Company: PGYWW
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001883085-25-000169
Chunk: 22

Company: Pagaya Technologies Ltd.
Filing Date: 2025-08-07
Form: 10-Q
Item: Part I, Item 1
Chunk 22
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 flow.The following table presents activities of investments in securities for which we elected the fair value option. See Note 10 for the assumptions used in our fair value model:Three Months Ended June 30,Six Months Ended June 30,Investments in securities under the fair value option2025202420252024At the beginning of period$— $— $— $— Purchases21,026 — 21,026 — Total gains for the period included in other expenses, net11,862 — 11,862 — At the end of period$32,888 $— $32,888 $— Equity Method and Other Investments The following investments, including those accounted for under the equity method, are included within Equity method and other investments in the unaudited condensed consolidated balance sheets as of June 30, 2025 and December 31, 2024 (in thousands):  Carrying ValueJune 30, 2025December 31, 2024Investments in Pagaya SmartResi F1 Fund, LP (1)$10,249 $12,530 Other (2)9,238 9,403 Total$19,487 $21,933 (1) The Company owns approximately 5.4% and is the general partner of Pagaya Smartresi F1 Fund LP.

(2) Represents the Company’s proprietary investments. Income from these investments is included in Investment income in the unaudited condensed consolidated statements of operations. 

NOTE 6 - CONSOLIDATION AND VARIABLE INTEREST ENTITIES 

The Company has variable interests in securitization vehicles that it sponsors. The Company consolidates VIEs when it is deemed to be the primary beneficiary. In order to be primary beneficiary, the Company must have a controlling financial interest in the VIE. This is determined by evaluating if the Company has both (1) the power to direct the activities of the VIE that most significantly impact the VIE’s economic performance, and (2) the obligation to absorb losses of the VIE that could potentially be significant to the VIE or the right to receive benefits from the VIE that could potentially be significant. Consolidated VIEsAs of June 30, 2025 and December 31, 2024, the Company has determined that it is the primary beneficiary of Pagaya Structured Holdings LLC, Pagaya Structured Holdings II LLC, and Pagaya