Available-for-Sale Securities, at Fair Value (Tables)
|
6 Months Ended |
Jun. 30, 2026 |
|---|
| Debt Securities, Available-for-Sale [Abstract] |
|
| Schedule of Debt Securities, Available-for-Sale |
The following table presents the Company’s AFS investment securities by collateral type as of June 30, 2026 and December 31, 2025: | | | | | | | | | | | | | (in thousands) | June 30,
2026 | | December 31,
2025 | | Agency: | | | | | Federal National Mortgage Association | $ | 2,659,350 | | | $ | 3,972,844 | | | Federal Home Loan Mortgage Corporation | 2,421,783 | | | 2,362,636 | | | Government National Mortgage Association | 7,204 | | | 175,732 | | | | | | | Non-Agency | 2,982 | | | 3,259 | | | Total available-for-sale securities | $ | 5,091,319 | | | $ | 6,514,471 | |
|
| Schedule of Available-for-Sale Securities Reconciliation |
The following tables present the amortized cost and carrying value of AFS securities by collateral type as of June 30, 2026 and December 31, 2025: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | June 30, 2026 | | (in thousands) | Principal/ Current Face | | Un-amortized Premium | | Accretable Purchase Discount | | | | Amortized Cost | | Allowance for Credit Losses | | Unrealized Gain | | Unrealized Loss | | Carrying Value | Agency: | | | | | | | | | | | | | | | | | | Principal and interest | $ | 5,027,083 | | | $ | 103,874 | | | $ | (8,893) | | | | | $ | 5,122,064 | | | $ | — | | | $ | 11,373 | | | $ | (56,854) | | | $ | 5,076,583 | | | Interest-only | 185,726 | | | 11,888 | | | — | | | | | 11,888 | | | — | | | 371 | | | (505) | | | 11,754 | | | Total Agency | 5,212,809 | | | 115,762 | | | (8,893) | | | | | 5,133,952 | | | — | | | 11,744 | | | (57,359) | | | 5,088,337 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Non-Agency | 433,748 | | | 3,125 | | | (12) | | | | | 3,597 | | | (360) | | | 149 | | | (404) | | | 2,982 | | | Total | $ | 5,646,557 | | | $ | 118,887 | | | $ | (8,905) | | | | | $ | 5,137,549 | | | $ | (360) | | | $ | 11,893 | | | $ | (57,763) | | | $ | 5,091,319 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | December 31, 2025 | | (in thousands) | Principal/ Current Face | | Un-amortized Premium | | Accretable Purchase Discount | | | | Amortized Cost | | Allowance for Credit Losses | | Unrealized Gain | | Unrealized Loss | | Carrying Value | Agency: | | | | | | | | | | | | | | | | | | Principal and interest | $ | 6,399,789 | | | $ | 118,427 | | | $ | (24,900) | | | | | $ | 6,493,316 | | | $ | — | | | $ | 44,091 | | | $ | (43,117) | | | $ | 6,494,290 | | | Interest-only | 315,438 | | | 18,892 | | | — | | | | | 18,892 | | | (1,319) | | | 422 | | | (1,073) | | | 16,922 | | | Total Agency | 6,715,227 | | | 137,319 | | | (24,900) | | | | | 6,512,208 | | | (1,319) | | | 44,513 | | | (44,190) | | | 6,511,212 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Non-Agency | 458,740 | | | 3,311 | | | (13) | | | | | 3,808 | | | (290) | | | 170 | | | (429) | | | 3,259 | | | Total | $ | 7,173,967 | | | $ | 140,630 | | | $ | (24,913) | | | | | $ | 6,516,016 | | | $ | (1,609) | | | $ | 44,683 | | | $ | (44,619) | | | $ | 6,514,471 | |
|
| Schedule of Debt Securities, Available-for-Sale, Weighted Average Life Classifications |
