v3.25.4
SECURITIES (Tables)
 12 Months Ended
Dec. 31, 2025
Investments, Debt and Equity Securities [Abstract]  
Schedule of Securities Which are Classified as Available-for-sale The following is a summary of the Company’s securities at December 31, 2025 and December 31, 2024 ($ in thousands):
December 31, 2025
    Gross Unrealized  Weighted Average
Asset TypeOutstanding
Face Amount		 Amortized Cost BasisGainsLosses (1)Carrying
Value		# of
Securities		Rating (2)Coupon %Yield %Remaining
Duration
(years)
CMBS$2,070,492  $2,069,307 $2,984 $(7,369)$2,064,922 (3)115 AAA5.25 %5.31 %2.97
CMBS interest-only(4)347,200 (4)1,283 — (8)1,275 (5)5 AAA1.24 %8.63 %0.52
GNMA interest-only(6)29,203 (4)95 103 (31)167 13 AAA0.69 %9.24 %3.27
Agency securities2  2 — — 2 1 AAA4.00 %3.04 %0.19
Corporate bonds9,250 9,231 17 (8)9,240 1 N/A8.50 %8.58 %2.60
Total debt securities$2,456,147 $2,079,918 $3,104 $(7,416)$2,075,606 (7)135 5.27 %5.33 %2.97
Equity securitiesN/A12,910 97 (308)12,699 6 N/AN/AN/AN/A
Allowance for current expected credit lossesN/A— — (20)(20)
Total securities$2,456,147  $2,092,828 $3,201 $(7,744)$2,088,285 141 

December 31, 2024
    Gross Unrealized  Weighted Average
Asset TypeOutstanding
Face Amount		 Amortized
Cost Basis		GainsLosses (1)Carrying
Value		# of
Securities		Rating (2)Coupon %Yield %Remaining
Duration
(years)
CMBS$1,065,985  $1,063,835 $3,335 $(8,296)$1,058,874 (3)92 AAA5.97 %6.13 %2.41
CMBS interest-only(4)769,724 (4)3,149 104 (9)3,244 (5)7 AAA0.38 %7.81 %0.87
GNMA interest-only(6)32,710 (4)160 53 (58)155 13 AAA0.33 %9.38 %3.64
Agency securities11  11 — — 11 1 AAA4.00 %2.60 %0.58
Total debt securities$1,868,430 $1,067,155 $3,492 $(8,363)$1,062,284 (7)113 3.56 %6.03 %2.37
Equity securitiesN/A19,511 3 (939)18,575 8 N/AN/AN/AN/A
Allowance for current expected credit lossesN/A— — (20)(20)
Total securities$1,868,430  $1,086,666  $3,495  $(9,322) $1,080,839 121   
(1)Based on the Company’s analysis, including review of interest rate changes and current levels of subordination, among other factors, the unrealized loss positions are determined to be due to market factors other than credit.
(2)Represents the weighted average of the ratings of all securities in each asset type, expressed as an S&P equivalent rating. For each security rated by multiple rating agencies, the highest rating is used. The ratings provided were determined by third-party rating agencies. The rates may not be current and are subject to change (including the assignment of a “negative outlook” or “credit watch”) at any time.
(3)As of December 31, 2025 and December 31, 2024, includes $8.7 million and $8.9 million, respectively, of restricted securities which are designated as risk retention securities under the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010, as amended (“Dodd-Frank Act”) and are therefore subject to transfer restrictions over the term of the securitization trust and are classified as held-to-maturity and reported at amortized cost.
(4)The amounts presented represent the principal amount of the mortgage loans outstanding in the pool in which the interest-only securities participate.
(5)As of December 31, 2025 and December 31, 2024, includes $0.1 million and $0.2 million, respectively, of restricted securities which are designated as risk retention securities under the Dodd-Frank Act and are therefore subject to transfer restrictions over the term of the securitization trust and are classified as held-to-maturity and reported at amortized cost.
(6)GNMA interest-only securities are recorded at fair value with changes in fair value recorded in current period earnings. The Company’s GNMA interest-only securities are considered to be hybrid financial instruments that contain embedded
derivatives. As a result, the Company has elected to account for them as hybrid instruments in their entirety at fair value with changes in fair value recognized in unrealized gain (loss) on securities in the consolidated statements of income.
(7)The Company’s investments in debt securities represent an ownership interest in unconsolidated VIEs. The Company’s maximum exposure to loss from these unconsolidated VIEs is the amortized cost basis of the securities which represents the purchase price of the investment adjusted by any unamortized premiums or discounts as of the reporting date.
The following summarizes the Company’s realized and unrealized gain (loss) on securities, included within “Fee and Other Income” on the Company’s consolidated statements of income for the years ended December 31, 2025, 2024 and 2023 ($ in thousands):
Year Ended December 31,
 202520242023
Realized gain (loss) on securities$3,812 $172 (276)
Unrealized gain (loss) on securities749 (925)$29 
Total realized and unrealized gain (loss) on securities$4,561 $(753)$(247)
Schedule of Fair Value of the Company's Securities by Remaining Maturity Based Upon Expected Cash Flows
The following tables summarize the carrying value of the Company’s debt securities by remaining maturity based upon expected cash flows at December 31, 2025 and December 31, 2024 ($ in thousands):
 
December 31, 2025
Asset TypeWithin 1 year1-5 years5-10 yearsTotal
CMBS$269,437 $1,795,485 $— $2,064,922 
CMBS interest-only1,275 — — 1,275 
GNMA interest-only23 144 — 167 
Agency securities2 — — 2 
Corporate bonds— 9,240 — 9,240 
Total securities (1)$270,737 $1,804,869 $— $2,075,606 
(1)Excluded from the table above are $12.7 million of equity securities and $(20.0) thousand of allowance for current expected credit losses.
 
December 31, 2024
Asset TypeWithin 1 year1-5 years5-10 yearsTotal
CMBS$170,874 $888,000 $— $1,058,874 
CMBS interest-only2,937 307 — 3,244 
GNMA interest-only53 13 89 155 
Agency securities11 — — 11 
Total securities (1)$173,875 $888,320 $89 $1,062,284 
(1)Excluded from the table above are $18.6 million of equity securities and $(20.0) thousand of allowance for current expected credit losses.