10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 30, 2022

OR

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

Commission File Number:  000-51404

FEDERAL HOME LOAN BANK OF INDIANAPOLIS

(Exact name of registrant as specified in its charter)

Federally Chartered Corporation	35-6001443
(State or other jurisdiction of incorporation)	(IRS employer identification number)
8250 Woodfield Crossing Blvd. Indianapolis, IN	46240
(Address of principal executive offices)	(Zip code)

(317) 465-0200

(Registrant's telephone number, including area code)

Not Applicable

(Former name or former address, if changed since last report.)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
None	None	None

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing for the past 90 days.

x  Yes            o  No

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).

x   Yes            o  No

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act.

☐	Large accelerated filer	☐	Accelerated filer	☐	Emerging growth company
x	Non-accelerated Filer	☐	Smaller reporting company

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.  o

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).

☐  Yes            x  No

Indicate the number of shares outstanding of each of the issuer's classes of common stock, as of the latest practicable date.

	Shares outstanding as of July 31, 2022
Class A Stock, par value $100	—
Class B Stock, par value $100	23,320,275

Table of Contents		Page
		Number
	Special Note Regarding Forward-Looking Statements	3
PART I.	FINANCIAL INFORMATION
Item 1.	FINANCIAL STATEMENTS (unaudited)
	Statements of Condition as of June 30, 2022 and December 31, 2021	4
	Statements of Income for the Three and Six Months Ended June 30, 2022 and 2021	5
	Statements of Comprehensive Income for the Three and Six Months Ended June 30, 2022 and 2021	6
	Statements of Capital for the Three and Six Months Ended June 30, 2022 and 2021	7
	Statements of Cash Flows for the Six Months Ended June 30, 2022 and 2021	9
	Notes to Financial Statements:
	Note 1 - Summary of Significant Accounting Policies	11
	Note 2 - Recently Adopted and Issued Accounting Guidance	11
	Note 3 - Investments	12
	Note 4 - Advances	15
	Note 5 - Mortgage Loans Held for Portfolio	16
	Note 6 - Derivatives and Hedging Activities	17
	Note 7 - Consolidated Obligations	21
	Note 8 - Affordable Housing Program	23
	Note 9 - Capital	23
	Note 10 - Accumulated Other Comprehensive Income	24
	Note 11 - Segment Information	26
	Note 12 - Estimated Fair Values	27
	Note 13 - Commitments and Contingencies	30
	Note 14 - Related Party and Other Transactions	31
	Defined Terms	32
Item 2.	MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
	Presentation	34
	Executive Summary	34
	Results of Operations and Changes in Financial Condition	36
	Operating Segments	45
	Analysis of Financial Condition	46
	Liquidity and Capital Resources	52
	Critical Accounting Estimates	54
	Recent Accounting and Regulatory Developments	54
	Risk Management	55
Item 3.	QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK	58
Item 4.	CONTROLS AND PROCEDURES	60
PART II.	OTHER INFORMATION
Item 1.	LEGAL PROCEEDINGS	61
Item 1A.	RISK FACTORS	61
Item 2.	UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS	61
Item 3.	DEFAULTS UPON SENIOR SECURITIES	61
Item 4.	MINE SAFETY DISCLOSURES	61
Item 5.	OTHER INFORMATION	61
Item 6.	EXHIBITS	62

As used in this Form 10-Q, unless the context otherwise requires, the terms "we," "us," "our," and "Bank" refer to the Federal Home Loan Bank of Indianapolis or its management. We use acronyms and terms throughout that are defined herein or in the Defined Terms in Part I Item 1.

Special Note Regarding Forward-Looking Statements

Statements in this Form 10-Q, including statements describing our objectives, projections, estimates or predictions, may be considered to be "forward-looking statements." These statements may use forward-looking terminology, such as "anticipates," "believes," "could," "estimates," "may," "should," "expects," "will," or their negatives or other variations on these terms. We caution that, by their nature, forward-looking statements involve risk or uncertainty and that actual results either could differ materially from those expressed or implied in these forward-looking statements or could affect the extent to which a particular objective, projection, estimate, or prediction is realized. These forward-looking statements involve risks and uncertainties including, but not limited to, the following:

•economic and market conditions, including the timing and volume of market activity, inflation or deflation, changes in the value of global currencies, and changes in the financial condition of market participants;

•volatility of market prices, interest rates, and indices or the availability of suitable interest rate indices, or other factors, resulting from the effects of, and changes in, various monetary or fiscal policies and regulations, including those determined by the Federal Reserve and the FDIC, or a decline in liquidity in the financial markets, that could affect the value of investments or collateral we hold as security for the obligations of our members and counterparties;

•changes in demand for our advances and purchases of mortgage loans resulting from:

◦changes in our members' deposit flows and credit demands;

◦changes in products or services we are able to provide;

◦federal or state regulatory developments impacting suitability or eligibility of membership classes;

◦membership changes, including, but not limited to, mergers, acquisitions and consolidations of charters;

◦changes in the general level of housing activity in the United States and particularly our district states of Michigan and Indiana, the level of refinancing activity and consumer product preferences;

◦competitive forces, including, without limitation, other sources of funding available to our members; and

◦changes in the terms and conditions of ownership of our capital stock;

•changes in mortgage asset prepayment patterns, delinquency rates and housing values or improper or inadequate mortgage originations and mortgage servicing;

•ability to introduce and successfully manage new products and services, including new types of collateral securing advances;

•political events, including federal government shutdowns, administrative, legislative, regulatory, or other developments, changes in international political structures and alliances, and judicial rulings that affect us, our status as a secured creditor, our members (or certain classes of members), prospective members, counterparties, GSEs generally, one or more of the FHLBanks and/or investors in the consolidated obligations of the FHLBanks;

•national or international health crises, such as the COVID-19 pandemic, including any resurgence of the pandemic, new and evolving pandemic strains, and the effects of health crises on our and our counterparties' operations, member demand, market liquidity, and the global funding markets, and the governmental, regulatory, and fiscal interventions undertaken to stabilize local, national, and global economic conditions;

•ability to access the capital markets and raise capital market funding on acceptable terms;

•changes in our credit ratings or the credit ratings of the other FHLBanks and the FHLBank System;

•changes in the level of government guarantees provided to other United States and international financial institutions;

•dealer commitment to supporting the issuance of our consolidated obligations;

•ability of one or more of the FHLBanks to repay its portion of the consolidated obligations, or otherwise meet its financial obligations;

•ability to attract and retain skilled personnel;

•ability to develop, implement and support technology and information systems sufficient to manage our business effectively;

•nonperformance of counterparties to uncleared and cleared derivative transactions;

•changes in terms of derivative agreements and similar agreements;

•loss arising from natural disasters, acts of war, riots, insurrection or acts of terrorism;

•changes in or differing interpretations of accounting guidance; and

•other risk factors identified in our filings with the SEC.

Although we undertake no obligation to revise or update any forward-looking statements, whether as a result of new information, future events or otherwise, additional disclosures may be made through reports filed with the SEC in the future, including our reports on Forms 10-K, 10-Q and 8-K.

3

PART I. FINANCIAL INFORMATION

Item 1. FINANCIAL STATEMENTS

Federal Home Loan Bank of Indianapolis

Statements of Condition

(Unaudited, $ amounts in thousands, except par value)

	June 30, 2022		December 31, 2021
Assets:
Cash and due from banks	$	59,596	$	867,880
Interest-bearing deposits (Note 3)	325,041		100,041
Securities purchased under agreements to resell (Note 3)	4,500,000		3,500,000
Federal funds sold (Note 3)	2,496,000		2,580,000
Trading securities (Note 3)	4,039,407		3,946,799
Available-for-sale securities (Note 3) (amortized cost of $10,164,321 and $9,007,993)	10,196,572		9,159,935
Held-to-maturity securities (Note 3) (estimated fair values of $3,821,942 and $4,322,157)	3,877,299		4,313,773
Advances (Note 4)	30,507,462		27,497,835
Mortgage loans held for portfolio, net (Note 5)	7,729,642		7,616,134
Accrued interest receivable	96,937		80,758
Derivative assets, net (Note 6)	325,848		220,202
Other assets	112,459		121,246
Total assets	$	64,266,263	$	60,004,603
Liabilities:
Deposits	$	907,525	$	1,366,397
Consolidated obligations (Note 7):
Discount notes	19,587,260		12,116,358
Bonds	39,462,365		42,361,572
Total consolidated obligations, net	59,049,625		54,477,930
Accrued interest payable	124,999		88,068
Affordable Housing Program payable (Note 8)	28,953		31,049
Derivative liabilities, net (Note 6)	13,569		12,185
Mandatorily redeemable capital stock (Note 9)	45,583		50,422
Other liabilities	619,298		422,221
Total liabilities	60,789,552		56,448,272
Commitments and contingencies (Note 13)
Capital (Note 9):
Capital stock (putable at par value of $100 per share):
Class B issued and outstanding shares: 22,508,342 and 22,462,009	2,250,835		2,246,201
Retained earnings:
Unrestricted	912,329		889,869
Restricted	299,391		287,203
Total retained earnings	1,211,720		1,177,072
Total accumulated other comprehensive income (Note 10)	14,156		133,058
Total capital	3,476,711		3,556,331
Total liabilities and capital	$	64,266,263	$	60,004,603

The accompanying notes are an integral part of these financial statements.

4

Federal Home Loan Bank of Indianapolis

Statements of Income

(Unaudited, $ amounts in thousands)

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
Interest Income:
Advances	$	67,562	$	28,175	$	102,603	$	64,284
Interest-bearing deposits	2,623		121		2,913		277
Securities purchased under agreements to resell	6,066		215		6,971		652
Federal funds sold	7,682		651		8,524		1,454
Trading securities	8,347		14,421		13,792		30,591
Available-for-sale securities	38,563		21,184		61,008		51,020
Held-to-maturity securities	9,033		7,809		16,544		17,673
Mortgage loans held for portfolio	51,467		40,119		99,268		80,401
Other interest income	22		—		22		—
Total interest income	191,365		112,695		311,645		246,352
Interest Expense:
Consolidated obligation discount notes	26,535		1,733		30,188		5,932
Consolidated obligation bonds	99,192		52,674		150,891		106,470
Deposits	1,547		43		1,646		80
Mandatorily redeemable capital stock	269		929		514		2,033
Total interest expense	127,543		55,379		183,239		114,515
Net interest income	63,822		57,316		128,406		131,837
Provision for (reversal of) credit losses	(38)		(44)		(60)		44
Net interest income after provision for credit losses	63,860		57,360		128,466		131,793
Other Income:
Net gains (losses) on trading securities	(14,220)		(13,731)		(38,415)		(27,359)
Net gains (losses) on derivatives	17,203		186		37,197		(652)
Other, net	(4,681)		3,775		(7,882)		5,265
Total other income (loss)	(1,698)		(9,770)		(9,100)		(22,746)
Other Expenses:
Compensation and benefits	13,411		14,092		26,367		29,850
Other operating expenses	7,756		7,417		14,850		14,688
Federal Housing Finance Agency	1,801		1,474		3,717		2,947
Office of Finance	1,081		1,228		2,498		3,225
Other	2,154		4,226		4,165		5,857
Total other expenses	26,203		28,437		51,597		56,567
Income before assessments	35,959		19,153		67,769		52,480
Affordable Housing Program assessments	3,623		2,008		6,828		5,451
Net income	$	32,336	$	17,145	$	60,941	$	47,029

The accompanying notes are an integral part of these financial statements.

5

Federal Home Loan Bank of Indianapolis

Statements of Comprehensive Income

(Unaudited, $ amounts in thousands)

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
Net income	$	32,336	$	17,145	$	60,941	$	47,029
Other Comprehensive Income:
Net change in unrealized gains (losses) on available-for-sale securities	(45,228)		4,502		(119,691)		78,031
Pension benefits, net	329		8,995		789		9,991
Total other comprehensive income (loss)	(44,899)		13,497		(118,902)		88,022
Total comprehensive income (loss)	$	(12,563)	$	30,642	$	(57,961)	$	135,051

The accompanying notes are an integral part of these financial statements.

6

Federal Home Loan Bank of Indianapolis

Statements of Capital

Three Months Ended June 30, 2022 and 2021

(Unaudited, $ amounts and shares in thousands)

	Capital Stock			Retained Earnings						Accumulated Other Comprehensive Income		Total Capital
	Shares	Par Value		Unrestricted		Restricted		Total
Balance, March 31, 2022	21,215	$	2,121,541	$	899,750	$	292,924	$	1,192,674	$	59,055	$	3,373,270
Total comprehensive income (loss)				25,869		6,467		32,336		(44,899)		(12,563)
Proceeds from issuance of capital stock	1,293	129,294										129,294
Cash dividends on capital stock (2.47% annualized)				(13,290)		—		(13,290)				(13,290)
Balance, June 30, 2022	22,508	$	2,250,835	$	912,329	$	299,391	$	1,211,720	$	14,156	$	3,476,711
Balance, March 31, 2021	22,142	$	2,214,192	$	878,854	$	274,403	$	1,153,257	$	179,927	$	3,547,376
Total comprehensive income				13,716		3,429		17,145		13,497		30,642
Proceeds from issuance of capital stock	200	20,005										20,005
Shares reclassified to mandatorily redeemable capital stock, net	(3)	(281)										(281)
Cash dividends on capital stock (2.57% annualized)				(13,989)		—		(13,989)				(13,989)
Balance, June 30, 2021	22,339	$	2,233,916	$	878,581	$	277,832	$	1,156,413	$	193,424	$	3,583,753

The accompanying notes are an integral part of these financial statements.

7

Federal Home Loan Bank of Indianapolis

Statements of Capital

Six Months Ended June 30, 2022 and 2021

(Unaudited, $ amounts and shares in thousands)

	Capital Stock			Retained Earnings						Accumulated Other Comprehensive Income		Total Capital
	Shares	Par Value		Unrestricted		Restricted		Total
Balance, December 31, 2021	22,462	$	2,246,201	$	889,869	$	287,203	$	1,177,072	$	133,058	$	3,556,331
Total comprehensive income (loss)				48,753		12,188		60,941		(118,902)		(57,961)
Proceeds from issuance of capital stock	1,665	166,519										166,519
Redemption/repurchase of capital stock	(1,619)	(161,885)										(161,885)
Cash dividends on capital stock (2.39% annualized)				(26,293)		—		(26,293)				(26,293)
Balance, June 30, 2022	22,508	$	2,250,835	$	912,329	$	299,391	$	1,211,720	$	14,156	$	3,476,711
Balance, December 31, 2020	22,076	$	2,207,570	$	868,904	$	268,426	$	1,137,330	$	105,402	$	3,450,302
Total comprehensive income				37,623		9,406		47,029		88,022		135,051
Proceeds from issuance of capital stock	266	26,627										26,627
Shares reclassified to mandatorily redeemable capital stock, net	(3)	(281)										(281)
Cash dividends on capital stock (2.53% annualized)				(27,946)		—		(27,946)				(27,946)
Balance, June 30, 2021	22,339	$	2,233,916	$	878,581	$	277,832	$	1,156,413	$	193,424	$	3,583,753

The accompanying notes are an integral part of these financial statements.

8

Federal Home Loan Bank of Indianapolis

Statements of Cash Flows

(Unaudited, $ amounts in thousands)

	Six Months Ended June 30,
	2022		2021
Operating Activities:
Net income	$	60,941	$	47,029
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Amortization and depreciation	50,152		42,309
Changes in net derivative and hedging activities	751,617		28,776
Provision for (reversal of) credit losses	(60)		44
Net losses on trading securities	38,415		27,359
Changes in:
Accrued interest receivable	(17,495)		11,601
Other assets	5,955		(12,783)
Accrued interest payable	37,075		8,349
Other liabilities	8,559		1,182
Total adjustments, net	874,218		106,837
Net cash provided by operating activities	935,159		153,866
Investing Activities:
Net change in:
Interest-bearing deposits	(1,219,223)		452,160
Securities purchased under agreements to resell	(1,000,000)		(500,000)
Federal funds sold	84,000		(1,590,000)
Trading securities:
Proceeds from maturities	1,600,000		850,000
Proceeds from sales	200,000		50,006
Purchases	(1,930,219)		(1,649,933)
Available-for-sale securities:
Proceeds from maturities and paydowns	503,910		643,500
Purchases	(2,362,677)		(60,290)
Held-to-maturity securities:
Proceeds from maturities and paydowns	630,398		538,805
Purchases	(51,312)		(584,749)
Advances:
Principal repayments	71,353,438		139,543,669
Disbursements to members	(74,888,350)		(136,081,315)
Mortgage loans held for portfolio:
Principal collections	600,449		1,776,690
Purchases from members	(771,838)		(1,145,532)
Purchases of premises, software, and equipment	(1,989)		(2,520)
Loans to other Federal Home Loan Banks:
Principal repayments	520,000		20,000
Disbursements	(520,000)		(20,000)
Net cash provided by (used in) investing activities	(7,253,413)		2,240,491
(continued)

The accompanying notes are an integral part of these financial statements.

9

Federal Home Loan Bank of Indianapolis

Statements of Cash Flows, continued

(Unaudited, $ amounts in thousands)

	Six Months Ended June 30,
	2022		2021
Financing Activities:
Net change in deposits	(320,726)		222,576
Net proceeds (payments) on derivative contracts with financing elements	(1,118)		(7,551)
Net proceeds from issuance of consolidated obligations:
Discount notes	369,385,849		85,205,681
Bonds	10,677,690		22,129,860
Payments for matured and retired consolidated obligations:
Discount notes	(361,928,027)		(87,373,330)
Bonds	(12,277,200)		(23,000,650)
Proceeds from issuance of capital stock	166,519		26,627
Payments for redemption/repurchase of capital stock	(161,885)		—
Payments for redemption/repurchase of mandatorily redeemable capital stock	(4,839)		(18,156)
Dividend payments on capital stock	(26,293)		(27,946)
Net cash provided by (used in) financing activities	5,509,970		(2,842,889)
Net increase (decrease) in cash and due from banks	(808,284)		(448,532)
Cash and due from banks at beginning of period	867,880		1,811,544
Cash and due from banks at end of period	$	59,596	$	1,363,012
Supplemental Disclosures:
Cash activities:
Interest payments	$	99,903	$	139,245
Affordable Housing Program payments	8,924		9,088
Non-cash activities:
Purchases of investment securities, traded but not yet settled	220,413		—
Capitalized interest on certain held-to-maturity securities	855		313
Par value of shares reclassified to mandatorily redeemable capital stock, net	—		281

The accompanying notes are an integral part of these financial statements.

10

Notes to Financial Statements, continued

(Unaudited, $ amounts in thousands unless otherwise indicated)

Note 1 - Summary of Significant Accounting Policies

Unless the context otherwise requires, the terms "Bank", "we," "us," and "our" refer to the Federal Home Loan Bank of Indianapolis or its management. We use acronyms and terms throughout these Notes to Financial Statements that are defined in the Defined Terms.

Basis of Presentation. The accompanying interim financial statements have been prepared in accordance with GAAP and SEC requirements for interim financial information. Accordingly, they do not include all of the information and disclosures required by GAAP for complete financial statements. Certain disclosures that would have substantially duplicated the disclosures in the financial statements, and notes thereto, included in our 2021 Form 10-K have been omitted unless the information contained in those disclosures materially changed. Therefore, these interim financial statements should be read in conjunction with our audited financial statements, and notes thereto, included in our 2021 Form 10-K.

The financial statements contain all adjustments that are, in the opinion of management, necessary for a fair statement of the Bank's financial position, results of operations and cash flows for the interim periods presented. All such adjustments were of a normal recurring nature. The results of operations for the periods presented are not necessarily indicative of the results to be expected for the full calendar year or any other interim period.

Use of Estimates. When preparing financial statements in accordance with GAAP, we are required to make subjective assumptions and estimates that may affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities, and the reported amounts of income and expense. Although the reported amounts and disclosures reflect our best estimates, actual results could differ significantly from these estimates. The most significant estimates pertain to the fair values of financial instruments.

Reclassifications. We have reclassified certain amounts reported in prior periods to conform to the current period presentation. These reclassifications had no effect on total assets, total liabilities, total capital, net income, total comprehensive income or net cash flows.

Significant Accounting Policies. Our significant accounting policies and certain other disclosures are set forth in our 2021 Form 10-K in Note 1 - Summary of Significant Accounting Policies. There have been no significant changes to these policies through June 30, 2022.

Note 2 - Recently Adopted and Issued Accounting Guidance

Recently Issued Accounting Guidance.

Fair-Value Hedging - Portfolio Layer Method (ASU 2022-01). On March 28, 2022, the FASB issued guidance expanding the existing last-of-layer fair-value hedging method by allowing entities to hedge multiple layers of a single closed portfolio of prepayable financial assets rather than a single (or last) layer only. To reflect the change, the last-of-layer method was renamed the portfolio layer method.

The guidance is effective for the interim and annual periods beginning on January 1, 2023, although early adoption is permitted. We are in process of evaluating the potentially favorable impact of this guidance on our future financial condition, results of operations, and cash flows.

Troubled Debt Restructurings and Vintage Disclosures (ASU 2022-02). On March 31, 2022, the FASB issued guidance eliminating the accounting guidance for TDRs by creditors that have adopted the current expected credit losses methodology while enhancing disclosure requirements for certain loan refinancings and restructurings made to borrowers experiencing financial difficulty. Additionally, the guidance requires disclosure of current-period gross write-offs by year of origination.

The guidance is effective for the interim and annual periods beginning on January 1, 2023, although early adoption is permitted. The transition method related to the recognition and measurement of TDRs can be applied using a modified retrospective transition method, while all other amendments are to be applied prospectively. We are in process of evaluating this guidance and its potential effect on our financial statement disclosures.

11

Notes to Financial Statements, continued

(Unaudited, $ amounts in thousands unless otherwise indicated)

Note 3 - Investments

Short-term Investments. We invest in interest-bearing deposits, securities purchased under agreements to resell, and federal funds sold to provide short-term liquidity. These investments are generally transacted with counterparties that maintain a credit rating of triple-B or higher (investment grade) by an NRSRO. At June 30, 2022 and December 31, 2021, all of these investments were with counterparties rated single-A or above, based on the lowest long-term credit rating for each counterparty. The NRSRO ratings may differ from our internal ratings of the investments, if applicable.

Allowance for Credit Losses. At June 30, 2022 and December 31, 2021, based on our evaluation, we did not record an allowance for credit losses on any of our short-term investments.

Investment Securities.

Trading Securities.

Major Security Types. The following table presents our trading securities by type of security.

Security Type	June 30, 2022		December 31, 2021
U.S. Treasury obligations	$	4,039,407	$	3,946,799
Total trading securities at estimated fair value	$	4,039,407	$	3,946,799

Net Gains (Losses) on Trading Securities. The following table presents net gains (losses) on trading securities, excluding any offsetting effect of gains (losses) on the associated derivatives.

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
Net gains (losses) on trading securities held at period end	$	(13,740)	$	(12,637)	$	(34,831)	$	(23,275)
Net gains (losses) on trading securities that matured/sold during the period	(480)		(1,094)		(3,584)		(4,084)
Net gains (losses) on trading securities	$	(14,220)	$	(13,731)	$	(38,415)	$	(27,359)

12

Notes to Financial Statements, continued

(Unaudited, $ amounts in thousands unless otherwise indicated)

Available-for-Sale Securities.

Major Security Types. The following table presents our AFS securities by type of security.

			Gross		Gross
	Amortized		Unrealized		Unrealized		Estimated
June 30, 2022	Cost (1)		Gains		Losses		Fair Value
U.S. Treasury obligations	$	2,110,103	$	—	$	(4,225)	$	2,105,878
GSE and TVA debentures	2,061,550		24,514		(1)		2,086,063
GSE multifamily MBS	5,992,668		35,467		(23,504)		6,004,631
Total AFS securities	$	10,164,321	$	59,981	$	(27,730)	$	10,196,572
December 31, 2021
GSE and TVA debentures	$	2,651,571	$	45,557	$	(12)	$	2,697,116
GSE multifamily MBS	6,356,422		109,956		(3,559)		6,462,819
Total AFS securities	$	9,007,993	$	155,513	$	(3,571)	$	9,159,935

(1)    Includes adjustments made to the cost basis for purchase discount or premium and related accretion or amortization, and, if applicable, fair-value hedging basis adjustments. Includes at June 30, 2022 and December 31, 2021 unamortized discounts totaling $150,580 and unamortized premiums totaling $14,344, respectively. The applicable fair value hedging basis adjustments at June 30, 2022 and December 31, 2021 totaled losses of $576,995 and gains of $206,199, respectively. Excludes accrued interest receivable at June 30, 2022 and December 31, 2021 of $35,316 and $32,127, respectively.

