Debt and Equity Securities (Tables)
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9 Months Ended |
Sep. 30, 2026 |
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| Investments, Debt and Equity Securities [Abstract] |
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| Summary of Available-for-Sale Debt Securities |
The following is a summary of the Company’s debt and equity securities: | | | | | | | | | | | | | | | | | | | | | | | | | (in thousands) | Amortized
Cost(1) | | Gross
Unrealized
Gains | | Gross
Unrealized
Losses | | Estimated
Fair
Value | | September 30, 2026 | | | | | | | | | Available-for-sale debt securities: | | | | | | | | | | | | | | | | | | | | | | | | | Residential mortgage-backed securities | $ | 4,084,245 | | | $ | 193 | | | $ | (234,221) | | | $ | 3,850,217 | | Commercial mortgage-backed securities | 248,437 | | | — | | | (12,918) | | | 235,519 | | | | | | | | | | | | | | | | | | Credit risk transfer securities | 10,452 | | | — | | | (333) | | | 10,119 | | | Total available-for-sale debt securities | 4,343,134 | | | 193 | | | (247,472) | | | 4,095,855 | | | Held-to-maturity debt securities: | | | | | | | | | Residential mortgage-backed securities | 672,881 | | | — | | | (97,497) | | | 575,384 | | | Total held-to-maturity debt securities | 672,881 | | | — | | | (97,497) | | | 575,384 | | | Equity securities | | | | | | | 42,007 | | Trading debt securities | | | | | | | — | | Total debt and equity securities(2) | | | | | | | $ | 4,810,743 | | | December 31, 2025 | | | | | | | | | Available-for-sale debt securities: | | | | | | | | | | | | | | | | | | | | | | | | | Residential mortgage-backed securities | $ | 3,743,234 | | | $ | 41,037 | | | $ | (91,625) | | | $ | 3,692,646 | | Commercial mortgage-backed securities | 244,457 | | | 3,555 | | | — | | | 248,012 | | | | | | | | | | | | | | | | | | Credit risk transfer securities | 11,248 | | | — | | | (451) | | | 10,797 | | | Total available-for-sale debt securities | 3,998,939 | | | 44,592 | | | (92,076) | | | 3,951,455 | | Held-to-maturity debt securities: | | | | | | | | | Residential mortgage-backed securities | 725,722 | | | — | | | (70,890) | | | 654,832 | | Total held-to-maturity debt securities | 725,722 | | | — | | | (70,890) | | | 654,832 | | | Equity securities | | | | | | | 41,998 | | Trading debt securities | | | | | | | 3,924 | | Total debt and equity securities(2) | | | | | | | $ | 4,723,099 | |
(1) Excludes accrued interest receivable of $17.6 million and $16.1 million at September 30, 2026 and December 31, 2025, respectively, related to available-for-sale debt securities and $1.1 million and $1.2 million at September 30, 2026 and December 31, 2025, 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 debt securities at estimated fair value and held-to-maturity debt securities at amortized cost.
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| Summary of Amortized Cost, Estimated Fair Value, and Weighted Average Yields for Available-for-Sale Debt Securities |
The amortized cost and estimated fair value as of September 30, 2026, 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-sale | | Held-to-maturity | | (in thousands) | Amortized Cost | | Fair Value | | Amortized Cost | | Fair Value | | | | | | | | | | Due within one year | $ | — | | | $ | — | | | $ | — | | | $ | — | | | Due after one year through five years | 10,452 | | | 10,119 | | | — | | | — | | | Due after five years through ten years | 249,090 | | | 236,181 | | | — | | | — | | | Due after ten years | 4,083,592 | | | 3,849,555 | | | 672,881 | | | 575,384 | | | Total | $ | 4,343,134 | | | $ | 4,095,855 | | | $ | 672,881 | | | $ | 575,384 | |
The table below presents the weighted average yields for the Company’s available-for-sale debt securities as of September 30, 2026. 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 | | Credit risk transfer securities | | Due within one year | | | | | — | % | | — | % | | — | % | | Due after one year through five years | | | | | — | | | — | | | 4.01 | | | Due after five years through ten years | | | | | 3.91 | | | 4.80 | | | — | | | Due after ten years | | | | | 4.81 | | | — | | | — | | | Total | | | | | 4.81 | % | | 4.80 | % | | 4.01 | % |
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| Schedule of Available-for-Sale Debt Securities in a Continuous Unrealized Loss Position |
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 Months | | 12 Months or Longer | | Total | | (in thousands) | Fair Value | | Unrealized Loss | | Fair Value | | Unrealized Loss | | Fair Value | | Unrealized Loss | | September 30, 2026 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Residential mortgage-backed securities | $ | 2,912,259 | | | $ | (114,687) | | | $ | 667,046 | | | $ | (119,534) | | | $ | 3,579,305 | | | $ | (234,221) | | Commercial mortgage-backed securities | 235,519 | | | (12,918) | | | — | | | — | | | 235,519 | | | (12,918) | | Credit risk transfer securities | — | | | — | | | 10,119 | | | (333) | | | 10,119 | | | (333) | | | Total | $ | 3,147,778 | | | $ | (127,605) | | | $ | 677,165 | | | $ | (119,867) | | | $ | 3,824,943 | | | $ | (247,472) | | | December 31, 2025 | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Residential mortgage-backed securities | $ | 203,193 | | | $ | (97) | | | $ | 934,222 | | | $ | (91,528) | | | $ | 1,137,415 | | | $ | (91,625) | | Commercial mortgage-backed securities | — | | | — | | | — | | | — | | | — | | | — | | Credit risk transfer securities | — | | | — | | | 10,797 | | | (451) | | | 10,797 | | | (451) | | | Total | $ | 203,193 | | | $ | (97) | | | $ | 945,019 | | | $ | (91,979) | | | $ | 1,148,212 | | | $ | (92,076) | |
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| Summary of Unrealized and Realized Gains/(Losses) Recognized in Net Income on Equity Securities |
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 September 30, | | Nine Months Ended September 30, | | (in thousands) | 2026 | | 2025 | | 2026 | | 2025 | | Net gains/(losses) recognized during the period | $ | 1,252 | | | $ | 2,369 | | | $ | 4,773 | | | $ | 2,265 | | | Less: Realized net gains/(losses) recognized on securities sold | 2,414 | | | 831 | | | 4,266 | | | 1,862 | | | Unrealized net gains/(losses) recognized on securities still held | $ | (1,162) | | | $ | 1,538 | | | $ | 507 | | | $ | 403 | |
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