v3.26.1
AFS and HTM Debt Securities
 6 Months Ended
Jun. 30, 2026
AFS And HTM Debt Securities [Abstract]  
Available-for-Sale and Held-to-Maturity Debt Securities
Note 2: Available-for-Sale and Held-to-Maturity Debt Securities
Table 2.1 provides the amortized cost, net of the allowance for credit losses (ACL) for debt securities, and fair value by major categories of available-for-sale (AFS) debt securities, which are carried at fair value, and held-to-maturity (HTM) debt securities, which are carried at amortized cost, net of the ACL. The net unrealized gains (losses) for AFS debt securities are reported as a component of accumulated other comprehensive income (AOCI), net of the ACL and applicable income taxes. Information on debt securities held for trading is included in Note 17 (Revenue and Expenses). For both AFS and HTM debt securities, amortized cost is the unpaid principal amount, net of unamortized basis
adjustments. Basis adjustments may include purchase premiums or discounts, fair value hedge accounting basis adjustments, fair value write-downs related to recognition of intent to sell, impairment losses, and charge-offs or recoveries of amounts deemed uncollectible.

Outstanding balances exclude accrued interest receivable on AFS and HTM debt securities, which is included in other assets. See Note 5 (Goodwill and Other Assets) for additional information on accrued interest receivable. Amounts considered to be uncollectible are reversed through interest income.
Table 2.1: Available-for-Sale and Held-to-Maturity Debt Securities Outstanding
(in millions)Amortized
cost, net (1)
Gross
unrealized gains
Gross
unrealized losses		Net unrealized gains (losses)Fair value
June 30, 2026
Available-for-sale debt securities:
Securities of U.S. Treasury and federal agencies$81,100 251 (229)22 81,122 
Securities of U.S. states and political subdivisions (2)10,741 41 (307)(266)10,475 
Federal agency mortgage-backed securities149,841 716 (3,985)(3,269)146,572 
Non-agency mortgage-backed securities (3)1,807 5 (10)(5)1,802 
Collateralized loan obligations9,793 14 (1)13 9,806 
Other debt securities492 60 (3)57 549 
Total available-for-sale debt securities, excluding portfolio level basis adjustments253,774 1,087 (4,535)(3,448)250,326 
Portfolio level basis adjustments (4)(181)181 — 
Total available-for-sale debt securities253,593 1,087 (4,535)(3,267)250,326 
Held-to-maturity debt securities:
Securities of U.S. Treasury and federal agencies3,800 — (1,757)(1,757)2,043 
Securities of U.S. states and political subdivisions17,249 2 (2,938)(2,936)14,313 
Federal agency mortgage-backed securities171,852 14 (27,757)(27,743)144,109 
Non-agency mortgage-backed securities (3)1,540 78 (42)36 1,576 
Collateralized loan obligations2,414 6 — 6 2,420 
Other debt securities1,718 — (14)(14)1,704 
Total held-to-maturity debt securities198,573 100 (32,508)(32,408)166,165 
Total$452,166 1,187 (37,043)(35,675)416,491 
December 31, 2025
Available-for-sale debt securities:
Securities of U.S. Treasury and federal agencies$51,738 308 (237)71 51,809 
Securities of U.S. states and political subdivisions (2)10,706 34 (343)(309)10,397 
Federal agency mortgage-backed securities142,022 1,447 (3,389)(1,942)140,080 
Non-agency mortgage-backed securities (3)2,141 3 (18)(15)2,126 
Collateralized loan obligations7,895 11 (2)9 7,904 
Other debt securities1,198 61 (2)59 1,257 
Total available-for-sale debt securities, excluding portfolio level basis adjustments
215,700 1,864 (3,991)(2,127)213,573 
Portfolio level basis adjustments (4)75 (75)— 
Total available-for-sale debt securities215,775 1,864 (3,991)(2,202)213,573 
Held-to-maturity debt securities:
Securities of U.S. Treasury and federal agencies3,797 — (1,747)(1,747)2,050 
Securities of U.S. states and political subdivisions17,476 2 (3,270)(3,268)14,208 
Federal agency mortgage-backed securities178,882 79 (27,353)(27,274)151,608 
Non-agency mortgage-backed securities (3)1,497 82 (39)43 1,540 
Collateralized loan obligations4,655 19 — 19 4,674 
Other debt securities1,716 7 (6)1 1,717 
Total held-to-maturity debt securities208,023 189 (32,415)(32,226)175,797 
Total$423,798 2,053 (36,406)(34,428)389,370 
(1)Represents amortized cost of the securities, net of the ACL of $0 million and $23 million related to AFS debt securities at June 30, 2026, and December 31, 2025, respectively, and $94 million and $95 million related to HTM debt securities at June 30, 2026, and December 31, 2025, respectively.
(2)Includes investments in tax-exempt preferred debt securities issued by investment funds or trusts that predominantly invest in tax-exempt municipal securities. The amortized cost, net of the ACL, and fair value of these types of securities, was $2.3 billion and $2.5 billion at June 30, 2026, and December 31, 2025, respectively.
(3)Predominantly consists of commercial mortgage-backed securities at both June 30, 2026, and December 31, 2025.
(4)Represents fair value hedge basis adjustments related to active portfolio layer method hedges of AFS debt securities, which are not allocated to individual securities in the portfolio. For additional information, see Note 10 (Derivatives).
Table 2.2 details the breakout of purchases of HTM debt securities by major category of security. There were no transfers to HTM debt securities during the periods presented below.