Unrealized Loss Positions. The following table presents impaired AFS securities (i.e., in an unrealized loss position), aggregated by major security type and length of time that individual securities have been in a continuous unrealized loss position.

	Less than 12 months				12 months or More				Total
	Estimated		Unrealized		Estimated		Unrealized		Estimated		Unrealized
June 30, 2022	Fair Value		Losses		Fair Value		Losses		Fair Value		Losses
U.S. Treasury obligations	$	2,105,878	$	(4,225)	$	—	$	—	$	2,105,878	$	(4,225)
GSE and TVA debentures	15,000		(1)		—		—		15,000		(1)
GSE multifamily MBS	2,496,226		(21,280)		105,536		(2,224)		2,601,762		(23,504)
Total impaired AFS securities	$	4,617,104	$	(25,506)	$	105,536	$	(2,224)	$	4,722,640	$	(27,730)
December 31, 2021
GSE and TVA debentures	$	250,145	$	(12)	$	—	$	—	$	250,145	$	(12)
GSE multifamily MBS	384,015		(3,559)		—		—		384,015		(3,559)
Total impaired AFS securities	$	634,160	$	(3,571)	$	—	$	—	$	634,160	$	(3,571)

13

Notes to Financial Statements, continued

(Unaudited, $ amounts in thousands unless otherwise indicated)

Contractual Maturity. The amortized cost and estimated fair value of non-MBS AFS securities are presented below by contractual maturity. MBS are not presented by contractual maturity because their actual maturities will likely differ from their contractual maturities as borrowers have the right to prepay their obligations with or without prepayment fees.

	June 30, 2022				December 31, 2021
	Amortized		Estimated		Amortized		Estimated
Year of Contractual Maturity	Cost		Fair Value		Cost		Fair Value
Due in 1 year or less	$	250,957	$	251,579	$	581,801	$	582,240
Due after 1 through 5 years	1,566,089		1,586,412		1,494,109		1,523,600
Due after 5 through 10 years	2,354,607		2,353,950		575,661		591,276
Total non-MBS	4,171,653		4,191,941		2,651,571		2,697,116
Total MBS	5,992,668		6,004,631		6,356,422		6,462,819
Total AFS securities	$	10,164,321	$	10,196,572	$	9,007,993	$	9,159,935

Allowance for Credit Losses. At June 30, 2022 and December 31, 2021, 100% of our AFS securities were rated single-A, or above, by an NRSRO, based on the lowest long-term credit rating for each security. These may differ from our internal ratings of the securities, if applicable.

At June 30, 2022 and December 31, 2021, certain of our AFS securities were in an unrealized loss position; however, we did not record an allowance for credit losses because those losses were considered temporary and we expected to recover the entire amortized cost basis on these securities at maturity.

Held-to-Maturity Securities.

Major Security Types. The following table presents our HTM securities by type of security.

			Gross		Gross
			Unrecognized		Unrecognized
	Amortized		Holding		Holding		Estimated
June 30, 2022	Cost (1)		Gains		Losses		Fair Value
MBS:
Other U.S. obligations - guaranteed single-family	$	2,521,513	$	152	$	(35,792)	$	2,485,873
GSE single-family	722,385		1,697		(20,401)		703,681
GSE multifamily	633,401		5		(1,018)		632,388
Total HTM securities	$	3,877,299	$	1,854	$	(57,211)	$	3,821,942
December 31, 2021
MBS:
Other U.S. obligations - guaranteed single-family	$	2,626,143	$	7,384	$	(9,238)	$	2,624,289
GSE single-family	815,924		14,424		(4,773)		825,575
GSE multifamily	871,706		779		(192)		872,293
Total HTM securities	$	4,313,773	$	22,587	$	(14,203)	$	4,322,157

(1)    Carrying value equals amortized cost, which includes adjustments made to the cost basis for purchase discount or premium and related accretion or amortization. Net unamortized premium at June 30, 2022 and December 31, 2021 totaled $29,144 and $28,440, respectively.

Allowance for Credit Losses. At June 30, 2022 and December 31, 2021, 100% of our HTM securities were rated single-A, or above, by an NRSRO, based on the lowest long-term credit rating for each security. These may differ from our internal ratings of the securities, if applicable.

At June 30, 2022 and December 31, 2021, based on our evaluation, we did not record an allowance for credit losses on any of our HTM securities.

14

Notes to Financial Statements, continued

(Unaudited, $ amounts in thousands unless otherwise indicated)

Note 4 - Advances

The following table presents advances outstanding by redemption term.

	June 30, 2022			December 31, 2021
Redemption Term	Amount		WAIR %	Amount		WAIR %
Overdrawn demand and overnight deposit accounts	$	98,456	3.90	$	—	—
Due in 1 year or less	13,371,345		1.44	7,863,703		0.59
Due after 1 through 2 years	3,736,129		2.21	2,684,996		2.02
Due after 2 through 3 years	2,384,761		1.70	3,536,759		1.35
Due after 3 through 4 years	2,563,139		1.82	2,931,260		1.29
Due after 4 through 5 years	1,822,975		1.79	1,908,432		1.34
Thereafter	6,867,716		1.52	8,384,458		0.82
Total advances, par value	30,844,521		1.63	27,309,608		1.03
Fair-value hedging basis adjustments, net	(344,955)			179,115
Unamortized swap termination fees associated with modified advances, net of deferred prepayment fees	7,896			9,112
Total advances (1)	$	30,507,462		$	27,497,835

(1)    Carrying value equals amortized cost, which excludes accrued interest receivable at June 30, 2022 and December 31, 2021 of $18,542 and $13,075, respectively.

The following table presents advances outstanding by the earlier of the redemption date or the next call date and next put date.

	Earlier of Redemption or Next Call Date				Earlier of Redemption or Next Put Date
	June 30, 2022		December 31, 2021		June 30, 2022		December 31, 2021
Overdrawn demand and overnight deposit accounts	$	98,456	$	—	$	98,456	$	—
Due in 1 year or less	18,134,158		12,547,866		16,934,750		13,452,703
Due after 1 through 2 years	2,494,629		2,578,396		4,138,129		3,090,101
Due after 2 through 3 years	2,011,211		2,127,759		2,770,661		3,636,259
Due after 3 through 4 years	1,579,789		1,997,060		2,563,139		3,007,160
Due after 4 through 5 years	1,460,800		1,530,307		1,509,875		1,485,332
Thereafter	5,065,478		6,528,220		2,829,511		2,638,053
Total advances, par value	$	30,844,521	$	27,309,608	$	30,844,521	$	27,309,608

Advance Concentrations. At June 30, 2022 and December 31, 2021, our top five borrowers held 47% and 43%, respectively, of total advances outstanding at par.

Allowance for Credit Losses. Based upon the collateral held as security, our credit extension and collateral policies, our credit analysis and the repayment history on advances, we have not recorded an allowance for credit losses on advances.

15

Notes to Financial Statements, continued

(Unaudited, $ amounts in thousands unless otherwise indicated)

Note 5 - Mortgage Loans Held for Portfolio

The following tables present information on mortgage loans held for portfolio by term and type.

Term	June 30, 2022		December 31, 2021
Fixed-rate long-term mortgages	$	6,633,317	$	6,417,543
Fixed-rate medium-term (1) mortgages	931,310		1,016,851
Total mortgage loans held for portfolio, UPB	7,564,627		7,434,394
Unamortized premiums	175,372		181,172
Unamortized discounts	(5,687)		(2,389)
Hedging basis adjustments, net	(4,470)		3,157
Total mortgage loans held for portfolio	7,729,842		7,616,334
Allowance for credit losses	(200)		(200)
Total mortgage loans held for portfolio, net (2)	$	7,729,642	$	7,616,134

(1)    Defined as a term of 15 years or less at origination.

(2)    Excludes accrued interest receivable at June 30, 2022 and December 31, 2021 of $29,062 and $27,977, respectively.

Type	June 30, 2022		December 31, 2021
Conventional	$	7,404,571	$	7,254,056
Government-guaranteed or -insured	160,056		180,338
Total mortgage loans held for portfolio, UPB	$	7,564,627	$	7,434,394

Credit Quality Indicators for Conventional Mortgage Loans and Other Delinquency Statistics. The tables below present the key credit quality indicators and other delinquency statistics for our mortgage loans held for portfolio aggregated by (i) the most recent five origination years and (ii) all other prior origination years. Amounts are based on amortized cost, which excludes accrued interest receivable.

	Origination Year
Payment Status as of June 30, 2022	Prior to 2018		2018 to 2022		Total
Past due:
30-59 days	$	17,062	$	9,822	$	26,884
60-89 days	2,628		1,055		3,683
90 days or more	14,450		1,630		16,080
Total past due	34,140		12,507		46,647
Total current	2,613,182		4,908,165		7,521,347
Total conventional mortgage loans, amortized cost	$	2,647,322	$	4,920,672	$	7,567,994

	Origination Year
Payment Status as of December 31, 2021	Prior to 2017		2017 to 2021		Total
Past due:
30-59 days	$	16,968	$	12,662	$	29,630
60-89 days	4,175		1,767		5,942
90 days or more	18,599		11,206		29,805
Total past due	39,742		25,635		65,377
Total current	2,447,420		4,921,101		7,368,521
Total conventional mortgage loans, amortized cost	$	2,487,162	$	4,946,736	$	7,433,898

16

Notes to Financial Statements, continued

(Unaudited, $ amounts in thousands unless otherwise indicated)

Other Delinquency Statistics as of June 30, 2022	Conventional			Government			Total
In process of foreclosure (1)	$	3,368		$	—		$	3,368
Serious delinquency rate (2)	0.21		%	1.05		%	0.23		%
Past due 90 days or more still accruing interest (3)	$	11,298		$	1,483		$	12,781
On non-accrual status (4)	$	10,788		$	—		$	10,788
Other Delinquency Statistics as of December 31, 2021
In process of foreclosure (1)	$	1,999		$	—		$	1,999
Serious delinquency rate (2)	0.40		%	0.86		%	0.41		%
Past due 90 days or more still accruing interest (3)	$	15,725		$	1,364		$	17,089
On non-accrual status (4)	$	23,487		$	—		$	23,487

(1)    Includes loans for which the decision of foreclosure or similar alternative, such as pursuit of deed-in-lieu of foreclosure, has been reported. Loans in process of foreclosure are included in past due categories depending on their delinquency status, but are not necessarily considered to be on non-accrual status.

(2)    Represents loans 90 days or more past due (including loans in process of foreclosure) expressed as a percentage of the total mortgage loans.

(3)    Although our past due scheduled/scheduled MPP loans are classified as loans past due 90 days or more based on the loan's delinquency status, we do not consider these loans to be on non-accrual status as they are well-secured and in the process of collection.

(4)    As of June 30, 2022 and December 31, 2021, $3,721 and $11,701, respectively, of UPB of these conventional mortgage loans on non-accrual status did not have a related allowance for credit losses because these loans were either previously charged off to the expected recoverable value and/or the fair value of the underlying collateral, including any credit enhancements, exceeded the amortized cost of the loans.

Allowance for Credit Losses. The table below presents a rollforward of our allowance for credit losses.

	Three Months Ended June 30,				Six Months Ended June 30,
Rollforward of Allowance	2022		2021		2022		2021
Balance, beginning of period	$	200	$	350	$	200	$	350
Charge-offs (1)	7		—		7		(92)
Recoveries	31		19		53		23
Provision for (reversal of) credit losses	(38)		(44)		(60)		44
Balance, end of period	$	200	$	325	$	200	$	325

(1)    Includes receipts of LRA funds on certain loans that are recorded as reversals of previous charge-offs.

Note 6 - Derivatives and Hedging Activities

Managing Credit Risk on Derivatives. We are subject to credit risk due to the risk of nonperformance by the counterparties to our derivative transactions.

Uncleared Derivatives. There were no uncleared derivative instruments with credit-risk-related contingent features that were in a net liability position (before cash collateral and related accrued interest on cash collateral) at June 30, 2022.

Cleared Derivatives. At June 30, 2022, we were not required by our clearing agents to post any margin in excess of the Clearinghouses' requirements.

17

Notes to Financial Statements, continued

(Unaudited, $ amounts in thousands unless otherwise indicated)

Financial Statement Effect and Additional Financial Information.

We record derivative instruments, related cash collateral received or pledged/posted and associated accrued interest on a net basis by clearing agent and/or by counterparty when the netting requirements have been met. The following table presents the notional amount and estimated fair value of derivative assets and liabilities.

	June 30, 2022						December 31, 2021
	Notional		Derivative		Derivative		Notional		Derivative		Derivative
	Amount		Assets		Liabilities		Amount		Assets		Liabilities
Derivatives designated as hedging instruments:
Interest-rate swaps	$	55,010,636	$	493,855	$	1,555,740	$	46,395,451	$	105,446	$	413,324
Derivatives not designated as hedging instruments:
Economic hedges:
Interest-rate swaps	9,270,000		1,987		1,363		8,595,000		357		148
Interest-rate caps/floors	611,000		1,208		—		625,500		1,077		—
Interest-rate forwards	32,200		352		66		98,200		1		199
MDCs	31,325		108		45		96,424		45		105
Total derivatives not designated as hedging instruments	9,944,525		3,655		1,474		9,415,124		1,480		452
Total derivatives before adjustments	$	64,955,161	497,510		1,557,214		$	55,810,575	106,926		413,776
Netting adjustments and cash collateral (1)			(171,662)		(1,543,645)				113,276		(401,591)
Total derivatives, net, at estimated fair value			$	325,848	$	13,569			$	220,202	$	12,185

(1)    Represents the application of the netting requirements that allow us to settle (i) positive and negative positions and (ii) cash collateral and related accrued interest held or placed, with the same clearing agent and/or counterparty. Cash collateral pledged to counterparties at June 30, 2022 and December 31, 2021, including accrued interest, totaled $1,511,166 and $515,761, respectively. Cash collateral received from counterparties and held at both June 30, 2022 and December 31, 2021, including accrued interest, totaled $139,183 and $894, respectively. At June 30, 2022 and December 31, 2021, no securities were pledged as collateral.

18

Notes to Financial Statements, continued

(Unaudited, $ amounts in thousands unless otherwise indicated)

The following table presents separately the estimated fair value of derivative instruments meeting and not meeting netting requirements, including the effect of the related collateral.

	June 30, 2022				December 31, 2021
	Derivative Assets		Derivative Liabilities		Derivative Assets		Derivative Liabilities
Derivative instruments meeting netting requirements:
Gross recognized amount
Uncleared	$	493,033	$	1,482,271	$	105,667	$	411,886
Cleared	4,017		74,832		1,213		1,586
Total gross recognized amount	497,050		1,557,103		106,880		413,472
Gross amounts of netting adjustments and cash collateral
Uncleared	(408,142)		(1,468,813)		(105,417)		(400,005)
Cleared	236,480		(74,832)		218,693		(1,586)
Total gross amounts of netting adjustments and cash collateral	(171,662)		(1,543,645)		113,276		(401,591)
Net amounts after netting adjustments and cash collateral
Uncleared	84,891		13,458		250		11,881
Cleared	240,497		—		219,906		—
Total net amounts after netting adjustments and cash collateral	325,388		13,458		220,156		11,881
Derivative instruments not meeting netting requirements (1)	460		111		46		304
Total derivatives, net, at estimated fair value	$	325,848	$	13,569	$	220,202	$	12,185

(1)    Includes MDCs and certain interest-rate forwards.

The following table presents the impact of qualifying fair-value hedging relationships on net interest income by hedged item, excluding any offsetting interest income/expense of the associated hedged items.

Three Months Ended June 30, 2022	Advances		AFS Securities		CO Bonds		Total
Net impact of fair-value hedging relationships on net interest income:
Net interest settlements on derivatives (1)	$	(18,870)	$	(11,663)	$	31,275	$	742
Net gains (losses) on derivatives (2)	141,937		106,280		(390,352)		(142,135)
Net gains (losses) on hedged items (3)	(147,671)		(122,790)		387,546		117,085
Net impact on net interest income	$	(24,604)	$	(28,173)	$	28,469	$	(24,308)
Total interest income (expense) recorded in the Statement of Income (4)	$	67,562	$	38,563	$	(99,192)	$	6,933

Three Months Ended June 30, 2021
Net impact of fair-value hedging relationships on net interest income:
Net interest settlements on derivatives (1)	$	(46,173)	$	(28,327)	$	22,011	$	(52,489)
Net gains (losses) on derivatives (2)	(12,098)		(87,731)		37,082		(62,747)
Net gains (losses) on hedged items (3)	10,494		81,883		(39,194)		53,183
Net impact on net interest income	$	(47,777)	$	(34,175)	$	19,899	$	(62,053)
Total interest income (expense) recorded in the Statement of Income (4)	$	28,175	$	21,184	$	(52,674)	$	(3,315)

19

Notes to Financial Statements, continued

(Unaudited, $ amounts in thousands unless otherwise indicated)

Six Months Ended June 30, 2022	Advances		AFS Securities		CO Bonds		Total
Net impact of fair-value hedging relationships on net interest income:
Net interest settlements on derivatives (1)	$	(59,024)	$	(34,128)	$	82,664	$	(10,488)
Net gains (losses) on derivatives (2)	498,571		284,010		(1,290,066)		(507,485)
Net gains (losses) on hedged items (3)	(500,575)		(314,279)		1,282,605		467,751
Net impact on net interest income	$	(61,028)	$	(64,397)	$	75,203	$	(50,222)
Total interest income (expense) recorded in the Statement of Income (4)	$	102,603	$	61,008	$	(150,891)	$	12,720

Six Months Ended June 30, 2021
Net impact of fair-value hedging relationships on net interest income:
Net interest settlements on derivatives (1)	$	(91,892)	$	(60,780)	$	34,237	$	(118,435)
Net gains (losses) on derivatives (2)	234,784		234,210		(81,111)		387,883
Net gains (losses) on hedged items (3)	(233,031)		(234,631)		84,221		(383,441)
Net impact on net interest income	$	(90,139)	$	(61,201)	$	37,347	$	(113,993)
Total interest income (expense) recorded in the Statement of Income (4)	$	64,284	$	51,020	$	(106,470)	$	8,834

(1)    Represents interest income/expense on derivatives in qualifying fair-value hedging relationships. Net interest settlements on derivatives that are not in qualifying fair-value hedging relationships are reported in other income.

(2)    Includes for the three months ended June 30, 2022 and 2021, increases (decreases) in estimated fair value totaling $(141,004) and $(62,754), respectively, and price alignment interest of $(1,131) and $7, respectively. Includes for the six months ended June 30, 2022 and 2021, increases (decreases) in estimated fair value totaling $(506,306) and $387,834, respectively, and price alignment interest of $(1,179) and $49, respectively.

(3)    Includes for the three months ended June 30, 2022 and 2021, increases (decreases) in estimated fair value totaling $134,151 and $57,142, respectively, and amortization of net losses on ineffective and discontinued fair-value hedging relationships of $(17,066) and $(3,959), respectively. Includes for the six months ended June 30, 2022 and 2021, increases (decreases) in estimated fair value totaling $501,499 and $(374,858), respectively, and amortization of net losses on ineffective and discontinued fair-value hedging relationships of $(33,748) and $(8,583), respectively.

(4)    For advances, AFS securities and CO bonds only.

The following table presents the components of net gains (losses) on derivatives reported in other income.

	Three Months Ended June 30,				Six Months Ended June 30,
Type of Hedge	2022		2021		2022		2021
Net gains (losses) on derivatives not designated as hedging instruments:
Economic hedges:
Interest-rate swaps	$	16,413	$	4,083	$	38,463	$	8,194
Interest-rate caps/floors	(42)		(528)		131		(396)
Interest-rate forwards	1,768		(1,344)		7,026		2,812
Net interest settlements (1)	881		(3,285)		(1,137)		(8,238)
MDCs	(1,817)		1,260		(7,286)		(3,024)
Net gains (losses) on derivatives in other income	$	17,203	$	186	$	37,197	$	(652)

(1)    Relates to derivatives that are not in qualifying fair-value hedging relationships. The interest income/expense of the associated hedged items is recorded in net interest income.

20

Notes to Financial Statements, continued

(Unaudited, $ amounts in thousands unless otherwise indicated)

The following table presents the amortized cost of, and the related cumulative basis adjustments on, hedged items in qualifying fair-value hedging relationships.

June 30, 2022	Advances		AFS Securities		CO Bonds
Amortized cost of hedged items (1)	$	16,303,974	$	10,164,322	$	26,730,944
Cumulative basis adjustments included in amortized cost:
For active fair-value hedging relationships (2)	$	(345,091)	$	(934,237)	$	(1,530,303)
For discontinued fair-value hedging relationships	136		357,242		—
Total cumulative fair-value hedging basis adjustments on hedged items	$	(344,955)	$	(576,995)	$	(1,530,303)

December 31, 2021
Amortized cost of hedged items (1)	$	17,374,515	$	9,007,993	$	20,902,714
Cumulative basis adjustments included in amortized cost:
For active fair-value hedging relationships (2)	$	178,543	$	(184,724)	$	(247,699)
For discontinued fair-value hedging relationships	572		390,923		—
Total cumulative fair-value hedging basis adjustments on hedged items	$	179,115	$	206,199	$	(247,699)

(1)    Includes the amortized cost of the hedged items in active or discontinued fair-value hedging relationships.

(2)    Includes effective and ineffective fair-value hedging relationships. Excludes any offsetting effect of the net estimated fair value of the associated derivatives.

Note 7 - Consolidated Obligations

In addition to being the primary obligor for all consolidated obligations issued on our behalf, we are jointly and severally liable with each of the other FHLBanks for the payment of the principal and interest on all of the FHLBanks' consolidated obligations outstanding. The par values of the FHLBanks' consolidated obligations outstanding at June 30, 2022 and December 31, 2021 totaled $882.5 billion and $652.9 billion, respectively. As provided by the Bank Act and Finance Agency regulations, consolidated obligations are backed only by the financial resources of all FHLBanks.

Discount Notes. The following table presents our discount notes outstanding, all of which are due within one year of issuance.

Discount Notes	June 30, 2022			December 31, 2021
Book value	$	19,587,260		$	12,116,358
Par value	19,617,332			12,117,846
Weighted average effective interest rate	1.17		%	0.05		%

21

Notes to Financial Statements, continued

(Unaudited, $ amounts in thousands unless otherwise indicated)

CO Bonds. The following table presents our CO bonds outstanding by contractual maturity.

	June 30, 2022			December 31, 2021
Year of Contractual Maturity	Amount		WAIR%	Amount		WAIR%
Due in 1 year or less	$	8,949,535	1.52	$	14,357,350	0.29
Due after 1 through 2 years	3,556,625		1.49	2,965,510		1.02
Due after 2 through 3 years	9,827,090		1.09	5,797,550		0.76
Due after 3 through 4 years	4,878,500		1.26	3,947,300		0.83
Due after 4 through 5 years	5,039,820		1.36	6,587,600		1.14
Thereafter	8,698,820		2.20	8,894,940		2.09
Total CO bonds, par value	40,950,390		1.51	42,550,250		0.96
Unamortized premiums	60,418			77,035
Unamortized discounts	(10,819)			(11,268)
Unamortized concessions	(7,321)			(6,746)
Fair-value hedging basis adjustments, net	(1,530,303)			(247,699)
Total CO bonds	$	39,462,365		$	42,361,572

The following tables present the par value of our CO bonds outstanding by redemption feature and the earlier of the year of contractual maturity or next call date.

