v3.25.2
Investment Securities
 6 Months Ended
Jun. 30, 2025
Investments, Debt and Equity Securities [Abstract]  
Investment Securities Investment Securities
The following is a summary of the Company’s investment securities: 
(in thousands)Amortized
Cost(1)		Gross
Unrealized
Gains		Gross
Unrealized
Losses		Estimated
Fair
Value
June 30, 2025
Available-for-sale debt securities:
Residential mortgage-backed securities$3,620,954 $17,279 $(118,713)$3,519,520 
Commercial mortgage-backed securities
241,799 2,076 (621)243,254 
CRT securities11,829 — (462)11,367 
Total available-for-sale debt securities3,874,582 19,355 (119,796)3,774,141 
Held-to-maturity debt securities:
Residential mortgage-backed securities761,907 — (87,244)674,663 
Total held-to-maturity debt securities761,907 — (87,244)674,663 
Equity securities68,692 
Trading securities3,888 
Total investment securities(2)$4,608,628 
December 31, 2024
Available-for-sale debt securities:
U.S. Treasury securities$280,137 $— $(2,852)$277,285 
Residential mortgage-backed securities3,195,145 7,200 (168,302)3,034,043 
Commercial mortgage-backed securities
206,830 — (5,398)201,432 
CRT securities12,466 — (540)11,926 
Total available-for-sale debt securities3,694,578 7,200 (177,092)3,524,686 
Held-to-maturity securities:
Residential mortgage-backed securities796,168 — (117,994)678,174 
Total held-to-maturity securities796,168 — (117,994)678,174 
Equity securities75,261 
Total investment securities(2)$4,396,115 
(1)    Excludes accrued interest receivable of $15.6 million and $13.8 million at June 30, 2025 and December 31, 2024, respectively, related to available-for-sale debt securities and $1.2 million and $1.3 million at June 30, 2025 and December 31, 2024, respectively, related to held-to-maturity debt securities that is recorded in accrued interest receivable and other assets on the consolidated balance sheets.
(2)    Includes available-for-sale debt securities, equity securities and trading securities at estimated fair value and held-to-maturity debt securities at amortized cost.
Debt Securities
During the second quarter of 2025, the Company sold available-for-sale debt securities with an amortized cost basis of $287.5 million, realizing a loss of $1.9 million, and repositioned the proceeds into purchases of available-for-sale residential mortgage-backed securities. The Company did not sell any available-for-sale debt securities during the first six months of 2024.
The amortized cost and estimated fair value as of June 30, 2025, excluding accrued interest receivable, of available-for-sale and held-to-maturity debt securities are presented below by contractual maturity. Actual maturities may differ from contractual maturities of mortgage-backed securities because borrowers may have the right to call or prepay obligations with or without prepayment penalties.
Available-for-saleHeld-to-maturity
(in thousands)Amortized CostFair ValueAmortized CostFair Value
Due within one year$— $— $— $— 
Due after one year through five years— — — — 
Due after five years through ten years254,523 255,531 — — 
Due after ten years3,620,059 3,518,610 761,907 674,663 
Total$3,874,582 $3,774,141 $761,907 $674,663 
The table below presents the weighted average yields for the Company’s available-for-sale debt securities as of June 30, 2025. Weighted average yields are calculated based on amortized cost on a tax-exempt basis assuming a 21% federal tax rate, where applicable.
Residential mortgage-backed securities
Commercial mortgage-backed securities
CRT securities
Due within one year— %— %— %
Due after one year through five years— — — 
Due after five years through ten years3.90 4.81 4.44 
Due after ten years4.68 — — 
Total4.68 %4.81 %4.44 %
The following table discloses the Company’s available-for-sale debt securities that have been in a continuous unrealized loss position for less than 12 months and those that have been in a continuous unrealized loss position for 12 or more months:
Less Than 12 Months12 Months or LongerTotal
(in thousands)Fair ValueUnrealized LossFair ValueUnrealized LossFair ValueUnrealized Loss
June 30, 2025
Residential mortgage-backed securities$888,175 $(3,438)$1,258,369 $(115,275)$2,146,544 $(118,713)
Commercial mortgage-backed securities
158,266 (621)— — 158,266 (621)
CRT securities— — 11,367 (462)11,367 (462)
Total$1,046,441 $(4,059)$1,269,736 $(115,737)$2,316,177 $(119,796)
December 31, 2024
U.S. Treasury securities$— $— $277,285 $(2,852)$277,285 $(2,852)
Residential mortgage-backed securities1,338,801 (18,141)1,323,180 (150,161)2,661,981 (168,302)
Commercial mortgage-backed securities
201,432 (5,398)— — 201,432 (5,398)
CRT securities— — 11,926 (540)11,926 (540)
Total$1,540,233 $(23,539)$1,612,391 $(153,553)$3,152,624 $(177,092)
At June 30, 2025, the Company had 49 available-for-sale debt securities in an unrealized loss position, comprised of 42 residential mortgage-backed securities, five commercial mortgage-backed securities and two Credit Risk Transfer (“CRT”) securities. The unrealized losses on the available-for-sale debt securities were the result of changes in market interest rates compared to the date the securities were acquired rather than the credit quality of the issuers or underlying loans. The Company does not currently intend to sell and based on current conditions it does not believe it is likely that the Company will be required to sell these available-for-sale debt securities before recovery of the amortized cost of such securities in an unrealized loss position and has therefore recorded the unrealized losses related to this portfolio in accumulated other comprehensive income/loss, net (“AOCI”). Held-to-maturity securities consist of government guaranteed securities for which no loss is expected. At June 30, 2025 and December 31, 2024, no allowance for credit losses was established for available-for-sale or held-to-maturity debt securities.
At June 30, 2025 and December 31, 2024, debt securities with carrying values of approximately $962,000 and $940,000, respectively, were pledged to secure certain customer deposits.
Equity Securities
Equity securities consist of investments that qualify for consideration under the regulations implementing the Community Reinvestment Act and investments in exchange traded funds. The following is a summary of unrealized and realized gains/(losses) recognized on equity securities included in other non-interest income on the consolidated statements of income and other comprehensive income:
Three Months Ended June 30,Six Months Ended June 30,
(in thousands)2025202420252024
Net gains/(losses) recognized during the period$1,604 $(59)$(104)$3,975 
Less: Realized net gains/(losses) recognized on securities sold703 59 1,031 371 
Unrealized net gains/(losses) recognized on securities still held$901 $(118)$(1,135)$3,604