The following table presents the Company’s AFS securities according to their estimated weighted average life classifications as of June 30, 2026: | | | | | | | | | | | | | | | | | | | June 30, 2026 | | (in thousands) | Agency | | Non-Agency | | Total | | < 1 year | $ | 75 | | | $ | — | | | $ | 75 | | | ≥ 1 and < 3 years | 6,724 | | | 893 | | | 7,617 | | | ≥ 3 and < 5 years | 523,521 | | | — | | | 523,521 | | | ≥ 5 and < 10 years | 4,412,826 | | | 2,089 | | | 4,414,915 | | | ≥ 10 years | 145,191 | | | — | | | 145,191 | | | Total | $ | 5,088,337 | | | $ | 2,982 | | | $ | 5,091,319 | |
|
| Schedule of Debt Securities, Available-for-Sale, in Unrealized Loss Positions |
The following tables present the components comprising the carrying value of AFS securities for which an allowance for credit losses has not been recorded by length of time that the securities had an unrealized loss position as of June 30, 2026 and December 31, 2025. At June 30, 2026 and December 31, 2025, the Company held 871 and 968 AFS securities, respectively; of the securities for which an allowance for credit losses has not been recorded, 341 and 70 were in an unrealized loss position for less than twelve consecutive months and 209 and 202 were in an unrealized loss position for more than twelve consecutive months, respectively. | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | June 30, 2026 | | Unrealized Loss Position for | | Less than 12 Months | | 12 Months or More | | Total | | (in thousands) | Estimated Fair Value | | Gross Unrealized Losses | | Estimated Fair Value | | Gross Unrealized Losses | | Estimated Fair Value | | Gross Unrealized Losses | | Agency | $ | 2,235,011 | | | $ | (19,048) | | | $ | 1,253,016 | | | $ | (38,311) | | | $ | 3,488,027 | | | $ | (57,359) | | | Non-Agency | 48 | | | (6) | | | 101 | | | (30) | | | 149 | | | (36) | | | Total | $ | 2,235,059 | | | $ | (19,054) | | | $ | 1,253,117 | | | $ | (38,341) | | | $ | 3,488,176 | | | $ | (57,395) | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | December 31, 2025 | | Unrealized Loss Position for | | Less than 12 Months | | 12 Months or More | | Total | | (in thousands) | Estimated Fair Value | | Gross Unrealized Losses | | Estimated Fair Value | | Gross Unrealized Losses | | Estimated Fair Value | | Gross Unrealized Losses | | Agency | $ | 660,143 | | | $ | (1,996) | | | $ | 1,885,254 | | | $ | (41,410) | | | $ | 2,545,397 | | | $ | (43,406) | | | Non-Agency | 560 | | | (88) | | | 340 | | | (99) | | | 900 | | | (187) | | | Total | $ | 660,703 | | | $ | (2,084) | | | $ | 1,885,594 | | | $ | (41,509) | | | $ | 2,546,297 | | | $ | (43,593) | |
|
| Schedule of Realized Gain (Loss) on Sales of Debt Securities, Available-for-Sale |
The following table presents details around sales of AFS securities during the three and six months ended June 30, 2026 and 2025: | | | | | | | | | | | | | | | | | | | | | | | | | | | Three Months Ended | | Six Months Ended | | June 30, | | June 30, | | (in thousands) | 2026 | | 2025 | | 2026 | | 2025 | | | | Proceeds from sales of available-for-sale securities | $ | 1,175,535 | | | $ | 3,771,764 | | | $ | 2,310,360 | | | $ | 5,101,348 | | | | | Amortized cost of available-for-sale securities sold | (1,177,487) | | | (3,804,924) | | | (2,323,196) | | | (5,167,984) | | | | | Total realized losses on sales, net | $ | (1,952) | | | $ | (33,160) | | | $ | (12,836) | | | $ | (66,636) | | | | | | | | | | | | | | | Gross realized gains | $ | 5,662 | | | $ | 7,186 | | | $ | 10,234 | | | $ | 12,502 | | | | | Gross realized losses | (7,614) | | | (40,346) | | | (23,070) | | | (79,138) | | | | | Total realized losses on sales, net | $ | (1,952) | | | $ | (33,160) | | | $ | (12,836) | | | $ | (66,636) | | | |
|