Redemption Feature	June 30, 2022		December 31, 2021
Non-callable / non-putable	$	11,740,890	$	20,346,750
Callable	29,209,500		22,203,500
Total CO bonds, par value	$	40,950,390	$	42,550,250

Year of Contractual Maturity or Next Call Date	June 30, 2022		December 31, 2021
Due in 1 year or less	$	35,829,035	$	36,028,850
Due after 1 through 2 years	1,374,625		3,122,510
Due after 2 through 3 years	997,090		586,550
Due after 3 through 4 years	745,500		577,300
Due after 4 through 5 years	248,320		415,100
Thereafter	1,755,820		1,819,940
Total CO bonds, par value	$	40,950,390	$	42,550,250

The following table presents the par value of our CO bonds outstanding by interest-rate payment type.

Interest-Rate Payment Type	June 30, 2022		December 31, 2021
Fixed-rate	$	34,548,390	$	36,717,750
Step-up	2,233,500		898,500
Simple variable-rate	4,168,500		4,934,000
Total CO bonds, par value	$	40,950,390	$	42,550,250

22

Notes to Financial Statements, continued

(Unaudited, $ amounts in thousands unless otherwise indicated)

Note 8 - Affordable Housing Program

The following table summarizes the activity in our AHP funding obligation.

	Three Months Ended June 30,				Six Months Ended June 30,
AHP Activity	2022		2021		2022		2021
Liability at beginning of period	$	31,937	$	35,690	$	31,049	$	34,402
Assessment (expense)	3,623		2,008		6,828		5,451
Subsidy usage, net (1)	(6,607)		(6,933)		(8,924)		(9,088)
Liability at end of period	$	28,953	$	30,765	$	28,953	$	30,765

(1)    Subsidies disbursed are reported net of returns/recaptures of previously disbursed subsidies.

Note 9 - Capital

Classes of Capital Stock. The following table presents the capital stock outstanding by sub-series.

Capital Stock Outstanding	June 30, 2022		December 31, 2021
Class B-1	$	765,075	$	931,517
Class B-2	1,485,760		1,314,684
Total Class B	$	2,250,835	$	2,246,201

Mandatorily Redeemable Capital Stock. The following table presents the activity in our MRCS.

	Three Months Ended June 30,				Six Months Ended June 30,
MRCS Activity	2022		2021		2022		2021
Liability at beginning of period	$	45,591	$	232,695	$	50,422	$	250,768
Reclassification from capital stock	—		281		—		281
Redemptions/repurchases	(8)		(83)		(4,839)		(18,156)
Liability at end of period	$	45,583	$	232,893	$	45,583	$	232,893

The following table presents MRCS by contractual year of redemption. The year of redemption is the later of (i) the final year of the 5-year redemption period, or (ii) the first year in which a non-member no longer has an activity-based stock requirement.

MRCS Contractual Year of Redemption	June 30, 2022		December 31, 2021
Past contractual redemption date (1)	$	560	$	577
Year 1 (2)	12,298		11,835
Year 2	868		471
Year 3	12,124		9,873
Year 4	16,059		23,218
Year 5	3,674		4,448
Total MRCS	$	45,583	$	50,422

(1)    Balance represents Class B stock that will not be redeemed until the associated credit products and other obligations are no longer outstanding.

(2)    Balance at June 30, 2022 and December 31, 2021 includes $11,835 of Class B stock held by one captive insurance company whose membership was terminated on February 19, 2021 but will not be redeemed until the associated credit products and other obligations are no longer outstanding.

23

Notes to Financial Statements, continued

(Unaudited, $ amounts in thousands unless otherwise indicated)

The following table presents the distributions related to MRCS.

	Three Months Ended June 30,				Six Months Ended June 30,
MRCS Distributions	2022		2021		2022		2021
Recorded as interest expense	$	269	$	929	$	514	$	2,033
Recorded as distributions from retained earnings	—		1		—		84
Total	$	269	$	930	$	514	$	2,117

Capital Requirements. We are subject to three capital requirements under our capital plan and Finance Agency regulations as disclosed in Note 12 - Capital in our 2021 Form 10-K. As presented in the following table, we were in compliance with these Finance Agency's capital requirements at June 30, 2022 and December 31, 2021.

	June 30, 2022				December 31, 2021
Regulatory Capital Requirements	Required		Actual		Required		Actual
Risk-based capital	$	1,217,930	$	3,508,138	$	1,091,337	$	3,473,695
Total regulatory capital	$	2,570,651	$	3,508,138	$	2,400,184	$	3,473,695
Total regulatory capital-to-assets ratio	4.00%		5.46%		4.00%		5.79%
Leverage capital	$	3,213,313	$	5,262,207	$	3,000,230	$	5,210,543
Leverage ratio	5.00%		8.19%		5.00%		8.69%

Note 10 - Accumulated Other Comprehensive Income

The following table presents a summary of the changes in the components of AOCI.

AOCI Rollforward	Unrealized Gains (Losses) on AFS Securities		Pension Benefits		Total AOCI
Balance, March 31, 2022	$	77,479	$	(18,424)	$	59,055
OCI before reclassifications:
Net change in unrealized gains (losses)	(45,228)		—		(45,228)
Reclassifications from OCI to net income:
Pension benefits, net	—		329		329
Total other comprehensive income (loss)	(45,228)		329		(44,899)
Balance, June 30, 2022	$	32,251	$	(18,095)	$	14,156
Balance, March 31, 2021	$	210,450	$	(30,523)	$	179,927
OCI before reclassifications:
Net change in unrealized gains	4,502		—		4,502
Reclassifications from OCI to net income:
Pension benefits, net	—		8,995		8,995
Total other comprehensive income	4,502		8,995		13,497
Balance, June 30, 2021	$	214,952	$	(21,528)	$	193,424

24

Notes to Financial Statements, continued

(Unaudited, $ amounts in thousands unless otherwise indicated)

AOCI Rollforward	Unrealized Gains (Losses) on AFS Securities		Pension Benefits		Total AOCI
Balance, December 31, 2021	$	151,942	$	(18,884)	$	133,058
OCI before reclassifications:
Net change in unrealized gains (losses)	(119,691)		—		(119,691)
Reclassifications from OCI to net income:
Pension benefits, net	—		789		789
Total other comprehensive income (loss)	(119,691)		789		(118,902)
Balance, June 30, 2022	$	32,251	$	(18,095)	$	14,156
Balance, December 31, 2020	$	136,921	$	(31,519)	$	105,402
OCI before reclassifications:
Net change in unrealized gains	78,031		—		78,031
Reclassifications from OCI to net income:
Pension benefits, net	—		9,991		9,991
Total other comprehensive income	78,031		9,991		88,022
Balance, June 30, 2021	$	214,952	$	(21,528)	$	193,424

25

Notes to Financial Statements, continued

(Unaudited, $ amounts in thousands unless otherwise indicated)

Note 11 - Segment Information

The following table presents our financial performance by operating segment.

	Three Months Ended June 30, 2022						Three Months Ended June 30, 2021
	Traditional		Mortgage Loans		Total		Traditional		Mortgage Loans		Total
Net interest income	$	50,671	$	13,151	$	63,822	$	53,952	$	3,364	$	57,316
Provision for (reversal of) credit losses	—		(38)		(38)		—		(44)		(44)
Other income (loss)	(1,732)		34		(1,698)		(9,734)		(36)		(9,770)
Other expenses	22,436		3,767		26,203		24,221		4,216		28,437
Income (loss) before assessments	26,503		9,456		35,959		19,997		(844)		19,153
Affordable Housing Program assessments (credits)	2,677		946		3,623		2,093		(85)		2,008
Net income (loss)	$	23,826	$	8,510	$	32,336	$	17,904	$	(759)	$	17,145
	Six Months Ended June 30, 2022						Six Months Ended June 30, 2021
	Traditional		Mortgage Loans		Total		Traditional		Mortgage Loans		Total
Net interest income	$	103,361	$	25,045	$	128,406	$	128,137	$	3,700	$	131,837
Provision for (reversal of) credit losses	—		(60)		(60)		—		44		44
Other income (loss)	(8,942)		(158)		(9,100)		(22,611)		(135)		(22,746)
Other expenses	44,202		7,395		51,597		48,339		8,228		56,567
Income (loss) before assessments	50,217		17,552		67,769		57,187		(4,707)		52,480
Affordable Housing Program assessments (credits)	5,073		1,755		6,828		5,922		(471)		5,451
Net income (loss)	$	45,144	$	15,797	$	60,941	$	51,265	$	(4,236)	$	47,029

The following table presents our asset balances by operating segment.

By Date	Traditional		Mortgage Loans		Total
June 30, 2022	$	56,536,621	$	7,729,642	$	64,266,263
December 31, 2021	52,388,469		7,616,134		60,004,603

26

Notes to Financial Statements, continued

(Unaudited, $ amounts in thousands unless otherwise indicated)

Note 12 - Estimated Fair Values

The following tables present the carrying value and estimated fair value of each of our financial instruments. The total of the estimated fair values does not represent an estimate of our overall market value as a going concern, which would take into account, among other considerations, future business opportunities and the net profitability of assets and liabilities.

	June 30, 2022
			Estimated Fair Value
	Carrying										Netting
Financial Instruments	Value		Total		Level 1		Level 2		Level 3		Adjustments (1)
Assets:
Cash and due from banks	$	59,596	$	59,596	$	59,596	$	—	$	—	$	—
Interest-bearing deposits	325,041		325,041		325,000		41		—		—
Securities purchased under agreements to resell	4,500,000		4,500,000		—		4,500,000		—		—
Federal funds sold	2,496,000		2,496,000		—		2,496,000		—		—
Trading securities	4,039,407		4,039,407		—		4,039,407		—		—
AFS securities	10,196,572		10,196,572		—		10,196,572		—		—
HTM securities	3,877,299		3,821,942		—		3,821,942		—		—
Advances	30,507,462		30,354,762		—		30,354,762		—		—
Mortgage loans held for portfolio, net	7,729,642		7,213,065		—		7,199,864		13,201		—
Accrued interest receivable	96,937		96,937		—		96,937		—		—
Derivative assets, net	325,848		325,848		—		497,510		—		(171,662)
Grantor trust assets (2)	52,400		52,400		52,400		—		—		—
Liabilities:
Deposits	907,525		907,525		—		907,525		—		—
Consolidated obligations:
Discount notes	19,587,260		19,579,547		—		19,579,547		—		—
Bonds	39,462,365		38,768,013		—		38,768,013		—		—
Accrued interest payable	124,999		124,999		—		124,999		—		—
Derivative liabilities, net	13,569		13,569		—		1,557,214		—		(1,543,645)
MRCS	45,583		45,583		45,583		—		—		—

27

Notes to Financial Statements, continued

(Unaudited, $ amounts in thousands unless otherwise indicated)

	December 31, 2021
			Estimated Fair Value
	Carrying										Netting
Financial Instruments	Value		Total		Level 1		Level 2		Level 3		Adjustments (1)
Assets:
Cash and due from banks	$	867,880	$	867,880	$	867,880	$	—	$	—	$	—
Interest-bearing deposits	100,041		100,041		100,000		41		—		—
Securities purchased under agreements to resell	3,500,000		3,500,000		—		3,500,000		—		—
Federal funds sold	2,580,000		2,580,000		—		2,580,000		—		—
Trading securities	3,946,799		3,946,799		—		3,946,799		—		—
AFS securities	9,159,935		9,159,935		—		9,159,935		—		—
HTM securities	4,313,773		4,322,157		—		4,322,157		—		—
Advances	27,497,835		27,462,295		—		27,462,295		—		—
Mortgage loans held for portfolio, net	7,616,134		7,810,378		—		7,787,334		23,044		—
Accrued interest receivable	80,758		80,758		—		80,758		—		—
Derivative assets, net	220,202		220,202		—		106,926		—		113,276
Grantor trust assets (2)	62,640		62,640		62,640		—		—		—
Liabilities:
Deposits	1,366,397		1,366,397		—		1,366,397		—		—
Consolidated obligations:
Discount notes	12,116,358		12,115,318		—		12,115,318		—		—
Bonds	42,361,572		42,643,536		—		42,643,536		—		—
Accrued interest payable	88,068		88,068		—		88,068		—		—
Derivative liabilities, net	12,185		12,185		—		413,776		—		(401,591)
MRCS	50,422		50,422		50,422		—		—		—

(1)    Represents the application of the netting requirements that allow us to settle (i) positive and negative positions and (ii) cash collateral and related accrued interest held or placed with the same clearing agent and/or counterparty.

(2)    Included in other assets on the statement of condition.

Summary of Valuation Techniques and Significant Inputs. A description of the valuation techniques, significant inputs, and levels of fair value hierarchy is disclosed in Note 16 - Estimated Fair Values in our 2021 Form 10-K. No significant changes have been made in the current year.

28

Notes to Financial Statements, continued

(Unaudited, $ amounts in thousands unless otherwise indicated)

Estimated Fair Value Measurements. The following tables present, by level within the fair value hierarchy, the estimated fair value of our financial assets and liabilities that are recorded at estimated fair value on a recurring or non-recurring basis on our statement of condition.

									Netting
June 30, 2022	Total		Level 1		Level 2		Level 3		Adjustments (1)
Trading securities:
U.S. Treasury obligations	$	4,039,407	$	—	$	4,039,407	$	—	$	—
Total trading securities	4,039,407		—		4,039,407		—		—
AFS securities:
U.S. Treasury obligations	2,105,878		—		2,105,878		—		—
GSE and TVA debentures	2,086,063		—		2,086,063		—		—
GSE multifamily MBS	6,004,631		—		6,004,631		—		—
Total AFS securities	10,196,572		—		10,196,572		—		—
Derivative assets:
Interest-rate related	325,740		—		497,402		—		(171,662)
MDCs	108		—		108		—		—
Total derivative assets, net	325,848		—		497,510		—		(171,662)
Other assets:
Grantor trust assets	52,400		52,400		—		—		—
Total assets at recurring estimated fair value	$	14,614,227	$	52,400	$	14,733,489	$	—	$	(171,662)
Derivative liabilities:
Interest-rate related	$	13,524	$	—	$	1,557,169	$	—	$	(1,543,645)
MDCs	45		—		45		—		—
Total derivative liabilities, net	13,569		—		1,557,214		—		(1,543,645)
Total liabilities at recurring estimated fair value	$	13,569	$	—	$	1,557,214	$	—	$	(1,543,645)
Mortgage loans held for portfolio (2)	$	970	$	—	$	—	$	970	$	—
Total assets at non-recurring estimated fair value	$	970	$	—	$	—	$	970	$	—

29

Notes to Financial Statements, continued

(Unaudited, $ amounts in thousands unless otherwise indicated)

									Netting
December 31, 2021	Total		Level 1		Level 2		Level 3		Adjustments (1)
Trading securities:
U.S. Treasury obligations	$	3,946,799	$	—	$	3,946,799	$	—	$	—
Total trading securities	3,946,799		—		3,946,799		—		—
AFS securities:
GSE and TVA debentures	2,697,116		—		2,697,116		—		—
GSE MBS	6,462,819		—		6,462,819		—		—
Total AFS securities	9,159,935		—		9,159,935		—		—
Derivative assets:
Interest-rate related	220,157		—		106,881		—		113,276
MDCs	45		—		45		—		—
Total derivative assets, net	220,202		—		106,926		—		113,276
Other assets:
Grantor trust assets	62,640		62,640		—		—		—
Total assets at recurring estimated fair value	$	13,389,576	$	62,640	$	13,213,660	$	—	$	113,276
Derivative liabilities:
Interest-rate related	$	12,080	$	—	$	413,671	$	—	$	(401,591)
MDCs	105		—		105		—		—
Total derivative liabilities, net	12,185		—		413,776		—		(401,591)
Total liabilities at recurring estimated fair value	$	12,185	$	—	$	413,776	$	—	$	(401,591)
Mortgage loans held for portfolio (2)	$	1,141	$	—	$	—	$	1,141	$	—
Total assets at non-recurring estimated fair value	$	1,141	$	—	$	—	$	1,141	$	—

(1)    Represents the application of the netting requirements that allow us to settle (i) positive and negative positions and (ii) cash collateral and related accrued interest held or placed with the same clearing agent and/or counterparty.

(2)    Amounts are as of the date the most recent fair-value adjustment was recorded.

Note 13 - Commitments and Contingencies

The following table presents our off-balance-sheet commitments at their notional amounts.

	June 30, 2022
Type of Commitment	Expire within one year		Expire after one year		Total
Standby letters of credit outstanding	$	48,363	$	616,213	$	664,576
Unused lines of credit (1)	906,668		—		906,668
Commitments to fund additional advances (2)	68,000		—		68,000
Commitments to fund or purchase mortgage loans, net (3)	31,325		—		31,325
Unsettled CO bonds, at par	43,800		—		43,800
Unsettled discount notes, at par	424,000		—		424,000

(1)    Maximum line of credit amount per member is $100,000.

(2)    Generally for periods up to six months.

(3)    Generally for periods up to 91 days.

30

Notes to Financial Statements, continued

(Unaudited, $ amounts in thousands unless otherwise indicated)

Pledged Collateral. At June 30, 2022 and December 31, 2021, we had pledged cash collateral of $1,509,963 and $515,740, respectively, to counterparties and clearing agents. At June 30, 2022 and December 31, 2021, we had not pledged any securities as collateral.

Legal Proceedings. We are subject to legal proceedings arising in the normal course of business. We record an accrual for a loss contingency when it is probable that a loss for which we could be liable has been incurred and the amount can be reasonably estimated. After consultation with legal counsel, management is not aware of any such proceedings where the ultimate liability, if any, could have a material effect on our financial condition, results of operations or cash flows.

Additional discussion of other commitments and contingencies is provided in Note 4 - Advances; Note 5 - Mortgage Loans Held for Portfolio; Note 6 - Derivatives and Hedging Activities; Note 7 - Consolidated Obligations; Note 9 - Capital; and Note 12 - Estimated Fair Values.

Note 14 - Related Party and Other Transactions

Transactions with Directors Financial Institutions. The following table presents our transactions with directors' financial institutions, taking into account the beginning and ending dates of the directors' terms, merger activity and other changes in the composition of directors' financial institutions.

Transactions with Directors' Financial Institutions	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
Net capital stock issuances (redemptions and repurchases)	$	3,437	$	—	$	(46,983)	$	—
Net advances (repayments)	3,034,988		(993,987)		1,234,703		(2,043,264)
Mortgage loan purchases	4,025		16,745		12,747		29,622

The following table presents the aggregate balances of capital stock and advances outstanding for directors' financial institutions and their balances as a percent of the total balances on our statement of condition.

	June 30, 2022				December 31, 2021
Balances with Directors' Financial Institutions	Par value		% of Total		Par value		% of Total
Capital stock	$	381,061	17	%	$	440,949	19	%
Advances	4,695,040		16	%	3,854,856		14	%

The composition of directors' financial institutions changed effective January 1, 2022, due to changes in board membership resulting from the 2021 director election.

Transactions with Other FHLBanks. Occasionally, we loan or borrow short-term funds to/from other FHLBanks. There were no loans to or borrowings from other FHLBanks that remained outstanding at June 30, 2022 or December 31, 2021.

31

DEFINED TERMS

2005 SERP: Federal Home Loan Bank of Indianapolis 2005 Supplemental Executive Retirement Plan, as amended and restated

advance: Secured loan to members, former members or Housing Associates

AFS: Available-for-Sale

Agency: GSE and Ginnie Mae

AHP: Affordable Housing Program

AMA: Acquired Member Assets

AOCI: Accumulated Other Comprehensive Income (Loss)

Bank Act: Federal Home Loan Bank Act of 1932, as amended

bps: basis points

CDFI: Community Development Financial Institution

CFI: Community Financial Institution, an FDIC-insured depository institution with average total assets below an annually- adjusted limit established by the Finance Agency Director based on the Consumer Price Index

CFPB: Bureau of Consumer Financial Protection

CFTC: United States Commodity Futures Trading Commission

Clearinghouse: A United States Commodity Futures Trading Commission-registered derivatives clearing organization

CME: CME Clearing

CMO: Collateralized Mortgage Obligation

CO bond: Consolidated Obligation bond

COVID-19: Coronavirus Disease 2019 and its variants

DB Plan: Pentegra Defined Benefit Pension Plan for Financial Institutions, as amended

DC Plan: Collectively, the Pentegra Defined Contribution Retirement Savings Plan for Financial Institutions, as amended, in effect through October 1, 2020 and the Federal Home Loan Bank of Indianapolis Retirement Savings Plan, commencing October 2, 2020

DDCP: Directors' Deferred Compensation Plan

EFFR: Effective Federal Funds Rate

Exchange Act: Securities Exchange Act of 1934, as amended

Fannie Mae: Federal National Mortgage Association

FASB: Financial Accounting Standards Board

FCA: United Kingdom Financial Conduct Authority

FDIC: Federal Deposit Insurance Corporation

FHA: Federal Housing Administration

FHLBank: A Federal Home Loan Bank

FHLBanks: The 11 Federal Home Loan Banks or a subset thereof

FHLBank System: The 11 Federal Home Loan Banks and the Office of Finance

FICO®: Fair Isaac Corporation, the creators of the FICO credit score

Final Membership Rule: Final Rule on FHLBank Membership issued by the Finance Agency effective February 19, 2016

Finance Agency: Federal Housing Finance Agency

FINRA: Financial Industry Regulatory Authority

FLA: First Loss Account

FOMC: Federal Open Market Committee

Form 8-K: Current Report on Form 8-K as filed with the SEC under the Exchange Act

Form 10-K: Annual Report on Form 10-K as filed with the SEC under the Exchange Act

Form 10-Q: Quarterly Report on Form 10-Q as filed with the SEC under the Exchange Act

Freddie Mac: Federal Home Loan Mortgage Corporation

Frozen SERP: Federal Home Loan Bank of Indianapolis Supplemental Executive Retirement Plan, frozen effective December 31, 2004

GAAP: Generally Accepted Accounting Principles in the United States of America

Ginnie Mae: Government National Mortgage Association

GLB Act: Gramm-Leach-Bliley Act of 1999, as amended

GSE: United States Government-Sponsored Enterprise

Housing Associate: Approved lender under Title II of the National Housing Act of 1934 that is either a government agency or is chartered under federal or state law with rights and powers similar to those of a corporation

HTM: Held-to-Maturity

JCE Agreement: Joint Capital Enhancement Agreement, as amended, among the 11 FHLBanks

LCH: LCH.Clearnet LLC

LIBOR: London Interbank Offered Rate

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LRA: Lender Risk Account

LTV: Loan-to-Value

MBS: Mortgage-Backed Securities

MCC: Master Commitment Contract

MDC: Mandatory Delivery Commitment

Moody's: Moody's Investor Services

MPF: Mortgage Partnership Finance®

MPP: Mortgage Purchase Program, including Original and Advantage unless indicated otherwise

MRCS: Mandatorily Redeemable Capital Stock

MVE: Market Value of Equity

NRSRO: Nationally Recognized Statistical Rating Organization

OCC: Office of the Comptroller of the Currency

OCI: Other Comprehensive Income (Loss)

OIS: Overnight-Indexed Swap

ORERC: Other Real Estate-Related Collateral

OTTI: Other-Than-Temporary Impairment or -Temporarily Impaired (as the context indicates)

PFI: Participating Financial Institution

PMI: Primary Mortgage Insurance

REO: Real Estate Owned

RMBS: Residential Mortgage-Backed Securities

S&P: Standard & Poor's Rating Service

SBA: Small Business Administration

SEC: Securities and Exchange Commission

Securities Act: Securities Act of 1933, as amended

SERP: Collectively, the 2005 SERP and the Frozen SERP

SETP: Federal Home Loan Bank of Indianapolis 2016 Supplemental Executive Thrift Plan, as amended and restated

SMI: Supplemental Mortgage Insurance

SOFR: Secured Overnight Financing Rate

TBA: To Be Announced, a forward contract for the purchase or sale of MBS at a future agreed-upon date for an established price

TDR: Troubled Debt Restructuring

TVA: Tennessee Valley Authority

UPB: Unpaid Principal Balance

VaR: Value at Risk

WAIR: Weighted-Average Interest Rate

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Item 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Presentation 

This discussion and analysis by management of the Bank's financial condition and results of operations should be read in conjunction with our 2021 Form 10-K and the interim Financial Statements and related Notes to Financial Statements contained in Item 1. Financial Statements.