Table 2.2: Held-to-Maturity Debt Securities Purchases

Quarter ended June 30,Six months ended June 30,
(in millions)2026202520262025
Purchases of held-to-maturity debt securities (1):
Non-agency mortgage-backed securities$68 20 $103 106 
Total purchases of held-to-maturity debt securities
$68 20 $103 106 
(1)Inclusive of non-cash purchases from securitization of loans held for sale (LHFS).
Table 2.3 shows the composition of interest income, provision for credit losses, and gross realized gains and losses
from sales and impairment write-downs, if any, included in earnings related to AFS and HTM debt securities (pre-tax).

Table 2.3: Income Statement Impacts for Available-for-Sale and Held-to-Maturity Debt Securities

Quarter ended June 30,Six months ended June 30,
(in millions)2026202520262025
Interest income:
Available-for-sale
$2,589 2,146 $4,974 4,088 
Held-to-maturity
1,119 1,309 2,278 2,688 
Total interest income 3,708 3,455 7,252 6,776 
Provision for credit losses:
Available-for-sale
3 (4)3 (5)
Held-to-maturity
— 2 (4)10 
Total provision for credit losses3 (2)(1)5 
Realized gains and losses (1):
Gross realized gains28 13 96 15 
Gross realized losses(27)(13)(95)(129)
Impairment write-downs— — — (33)
Net realized gains (losses)$1 — $1 (147)
(1)Realized gains and losses relate to AFS debt securities. There were no realized gains or losses from HTM debt securities in all periods presented.
Credit Quality
We monitor credit quality of debt securities by evaluating various attributes and utilize such information in our evaluation of the appropriateness of the ACL for debt securities. The credit quality indicators that we most closely monitor include credit ratings and delinquency status and are based on information as of our financial statement date.

CREDIT RATINGS. Credit ratings express opinions about the credit quality of a debt security. We determine the credit rating of a security according to the lowest credit rating made available by national recognized statistical rating organizations (NRSROs). Debt securities rated investment grade (those with ratings similar to BBB-/Baa3 or above) as defined by NRSROs, are generally considered by the rating agencies and market
participants to be low credit risk. Conversely, debt securities rated below investment grade, labeled as “speculative grade” by the rating agencies, are considered to be distinctively higher credit risk than investment grade debt securities. For debt securities not rated by NRSROs, we determine an internal credit grade of the debt securities (used for credit risk management purposes) equivalent to the credit ratings assigned by major credit agencies. Substantially all of our debt securities were rated by NRSROs at June 30, 2026, and December 31, 2025.

