 $201 

Management evaluates debt securities available-for-sale debt to determine whether the unrealized loss is due to credit-related factors or non-credit-related factors. The evaluation considers the extent to which the security’s fair value is less than cost, the financial condition and near-term prospects of the issuer, and intent and ability of the Company to retain its investment in the security for a period of time sufficient to allow for any anticipated recovery in fair value. These unrealized losses are primarily the result of non-credit-related volatility in the market and market interest rates. Since none of the unrealized losses relate to marketability of the securities or the issuers' ability to honor redemption obligations and the Company has the intent and ability to hold the securities for a sufficient period of time to recover unrealized losses, none of the losses have been recognized in the Company’s Consolidated Statements of Income.
Contractual Maturities

The following table summarizes the amortized cost and fair value of debt securities available-for-sale by contractual maturity:

December 31, 2024At December 31, 2023
Amortized CostFair ValueAmortized CostFair Value
Maturing within 1 year$15,833 $15,838 $32,372 $32,171 
After 1 year through 5 years8,101 8,078 — — 
Total$23,934 $23,916 $32,372 $32,171 
Other information

The following table summarizes Newtek Bank’s debt securities available-for-sale pledged for deposits, borrowings, and other purposes:

December 31, 2024December 31, 2023
Pledged for deposits$— $— 
Pledged for borrowings and other23,916 30,730 
Total pledged$23,916 $30,730