Unless otherwise stated, amounts disclosed in this Item are rounded to the nearest million; therefore, dollar amounts of less than one million may not be reflected or, due to rounding, may not appear to agree to the amounts presented in thousands in the Financial Statements and related Notes to Financial Statements. Amounts used to calculate dollar and percentage changes are based on numbers in the thousands. Accordingly, calculations based upon the disclosed amounts (millions) may not produce the same results.

Executive Summary

Overview. As an FHLBank, we are a regional wholesale bank that serves as a financial intermediary between the capital markets and our members. The Bank is structured as a financial cooperative. Therefore, it is generally designed to expand and contract in asset size as the needs of our members and their communities change. We primarily make secured loans in the form of advances to our members and purchase whole mortgage loans from our members. Additionally, we purchase other investments and provide other financial services to our members.

Our principal source of funding is the proceeds from the sale to the public of FHLBank debt instruments, called consolidated obligations, which are the joint and several obligation of all FHLBanks. We obtain additional funds from deposits, other borrowings, and by issuing capital stock to our members.

Our primary source of revenue is interest earned on advances, mortgage loans, and investments, including MBS.

Our net interest income is primarily determined by the spread between the interest rate earned on our assets and the interest rate paid on our share of the consolidated obligations. A substantial portion of net interest income may also be derived from deploying our interest-free capital. We use funding and hedging strategies to manage the related interest-rate risk.

Due to our cooperative structure and wholesale nature, we typically earn a narrow interest spread. Accordingly, our net income is relatively low compared to our total assets and capital.

We group our products and services within two operating segments: traditional and mortgage loans.

Business Environment. The Bank’s financial performance is influenced by several key national economic and market factors, including fiscal and monetary policies, the strength of the housing markets and the level and volatility of market interest rates.

Economy and Financial Markets. U.S. real gross domestic product ("GDP") decreased at an annual inflation and seasonally-adjusted rate of 0.9% in the second quarter of 2022, according to the advance estimate reported by the Bureau of Economic Analysis (BEA), following an annualized decrease of 1.6% in the first quarter of 2022, as revised by the BEA. The first quarter GDP was the weakest since the spring of 2020, when the COVID-19 pandemic and related shutdowns drove the U.S. economy into a deep-albeit short-recession. In the second quarter, the housing market rapidly cooled under rising interest rates and high inflation took steam out of business and consumer spending. The two straight quarters of declining economic output met a commonly used definition of a recession.

However, the labor market remained very tight and a key source of economic strength. Hiring gains in June held near the previous three months. Jobless claims - a proxy for layoffs - ticked up in recent months but remained near historic lows as employers clung to employees amid a shortage of available workers. In July 2022, the Bureau of Labor Statistics reported that the U.S. unemployment rate remained at 3.6% in June 2022, down from 3.9% in December 2021, but still just slightly above the half-century low reached before the pandemic hit in early 2020. High inflation, though, cut into households' purchasing power. Consumer prices rose 9.1% in June from a year earlier, a four-decade high, driven by a big jump in gasoline prices, while increases in shelter and food prices were also major contributors.

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Conditions in U.S. Housing Markets. Conditions in the U.S. housing markets primarily affect the Bank through the creation of demand for, and yield on, advances and mortgage loans, as well as the yield on investments in MBS.

In the second quarter 2022, the housing market rapidly cooled as record prices and higher mortgage rates weighed on home sales. Existing-home sales decreased in June 2022, marking five consecutive months of declines, according to the National Association of Realtors. Year-over-year sales in June fell 14.2%. The median sales price of an existing home climbed in June by 13.4% from a year earlier, reaching the highest level since related records began in 1999. Home prices consistently moved upward as supply remained tight. Total housing inventory at the end of June was enough to cover three months of sales, the highest in nearly two years but still historically low. According to Freddie Mac, the average commitment rate for a 30-year, conventional, fixed-rate mortgage was 5.52% in June 2022, compared to 2.98% in June 2021. With sustained price appreciation and higher mortgage rates, affordability continued to be a challenge for potential home buyers. Residential construction in the U.S. slowed, as housing starts fell in June for the second straight month and the number of building permits issued declined.

Interest Rate Levels and Volatility. At its meetings on May 4, 2022 and June 15, 2022, the FOMC noted that inflation remained elevated, reflecting supply and demand imbalances related to the pandemic, higher energy prices, and broader price pressures. To achieve its goals of maximum employment and inflation at the rate of 2% over the longer run, the FOMC decided to raise the target range for the federal funds rate in March 2022 to 0.75% to 1.0% and in June to 1.50% to 1.75%. In addition, the FOMC began reducing its holdings of Treasury securities and Agency debt and Agency MBS on June 1, 2022.

The following table presents certain key interest rates.

	Average for Three Months Ended				Six-Month Average				Period End
	June 30,				June 30,				June 30,		December 31,
	2022		2021		2022		2021		2022		2021
Federal Funds Effective	0.76	%	0.07	%	0.44	%	0.07	%	1.58	%	0.07	%
SOFR	0.71	%	0.02	%	0.40	%	0.03	%	1.50	%	0.05	%
Overnight LIBOR	0.77	%	0.07	%	0.44	%	0.07	%	1.58	%	0.06	%
1-week OIS	0.84	%	0.07	%	0.49	%	0.07	%	1.59	%	0.08	%
3-month LIBOR	1.54	%	0.16	%	1.02	%	0.18	%	2.29	%	0.21	%
3-month U.S. Treasury yield	1.07	%	0.02	%	0.69	%	0.03	%	1.67	%	0.04	%
2-year U.S Treasury yield	2.72	%	0.17	%	2.09	%	0.15	%	2.96	%	0.73	%
10-year U.S. Treasury yield	2.93	%	1.58	%	2.44	%	1.45	%	3.02	%	1.51	%

The level and volatility of interest rates during the three and six months ended June 30, 2022 were affected by several factors, principally efforts by the Federal Reserve to raise interest rates and tighten monetary policy to combat high inflation.

At its meeting on July 27, 2022, the FOMC again indicated that inflation remained elevated, reflecting supply and demand imbalances. It also noted that Russia's war with Ukraine and related events were creating additional upward pressure on inflation and were weighing on global economic activity. Therefore, it remains highly attentive to inflation risks. To achieve its goals, the FOMC decided to raise the target range for the federal funds rate to 2.25% to 2.50%. It anticipated that ongoing increases in the target range will be appropriate.

Impact on Operating Results. Market interest rates and trends affect yields and margins on earning assets, including advances, purchased mortgage loans, and our investment portfolio, which contribute to our overall profitability. Additionally, market interest rates drive mortgage origination and prepayment activity, which can lead to net interest margin volatility in our MPP and MBS portfolios. A flat or inverted yield curve, in which the difference between short-term interest rates and long-term interest rates is low, or negative, respectively, can have an unfavorable impact on our net interest margins. A steep yield curve, in which the difference between short-term and long-term interest rates is high, can have a favorable impact on our net interest margins. The level of interest rates also directly affects our earnings on assets funded by our interest-free capital.

Lending and investing activity by our member institutions is a key driver for our balance sheet and income growth. Such activity is a function of both prevailing interest rates and economic activity, including local economic factors, particularly relating to the housing and mortgage markets. Positive economic trends can drive interest rates higher, which can impair growth of the mortgage market. A less active mortgage market can affect demand for advances and activity levels in our Advantage MPP. However, borrowing patterns between our insurance company and depository members can differ during various economic and market conditions, thereby easing the potential magnitude of core business fluctuations during business cycles. Member demand for liquidity during stressed market conditions can lead to advances growth.

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Results of Operations and Changes in Financial Condition

Results of Operations for the Three and Six Months Ended June 30, 2022 and 2021. The following table presents the comparative highlights of our results of operations ($ amounts in millions).

	Three Months Ended June 30,								Six Months Ended June 30,
Condensed Statements of Comprehensive Income	2022		2021		$ Change		% Change		2022		2021		$ Change		% Change
Net interest income	$	64	$	57	$	7	11	%	$	128	$	132	$	(4)	(3)	%
Provision for (reversal of) credit losses	—		—		—				—		—		—
Net interest income after provision for credit losses	64		57		7		11	%	128		132		(4)		(3)	%
Other income (loss)	(2)		(10)		8				(9)		(23)		14
Other expenses	26		28		(2)				51		57		(6)
Income before assessments	36		19		17		88	%	68		52		16		29	%
AHP assessments	4		2		2				7		5		2
Net income	32		17		15		89	%	61		47		14		30	%
Total other comprehensive income (loss)	(45)		13		(58)				(119)		88		(207)
Total comprehensive income (loss)	$	(13)	$	30	$	(43)	(141)	%	$	(58)	$	135	$	(193)	(143)	%

The increase in net income for the three months ended June 30, 2022 compared to the corresponding period in the prior year was primarily due to lower amortization of mortgage purchase premiums, resulting from lower prepayments, and higher earnings on the portion of the Bank's assets funded by its capital, each driven by the increase in market interest rates, partially offset by declines in the fair values of the investments indirectly funding certain employee benefit plans.

The increase in net income for the six months ended June 30, 2022 compared to the corresponding period in the prior year was primarily due to lower amortization of mortgage purchase premiums, resulting from lower prepayments, and higher earnings on the portion of the Bank's assets funded by its capital, each driven by the increase in market interest rates, partially offset by net hedging losses on qualifying fair-value hedging relationships and declines in the fair values of the investments indirectly funding certain employee benefit plans.

The decrease in total OCI for the three and six months ended June 30, 2022 compared to the corresponding periods in the prior year was substantially due to unrealized losses on AFS securities, in particular investments in MBS, driven by the increase in market interest rates. However, our AFS securities remained in a net unrealized gain position at June 30, 2022.

The following table presents return on average assets and return on average equity.

	Three Months Ended June 30,				Six Months Ended June 30,
Ratios	2022		2021		2022		2021
Return on average assets	0.21	%	0.11	%	0.20	%	0.14	%
Return on average equity	3.71	%	1.94	%	3.48	%	2.66	%

Adjusted Net Income, a Non-GAAP Financial Measure. The Bank reports its results of operations in accordance with GAAP. Management believes that a non-GAAP financial measure may also be useful to shareholders and other stakeholders as a key measure of its operating performance. Such measure can also provide additional insights into period-to-period comparisons of the Bank's operating results beyond its GAAP results, which are impacted by temporary changes in fair value and other factors driven by market volatility that hinder consistent performance measurement. As a result, the Bank is reporting adjusted net income as a non-GAAP financial measure.

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Adjusted net income represents GAAP net income adjusted to exclude: (i) the mark-to-market adjustments and other transitory effects from derivatives and trading/hedging activities, (ii) interest expense on MRCS, (iii) realized gains and losses on sales of investment securities, and (iv) at the discretion of management, other eligible non-routine transactions. These adjustments reflect (i) the temporary nature of fair-value and certain other hedging gains (losses) due to the Bank's practice of holding its financial instruments to maturity, (ii) the reclassification of interest on MRCS as dividends, (iii) the sale of investment securities, primarily for liquidity purposes or to reduce exposure to LIBOR-indexed instruments, the gains (losses) on which arise from accelerating the recognition of future income (expense), and (iv) any other eligible non-routine transactions that management determines can provide additional insights into period-to-period comparisons of the Bank’s operating results beyond its GAAP results.

Non-GAAP financial measures are not audited. In addition, non-GAAP financial measures have no standardized measurement prescribed by GAAP and may not be comparable to similar non-GAAP financial measures used by other companies. While management believes that adjusted net income is helpful in understanding the Bank's performance, this measure has limitations as an analytical tool and should not be considered in isolation or as a substitute for analyses of earnings reported in accordance with GAAP.

The following table presents a reconciliation of the Bank's GAAP net income to adjusted net income ($ amounts in millions):

	Three Months Ended June 30,				Six Months Ended June 30,
Reconciliation of Net Income	2022		2021		2022		2021
GAAP net income	$	32.3	$	17.1	$	60.9	$	47.0
Adjustments to exclude:
Fair-value hedging (gains) losses (1)	6.8		5.6		4.8		(13.0)
Amortization/accretion of (gains) losses on ineffective and discontinued fair-value hedging relationships (2)	17.3		7.5		34.1		12.9
Trading (gains) losses, net of economic hedging gains (losses) (3)	(0.8)		10.1		(0.7)		19.1
Net unrealized (gains) losses on other economic hedges	(1.5)		0.1		0.3		0.5
Interest expense on MRCS	0.3		0.9		0.5		2.0
Total adjustments	22.1		24.2		39.0		21.5
AHP assessments on adjustments	(2.2)		(2.3)		(3.8)		(1.9)
Adjusted net income (non-GAAP measure)	$	52.2	$	39.0	$	96.1	$	66.6

(1)     Changes in fair value on hedged items (attributable to the risk being hedged) and associated derivatives in qualifying hedging relationships.

(2)     Gains (losses) resulting from cumulative basis adjustments on hedged items.

(3)     Includes both (i) unrealized (gains) losses on trading securities and (ii) realized (gains) losses on maturities and sales of trading securities.

Adjusted net income for the three months ended June 30, 2022 was $52.2 million, an increase of $13.2 million compared to the corresponding period in the prior year. The increase was primarily due to lower accelerated amortization of mortgage purchase premiums, resulting from lower prepayments, higher interest spreads, and higher earnings on the portion of the Bank's assets funded by its capital, partially offset by declines in the fair values of the investments indirectly funding certain employee benefit plans.

Adjusted net income for the six months ended June 30, 2022 was $96.1 million, an increase of $29.5 million compared to the corresponding period in the prior year. The increase was primarily due to lower accelerated amortization of mortgage purchase premiums, resulting from lower prepayments, and higher interest spreads, partially offset by declines in the fair values of the investments indirectly funding certain employee benefit plans and lower earnings on trading securities.

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Changes in Financial Condition for the Six Months Ended June 30, 2022. The following table presents the comparative highlights of our changes in financial condition ($ amounts in millions).

Condensed Statements of Condition	June 30, 2022		December 31, 2021		$ Change		% Change
Advances	$	30,507	$	27,498	$	3,009	11	%
Mortgage loans held for portfolio, net	7,730		7,616		114		1	%
Cash and short-term investments (1)	7,381		7,048		333		5	%
Investment securities and other assets (2)	18,648		17,843		805		5	%
Total assets	$	64,266	$	60,005	$	4,261	7	%
Consolidated obligations	$	59,050	$	54,478	$	4,572	8	%
MRCS	46		50		(4)		(10)	%
Other liabilities	1,693		1,921		(228)		(12)	%
Total liabilities	60,789		56,449		4,340		8	%
Capital stock	2,251		2,246		5		—	%
Retained earnings (3)	1,212		1,177		35		3	%
AOCI	14		133		(119)		(89)	%
Total capital	3,477		3,556		(79)		(2)	%
Total liabilities and capital	$	64,266	$	60,005	$	4,261	7	%
Total regulatory capital (4)	$	3,509	$	3,473	$	36	1	%

(1)    Includes cash, interest-bearing deposits, securities purchased under agreements to resell, and federal funds sold.

(2)    Includes trading, AFS and HTM securities.

(3)    Includes restricted retained earnings at June 30, 2022 and December 31, 2021 of $299 million and $287 million, respectively.

(4)    Total capital less AOCI plus MRCS.

Total assets at June 30, 2022 were $64.3 billion, a net increase of $4.3 billion, or 7%, from December 31, 2021, driven primarily by a net increase in advances outstanding.

Advances outstanding at June 30, 2022, at carrying value, totaled $30.5 billion, a net increase of $3.0 billion, or 11%, from December 31, 2021. The par value of advances to depository institutions - comprising commercial banks, savings institutions and credit unions - and insurance companies increased by 16% and 9%, respectively.

Mortgage loans held for portfolio at June 30, 2022 totaled $7.7 billion, a net increase of $114 million, or 1%, from December 31, 2021, as the Bank's purchases exceeded principal repayments by borrowers.

The liquidity portfolio, which consists of cash and short-term investments as well as U.S. Treasury obligations, at June 30, 2022 totaled $11.4 billion, a net increase of $425 million, or 4%, from December 31, 2021. Cash and short-term investments increased by $333 million, or 5%, to $7.4 billion. U.S. Treasury obligations, classified as trading securities, increased by $92 million, or 2%, to $4.0 billion. As a result, cash and short-term investments represented 65% of the liquidity portfolio at June 30, 2022, while U.S. Treasury obligations represented 35%.

FHLBank Indianapolis' consolidated obligations outstanding at June 30, 2022 totaled $59.0 billion, a net increase of $4.6 billion, or 8%, from December 31, 2021, which reflected increased funding needs associated with the net increase in the Bank's total assets.

Total capital at June 30, 2022 was $3.5 billion, a net decrease of $79 million, or 2%, from December 31, 2021, primarily due to other comprehensive losses.

The Bank's regulatory capital-to-assets ratio at June 30, 2022 was 5.46%, which exceeds all applicable regulatory capital requirements.

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Outlook. We believe that our financial performance will continue to provide reasonable, risk-adjusted returns for our members across a wide range of business, financial, and economic environments.

During 2022, demand by our members for advances has increased in response to loan growth significantly outpacing their deposit growth, rising market interest rates, and the availability of suitable products to assist our members in managing their balance sheets in the current economic environment. However, if the anticipated merger of Flagstar Bank, historically one of our largest and most active borrowers, into a non-member depository institution results in repayment of their outstanding advances this year, we expect total advances outstanding at December 31, 2022 to approximate the balance outstanding at December 31, 2021.

Our net income for the six months ended June 30, 2022 was $60.9 million, an increase of $13.9 million compared to the corresponding period in the prior year. Based primarily on wider mortgage spreads, substantially resulting from lower loan prepayments, and higher earnings on the portion of the Bank's floating-rate assets funded by its capital, we expect a similar level of net income for the second half of the year. Such level of earnings in 2022 would be significantly higher than earnings in 2021, and would lead to significantly higher allocations to our AHP.

However, the ultimate effects of economic and financial markets activity, including fiscal and monetary policies, the strength of the housing markets and the level and volatility of market interest rates continue to evolve and are highly uncertain and, therefore, the future impact on our business is difficult to predict.

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Analysis of Results of Operations for the Three and Six Months Ended June 30, 2022 and 2021.

Net Interest Income. The following table presents average daily balances, interest income/expense, and average yields/cost of funds of our major categories of interest-earning assets and their funding sources ($ amounts in millions).

	Three Months Ended June 30,
	2022						2021
	Average Balance		Interest Income/ Expense (1)		Average Yield/ Cost of Funds (1) (2)		Average Balance		Interest Income/ Expense (1)		Average Yield/ Cost of Funds (1) (2)
Assets:
Federal funds sold and securities purchased under agreements to resell	$	7,223	$	14	0.76	%	$	7,219	$	1	0.05	%
Investment securities (3)	18,060		56		1.24	%	19,607		43		0.89	%
Advances (4)	27,455		68		0.99	%	29,010		28		0.39	%
Mortgage loans held for portfolio (4) (5)	7,736		51		2.67	%	7,875		40		2.04	%
Other assets (interest-earning) (6)	1,458		3		0.73	%	731		—		0.07	%
Total interest-earning assets	61,932		192		1.24	%	64,442		112		0.70	%
Other assets (7)	(413)						571
Total assets	$	61,519					$	65,013
Liabilities and Capital:
Interest-bearing deposits	$	1,215	2		0.51	%	$	1,694	—		0.01	%
Discount notes	17,102		27		0.62	%	16,497		2		0.04	%
CO bonds (4)	39,146		99		1.02	%	42,319		52		0.50	%
MRCS	46		—		2.37	%	233		1		1.60	%
Total interest-bearing liabilities	57,509		128		0.89	%	60,743		55		0.37	%
Other liabilities	512						716
Total capital	3,498						3,554
Total liabilities and capital	$	61,519					$	65,013
Net interest income			$	64					$	57
Net spread on interest-earning assets less interest-bearing liabilities (2)					0.35	%					0.33	%
Net interest margin (8)					0.41	%					0.36	%
Average interest-earning assets to interest-bearing liabilities	1.08						1.06

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	Six Months Ended June 30,
	2022						2021
	Average Balance		Interest Income/ Expense (1)		Average Yield/ Cost of Funds (1) (2)		Average Balance		Interest Income/ Expense (1)		Average Yield/Cost of Funds (1) (2)
Assets:
Federal funds sold and securities purchased under agreements to resell	$	6,638	$	15	0.47	%	$	7,757	$	2	0.05	%
Investment securities (3)	17,826		92		1.03	%	19,817		99		1.01	%
Advances (4)	26,963		102		0.77	%	29,317		65		0.44	%
Mortgage loans held for portfolio (4) (5)	7,697		99		2.60	%	8,077		80		2.01	%
Other assets (interest-earning) (6)	1,136		3		0.52	%	816		—		0.07	%
Total interest-earning assets	60,260		311		1.04	%	65,784		246		0.76	%
Other assets (7)	(71)						743
Total assets	$	60,189					$	66,527
Liabilities and Capital:
Interest-bearing deposits	$	1,281	1		0.26	%	$	1,602	—		0.01	%
Discount notes	14,978		30		0.41	%	17,629		6		0.07	%
CO bonds (4)	39,785		151		0.76	%	42,770		106		0.50	%
MRCS	47		1		2.20	%	238		2		1.73	%
Total interest-bearing liabilities	56,091		183		0.66	%	62,239		114		0.37	%
Other liabilities	571						727
Total capital	3,527						3,561
Total liabilities and capital	$	60,189					$	66,527
Net interest income			$	128					$	132
Net spread on interest-earning assets less interest-bearing liabilities (2)					0.38	%					0.39	%
Net interest margin (8)					0.43	%					0.40	%
Average interest-earning assets to interest-bearing liabilities	1.07						1.06

(1)    Includes hedging gains (losses) on qualifying fair-value hedging relationships. Excludes impact of purchase discount (premium) recorded through mark-to-market gains (losses) on trading securities and net interest settlements on derivatives hedging trading securities.

(2)    Annualized. 

(3)    Consists of trading, AFS and HTM securities. The average balances of AFS securities are based on amortized cost; therefore, the resulting yields do not reflect changes in the estimated fair value that are a component of OCI. Interest income/expense and average yield/cost of funds includes all other components of interest, including the impact of net interest payments or receipts on derivatives in qualifying hedging relationships and amortization of hedge accounting basis adjustments. Excludes net interest payments or receipts on derivatives in economic hedging relationships.

(4)    Interest income/expense and average yield/cost of funds include all other components of interest, including the impact of net interest payments or receipts on derivatives in qualifying hedge relationships, amortization of hedge accounting basis adjustments, and prepayment fees on advances. Excludes net interest payments or receipts on derivatives in economic hedging relationships.

(5)    Includes non-accrual loans.

(6)    Consists of interest-bearing deposits and loans to other FHLBanks (if applicable). Includes the rights or obligations to cash collateral, except for variation margin payments characterized as daily settled contracts.

(7)    Includes changes in the estimated fair value of AFS securities and grantor trust assets.

(8)    Annualized net interest income expressed as a percentage of the average balance of interest-earning assets.

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The increase in net interest income for the three months ended June 30, 2022 compared to the corresponding period in 2021 was primarily due to lower amortization of mortgage purchase premium, resulting from lower prepayments, and higher earnings on the portion of the Bank's assets funded by its capital, partially offset by lower net interest income on trading securities. Net interest income for the three months ended June 30, 2022 included net hedging losses of $7 million, compared to net hedging losses for the corresponding period in 2021 of $6 million.

The decrease in net interest income for the six months ended June 30, 2022 compared to the corresponding period in 2021 was primarily due to lower net interest income on trading securities and net hedging losses partially offset by lower amortization of mortgage purchase premium, resulting from lower prepayments, and higher earnings on the portion of the Bank's assets funded by its capital. Net interest income for the six months ended June 30, 2022 included net hedging losses of $5 million, compared to net hedging gains for the corresponding period in 2021 of $13 million.

In general, the Bank holds the derivatives and associated hedged items to the maturity, call, or put date. As a result, nearly all of the gains and losses on these financial instruments are expected to reverse over the remaining contractual terms of the hedged items.