Table 2.4 shows the percentage of fair value of AFS debt securities and amortized cost of HTM debt securities determined to be rated investment grade, inclusive of securities rated based on internal credit grades.
Table 2.4: Investment Grade Debt Securities

Available-for-SaleHeld-to-Maturity
($ in millions)Fair value % investment gradeAmortized cost% investment grade
June 30, 2026
Total portfolio (1)$250,326 99%$198,667 99%
Breakdown by category:
Securities of U.S. Treasury and federal agencies (2)$227,694 100%$175,652 100%
Securities of U.S. states and political subdivisions10,475 99 17,260 100 
Collateralized loan obligations (3)9,806 100 2,417 100 
All other debt securities (4)2,351 90 3,338 60 
December 31, 2025
Total portfolio (1)$213,573 99%$208,118 99%
Breakdown by category:
Securities of U.S. Treasury and federal agencies (2)$191,889 100%$182,679 100%
Securities of U.S. states and political subdivisions10,397 99 17,487 100 
Collateralized loan obligations (3)7,904 100 4,660 100 
All other debt securities (4)3,383 91 3,292 59 
(1)99% were rated AA- and above at both June 30, 2026, and December 31, 2025.
(2)Includes federal agency mortgage-backed securities.
(3)100% were rated AA- and above at both June 30, 2026, and December 31, 2025.
(4)Includes non-U.S. government, non-agency mortgage-backed, and all other debt securities.
DELINQUENCY STATUS AND NONACCRUAL DEBT SECURITIES. Debt security issuers that are delinquent in payment of amounts due under contractual debt agreements have a higher probability of recognition of credit losses. As part of our monitoring of the credit quality of the debt security portfolio, we consider whether debt securities we own are past due in payment of principal or interest payments and whether any securities have been placed into nonaccrual status.

Debt securities that are past due and still accruing or in nonaccrual status were insignificant at both June 30, 2026, and December 31, 2025. Net charge-offs on debt securities were insignificant in the second quarter and first half of both 2026 and 2025.
Unrealized Losses of Available-for-Sale Debt Securities
Table 2.5 shows the gross unrealized losses and fair value of AFS debt securities by length of time those individual securities in each category have been in a continuous loss position. Debt securities on which we have recognized credit impairment are
categorized as being “less than 12 months” or “12 months or more” in a continuous loss position based on the point in time that the fair value declined to below the amortized cost basis, net of the allowance for credit losses.
Table 2.5: Gross Unrealized Losses and Fair Value – Available-for-Sale Debt Securities

Less than 12 months 12 months or more Total 
(in millions)
Gross unrealized losses (1)
Fair value Gross unrealized losses (1)Fair value 
Gross unrealized losses (1)
Fair value 
June 30, 2026
Available-for-sale debt securities:
Securities of U.S. Treasury and federal agencies
$(29)22,926 (200)5,340 (229)28,266 
Securities of U.S. states and political subdivisions
(6)913 (301)4,587 (307)5,500 
Federal agency mortgage-backed securities(1,301)57,913 (2,684)24,857 (3,985)82,770 
Non-agency mortgage-backed securities— — (10)248 (10)248 
Collateralized loan obligations
(1)1,517 — — (1)1,517 
Other debt securities— — (3)17 (3)17 
Total available-for-sale debt securities$(1,337)83,269 (3,198)35,049 (4,535)118,318 
December 31, 2025
Available-for-sale debt securities:
Securities of U.S. Treasury and federal agencies
$— — (237)6,119 (237)6,119 
Securities of U.S. states and political subdivisions
(5)222 (338)5,701 (343)5,923 
Federal agency mortgage-backed securities(988)11,307 (2,401)37,377 (3,389)48,684 
Non-agency mortgage-backed securities— — (18)744 (18)744 
Collateralized loan obligations
(2)1,776 — — (2)1,776 
Other debt securities— — (2)71 (2)71 
Total available-for-sale debt securities$(995)13,305 (2,996)50,012 (3,991)63,317 
(1)Gross unrealized losses exclude portfolio level basis adjustments.
We have assessed each debt security with gross unrealized losses included in the previous table for credit impairment. As part of that assessment we evaluated and concluded that we do not intend to sell any of the debt securities, and that it is more likely than not that we will not be required to sell, prior to recovery of the amortized cost basis. We evaluate, where necessary, whether credit impairment exists by comparing the present value of the expected cash flows to the debt securities’ amortized cost basis. Credit impairment is recognized as an ACL for debt securities.