Yields/Cost of Funds. The average yield on total interest-earning assets, including the impact of hedging gains/losses but excluding certain impacts of trading securities, for the three months ended June 30, 2022 was 1.24%, an increase of 54 bps compared to the corresponding period in 2021. The yield on advances and investment securities increased due primarily to increasing market interest rates. The yield on mortgage loans held for portfolio increased due to lower amortization of purchase premium resulting from lower prepayments on mortgage loans. The average cost of funds of total interest-bearing liabilities, including the impact of hedging gains and losses but excluding certain impacts of trading securities, for the three months ended June 30, 2022 was 0.89%, an increase of 52 bps due primarily to an increase in market interest rates. The net effect was a slight increase in the overall net interest spread under GAAP compared to the corresponding period in 2021.

The average yield on total interest-earning assets, including the impact of hedging gains/losses but excluding certain impacts of trading securities, for the six months ended June 30, 2022 was 1.04%, an increase of 28 bps compared to the corresponding period in 2021. The yield on advances and investment securities increased due primarily to an increase in market interest rates. The yield on mortgage loans held for portfolio increased due to lower amortization of purchase premium resulting from lower prepayments on mortgage loans. The average cost of funds of total interest-bearing liabilities, including the impact of hedging gains and losses but excluding certain impacts of trading securities, for the six months ended June 30, 2022 was 0.66%, an increase of 29 bps due primarily to an increase in market interest rates, and hedging losses, on our consolidated obligations. The net effect was a slight decrease in the overall net interest spread under GAAP compared to the corresponding period in 2021.

Average Balances. The average balances outstanding of interest-earning assets for the three months ended June 30, 2022 decreased by 4% compared to the corresponding period in 2021. The average balances of investment securities and advances decreased by 8% and 5%, respectively, reflecting net principal paydowns. The decrease in average interest-bearing liabilities exceeded the decrease in average interest-earning assets. The average balances of total interest-earning assets, net of interest-bearing liabilities, increased by 20%.

The average balances outstanding of interest-earning assets for the six months ended June 30, 2022 decreased by 8% compared to the corresponding period in 2021. The average balances of investment securities and advances decreased by 10% and 8%, respectively, reflecting net principal paydowns. The decrease in average interest-bearing liabilities exceeded the decrease in average interest-earning assets. The average balances of total interest-earning assets, net of interest-bearing liabilities, increased by 18%.

Provision for Credit Losses. The change in the provisions for (reversal of) credit losses for the three and six months ended June 30, 2022 compared to the corresponding periods in 2021 was insignificant.

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Other Income. The following table presents a comparison of the components of other income ($ amounts in millions). 

	Three Months Ended June 30,				Six Months Ended June 30,
Components	2022		2021		2022		2021
Net unrealized gains (losses) on trading securities (1)	$	(11)	$	(13)	$	(18)	$	(29)
Net realized gains (losses) on trading securities (2)	(3)		(1)		(20)		2
Net gains (losses) on trading securities	(14)		(14)		(38)		(27)
Net gains (losses) on derivatives hedging trading securities	17		3		41		8
Net interest settlements on derivatives (3)	1		(3)		(1)		(8)
Net gains (losses) on other derivatives not designated as hedging instruments	(1)		—		(3)		(1)
Net gains (losses) on derivatives	17		—		37		(1)
Change in fair value of investments indirectly funding certain employee benefit plans	(6)		3		(10)		4
Other, net	1		1		2		1
Total other income (loss)	$	(2)	$	(10)	$	(9)	$	(23)

(1)    Includes impact of purchase discount (premium) recorded through mark-to-market gains (losses), as well as the reversal of the cumulative unrealized gain (loss) on any maturities or sales. Excludes impact of associated derivatives.

(2)    Includes, at maturity, 100% of original discount (premium) as gain (loss). Excludes impact of associated derivatives.

(3)    Generally offsetting interest income on trading securities is included in interest income.

The decrease in total other loss for the three and six months ended June 30, 2022 compared to the corresponding periods in 2021 was primarily due to increases in the fair values of swaps hedging trading securities, partially offset by declines in the fair values of the investments indirectly funding certain employee benefit plans.

Net Gains (Losses) on Trading Securities. The following table presents the net impact of trading securities on income before assessments ($ amounts in millions).

	Three Months Ended June 30,				Six Months Ended June 30,
Earnings Components of Trading Securities	2022		2021		2022		2021
Net interest income (1)	$	1	$	14	$	5	$	28
Other income:
Net unrealized gains (losses)	(11)		(13)		(18)		(29)
Net realized gains (losses)	(3)		(1)		(20)		2
Net interest settlements on derivatives	2		(2)		—		(8)
Change in fair value of derivatives	17		3		41		8
Other income (loss), net	5		(13)		3		(27)
Net impact of trading securities on income before assessments	$	6	$	1	$	8	$	1

(1)    Includes an estimated allocation of interest expense.

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Other Expenses. The following table presents a comparison of the components of other expenses ($ amounts in millions).

	Three Months Ended June 30,				Six Months Ended June 30,
Components	2022		2021		2022		2021
Compensation and benefits	$	13	$	14	$	26	$	30
Other operating expenses	8		7		15		15
Finance Agency and Office of Finance	3		3		6		6
Other, net	2		4		4		6
Total other expenses	$	26	$	28	$	51	$	57

The net decrease in total other expenses for the three months ended June 30, 2022 compared to the corresponding period in 2021 was primarily due to a decrease in other net expenses, primarily due to lower non-service costs associated with our SERP.

The net decrease in total other expenses for the six months ended June 30, 2022 compared to the corresponding period in 2021 was primarily due to a decrease in compensation and benefits and a decrease in other net expenses. The decrease in compensation and benefits was primarily due to a decrease in post-retirement benefits resulting from changes in market conditions, the impact of which was fully offset by a corresponding change in fair value recorded in other income, and excise tax refunds received in the three months ended March 31, 2022. The decrease in other net expenses was primarily due to lower non-service costs associated with our SERP.

AHP Assessments. For the three and six months ended June 30, 2022 , our required AHP expense was $4 million and $7 million, respectively. Our AHP expense fluctuates in accordance with our net earnings.

Total Other Comprehensive Income (Loss). Total OCI for the three and six months ended June 30, 2022 consisted primarily of net unrealized losses on AFS securities, compared to net unrealized gains on AFS securities for the corresponding periods in 2021. These amounts were primarily impacted by changes in interest rates, credit spreads and volatility.

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Operating Segments

Our products and services are grouped within two operating segments: traditional and mortgage loans.

Traditional. The following table presents the financial performance of our traditional segment ($ amounts in millions). 

	Three Months Ended June 30,				Six Months Ended June 30,
Traditional	2022		2021		2022		2021
Net interest income	$	51	$	53	$	103	$	128
Provision for (reversal of) credit losses	—		—		—		—
Other income (loss)	(2)		(10)		(9)		(23)
Other expenses	22		24		44		49
Income before assessments	27		19		50		56
AHP assessments	3		2		5		5
Net income	$	24	$	17	$	45	$	51

The increase in net income for the traditional segment for the three months ended June 30, 2022 compared to the corresponding period in 2021 was primarily due to higher earnings on the portion of the Bank's assets funded by its capital, driven by the increase in market interest rates, partially offset by declines in the fair values of the investments indirectly funding certain employee benefit plans.

The decrease in net income for the traditional segment for the six months ended June 30, 2022 compared to the corresponding period in 2021 was primarily due to net hedging losses on qualifying fair-value hedging relationships and declines in the fair values of investments indirectly funding certain employee benefit plans, partially offset by higher earnings on the portion of the Bank's assets funded by its capital, driven by the increase in market interest rates.

Interest income on trading securities is recorded in net interest income, while the impact of purchase discount (premium) is recorded in other income through mark-to-market gains (losses) on trading securities. Net interest settlements on derivatives hedging trading securities are also recorded in other income.

Mortgage Loans. The following table presents the financial performance of our mortgage loans segment ($ amounts in millions). 

	Three Months Ended June 30,				Six Months Ended June 30,
Mortgage Loans	2022		2021		2022		2021
Net interest income	$	13	$	4	$	25	$	4
Provision for (reversal of) credit losses	—		—		—		—
Other income (loss)	—		—		—		—
Other expenses	4		4		7		8
Income (loss) before assessments	9		—		18		(4)
AHP assessments (credits)	1		—		2		—
Net income (loss)	$	8	$	—	$	16	$	(4)

The increase in net income for the mortgage loans segment for the three and six months ended June 30, 2022 compared to the corresponding periods in 2021 was substantially due to lower amortization of mortgage purchase premiums resulting from lower prepayments.

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Analysis of Financial Condition

Total Assets. The table below presents the comparative highlights of our major asset categories ($ amounts in millions).

	June 30, 2022				December 31, 2021
Major Asset Categories	Carrying Value		% of Total		Carrying Value		% of Total
Advances	$	30,507	47	%	$	27,498	46	%
Mortgage loans held for portfolio, net	7,730		12	%	7,616		13	%
Cash and short-term investments	7,381		12	%	7,048		12	%
Trading securities	4,039		6	%	3,947		7	%
Other investment securities	14,074		22	%	13,474		22	%
Other assets (1)	535		1	%	422		—	%
Total assets	$	64,266	100	%	$	60,005	100	%

(1)    Includes accrued interest receivable, premises, software and equipment, derivative assets and other miscellaneous assets.

Total assets as of June 30, 2022 were $64.3 billion, a net increase of $4.3 billion, or 7%, compared to December 31, 2021, primarily driven by a net increase in advances outstanding. The mix of our assets at June 30, 2022 changed slightly compared to December 31, 2021 in that advances as a percent of total assets increased from 46% to 47%, reflecting primarily the increased use of short-term advances by our members.

Advances. In general, advances fluctuate in accordance with our members' funding needs, primarily determined by their deposit levels, mortgage pipelines, loan growth, investment opportunities, available collateral, other balance sheet strategies, and the cost of alternative funding options.

Advances at June 30, 2022 at carrying value totaled $30.5 billion, a net increase of $3.0 billion, or 11%, compared to December 31, 2021. This increase reflects higher demand by our members for advances in response to their loan growth significantly outpacing their deposit growth, rising market interest rates, and the availability of suitable products to assist our members in managing their balance sheets in the current economic environment.

Our advances portfolio is well-diversified with advances to commercial banks and savings institutions, credit unions, and insurance companies. Advances to depository institutions, as a percent of total advances outstanding at par value, were 55% at June 30, 2022, while advances to insurance companies were 45%.

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The table below presents advances outstanding by type of financial institution ($ amounts in millions).

	June 30, 2022				December 31, 2021
Borrower Type	Par Value		% of Total		Par Value		% of Total
Depository institutions:
Commercial banks and savings institutions	$	14,055	46	%	$	12,199	45	%
Credit unions	2,674		9	%	2,199		8	%
Former members - depositories	224		—	%	225		1	%
Total depository institutions	16,953		55	%	14,623		54	%
Insurance companies:
Captive insurance companies (1)	263		1	%	263		1	%
Other insurance companies	13,624		44	%	12,419		45	%
Former members - other insurance companies	5		—	%	5		—	%
Total insurance companies	13,892		45	%	12,687		46	%
CDFIs	—		—	%	—		—	%
Total advances outstanding	$	30,845	100	%	$	27,310	100	%

(1)    Captive insurance companies that were admitted as FHLBank members prior to September 12, 2014, and did not meet the definition of "insurance company" or fall within another category of institution that is eligible for FHLBank membership under the Final Membership Rule, had their memberships terminated on February 19, 2021. The outstanding advances to one captive insurer are not required to be repaid prior to their various maturity dates through 2024.

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The following table presents the par value of advances outstanding by product type and redemption term, some of which contain call or put options ($ amounts in millions).

	June 30, 2022				December 31, 2021
Product Type and Redemption Term	Par Value		% of Total		Par Value		% of Total
Fixed-rate:
Without call or put options
Due in 1 year or less	$	12,593	41	%	$	7,670	29	%
Due after 1 through 5 years	5,437		18	%	5,708		21	%
Due after 5 through 15 years	978		3	%	752		3	%
Thereafter	2		—	%	2		—	%
Total	19,010		62	%	14,132		53	%
Callable or prepayable
Due in 1 year or less	2		—	%	—		—	%
Due after 1 through 5 years	—		—	%	2		—	%
Due after 5 through 15 years	5		—	%	5		—	%
Thereafter	—		—	%	—		—	%
Total	7		—	%	7		—	%
Putable
Due in 1 year or less	250		1	%	—		—	%
Due after 1 through 5 years	1,883		6	%	2,289		8	%
Due after 5 through 15 years	4,038		13	%	5,747		21	%
Thereafter	—		—	%	—		—	%
Total	6,171		20	%	8,036		29	%
Other (1)
Due in 1 year or less	50		—	%	50		—	%
Due after 1 through 5 years	54		—	%	64		—	%
Due after 5 through 15 years	32		—	%	24		—	%
Thereafter	16		—	%	3		—	%
Total	152		—	%	141		—	%
Total fixed-rate	25,340		82	%	22,316		82	%
Variable-rate:
Without call or put options
Due in 1 year or less	256		1	%	18		—	%
Due after 1 through 5 years	167		1	%	167		1	%
Due after 5 through 15 years	—		—	%	—		—	%
Thereafter	—		—	%	—		—	%
Total	423		2	%	185		1	%
Callable or prepayable
Due in 1 year or less	221		1	%	126		—	%
Due after 1 through 5 years	2,965		9	%	2,831		10	%
Due after 5 through 15 years	1,443		5	%	1,297		5	%
Thereafter	355		1	%	555		2	%
Total	4,984		16	%	4,809		17	%
Total variable-rate	5,407		18	%	4,994		18	%
Overdrawn demand and overnight deposit accounts	98		—	%	—		—	%
Total advances	$	30,845	100	%	$	27,310	100	%

(1)     Includes fixed-rate amortizing/mortgage matched advances.

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During the six months ended June 30, 2022, the par value of advances due in one year or less increased by 71%, while advances due after one year decreased by 11%. As a result, advances due in one year or less, as a percentage of the total outstanding at par, totaled 44% at June 30, 2022, an increase from 29% at December 31, 2021. However, during the three months ended June 30, 2022, in response to the Bank exercising its option on certain long-term putable advances, several members replaced that funding with short-term advances without put options. Based on the earlier of the redemption date or the next put date, advances due in one year or less increased by 27%, while advances due after one year decreased by less than 1%. As a result, advances due in one year or less, as a percentage of the total outstanding at par, totaled 55% at June 30, 2022, an increase from 49% at December 31, 2021. For additional information, see Notes to Financial Statements - Note 4 - Advances.

Mortgage Loans Held for Portfolio. Mortgage loans held for portfolio at June 30, 2022, at carrying value, totaled $7.7 billion, a net increase of $114 million, or 1%, from December 31, 2021, as the Bank's purchases exceeded principal repayments. For the six months ended June 30, 2022, purchases of mortgage loans under Advantage MPP totaled $772 million, while MPP and MPF program repayments totaled $600 million.

Cash and Investments. The following table presents a comparison of the components of our cash and investments at carrying value ($ amounts in millions).

Components	June 30, 2022		December 31, 2021		Change
Cash and short-term investments:
Cash and due from banks	$	60	$	868	$	(808)
Interest-bearing deposits	325		100		225
Securities purchased under agreements to resell	4,500		3,500		1,000
Federal funds sold	2,496		2,580		(84)
Total cash and short-term investments	7,381		7,048		333
Trading securities:
U.S. Treasury obligations	4,039		3,947		92
Total trading securities	4,039		3,947		92
Other investment securities:
AFS securities:
U.S. Treasury obligations	2,106		—		2,106
GSE and TVA debentures	2,086		2,697		(611)
GSE multifamily MBS	6,005		6,463		(458)
Total AFS securities	10,197		9,160		1,037
HTM securities:
Other U.S. obligations single-family MBS	2,522		2,626		(104)
GSE single-family MBS	722		816		(94)
GSE multifamily MBS	633		872		(239)
Total HTM securities	3,877		4,314		(437)
Total investment securities	18,113		17,421		692
Total cash and investments, carrying value	$	25,494	$	24,469	$	1,025

Cash and Short-Term Investments. Cash and short-term investments at June 30, 2022 totaled $7.4 billion, an increase of $333 million, or 5%, from December 31, 2021. Cash and short-term investments as a percent of total assets at June 30, 2022 and December 31, 2021 totaled 12%. The total outstanding balance and composition of our short-term investments are influenced by our liquidity needs, regulatory requirements, actual and anticipated member advance activity, market conditions and, in particular at June 30, 2022, the availability of short-term investments at attractive interest rates, relative to our cost of funds.

Trading Securities. We purchase U.S. Treasury obligations as trading securities to enhance the Bank's liquidity. Such securities outstanding at June 30, 2022 totaled $4.0 billion, an increase of $92 million, or 2%, from December 31, 2021.

As a result, the liquidity portfolio at June 30, 2022 totaled $11.4 billion, an increase of $425 million, or 4%, from December 31, 2021.

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Other Investment Securities. AFS securities at June 30, 2022 totaled $10.2 billion, a net increase of $1.0 billion, or 11%, from December 31, 2021. The increase resulted from purchases of longer-term U.S. Treasury obligations, partially offset by principal payments on Agency debentures and MBS.

Net unrealized gains on AFS securities at June 30, 2022 totaled $32 million, a net decrease of $120 million compared to December 31, 2021, primarily due to changes in interest rates, credit spreads and volatility.

HTM securities at June 30, 2022 totaled $3.9 billion, a net decrease of $436 million, or 10%, from December 31, 2021. The decrease resulted from principal payments on these securities, partially offset by purchases of MBS.

Interest-Rate Payment Terms. Our investment securities are presented below by interest-rate payment terms ($ amounts in millions).

    

	June 30, 2022				December 31, 2021
Interest-Rate Payment Terms	Estimated Fair Value		% of Total		Estimated Fair Value		% of Total
Total fixed-rate trading securities	$	4,039	100	%	$	3,947	100	%
	Amortized Cost		% of Total		Amortized Cost		% of Total
AFS (1) and HTM securities:
Total fixed-rate	$	10,375	74	%	$	9,226	69	%
Total variable-rate	3,667		26	%	4,096		31	%
Total AFS and HTM securities	$	14,042	100	%	$	13,322	100	%

(1)    Carrying value for AFS is equal to estimated fair value.

The mix of fixed- vs. variable-rate AFS and HTM securities at June 30, 2022 changed slightly from December 31, 2021, primarily due to purchases of fixed-rate U.S. Treasury obligations. However, all of the fixed-rate AFS securities are swapped to effectively create variable-rate exposures, consistent with our balance sheet strategies to manage interest-rate risk.

Total Liabilities. Total liabilities at June 30, 2022 were $60.8 billion, a net increase of $4.3 billion, or 8%, from December 31, 2021, substantially due to an increase in consolidated obligations.

Deposits (Liabilities). Total deposits at June 30, 2022 were $908 million, a net decrease of $459 million, or 34%, from December 31, 2021. These deposits provide a relatively small portion of our funding. The balances of these accounts can fluctuate from period to period and vary depending upon such factors as the attractiveness of our deposit pricing relative to the rates available on alternative money market instruments, members' preferences with respect to the maturity of their investments, and members' liquidity.

Consolidated Obligations. The overall balance of our consolidated obligations fluctuates in relation to our total assets and the availability of alternative sources of funds. The carrying value of consolidated obligations outstanding at June 30, 2022 totaled $59.0 billion, a net increase of $4.6 billion, or 8%, from December 31, 2021, which reflected increased funding needs associated with the net increase in the Bank's total assets.

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The composition of our consolidated obligations can fluctuate significantly based on comparative changes in their cost levels, supply and demand conditions, demand for advances, and our overall balance sheet management strategy. The following table presents a breakdown by term of our consolidated obligations outstanding ($ amounts in millions).

	June 30, 2022				December 31, 2021
By Term	Par Value		% of Total		Par Value		% of Total
Consolidated obligations due in 1 year or less:
Discount notes	$	19,617	32	%	$	12,118	22	%
CO bonds	8,950		15	%	14,357		26	%
Total due in 1 year or less	28,567		47	%	26,475		48	%
Long-term CO bonds	32,001		53	%	28,193		52	%
Total consolidated obligations	$	60,568	100	%	$	54,668	100	%

The mix of our funding due in 1 year or less changed as discount notes increased and CO bonds decreased, partially due to the increase in short-term advances. We continue to seek to maintain a sufficient liquidity and funding balance between our financial assets and financial liabilities.

Derivatives. The volume of derivative hedges is often expressed in terms of notional amounts, which is the amount upon which interest payments are calculated. The following table presents the notional amounts by type of hedged item regardless of whether it is in a qualifying hedge relationship ($ amounts in millions).

Hedged Item	June 30, 2022		December 31, 2021
Advances	$	21,037	$	21,084
AFS securities	15,570		13,356
Mortgage loans MDCs	64		194
CO bonds	28,284		21,177
Total notional outstanding	$	64,955	$	55,811

The increase in the total notional amount outstanding during the six months ended June 30, 2022 of $9.1 billion, or 16%, was substantially due to an increase in derivatives hedging CO bonds, driven primarily by an increase in long-term callable CO bonds, and an increase in fixed-rate AFS securities, driven primarily by the purchase of U.S. Treasury obligations.

The following table presents the cumulative impact of fair-value hedging basis adjustments on our statement of condition ($ amounts in millions).

June 30, 2022	Advances		AFS Securities		CO Bonds		Total
Cumulative fair-value hedging basis adjustments on hedged items	$	(345)	$	(577)	$	1,530	$	608
Estimated fair value of associated derivatives, net	344		869		(1,539)		(326)
Net cumulative fair-value hedging basis adjustments	$	(1)	$	292	$	(9)	$	282

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Total Capital. Total capital at June 30, 2022 was $3.5 billion, a net decrease of $79 million, or 2%, from December 31, 2021, primarily due to other comprehensive losses, which substantially resulted from unrealized losses on investments in MBS, driven by the increase in market interest rates.

The following table presents a percentage breakdown of the components of GAAP capital.

Components	June 30, 2022		December 31, 2021
Capital stock	65	%	63	%
Retained earnings	35	%	33	%
AOCI	—	%	4	%
Total GAAP capital	100	%	100	%

The changes in the components of GAAP capital at June 30, 2022 compared to December 31, 2021 were primarily due to a decrease in net unrealized gains on AFS securities.

The following table presents a reconciliation of GAAP capital to regulatory capital ($ amounts in millions).

Reconciliation	June 30, 2022		December 31, 2021
Total GAAP capital	$	3,477	$	3,556
Exclude: AOCI	(14)		(133)
Add: MRCS	46		50
Total regulatory capital	$	3,509	$	3,473

Liquidity and Capital Resources

Liquidity. Our primary sources of liquidity are holdings of liquid assets, comprised of cash, short-term investments, and trading securities, as well as the issuance of consolidated obligations.

Our cash and short-term investments at June 30, 2022 totaled $7.4 billion. Our short-term investments generally consist of high-quality financial instruments, many of which mature overnight. Our trading securities at June 30, 2022 totaled $4.0 billion and consisted solely of U.S. Treasury obligations. As a result, our liquidity portfolio at June 30, 2022 totaled $11.4 billion, or 18% of total assets. The level of our liquidity fluctuates and is influenced by regulatory requirements, actual and anticipated member advance activity and market conditions and opportunities.

During the six months ended June 30, 2022, we maintained sufficient access to funding; our net proceeds from the issuance of consolidated obligations totaled $380.1 billion.

Changes in Cash Flow. Net cash provided by operating activities for the six months ended June 30, 2022 was $935 million, compared to net cash provided by operating activities for the six months ended June 30, 2021 of $154 million. The net change in cash provided by operating activities of $777 million was substantially due to the fluctuation in variation margin payments on cleared derivatives. Such payments are treated by the Clearinghouses as daily settled contracts.

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Capital Resources.

Total Regulatory Capital. The following table provides a breakdown of our outstanding capital stock and MRCS ($ amounts in millions).

	June 30, 2022				December 31, 2021
By Type of Member Institution	Amount		% of Total		Amount		% of Total
Capital Stock:
Depository institutions:
Commercial banks and savings institutions	$	1,110	48	%	$	1,126	49	%
Credit unions	332		15	%	309		13	%
Total depository institutions	1,442		63	%	1,435		62	%
Insurance companies	809		35	%	811		35	%
CDFIs	—		—	%	—		—	%
Total capital stock, putable at par value	2,251		98	%	2,246		97	%
MRCS:
Captive insurance companies (1)	12		1	%	12		1	%
Other former members	34		1	%	38		2	%
Total MRCS	46		2	%	50		3	%
Total regulatory capital stock	$	2,297	100	%	$	2,296	100	%

(1)    Represents captive insurance companies whose membership was terminated on February 19, 2021. On that date, we repurchased their excess stock of $18 million. The remaining balance will not be redeemed until the associated credit products and other obligations are no longer outstanding.

Excess Capital Stock. The following table presents the composition of our excess capital stock ($ amounts in millions).

Components	June 30, 2022			December 31, 2021
Member capital stock not subject to outstanding redemption requests	$	636		$	798
Member capital stock subject to outstanding redemption requests	—			14
MRCS	23			28
Total excess capital stock	$	659		$	840
Excess stock as a percentage of regulatory capital stock	29		%	37		%

The decrease in excess stock during the six months ended June 30, 2022 resulted from repurchases totaling $167 million to comply with our capital plan as a result of our regulatory capital ratio exceeding 6.0% at January 31, 2022.

Capital Distributions. The following table summarizes our weighted-average dividend rate and dividend payout ratio.

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
Weighted-average dividend rate (1)	2.47	%	2.57	%	2.39	%	2.53	%
Dividend payout ratio (2)	41.10	%	81.59	%	43.15	%	59.42	%

(1)    Dividends paid in cash during the period (annualized) divided by the average amount of Class B stock eligible for dividends under our capital plan, excluding MRCS.

(2)    Dividends paid in cash during the period divided by net income for the period.

On July 28, 2022, our board of directors declared a cash dividend on Class B-2 activity-based stock at an annualized rate of 4.75% and on Class B-1 non-activity-based stock at an annualized rate of 1.25%, resulting in a spread between the rates of 3.50 percentage points. The overall weighted-average annualized rate paid was 3.42%. The dividends were paid in cash on July 29, 2022.

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Adequacy of Capital. We must maintain sufficient permanent capital to meet the combined credit risk, market risk and operations risk components of the risk-based capital requirement. The following table presents our risk-based capital requirement in relation to our permanent capital at June 30, 2022 and December 31, 2021 ($ amounts in millions).

Risk-Based Capital Components	June 30, 2022		December 31, 2021
Credit risk	$	160	$	155
Market risk	777		684
Operational risk	281		252
Total risk-based capital requirement	$	1,218	$	1,091
Permanent capital	$	3,509	$	3,473

The increase in our total risk-based capital requirement was primarily caused by an increase in the market risk component due to changes in the market environment, including changes in interest rates, CO bond-swap basis, volatility, option-adjusted spreads and balance sheet composition. The operational risk component is calculated as 30% of the credit and market risk components. Our permanent capital at June 30, 2022 remained well in excess of our total risk-based capital requirement.

Critical Accounting Estimates

A full discussion of our critical accounting estimates is included in Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations - Critical Accounting Policies and Estimates in our 2021 Form 10-K. 

Recent Accounting and Regulatory Developments

Accounting Developments. For a description of how recent accounting developments may impact our financial condition, results of operations or cash flows, see Notes to Financial Statements - Note 2 - Recently Adopted and Issued Accounting Guidance.

Legislative and Regulatory Developments.

Finance Agency Directorship Designations. The Director of the Finance Agency annually determines the size of the board of directors for each FHLBank, with the designation of member directorships based on the amount of FHLBank stock required to be held by members in each state. On June 1, 2022, the Finance Agency notified us that our board of directors would be comprised of eight member directorships and seven independent directorships beginning January 1, 2023. This will be a reduction of one member directorship and one independent directorship. The following table provides further detail on the changes.

Director Composition	June 30, 2022	January 1, 2023
Member directors:
Indiana	5	5
Michigan	4	3
Total member directors	9	8
Independent directors	8	7
Total directors	17	15

Finance Agency Director's Testimony to the House Financial Services Committee on a Planned Review of the FHLBank System. On July 20, 2022, Finance Agency Director Thompson gave testimony to the House Financial Services Committee indicating that the Finance Agency intends to review the FHLBank System. Director Thompson's testimony indicated that the Finance Agency plans to engage a variety of stakeholders in addition to holding public listening sessions throughout the country as part of the review. The Director's testimony also indicated that the review would examine matters ranging from the FHLBank System's membership base, operational efficiency, and effectiveness to more foundational questions about mission, purpose and organization. At this time, it is not possible to determine when these events will occur, whether any actions will result from these events, and how these events will ultimately impact us or the FHLBank System as a whole.

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Proposed Rule Implementing the Adjustable Interest Rate (LIBOR) Act. On July 28, 2022, the Board of Governors of the Federal Reserve System ("Board") published a proposed rule with a comment deadline of August 29, 2022 that would implement the Adjustable Interest Rate (LIBOR) Act. The proposed rule would provide default rules for certain contracts ("covered contracts") that: reference LIBOR, are governed by U.S. law, do not mature on or before the LIBOR replacement date, and lack adequate provisions to identify a replacement rate for LIBOR. The LIBOR replacement date is currently July 3, 2023. The proposed rule identifies separate Board-selected replacement rates for derivatives transactions, covered GSE contracts, and all other covered contracts. The proposed rule defines covered GSE contracts to include FHLBank advances. We are reviewing the proposed rule, however it is not possible to determine the extent to which the rule will be adopted as proposed and, as a result, the impact the final rule may have on us.

Amendment to FINRA Rule 4210: Margining of Covered Agency Transactions. On July 29, 2022, FINRA filed a proposed rule with the SEC that will extend the implementation date of its amendments to FINRA Rule 4210 delaying the effectiveness of margining requirements for covered agency transactions from October 26, 2022 until at least April 24, 2023. Once the margining requirements are effective, we may be required to collateralize our transactions that are covered agency transactions, which include TBAs. These collateralization requirements could have the effect of reducing the overall profitability of engaging in covered agency transactions, including TBAs.

Risk Management

We have exposure to a number of risks in pursuing our business objectives. These risks may be broadly classified as market, credit, liquidity, operational, and business. Market risk is discussed in Item 3. Quantitative and Qualitative Disclosures about Market Risk. For more information, see Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations - Risk Management in our 2021 Form 10-K.

Credit Risk Management. We face credit risk on advances and other credit products, investments, mortgage loans, derivative financial instruments, and AHP grants.

Advances and Other Credit Products. 

Concentration. Our credit risk is magnified due to the concentration of advances in a few borrowers. As of June 30, 2022, our top borrower held 13% of total advances outstanding, at par, and our top five borrowers held 47% of total advances outstanding, at par. As a result of this concentration, we perform frequent credit and collateral reviews on our largest borrowers. 

Investments. We are also exposed to credit risk through our investment portfolio. Our policies restrict the acquisition of investments to high-quality, short-term money market instruments and high-quality long-term securities.

The following table presents the unsecured investment credit exposure to private counterparties, categorized by the domicile of the counterparty's ultimate parent, based on the lowest of the counterparty's NRSRO long-term credit ratings, stated in terms of the S&P equivalent. The table does not reflect the foreign sovereign government's credit rating ($ amounts in millions).

June 30, 2022	AA		A		Total
Domestic	$	—	$	910	$	910
Australia	1,110		—		1,110
Canada	—		801		801
Total unsecured credit exposure	$	1,110	$	1,711	$	2,821

A Finance Agency regulation provides that the total amount of our investments in MBS, calculated using amortized historical cost excluding the impact of certain derivatives adjustments, must not exceed 300% of our total regulatory capital, as of the day we purchase the securities, based on the capital amount most recently reported to the Finance Agency. If our outstanding investments in MBS exceed the limitation at any time, but were in compliance at the time we purchased the investments, we would not be considered out of compliance with the regulation, but we would not be permitted to purchase additional investments in MBS until these outstanding investments were within the limitation. Generally, our goal is to maintain these investments near the 300% limit in order to enhance earnings and capital for our members and diversify our revenue stream. At June 30, 2022, these investments totaled 293% of total regulatory capital.

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The following table presents the carrying values of our investments, excluding accrued interest, grouped by credit rating and investment category. Applicable rating levels are determined using the lowest relevant long-term rating from S&P and Moody's, each stated in terms of the S&P equivalent. Rating modifiers are ignored when determining the applicable rating level for a given counterparty or investment. Amounts reported do not reflect any subsequent changes in ratings, outlook, or watch status ($ amounts in millions).

June 30, 2022	AA			A			Total
Short-term investments:
Interest-bearing deposits	$	—		$	325		$	325
Securities purchased under agreements to resell	4,500			—			4,500
Federal funds sold	1,110			1,386			2,496
Total short-term investments	5,610			1,711			7,321
Trading securities:
U.S. Treasury obligations	4,039			—			4,039
Total trading securities	4,039			—			4,039
Other investment securities:
U.S. Treasury obligations	2,106			—			2,106
GSE and TVA debentures	2,086			—			2,086
GSE MBS	7,360			—			7,360
Other U.S. obligations - guaranteed RMBS	2,522			—			2,522
Total other investment securities	14,074			—			14,074
Total investments, carrying value	$	23,723		$	1,711		$	25,434
Percentage of total	93		%	7		%	100		%

Mortgage Loans Held for Portfolio. The following table presents the changes in the LRA for original MPP and Advantage MPP ($ amounts in millions).

	Three Months Ended June 30, 2022						Six Months Ended June 30, 2022
LRA Activity	Original		Advantage		Total		Original		Advantage		Total
Liability, beginning of period	$	4	$	232	$	236	$	4	$	227	$	231
Additions	—		4		4		—		9		9
Claims paid	—		—		—		—		—		—
Distributions to PFIs	(2)		(3)		(5)		(2)		(3)		(5)
Liability, end of period	$	2	$	233	$	235	$	2	$	233	$	235

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Derivatives. The following table presents key information on derivative positions with counterparties on a settlement date basis using the lower credit rating from S&P and Moody's, stated in terms of the S&P equivalent ($ amounts in millions).

June 30, 2022	Notional Amount		Net Estimated Fair Value Before Collateral		Cash Collateral Pledged To (From) Counterparties		Net Credit Exposure
Non-member counterparties:
Asset positions with credit exposure
Uncleared derivatives - A	$	89	$	1	$	—	$	1
Liability positions with credit exposure
Uncleared derivatives - A	31,712		(1,012)		1,088		76
Uncleared derivatives - BBB	2,801		(102)		111		9
Cleared derivatives (1)	26,918		(71)		311		240
Total derivative positions with credit exposure to non-member counterparties	61,520		(1,184)		1,510		326
Total derivative positions with credit exposure to member institutions (2)	19		—		—		—
Subtotal - derivative positions with credit exposure	61,539		$	(1,184)	$	1,510	$	326
Derivative positions without credit exposure	3,416
Total derivative positions	$	64,955

(1)    Represents derivative transactions cleared by two Clearinghouses (one rated AA- and the other unrated). The net credit exposure to the Clearinghouse rated AA- is $237 million. The net credit exposure to the unrated Clearinghouse is $3 million.

(2)    Includes MDCs from member institutions under our MPP.

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Item 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

Measuring Market Risks

To evaluate market risk, we utilize multiple risk measurements, including VaR, duration of equity, convexity, changes in MVE, duration gap, and earnings at risk. Periodically, we conduct stress tests to measure and analyze the effects that extreme movements in the level of interest rates and the shape of the yield curve would have on our risk position.

Key Metrics. The following table presents certain market and interest-rate metrics under different interest-rate scenarios ($ amounts in millions).

June 30, 2022	Down 200 (1)			Down 100 (1)			Base			Up 100			Up 200
MVE	$	3,375		$	3,352		$	3,311		$	3,275		$	3,249
Percent change in MVE from base	1.9		%	1.2		%	—		%	(1.1)		%	(1.9)		%
MVE/book value of equity	95.8		%	95.2		%	94.0		%	93.0		%	92.2		%
Duration of equity	0.3			1.0			1.2			1.0			0.7

December 31, 2021
MVE	$	3,599		$	3,485		$	3,530		$	3,556		$	3,543
Percent change in MVE from base	2.0		%	(1.3)		%	—		%	0.7		%	0.4		%
MVE/book value of equity	99.8		%	96.6		%	97.9		%	98.6		%	98.2		%
Duration of equity	0.9			1.7			(1.3)			(0.1)			0.6

(1)    Given the low interest rates in the short-to-medium term points of the yield curves, downward rate shocks are constrained to prevent rates from becoming negative. During periods of extremely low interest rates, the Finance Agency requires that FHLBanks employ a constrained down-shock analysis to limit the evolution of forward interest rates to positive non-zero values. Since our market risk model imposes a positive non-zero boundary on post-shock interest rates, no additional calculations are necessary in order to meet this Finance Agency requirement when applicable.

The changes in those key metrics from December 31, 2021 resulted primarily from the changes in market values of the Bank's assets and liabilities in response to changes in the market environment, changes in portfolio composition and our hedging strategies.

Duration Gap. The base case duration gap at June 30, 2022 and December 31, 2021 was 0.03% and (0.11)% , respectively.

For information about our use of derivative hedges, see Item 7A. Quantitative and Qualitative Disclosures About Market Risk - Use of Derivative Hedges in our 2021 Form 10-K.

Replacement of the LIBOR Benchmark Interest Rate

We continue to implement our transition plan that has reduced our exposure to the risks arising from the cessation of the publication of LIBOR and has the flexibility to evolve with market developments and standards, member needs, and guidance provided by the issuers of Agency securities. As a result, we do not expect the replacement of LIBOR by June 30, 2023 to have a material adverse impact on the Bank's business, results of operations or financial condition.

For more information, see Item 1A. Risk Factors - Changes in Response to the Replacement of the LIBOR Benchmark Interest Rate Could Adversely Affect Our Business, Financial Condition and Results of Operations. and Item 7A. Quantitative and Qualitative Disclosures About Market Risk in our 2021 Form 10-K.

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The following table presents our LIBOR-rate indexed financial instruments outstanding at June 30, 2022 and December 31, 2021 by year of maturity ($ amounts in millions).

LIBOR-Indexed Financial Instruments	Year of Maturity
June 30, 2022	2022		Through June 30, 2023		Thereafter		Total		% of Total Outstanding
Assets:
Advances, par value (1)	$	24	$	48	$	2,240	$	2,312	7	%
MBS, par value (2)	—		—		2,306		2,306		22	%
Total	$	24	$	48	$	4,546	$	4,618
Interest-rate swaps - receive leg, notional (2):
Cleared	$	648	$	760	$	2,196	$	3,604	13	%
Uncleared	105		314		3,308		3,727		10	%
Total	$	753	$	1,074	$	5,504	$	7,331
Liabilities:
Interest-rate swaps - pay leg, notional (2):
Cleared	$	2,230	$	2,200	$	300	$	4,730	18	%
Total	$	2,230	$	2,200	$	300	$	4,730
Other derivatives, notional:
Interest-rate caps held (2)	$	—	$	—	$	611	$	611	100	%

December 31, 2021
Assets:
Advances, par value (1)	$	134	$	48	$	2,259	$	2,441	9	%
MBS, par value (2)	—		—		2,669		2,669		25	%
Total	$	134	$	48	$	4,928	$	5,110
Interest-rate swaps - receive leg, notional (2):
Cleared	$	1,366	$	767	$	2,336	$	4,469	20	%
Uncleared	320		314		6,176		6,810		21	%
Total	$	1,686	$	1,081	$	8,512	$	11,279
Liabilities:
Interest-rate swaps - pay leg, notional (2):
Cleared	$	3,134	$	1,150	$	—	$	4,284	19	%
Total	$	3,134	$	1,150	$	—	$	4,284
Other derivatives, notional:
Interest-rate caps held (2)	$	15	$	—	$	611	$	626	100	%

(1)    Year of maturity on our advances is based on redemption term.

(2)    Year of maturity on our MBS, interest-rate swaps and interest-rate caps is based on contractual maturity. The actual maturities on MBS will likely differ from contractual maturities as borrowers have the right to prepay their obligations with or without prepayment fees.

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Item 4. CONTROLS AND PROCEDURES

Evaluation of Disclosure Controls and Procedures

We are responsible for establishing and maintaining disclosure controls and procedures that are designed to ensure that information required to be disclosed by us in our reports filed under the Exchange Act is: (a) recorded, processed, summarized and reported within the time periods specified in the SEC's rules and forms; and (b) accumulated and communicated to our management, including our principal executive officer, principal financial officer, and principal accounting officer, to allow timely decisions regarding required disclosures.

As of June 30, 2022, we conducted an evaluation, under the supervision and with the participation of our management, including our Chief Executive Officer (the principal executive officer), Chief Financial Officer (the principal financial officer) and Chief Accounting Officer (the principal accounting officer), of the effectiveness of the design and operation of our disclosure controls and procedures pursuant to Rule 13a-15 of the Exchange Act. In making this evaluation, our management used the criteria established in Internal Control — Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission. Based on that evaluation, our Chief Executive Officer, Chief Financial Officer and Chief Accounting Officer concluded that our disclosure controls and procedures were effective as of June 30, 2022.

Internal Control Over Financial Reporting

Changes in Internal Control Over Financial Reporting. There were no changes in our internal control over financial reporting, as defined in rules 13a-15(f) and 15(d)-15(f) of the Exchange Act, that occurred during our most recently completed fiscal quarter that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

Limitations on the Effectiveness of Controls. We do not expect that our disclosure controls and procedures and other internal controls will prevent all error and fraud. A control system, no matter how well conceived and operated, can provide only reasonable, not absolute, assurance that the objectives of the control system are met. Further, the design of a control system must reflect the fact that there are resource constraints, and the benefits of controls must be considered relative to their costs. Because of the inherent limitations in all control systems, no evaluation of controls can provide absolute assurance that all control issues and instances of fraud, if any, have been detected. These inherent limitations include the realities that judgments in decision making can be faulty and that breakdowns can occur because of simple error or mistake. Additionally, controls can be circumvented by the individual acts of some persons, by collusion of two or more people, or by management override of the controls. The design of any system of controls is also based in part upon certain assumptions about the likelihood of future events, and there can only be reasonable assurance that any design will succeed in achieving its stated goals under all potential future conditions. Additionally, over time, controls may become inadequate because of changes in conditions, or the degree of compliance with the policies or procedures may deteriorate. Because of the inherent limitations in a cost-effective control system, misstatements due to error or fraud may occur and not be detected.

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Part II. OTHER INFORMATION

Item 1. LEGAL PROCEEDINGS

In the ordinary course of business, we may from time to time become a party to lawsuits involving various business matters. We are unaware of any lawsuits presently pending which, individually or in the aggregate, could have a material effect on our financial condition or results of operations.

Item 1A. RISK FACTORS

There have been no material changes in the risk factors described in Item 1A. Risk Factors of our 2021 Form 10-K.

Item 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

Not applicable.

Item 3. DEFAULTS UPON SENIOR SECURITIES

Not applicable.

Item 4. MINE SAFETY DISCLOSURES

Not applicable.

Item 5. OTHER INFORMATION

None.

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Item 6. EXHIBITS

Exhibit Index

Exhibit Number	Description
10.1*+	Federal Home Loan Bank of Indianapolis Incentive Plan, effective January 1, 2012, as updated on April 28, 2022, effective as of January 1, 2022, incorporated by reference to Exhibit 10.1 of our Current Report on Form 8-K (Commission File No. 000-51404) filed on May 3, 2022
31.1	Certification of the President - Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
31.2	Certification of the Executive Vice President - Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002
31.3	Certification of the Senior Vice President - Chief Accounting Officer pursuant to Section 302 of the Sarbanes - Oxley Act of 2002
32	Certification of the President - Chief Executive Officer, Executive Vice President - Chief Financial Officer, and Senior Vice President - Chief Accounting Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002
101.INS	XBRL Instance Document
101.SCH	XBRL Taxonomy Extension Schema Document
101.CAL	XBRL Taxonomy Extension Calculation Linkbase Document
101.LAB	XBRL Taxonomy Extension Label Linkbase Document
101.PRE	XBRL Taxonomy Extension Presentation Linkbase Document
101.DEF	XBRL Taxonomy Extension Definition Linkbase Document
104	Cover Page Interactive Data File (formatted as inline XBRL)

* These documents are incorporated by reference.

+ Management contract or compensatory plan or arrangement.

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. 

	FEDERAL HOME LOAN BANK OF INDIANAPOLIS
August 10, 2022	By:	/s/ K. LOWELL SHORT, JR.
	Name:	K. Lowell Short, Jr.
	Title:	Senior Vice President - Chief Accounting Officer

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EX-31.1

Exhibit 31.1

Certification Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

I, Cindy L. Konich, certify that:

1. I have reviewed this quarterly report on Form 10-Q of the Federal Home Loan Bank of Indianapolis;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date: August 10, 2022

By: /s/ CINDY L. KONICH

Name: Cindy L. Konich

Title: President - Chief Executive Officer

EX-31.2

Exhibit 31.2

Certification Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

I, Gregory L. Teare, certify that:

1. I have reviewed this quarterly report on Form 10-Q of the Federal Home Loan Bank of Indianapolis;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date: August 10, 2022

By: /s/ GREGORY L. TEARE

Name: Gregory L. Teare

Title: Executive Vice President - Chief Financial Officer

EX-31.3

Exhibit 31.3

Certification Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

I, K. Lowell Short, Jr., certify that:

1. I have reviewed this quarterly report on Form 10-Q of the Federal Home Loan Bank of Indianapolis;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date: August 10, 2022

By: /s/ K. LOWELL SHORT, JR.

Name: K. Lowell Short, Jr.

Title: Senior Vice President - Chief Accounting Officer

EX-32

Exhibit 32

SECTION 1350 CERTIFICATIONS

In connection with the quarterly report of the Federal Home Loan Bank of Indianapolis ("Bank")on Form 10-Q for the period ended June 30, 2022, as filed with the Securities and Exchange Commission on the date hereof ("Report"), each of the undersigned officers certifies, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:

(1)The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2)The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Bank.

By: /s/ CINDY L. KONICH

Cindy L. Konich

President - Chief Executive Officer

August 10, 2022

By: /s/ GREGORY L. TEARE

Gregory L. Teare

Executive Vice President - Chief Financial Officer

August 10, 2022

By: /s/ K. LOWELL SHORT, JR.

K. Lowell Short, Jr.

Senior Vice President - Chief Accounting Officer

August 10, 2022

XML

Cover - shares	6 Months Ended
	Jun. 30, 2022	Jul. 31, 2022
Document Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Jun. 30, 2022
Document Transition Report	false
Entity File Number	000-51404
Entity Registrant Name	FEDERAL HOME LOAN BANK OF INDIANAPOLIS
Entity Tax Identification Number	35-6001443
Entity Address, Address Line One	8250 Woodfield Crossing Blvd.
Entity Address, City or Town	Indianapolis
Entity Address, State or Province	IN
Entity Address, Postal Zip Code	46240
City Area Code	317
Local Phone Number	465-0200
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Emerging Growth Company	false
Entity Small Business	false
Entity Shell Company	false
Entity Central Index Key	0001331754
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2022
Document Fiscal Period Focus	Q2
Amendment Flag	false
Entity Incorporation, State or Country Code	X1
Class A
Document Information [Line Items]
Entity Common Stock, Outstanding (in shares)		0
Class B
Document Information [Line Items]
Entity Common Stock, Outstanding (in shares)		23,320,275

XML

Statements of Condition (Unaudited) - USD ($) $ in Thousands		Jun. 30, 2022	Dec. 31, 2021
Assets:
Cash and due from banks		$ 59,596	$ 867,880
Interest-bearing deposits (Note 3)		325,041	100,041
Securities purchased under agreements to resell (Note 3)		4,500,000	3,500,000
Federal funds sold (Note 3)		2,496,000	2,580,000
Trading securities (Note 3)		4,039,407	3,946,799
Available-for-sale securities (Note 3) (amortized cost of $10,164,321 and $9,007,993)		10,196,572	9,159,935
Held-to-maturity securities (Note 3) (estimated fair values of $3,821,942 and $4,322,157)	[1]	3,877,299	4,313,773
Advances (Note 4)	[2]	30,507,462	27,497,835
Mortgage loans held for portfolio, net (Note 5)		7,729,642	7,616,134	[3]
Accrued interest receivable		96,937	80,758
Derivative assets, net (Note 6)		325,848	220,202
Other assets		112,459	121,246
Total assets		64,266,263	60,004,603
Liabilities:
Deposits		907,525	1,366,397
Consolidated obligations (Note 7):
Discount notes		19,587,260	12,116,358
Bonds		39,462,365	42,361,572
Total consolidated obligations, net		59,049,625	54,477,930
Accrued interest payable		124,999	88,068
Affordable Housing Program payable (Note 8)		28,953	31,049
Derivative liabilities, net (Note 6)		13,569	12,185
Mandatorily redeemable capital stock (Note 9)		45,583	50,422
Other liabilities		619,298	422,221
Total liabilities		60,789,552	56,448,272
Commitments and contingencies (Note 13)
Capital stock (putable at par value of $100 per share):
Class B issued and outstanding shares: 22,508,342 and 22,462,009		2,250,835	2,246,201
Retained earnings:
Unrestricted		912,329	889,869
Restricted		299,391	287,203
Total retained earnings		1,211,720	1,177,072
Total accumulated other comprehensive income (Note 10)		14,156	133,058
Total capital		3,476,711	3,556,331
Total liabilities and capital		$ 64,266,263	$ 60,004,603

[1] Carrying value equals amortized cost, which includes adjustments made to the cost basis for purchase discount or premium and related accretion or amortization. Net unamortized premium at June 30, 2022 and December 31, 2021 totaled $29,144 and $28,440, respectively.