For descriptions of the factors we consider when analyzing debt securities for impairment as well as methodology and significant inputs used to measure credit losses, see Note 1 (Summary of Significant Accounting Policies) in our 2025 Form 10-K.
Contractual Maturities
Table 2.6 and Table 2.7 show the remaining contractual maturities of AFS and HTM debt securities, respectively.
Table 2.6: Contractual Maturities – Available-for-Sale Debt Securities
By remaining contractual maturity ($ in millions)
TotalWithin
one year		After
one year
through
five years		After
five years
through
ten years		After
ten years
June 30, 2026
Available-for-sale debt securities:
Securities of U.S. Treasury and federal agencies
Amortized cost, net$81,100 2,489 18,120 59,700 791 
Fair value81,122 2,487 17,961 59,930 744 
Weighted average yield3.95%3.63 3.37 4.13 4.53 
Securities of U.S. states and political subdivisions
Amortized cost, net$10,741 969 3,561 2,459 3,752 
Fair value10,475 966 3,449 2,409 3,651 
Weighted average yield3.29%2.62 2.94 3.43 3.70 
Federal agency mortgage-backed securities
Amortized cost, net$149,841 1 749 5,415 143,676 
Fair value146,572 1 742 5,449 140,380 
Weighted average yield4.49%2.05 3.70 4.51 4.50 
Non-agency mortgage-backed securities
Amortized cost, net$1,807 — — — 1,807 
Fair value1,802 — — — 1,802 
Weighted average yield4.48%— — — 4.48 
Collateralized loan obligations
Amortized cost, net$9,793 — — 414 9,379 
Fair value9,806 — — 414 9,392 
Weighted average yield4.97%— — 5.09 4.96 
Other debt securities
Amortized cost, net$492 32 226 211 23 
Fair value549 35 238 248 28 
Weighted average yield5.06%6.45 6.24 4.08 0.57 
Total available-for-sale debt securities
Amortized cost, net (1)
$253,774 3,491 22,656 68,199 159,428 
Fair value250,326 3,489 22,390 68,450 155,997 
Weighted average yield (2)
4.29%3.37 3.34 4.14 4.50 
(1)Amortized cost, net excludes portfolio level basis adjustments of $(181) million.
(2)Weighted average yields are calculated using the effective yield method and are weighted based on amortized cost, net of ACL. The effective yield method is calculated using the contractual coupon and the impact of any premiums and discounts and is shown pre-tax. We have not included the effect of any related hedging derivatives. The effective yield for mortgage-backed securities excludes unscheduled principal payments, and remaining expected maturities will differ from contractual maturities because borrowers may have the right to prepay obligations before the underlying mortgages mature.
Table 2.7: Contractual Maturities – Held-to-Maturity Debt Securities
By remaining contractual maturity ($ in millions)
TotalWithin
one year		After
one year
through
five years		After
five years
through
ten years		After
ten years
June 30, 2026
Held-to-maturity debt securities: 
Securities of U.S. Treasury and federal agencies
Amortized cost, net$3,800 — — — 3,800 
Fair value2,043 — — — 2,043 
Weighted average yield
1.60%— — — 1.60 
Securities of U.S. states and political subdivisions
Amortized cost, net$17,249 87 460 404 16,298 
Fair value14,313 86 454 392 13,381 
Weighted average yield
2.52%1.27 2.30 2.74 2.53 
Federal agency mortgage-backed securities
Amortized cost, net$171,852 — — — 171,852 
Fair value144,109 — — — 144,109 
Weighted average yield
2.34%— — — 2.34 
Non-agency mortgage-backed securities
Amortized cost, net$1,540 9 11 27 1,493 
Fair value1,576 11 17 32 1,516 
Weighted average yield
3.88%2.47 6.24 3.07 3.88 
Collateralized loan obligations
Amortized cost, net$2,414 — 107 2,307 — 
Fair value2,420 — 108 2,312 — 
Weighted average yield
5.35%— 5.96 5.32 — 
Other debt securities
Amortized cost, net$1,718 — 1,718 — — 
Fair value1,704 — 1,704 — — 
Weighted average yield5.27%— 5.27 — — 
Total held-to-maturity debt securities
Amortized cost, net$198,573 96 2,296 2,738 193,443 
Fair value166,165 97 2,283 2,736 161,049 
Weighted average yield (1)
2.42%1.39 4.72 4.91 2.36 
(1)Weighted average yields are calculated using the effective yield method and are weighted based on amortized cost, net of ACL. The effective yield method is calculated using the contractual coupon and the impact of any premiums and discounts and is shown pre-tax. We have not included the effect of any related hedging derivatives. The effective yield for mortgage-backed securities excludes unscheduled principal payments, and remaining expected maturities will differ from contractual maturities because borrowers may have the right to prepay obligations before the underlying mortgages mature.