[2] Carrying value equals amortized cost, which excludes accrued interest receivable at June 30, 2022 and December 31, 2021 of $18,542 and $13,075, respectively.

[3] Excludes accrued interest receivable at June 30, 2022 and December 31, 2021 of $29,062 and $27,977, respectively.

XML

Statements of Condition (Unaudited) (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Statement of Financial Position [Abstract]
Amortized cost	$ 10,164,321	$ 9,007,993
Estimated fair value	$ 3,821,942	$ 4,322,157
Common stock putable, par value per share (usd per share)	$ 100	$ 100
Common stock issued (in shares)	22,508,342	22,462,009
Common stock outstanding (in shares)	22,508,342	22,462,009

XML

Statements of Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Interest Income:
Advances	$ 67,562	$ 28,175	$ 102,603	$ 64,284
Interest-bearing deposits	2,623	121	2,913	277
Securities purchased under agreements to resell	6,066	215	6,971	652
Federal funds sold	7,682	651	8,524	1,454
Trading securities	8,347	14,421	13,792	30,591
Available-for-sale securities	38,563	21,184	61,008	51,020
Held-to-maturity securities	9,033	7,809	16,544	17,673
Mortgage loans held for portfolio	51,467	40,119	99,268	80,401
Other interest income	22	0	22	0
Total interest income	191,365	112,695	311,645	246,352
Interest Expense:
Consolidated obligation discount notes	26,535	1,733	30,188	5,932
Consolidated obligation bonds	99,192	52,674	150,891	106,470
Deposits	1,547	43	1,646	80
Mandatorily redeemable capital stock	269	929	514	2,033
Total interest expense	127,543	55,379	183,239	114,515
Net interest income	63,822	57,316	128,406	131,837
Provision for (reversal of) credit losses	(38)	(44)	(60)	44
Net interest income after provision for credit losses	63,860	57,360	128,466	131,793
Other Income:
Net gains (losses) on trading securities	(14,220)	(13,731)	(38,415)	(27,359)
Net gains (losses) on derivatives	17,203	186	37,197	(652)
Other, net	(4,681)	3,775	(7,882)	5,265
Total other income (loss)	(1,698)	(9,770)	(9,100)	(22,746)
Other Expenses:
Compensation and benefits	13,411	14,092	26,367	29,850
Other operating expenses	7,756	7,417	14,850	14,688
Federal Housing Finance Agency	1,801	1,474	3,717	2,947
Office of Finance	1,081	1,228	2,498	3,225
Other	2,154	4,226	4,165	5,857
Total other expenses	26,203	28,437	51,597	56,567
Income before assessments	35,959	19,153	67,769	52,480
Affordable Housing Program assessments	3,623	2,008	6,828	5,451
Net income (loss)	$ 32,336	$ 17,145	$ 60,941	$ 47,029

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Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Statement of Comprehensive Income [Abstract]
Net income	$ 32,336	$ 17,145	$ 60,941	$ 47,029
Other Comprehensive Income:
Net change in unrealized gains (losses) on available-for-sale securities	(45,228)	4,502	(119,691)	78,031
Pension benefits, net	329	8,995	789	9,991
Total other comprehensive income (loss)	(44,899)	13,497	(118,902)	88,022
Total comprehensive income (loss)	$ (12,563)	$ 30,642	$ (57,961)	$ 135,051

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Statements of Capital (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning Balance	$ 3,373,270	$ 3,547,376	$ 3,556,331	$ 3,450,302
Total comprehensive income (loss)	(12,563)	30,642	(57,961)	135,051
Proceeds from issuance of capital stock	129,294	20,005	166,519	26,627
Redemption/repurchase of capital stock			(161,885)
Shares reclassified to mandatorily redeemable capital stock, net	0	(281)	0	(281)
Cash dividends on capital stock	(13,290)	(13,989)	(26,293)	(27,946)
Ending Balance	$ 3,476,711	$ 3,583,753	$ 3,476,711	$ 3,583,753
Capital Stock
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning Balance (in shares)	21,215	22,142	22,462	22,076
Beginning Balance	$ 2,121,541	$ 2,214,192	$ 2,246,201	$ 2,207,570
Proceeds from issuance of capital stock (in shares)	1,293	200	1,665	266
Proceeds from issuance of capital stock	$ 129,294	$ 20,005	$ 166,519	$ 26,627
Redemption/repurchase of capital stock (in shares)			(1,619)
Redemption/repurchase of capital stock			$ (161,885)
Shares reclassified to mandatorily redeemable capital stock, net (in shares)		(3)		(3)
Shares reclassified to mandatorily redeemable capital stock, net		$ (281)		$ (281)
Ending Balance (in shares)	22,508	22,339	22,508	22,339
Ending Balance	$ 2,250,835	$ 2,233,916	$ 2,250,835	$ 2,233,916
Retained Earnings Total
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning Balance	1,192,674	1,153,257	1,177,072	1,137,330
Total comprehensive income (loss)	32,336	17,145	60,941	47,029
Cash dividends on capital stock	(13,290)	(13,989)	(26,293)	(27,946)
Ending Balance	1,211,720	1,156,413	1,211,720	1,156,413
Retained Earnings, Unrestricted
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning Balance	899,750	878,854	889,869	868,904
Total comprehensive income (loss)	25,869	13,716	48,753	37,623
Cash dividends on capital stock	(13,290)	(13,989)	(26,293)	(27,946)
Ending Balance	912,329	878,581	912,329	878,581
Retained Earnings, Restricted
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning Balance	292,924	274,403	287,203	268,426
Total comprehensive income (loss)	6,467	3,429	12,188	9,406
Ending Balance	299,391	277,832	299,391	277,832
Accumulated Other Comprehensive Income
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning Balance	59,055	179,927	133,058	105,402
Total comprehensive income (loss)	(44,899)	13,497	(118,902)	88,022
Ending Balance	$ 14,156	$ 193,424	$ 14,156	$ 193,424

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Statements of Capital (Unaudited) (Parenthetical)	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Statement of Stockholders' Equity [Abstract]
Annualized dividend rate on capital stock	2.47%	2.57%	2.39%	2.53%

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Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands		6 Months Ended
		Jun. 30, 2022	Jun. 30, 2021
Operating Activities:
Net income		$ 60,941	$ 47,029
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Amortization and depreciation		50,152	42,309
Changes in net derivative and hedging activities		751,617	28,776
Provision for (reversal of) credit losses		(60)	44
Net losses on trading securities		38,415	27,359
Changes in:
Accrued interest receivable		(17,495)	11,601
Other assets		5,955	(12,783)
Accrued interest payable		37,075	8,349
Other liabilities		8,559	1,182
Total adjustments, net		874,218	106,837
Net cash provided by operating activities		935,159	153,866
Net change in:
Interest-bearing deposits		(1,219,223)	452,160
Securities purchased under agreements to resell		(1,000,000)	(500,000)
Federal funds sold		84,000	(1,590,000)
Trading securities:
Proceeds from maturities		1,600,000	850,000
Proceeds from sales		200,000	50,006
Purchases		(1,930,219)	(1,649,933)
Available-for-sale securities:
Proceeds from maturities and paydowns		503,910	643,500
Purchases		(2,362,677)	(60,290)
Held-to-maturity securities:
Proceeds from maturities and paydowns		630,398	538,805
Purchases		(51,312)	(584,749)
Advances:
Principal repayments		71,353,438	139,543,669
Disbursements to members		(74,888,350)	(136,081,315)
Mortgage loans held for portfolio:
Principal collections		600,449	1,776,690
Purchases from members		(771,838)	(1,145,532)
Purchases of premises, software, and equipment		(1,989)	(2,520)
Loans to other Federal Home Loan Banks:
Principal repayments		520,000	20,000
Disbursements		(520,000)	(20,000)
Net cash provided by (used in) investing activities		(7,253,413)	2,240,491
Financing Activities:
Net change in deposits		(320,726)	222,576
Net proceeds (payments) on derivative contracts with financing elements		(1,118)	(7,551)
Net proceeds from issuance of consolidated obligations:
Discount notes		369,385,849	85,205,681
Bonds		10,677,690	22,129,860
Payments for matured and retired consolidated obligations:
Discount notes		(361,928,027)	(87,373,330)
Bonds		(12,277,200)	(23,000,650)
Proceeds from issuance of capital stock		166,519	26,627
Payments for redemption/repurchase of capital stock		(161,885)	0
Payments for redemption/repurchase of mandatorily redeemable capital stock		(4,839)	(18,156)
Dividend payments on capital stock		(26,293)	(27,946)
Net cash provided by (used in) financing activities		5,509,970	(2,842,889)
Net increase (decrease) in cash and due from banks		(808,284)	(448,532)
Cash and due from banks at beginning of period		867,880	1,811,544
Cash and due from banks at end of period		59,596	1,363,012
Supplemental Disclosures:
Interest payments		99,903	139,245
Affordable Housing Program payments	[1]	8,924	9,088
Purchases of investment securities, traded but not yet settled		220,413	0
Capitalized interest on certain held-to-maturity securities		855	313
Par value of shares reclassified to mandatorily redeemable capital stock, net		$ 0	$ 281

[1] Subsidies disbursed are reported net of returns/recaptures of previously disbursed subsidies.

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Summary of Significant Accounting Policies

6 Months Ended

Jun. 30, 2022

Accounting Policies [Abstract]

Summary of Significant Accounting Policies

Note 1 - Summary of Significant Accounting Policies

Unless the context otherwise requires, the terms "Bank", "we," "us," and "our" refer to the Federal Home Loan Bank of Indianapolis or its management. We use acronyms and terms throughout these Notes to Financial Statements that are defined in the Defined Terms.

Basis of Presentation. The accompanying interim financial statements have been prepared in accordance with GAAP and SEC requirements for interim financial information. Accordingly, they do not include all of the information and disclosures required by GAAP for complete financial statements. Certain disclosures that would have substantially duplicated the disclosures in the financial statements, and notes thereto, included in our 2021 Form 10-K have been omitted unless the information contained in those disclosures materially changed. Therefore, these interim financial statements should be read in conjunction with our audited financial statements, and notes thereto, included in our 2021 Form 10-K.

The financial statements contain all adjustments that are, in the opinion of management, necessary for a fair statement of the Bank's financial position, results of operations and cash flows for the interim periods presented. All such adjustments were of a normal recurring nature. The results of operations for the periods presented are not necessarily indicative of the results to be expected for the full calendar year or any other interim period.

Use of Estimates. When preparing financial statements in accordance with GAAP, we are required to make subjective assumptions and estimates that may affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities, and the reported amounts of income and expense. Although the reported amounts and disclosures reflect our best estimates, actual results could differ significantly from these estimates. The most significant estimates pertain to the fair values of financial instruments.

Reclassifications. We have reclassified certain amounts reported in prior periods to conform to the current period presentation. These reclassifications had no effect on total assets, total liabilities, total capital, net income, total comprehensive income or net cash flows.

Significant Accounting Policies. Our significant accounting policies and certain other disclosures are set forth in our 2021 Form 10-K in Note 1 - Summary of Significant Accounting Policies. There have been no significant changes to these policies through June 30, 2022.

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Recently Adopted and Issued Accounting Guidance

6 Months Ended

Jun. 30, 2022

Accounting Standards Update and Change in Accounting Principle [Abstract]

Recently Adopted and Issued Accounting Guidance

Note 2 - Recently Adopted and Issued Accounting Guidance

Recently Issued Accounting Guidance.

Fair-Value Hedging - Portfolio Layer Method (ASU 2022-01). On March 28, 2022, the FASB issued guidance expanding the existing last-of-layer fair-value hedging method by allowing entities to hedge multiple layers of a single closed portfolio of prepayable financial assets rather than a single (or last) layer only. To reflect the change, the last-of-layer method was renamed the portfolio layer method.

The guidance is effective for the interim and annual periods beginning on January 1, 2023, although early adoption is permitted. We are in process of evaluating the potentially favorable impact of this guidance on our future financial condition, results of operations, and cash flows.

Troubled Debt Restructurings and Vintage Disclosures (ASU 2022-02). On March 31, 2022, the FASB issued guidance eliminating the accounting guidance for TDRs by creditors that have adopted the current expected credit losses methodology while enhancing disclosure requirements for certain loan refinancings and restructurings made to borrowers experiencing financial difficulty. Additionally, the guidance requires disclosure of current-period gross write-offs by year of origination.

The guidance is effective for the interim and annual periods beginning on January 1, 2023, although early adoption is permitted. The transition method related to the recognition and measurement of TDRs can be applied using a modified retrospective transition method, while all other amendments are to be applied prospectively. We are in process of evaluating this guidance and its potential effect on our financial statement disclosures.

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Investments

6 Months Ended

Jun. 30, 2022

Investments, Debt and Equity Securities [Abstract]

Investments

Note 3 - Investments

Short-term Investments. We invest in interest-bearing deposits, securities purchased under agreements to resell, and federal funds sold to provide short-term liquidity. These investments are generally transacted with counterparties that maintain a credit rating of triple-B or higher (investment grade) by an NRSRO. At June 30, 2022 and December 31, 2021, all of these investments were with counterparties rated single-A or above, based on the lowest long-term credit rating for each counterparty. The NRSRO ratings may differ from our internal ratings of the investments, if applicable.

Allowance for Credit Losses. At June 30, 2022 and December 31, 2021, based on our evaluation, we did not record an allowance for credit losses on any of our short-term investments.

Investment Securities.

Trading Securities.

Major Security Types. The following table presents our trading securities by type of security.

Security Type	June 30, 2022		December 31, 2021
U.S. Treasury obligations	$	4,039,407	$	3,946,799
Total trading securities at estimated fair value	$	4,039,407	$	3,946,799

Net Gains (Losses) on Trading Securities. The following table presents net gains (losses) on trading securities, excluding any offsetting effect of gains (losses) on the associated derivatives.

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
Net gains (losses) on trading securities held at period end	$	(13,740)	$	(12,637)	$	(34,831)	$	(23,275)
Net gains (losses) on trading securities that matured/sold during the period	(480)		(1,094)		(3,584)		(4,084)
Net gains (losses) on trading securities	$	(14,220)	$	(13,731)	$	(38,415)	$	(27,359)

Available-for-Sale Securities.

Major Security Types. The following table presents our AFS securities by type of security.

			Gross		Gross
	Amortized		Unrealized		Unrealized		Estimated
June 30, 2022	Cost (1)		Gains		Losses		Fair Value
U.S. Treasury obligations	$	2,110,103	$	—	$	(4,225)	$	2,105,878
GSE and TVA debentures	2,061,550		24,514		(1)		2,086,063
GSE multifamily MBS	5,992,668		35,467		(23,504)		6,004,631
Total AFS securities	$	10,164,321	$	59,981	$	(27,730)	$	10,196,572
December 31, 2021
GSE and TVA debentures	$	2,651,571	$	45,557	$	(12)	$	2,697,116
GSE multifamily MBS	6,356,422		109,956		(3,559)		6,462,819
Total AFS securities	$	9,007,993	$	155,513	$	(3,571)	$	9,159,935

(1)    Includes adjustments made to the cost basis for purchase discount or premium and related accretion or amortization, and, if applicable, fair-value hedging basis adjustments. Includes at June 30, 2022 and December 31, 2021 unamortized discounts totaling $150,580 and unamortized premiums totaling $14,344, respectively. The applicable fair value hedging basis adjustments at June 30, 2022 and December 31, 2021 totaled losses of $576,995 and gains of $206,199, respectively. Excludes accrued interest receivable at June 30, 2022 and December 31, 2021 of $35,316 and $32,127, respectively.

Unrealized Loss Positions. The following table presents impaired AFS securities (i.e., in an unrealized loss position), aggregated by major security type and length of time that individual securities have been in a continuous unrealized loss position.

	Less than 12 months				12 months or More				Total
	Estimated		Unrealized		Estimated		Unrealized		Estimated		Unrealized
June 30, 2022	Fair Value		Losses		Fair Value		Losses		Fair Value		Losses
U.S. Treasury obligations	$	2,105,878	$	(4,225)	$	—	$	—	$	2,105,878	$	(4,225)
GSE and TVA debentures	15,000		(1)		—		—		15,000		(1)
GSE multifamily MBS	2,496,226		(21,280)		105,536		(2,224)		2,601,762		(23,504)
Total impaired AFS securities	$	4,617,104	$	(25,506)	$	105,536	$	(2,224)	$	4,722,640	$	(27,730)
December 31, 2021
GSE and TVA debentures	$	250,145	$	(12)	$	—	$	—	$	250,145	$	(12)
GSE multifamily MBS	384,015		(3,559)		—		—		384,015		(3,559)
Total impaired AFS securities	$	634,160	$	(3,571)	$	—	$	—	$	634,160	$	(3,571)

Contractual Maturity. The amortized cost and estimated fair value of non-MBS AFS securities are presented below by contractual maturity. MBS are not presented by contractual maturity because their actual maturities will likely differ from their contractual maturities as borrowers have the right to prepay their obligations with or without prepayment fees.

	June 30, 2022				December 31, 2021
	Amortized		Estimated		Amortized		Estimated
Year of Contractual Maturity	Cost		Fair Value		Cost		Fair Value
Due in 1 year or less	$	250,957	$	251,579	$	581,801	$	582,240
Due after 1 through 5 years	1,566,089		1,586,412		1,494,109		1,523,600
Due after 5 through 10 years	2,354,607		2,353,950		575,661		591,276
Total non-MBS	4,171,653		4,191,941		2,651,571		2,697,116
Total MBS	5,992,668		6,004,631		6,356,422		6,462,819
Total AFS securities	$	10,164,321	$	10,196,572	$	9,007,993	$	9,159,935

Held-to-Maturity Securities.

Major Security Types. The following table presents our HTM securities by type of security.

			Gross		Gross
			Unrecognized		Unrecognized
	Amortized		Holding		Holding		Estimated
June 30, 2022	Cost (1)		Gains		Losses		Fair Value
MBS:
Other U.S. obligations - guaranteed single-family	$	2,521,513	$	152	$	(35,792)	$	2,485,873
GSE single-family	722,385		1,697		(20,401)		703,681
GSE multifamily	633,401		5		(1,018)		632,388
Total HTM securities	$	3,877,299	$	1,854	$	(57,211)	$	3,821,942
December 31, 2021
MBS:
Other U.S. obligations - guaranteed single-family	$	2,626,143	$	7,384	$	(9,238)	$	2,624,289
GSE single-family	815,924		14,424		(4,773)		825,575
GSE multifamily	871,706		779		(192)		872,293
Total HTM securities	$	4,313,773	$	22,587	$	(14,203)	$	4,322,157

(1)    Carrying value equals amortized cost, which includes adjustments made to the cost basis for purchase discount or premium and related accretion or amortization. Net unamortized premium at June 30, 2022 and December 31, 2021 totaled $29,144 and $28,440, respectively.

Allowance for Credit Losses. At June 30, 2022 and December 31, 2021, 100% of our HTM securities were rated single-A, or above, by an NRSRO, based on the lowest long-term credit rating for each security. These may differ from our internal ratings of the securities, if applicable.

At June 30, 2022 and December 31, 2021, based on our evaluation, we did not record an allowance for credit losses on any of our HTM securities.

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Advances

6 Months Ended

Jun. 30, 2022

Advances [Abstract]

Advances

Note 4 - Advances

The following table presents advances outstanding by redemption term.

	June 30, 2022			December 31, 2021
Redemption Term	Amount		WAIR %	Amount		WAIR %
Overdrawn demand and overnight deposit accounts	$	98,456	3.90	$	—	—
Due in 1 year or less	13,371,345		1.44	7,863,703		0.59
Due after 1 through 2 years	3,736,129		2.21	2,684,996		2.02
Due after 2 through 3 years	2,384,761		1.70	3,536,759		1.35
Due after 3 through 4 years	2,563,139		1.82	2,931,260		1.29
Due after 4 through 5 years	1,822,975		1.79	1,908,432		1.34
Thereafter	6,867,716		1.52	8,384,458		0.82
Total advances, par value	30,844,521		1.63	27,309,608		1.03
Fair-value hedging basis adjustments, net	(344,955)			179,115
Unamortized swap termination fees associated with modified advances, net of deferred prepayment fees	7,896			9,112
Total advances (1)	$	30,507,462		$	27,497,835

(1)    Carrying value equals amortized cost, which excludes accrued interest receivable at June 30, 2022 and December 31, 2021 of $18,542 and $13,075, respectively.

The following table presents advances outstanding by the earlier of the redemption date or the next call date and next put date.

	Earlier of Redemption or Next Call Date				Earlier of Redemption or Next Put Date
	June 30, 2022		December 31, 2021		June 30, 2022		December 31, 2021
Overdrawn demand and overnight deposit accounts	$	98,456	$	—	$	98,456	$	—
Due in 1 year or less	18,134,158		12,547,866		16,934,750		13,452,703
Due after 1 through 2 years	2,494,629		2,578,396		4,138,129		3,090,101
Due after 2 through 3 years	2,011,211		2,127,759		2,770,661		3,636,259
Due after 3 through 4 years	1,579,789		1,997,060		2,563,139		3,007,160
Due after 4 through 5 years	1,460,800		1,530,307		1,509,875		1,485,332
Thereafter	5,065,478		6,528,220		2,829,511		2,638,053
Total advances, par value	$	30,844,521	$	27,309,608	$	30,844,521	$	27,309,608

Advance Concentrations. At June 30, 2022 and December 31, 2021, our top five borrowers held 47% and 43%, respectively, of total advances outstanding at par.

Allowance for Credit Losses. Based upon the collateral held as security, our credit extension and collateral policies, our credit analysis and the repayment history on advances, we have not recorded an allowance for credit losses on advances.

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Mortgage Loans Held for Portfolio

6 Months Ended

Jun. 30, 2022

Receivables [Abstract]

Mortgage Loans Held for Portfolio

Note 5 - Mortgage Loans Held for Portfolio

The following tables present information on mortgage loans held for portfolio by term and type.

Term	June 30, 2022		December 31, 2021
Fixed-rate long-term mortgages	$	6,633,317	$	6,417,543
Fixed-rate medium-term (1) mortgages	931,310		1,016,851
Total mortgage loans held for portfolio, UPB	7,564,627		7,434,394
Unamortized premiums	175,372		181,172
Unamortized discounts	(5,687)		(2,389)
Hedging basis adjustments, net	(4,470)		3,157
Total mortgage loans held for portfolio	7,729,842		7,616,334
Allowance for credit losses	(200)		(200)
Total mortgage loans held for portfolio, net (2)	$	7,729,642	$	7,616,134

(1)    Defined as a term of 15 years or less at origination.

(2)    Excludes accrued interest receivable at June 30, 2022 and December 31, 2021 of $29,062 and $27,977, respectively.

Type	June 30, 2022		December 31, 2021
Conventional	$	7,404,571	$	7,254,056
Government-guaranteed or -insured	160,056		180,338
Total mortgage loans held for portfolio, UPB	$	7,564,627	$	7,434,394

Credit Quality Indicators for Conventional Mortgage Loans and Other Delinquency Statistics. The tables below present the key credit quality indicators and other delinquency statistics for our mortgage loans held for portfolio aggregated by (i) the most recent five origination years and (ii) all other prior origination years. Amounts are based on amortized cost, which excludes accrued interest receivable.

	Origination Year
Payment Status as of June 30, 2022	Prior to 2018		2018 to 2022		Total
Past due:
30-59 days	$	17,062	$	9,822	$	26,884
60-89 days	2,628		1,055		3,683
90 days or more	14,450		1,630		16,080
Total past due	34,140		12,507		46,647
Total current	2,613,182		4,908,165		7,521,347
Total conventional mortgage loans, amortized cost	$	2,647,322	$	4,920,672	$	7,567,994

	Origination Year
Payment Status as of December 31, 2021	Prior to 2017		2017 to 2021		Total
Past due:
30-59 days	$	16,968	$	12,662	$	29,630
60-89 days	4,175		1,767		5,942
90 days or more	18,599		11,206		29,805
Total past due	39,742		25,635		65,377
Total current	2,447,420		4,921,101		7,368,521
Total conventional mortgage loans, amortized cost	$	2,487,162	$	4,946,736	$	7,433,898

Other Delinquency Statistics as of June 30, 2022	Conventional			Government			Total
In process of foreclosure (1)	$	3,368		$	—		$	3,368
Serious delinquency rate (2)	0.21		%	1.05		%	0.23		%
Past due 90 days or more still accruing interest (3)	$	11,298		$	1,483		$	12,781
On non-accrual status (4)	$	10,788		$	—		$	10,788
Other Delinquency Statistics as of December 31, 2021
In process of foreclosure (1)	$	1,999		$	—		$	1,999
Serious delinquency rate (2)	0.40		%	0.86		%	0.41		%
Past due 90 days or more still accruing interest (3)	$	15,725		$	1,364		$	17,089
On non-accrual status (4)	$	23,487		$	—		$	23,487

(1)    Includes loans for which the decision of foreclosure or similar alternative, such as pursuit of deed-in-lieu of foreclosure, has been reported. Loans in process of foreclosure are included in past due categories depending on their delinquency status, but are not necessarily considered to be on non-accrual status.

(2)    Represents loans 90 days or more past due (including loans in process of foreclosure) expressed as a percentage of the total mortgage loans.

(3)    Although our past due scheduled/scheduled MPP loans are classified as loans past due 90 days or more based on the loan's delinquency status, we do not consider these loans to be on non-accrual status as they are well-secured and in the process of collection.

(4)    As of June 30, 2022 and December 31, 2021, $3,721 and $11,701, respectively, of UPB of these conventional mortgage loans on non-accrual status did not have a related allowance for credit losses because these loans were either previously charged off to the expected recoverable value and/or the fair value of the underlying collateral, including any credit enhancements, exceeded the amortized cost of the loans.

Allowance for Credit Losses. The table below presents a rollforward of our allowance for credit losses.

	Three Months Ended June 30,				Six Months Ended June 30,
Rollforward of Allowance	2022		2021		2022		2021
Balance, beginning of period	$	200	$	350	$	200	$	350
Charge-offs (1)	7		—		7		(92)
Recoveries	31		19		53		23
Provision for (reversal of) credit losses	(38)		(44)		(60)		44
Balance, end of period	$	200	$	325	$	200	$	325

(1)    Includes receipts of LRA funds on certain loans that are recorded as reversals of previous charge-offs.

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Derivatives and Hedging Activities

6 Months Ended

Jun. 30, 2022

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivatives and Hedging Activities

Note 6 - Derivatives and Hedging Activities

Managing Credit Risk on Derivatives. We are subject to credit risk due to the risk of nonperformance by the counterparties to our derivative transactions.

Uncleared Derivatives. There were no uncleared derivative instruments with credit-risk-related contingent features that were in a net liability position (before cash collateral and related accrued interest on cash collateral) at June 30, 2022.

Cleared Derivatives. At June 30, 2022, we were not required by our clearing agents to post any margin in excess of the Clearinghouses' requirements.

Financial Statement Effect and Additional Financial Information.

We record derivative instruments, related cash collateral received or pledged/posted and associated accrued interest on a net basis by clearing agent and/or by counterparty when the netting requirements have been met. The following table presents the notional amount and estimated fair value of derivative assets and liabilities.

	June 30, 2022						December 31, 2021
	Notional		Derivative		Derivative		Notional		Derivative		Derivative
	Amount		Assets		Liabilities		Amount		Assets		Liabilities
Derivatives designated as hedging instruments:
Interest-rate swaps	$	55,010,636	$	493,855	$	1,555,740	$	46,395,451	$	105,446	$	413,324
Derivatives not designated as hedging instruments:
Economic hedges:
Interest-rate swaps	9,270,000		1,987		1,363		8,595,000		357		148
Interest-rate caps/floors	611,000		1,208		—		625,500		1,077		—
Interest-rate forwards	32,200		352		66		98,200		1		199
MDCs	31,325		108		45		96,424		45		105
Total derivatives not designated as hedging instruments	9,944,525		3,655		1,474		9,415,124		1,480		452
Total derivatives before adjustments	$	64,955,161	497,510		1,557,214		$	55,810,575	106,926		413,776
Netting adjustments and cash collateral (1)			(171,662)		(1,543,645)				113,276		(401,591)
Total derivatives, net, at estimated fair value			$	325,848	$	13,569			$	220,202	$	12,185

(1)    Represents the application of the netting requirements that allow us to settle (i) positive and negative positions and (ii) cash collateral and related accrued interest held or placed, with the same clearing agent and/or counterparty. Cash collateral pledged to counterparties at June 30, 2022 and December 31, 2021, including accrued interest, totaled $1,511,166 and $515,761, respectively. Cash collateral received from counterparties and held at both June 30, 2022 and December 31, 2021, including accrued interest, totaled $139,183 and $894, respectively. At June 30, 2022 and December 31, 2021, no securities were pledged as collateral.

The following table presents separately the estimated fair value of derivative instruments meeting and not meeting netting requirements, including the effect of the related collateral.

	June 30, 2022				December 31, 2021
	Derivative Assets		Derivative Liabilities		Derivative Assets		Derivative Liabilities
Derivative instruments meeting netting requirements:
Gross recognized amount
Uncleared	$	493,033	$	1,482,271	$	105,667	$	411,886
Cleared	4,017		74,832		1,213		1,586
Total gross recognized amount	497,050		1,557,103		106,880		413,472
Gross amounts of netting adjustments and cash collateral
Uncleared	(408,142)		(1,468,813)		(105,417)		(400,005)
Cleared	236,480		(74,832)		218,693		(1,586)
Total gross amounts of netting adjustments and cash collateral	(171,662)		(1,543,645)		113,276		(401,591)
Net amounts after netting adjustments and cash collateral
Uncleared	84,891		13,458		250		11,881
Cleared	240,497		—		219,906		—
Total net amounts after netting adjustments and cash collateral	325,388		13,458		220,156		11,881
Derivative instruments not meeting netting requirements (1)	460		111		46		304
Total derivatives, net, at estimated fair value	$	325,848	$	13,569	$	220,202	$	12,185

(1)    Includes MDCs and certain interest-rate forwards.

The following table presents the impact of qualifying fair-value hedging relationships on net interest income by hedged item, excluding any offsetting interest income/expense of the associated hedged items.

Three Months Ended June 30, 2022	Advances		AFS Securities		CO Bonds		Total
Net impact of fair-value hedging relationships on net interest income:
Net interest settlements on derivatives (1)	$	(18,870)	$	(11,663)	$	31,275	$	742
Net gains (losses) on derivatives (2)	141,937		106,280		(390,352)		(142,135)
Net gains (losses) on hedged items (3)	(147,671)		(122,790)		387,546		117,085
Net impact on net interest income	$	(24,604)	$	(28,173)	$	28,469	$	(24,308)
Total interest income (expense) recorded in the Statement of Income (4)	$	67,562	$	38,563	$	(99,192)	$	6,933

Three Months Ended June 30, 2021
Net impact of fair-value hedging relationships on net interest income:
Net interest settlements on derivatives (1)	$	(46,173)	$	(28,327)	$	22,011	$	(52,489)
Net gains (losses) on derivatives (2)	(12,098)		(87,731)		37,082		(62,747)
Net gains (losses) on hedged items (3)	10,494		81,883		(39,194)		53,183
Net impact on net interest income	$	(47,777)	$	(34,175)	$	19,899	$	(62,053)
Total interest income (expense) recorded in the Statement of Income (4)	$	28,175	$	21,184	$	(52,674)	$	(3,315)

Six Months Ended June 30, 2022	Advances		AFS Securities		CO Bonds		Total
Net impact of fair-value hedging relationships on net interest income:
Net interest settlements on derivatives (1)	$	(59,024)	$	(34,128)	$	82,664	$	(10,488)
Net gains (losses) on derivatives (2)	498,571		284,010		(1,290,066)		(507,485)
Net gains (losses) on hedged items (3)	(500,575)		(314,279)		1,282,605		467,751
Net impact on net interest income	$	(61,028)	$	(64,397)	$	75,203	$	(50,222)
Total interest income (expense) recorded in the Statement of Income (4)	$	102,603	$	61,008	$	(150,891)	$	12,720

Six Months Ended June 30, 2021
Net impact of fair-value hedging relationships on net interest income:
Net interest settlements on derivatives (1)	$	(91,892)	$	(60,780)	$	34,237	$	(118,435)
Net gains (losses) on derivatives (2)	234,784		234,210		(81,111)		387,883
Net gains (losses) on hedged items (3)	(233,031)		(234,631)		84,221		(383,441)
Net impact on net interest income	$	(90,139)	$	(61,201)	$	37,347	$	(113,993)
Total interest income (expense) recorded in the Statement of Income (4)	$	64,284	$	51,020	$	(106,470)	$	8,834

(1)    Represents interest income/expense on derivatives in qualifying fair-value hedging relationships. Net interest settlements on derivatives that are not in qualifying fair-value hedging relationships are reported in other income.

(2)    Includes for the three months ended June 30, 2022 and 2021, increases (decreases) in estimated fair value totaling $(141,004) and $(62,754), respectively, and price alignment interest of $(1,131) and $7, respectively. Includes for the six months ended June 30, 2022 and 2021, increases (decreases) in estimated fair value totaling $(506,306) and $387,834, respectively, and price alignment interest of $(1,179) and $49, respectively.

(3)    Includes for the three months ended June 30, 2022 and 2021, increases (decreases) in estimated fair value totaling $134,151 and $57,142, respectively, and amortization of net losses on ineffective and discontinued fair-value hedging relationships of $(17,066) and $(3,959), respectively. Includes for the six months ended June 30, 2022 and 2021, increases (decreases) in estimated fair value totaling $501,499 and $(374,858), respectively, and amortization of net losses on ineffective and discontinued fair-value hedging relationships of $(33,748) and $(8,583), respectively.

(4)    For advances, AFS securities and CO bonds only.

The following table presents the components of net gains (losses) on derivatives reported in other income.

	Three Months Ended June 30,				Six Months Ended June 30,
Type of Hedge	2022		2021		2022		2021
Net gains (losses) on derivatives not designated as hedging instruments:
Economic hedges:
Interest-rate swaps	$	16,413	$	4,083	$	38,463	$	8,194
Interest-rate caps/floors	(42)		(528)		131		(396)
Interest-rate forwards	1,768		(1,344)		7,026		2,812
Net interest settlements (1)	881		(3,285)		(1,137)		(8,238)
MDCs	(1,817)		1,260		(7,286)		(3,024)
Net gains (losses) on derivatives in other income	$	17,203	$	186	$	37,197	$	(652)

(1)    Relates to derivatives that are not in qualifying fair-value hedging relationships. The interest income/expense of the associated hedged items is recorded in net interest income.

The following table presents the amortized cost of, and the related cumulative basis adjustments on, hedged items in qualifying fair-value hedging relationships.

June 30, 2022	Advances		AFS Securities		CO Bonds
Amortized cost of hedged items (1)	$	16,303,974	$	10,164,322	$	26,730,944
Cumulative basis adjustments included in amortized cost:
For active fair-value hedging relationships (2)	$	(345,091)	$	(934,237)	$	(1,530,303)
For discontinued fair-value hedging relationships	136		357,242		—
Total cumulative fair-value hedging basis adjustments on hedged items	$	(344,955)	$	(576,995)	$	(1,530,303)

December 31, 2021
Amortized cost of hedged items (1)	$	17,374,515	$	9,007,993	$	20,902,714
Cumulative basis adjustments included in amortized cost:
For active fair-value hedging relationships (2)	$	178,543	$	(184,724)	$	(247,699)
For discontinued fair-value hedging relationships	572		390,923		—
Total cumulative fair-value hedging basis adjustments on hedged items	$	179,115	$	206,199	$	(247,699)

(1)    Includes the amortized cost of the hedged items in active or discontinued fair-value hedging relationships.

(2)    Includes effective and ineffective fair-value hedging relationships. Excludes any offsetting effect of the net estimated fair value of the associated derivatives.

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Consolidated Obligations

6 Months Ended

Jun. 30, 2022

Debt Disclosure [Abstract]

Consolidated Obligations

Note 7 - Consolidated Obligations

In addition to being the primary obligor for all consolidated obligations issued on our behalf, we are jointly and severally liable with each of the other FHLBanks for the payment of the principal and interest on all of the FHLBanks' consolidated obligations outstanding. The par values of the FHLBanks' consolidated obligations outstanding at June 30, 2022 and December 31, 2021 totaled $882.5 billion and $652.9 billion, respectively. As provided by the Bank Act and Finance Agency regulations, consolidated obligations are backed only by the financial resources of all FHLBanks.

Discount Notes. The following table presents our discount notes outstanding, all of which are due within one year of issuance.

Discount Notes	June 30, 2022			December 31, 2021
Book value	$	19,587,260		$	12,116,358
Par value	19,617,332			12,117,846
Weighted average effective interest rate	1.17		%	0.05		%

CO Bonds. The following table presents our CO bonds outstanding by contractual maturity.

	June 30, 2022			December 31, 2021
Year of Contractual Maturity	Amount		WAIR%	Amount		WAIR%
Due in 1 year or less	$	8,949,535	1.52	$	14,357,350	0.29
Due after 1 through 2 years	3,556,625		1.49	2,965,510		1.02
Due after 2 through 3 years	9,827,090		1.09	5,797,550		0.76
Due after 3 through 4 years	4,878,500		1.26	3,947,300		0.83
Due after 4 through 5 years	5,039,820		1.36	6,587,600		1.14
Thereafter	8,698,820		2.20	8,894,940		2.09
Total CO bonds, par value	40,950,390		1.51	42,550,250		0.96
Unamortized premiums	60,418			77,035
Unamortized discounts	(10,819)			(11,268)
Unamortized concessions	(7,321)			(6,746)
Fair-value hedging basis adjustments, net	(1,530,303)			(247,699)
Total CO bonds	$	39,462,365		$	42,361,572

The following tables present the par value of our CO bonds outstanding by redemption feature and the earlier of the year of contractual maturity or next call date.

Redemption Feature	June 30, 2022		December 31, 2021
Non-callable / non-putable	$	11,740,890	$	20,346,750
Callable	29,209,500		22,203,500
Total CO bonds, par value	$	40,950,390	$	42,550,250

Year of Contractual Maturity or Next Call Date	June 30, 2022		December 31, 2021
Due in 1 year or less	$	35,829,035	$	36,028,850
Due after 1 through 2 years	1,374,625		3,122,510
Due after 2 through 3 years	997,090		586,550
Due after 3 through 4 years	745,500		577,300
Due after 4 through 5 years	248,320		415,100
Thereafter	1,755,820		1,819,940
Total CO bonds, par value	$	40,950,390	$	42,550,250

The following table presents the par value of our CO bonds outstanding by interest-rate payment type.

Interest-Rate Payment Type	June 30, 2022		December 31, 2021
Fixed-rate	$	34,548,390	$	36,717,750
Step-up	2,233,500		898,500
Simple variable-rate	4,168,500		4,934,000
Total CO bonds, par value	$	40,950,390	$	42,550,250

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Affordable Housing Program

6 Months Ended

Jun. 30, 2022

Affordable Housing Program [Abstract]

Affordable Housing Program

Note 8 - Affordable Housing Program

The following table summarizes the activity in our AHP funding obligation.

	Three Months Ended June 30,				Six Months Ended June 30,
AHP Activity	2022		2021		2022		2021
Liability at beginning of period	$	31,937	$	35,690	$	31,049	$	34,402
Assessment (expense)	3,623		2,008		6,828		5,451
Subsidy usage, net (1)	(6,607)		(6,933)		(8,924)		(9,088)
Liability at end of period	$	28,953	$	30,765	$	28,953	$	30,765

(1)    Subsidies disbursed are reported net of returns/recaptures of previously disbursed subsidies.

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Capital

6 Months Ended

Jun. 30, 2022

Banking Regulation, Total Capital [Abstract]

Capital

Note 9 - Capital

Classes of Capital Stock. The following table presents the capital stock outstanding by sub-series.

Capital Stock Outstanding	June 30, 2022		December 31, 2021
Class B-1	$	765,075	$	931,517
Class B-2	1,485,760		1,314,684
Total Class B	$	2,250,835	$	2,246,201

Mandatorily Redeemable Capital Stock. The following table presents the activity in our MRCS.

	Three Months Ended June 30,				Six Months Ended June 30,
MRCS Activity	2022		2021		2022		2021
Liability at beginning of period	$	45,591	$	232,695	$	50,422	$	250,768
Reclassification from capital stock	—		281		—		281
Redemptions/repurchases	(8)		(83)		(4,839)		(18,156)
Liability at end of period	$	45,583	$	232,893	$	45,583	$	232,893

The following table presents MRCS by contractual year of redemption. The year of redemption is the later of (i) the final year of the 5-year redemption period, or (ii) the first year in which a non-member no longer has an activity-based stock requirement.

MRCS Contractual Year of Redemption	June 30, 2022		December 31, 2021
Past contractual redemption date (1)	$	560	$	577
Year 1 (2)	12,298		11,835
Year 2	868		471
Year 3	12,124		9,873
Year 4	16,059		23,218
Year 5	3,674		4,448
Total MRCS	$	45,583	$	50,422

(1)    Balance represents Class B stock that will not be redeemed until the associated credit products and other obligations are no longer outstanding.

(2)    Balance at June 30, 2022 and December 31, 2021 includes $11,835 of Class B stock held by one captive insurance company whose membership was terminated on February 19, 2021 but will not be redeemed until the associated credit products and other obligations are no longer outstanding.

The following table presents the distributions related to MRCS.

	Three Months Ended June 30,				Six Months Ended June 30,
MRCS Distributions	2022		2021		2022		2021
Recorded as interest expense	$	269	$	929	$	514	$	2,033
Recorded as distributions from retained earnings	—		1		—		84
Total	$	269	$	930	$	514	$	2,117

Capital Requirements. We are subject to three capital requirements under our capital plan and Finance Agency regulations as disclosed in Note 12 - Capital in our 2021 Form 10-K. As presented in the following table, we were in compliance with these Finance Agency's capital requirements at June 30, 2022 and December 31, 2021.

	June 30, 2022				December 31, 2021
Regulatory Capital Requirements	Required		Actual		Required		Actual
Risk-based capital	$	1,217,930	$	3,508,138	$	1,091,337	$	3,473,695
Total regulatory capital	$	2,570,651	$	3,508,138	$	2,400,184	$	3,473,695
Total regulatory capital-to-assets ratio	4.00%		5.46%		4.00%		5.79%
Leverage capital	$	3,213,313	$	5,262,207	$	3,000,230	$	5,210,543
Leverage ratio	5.00%		8.19%		5.00%		8.69%

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Accumulated Other Comprehensive Income

6 Months Ended

Jun. 30, 2022

Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]

Accumulated Other Comprehensive Income

Note 10 - Accumulated Other Comprehensive Income

The following table presents a summary of the changes in the components of AOCI.

AOCI Rollforward	Unrealized Gains (Losses) on AFS Securities		Pension Benefits		Total AOCI
Balance, March 31, 2022	$	77,479	$	(18,424)	$	59,055
OCI before reclassifications:
Net change in unrealized gains (losses)	(45,228)		—		(45,228)
Reclassifications from OCI to net income:
Pension benefits, net	—		329		329
Total other comprehensive income (loss)	(45,228)		329		(44,899)
Balance, June 30, 2022	$	32,251	$	(18,095)	$	14,156
Balance, March 31, 2021	$	210,450	$	(30,523)	$	179,927
OCI before reclassifications:
Net change in unrealized gains	4,502		—		4,502
Reclassifications from OCI to net income:
Pension benefits, net	—		8,995		8,995
Total other comprehensive income	4,502		8,995		13,497
Balance, June 30, 2021	$	214,952	$	(21,528)	$	193,424

AOCI Rollforward	Unrealized Gains (Losses) on AFS Securities		Pension Benefits		Total AOCI
Balance, December 31, 2021	$	151,942	$	(18,884)	$	133,058
OCI before reclassifications:
Net change in unrealized gains (losses)	(119,691)		—		(119,691)
Reclassifications from OCI to net income:
Pension benefits, net	—		789		789
Total other comprehensive income (loss)	(119,691)		789		(118,902)
Balance, June 30, 2022	$	32,251	$	(18,095)	$	14,156
Balance, December 31, 2020	$	136,921	$	(31,519)	$	105,402
OCI before reclassifications:
Net change in unrealized gains	78,031		—		78,031
Reclassifications from OCI to net income:
Pension benefits, net	—		9,991		9,991
Total other comprehensive income	78,031		9,991		88,022
Balance, June 30, 2021	$	214,952	$	(21,528)	$	193,424

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Segment Information

6 Months Ended

Jun. 30, 2022

Segment Reporting [Abstract]

Segment Information

Note 11 - Segment Information

The following table presents our financial performance by operating segment.

	Three Months Ended June 30, 2022						Three Months Ended June 30, 2021
	Traditional		Mortgage Loans		Total		Traditional		Mortgage Loans		Total
Net interest income	$	50,671	$	13,151	$	63,822	$	53,952	$	3,364	$	57,316
Provision for (reversal of) credit losses	—		(38)		(38)		—		(44)		(44)
Other income (loss)	(1,732)		34		(1,698)		(9,734)		(36)		(9,770)
Other expenses	22,436		3,767		26,203		24,221		4,216		28,437
Income (loss) before assessments	26,503		9,456		35,959		19,997		(844)		19,153
Affordable Housing Program assessments (credits)	2,677		946		3,623		2,093		(85)		2,008
Net income (loss)	$	23,826	$	8,510	$	32,336	$	17,904	$	(759)	$	17,145
	Six Months Ended June 30, 2022						Six Months Ended June 30, 2021
	Traditional		Mortgage Loans		Total		Traditional		Mortgage Loans		Total
Net interest income	$	103,361	$	25,045	$	128,406	$	128,137	$	3,700	$	131,837
Provision for (reversal of) credit losses	—		(60)		(60)		—		44		44
Other income (loss)	(8,942)		(158)		(9,100)		(22,611)		(135)		(22,746)
Other expenses	44,202		7,395		51,597		48,339		8,228		56,567
Income (loss) before assessments	50,217		17,552		67,769		57,187		(4,707)		52,480
Affordable Housing Program assessments (credits)	5,073		1,755		6,828		5,922		(471)		5,451
Net income (loss)	$	45,144	$	15,797	$	60,941	$	51,265	$	(4,236)	$	47,029

The following table presents our asset balances by operating segment.

By Date	Traditional		Mortgage Loans		Total
June 30, 2022	$	56,536,621	$	7,729,642	$	64,266,263
December 31, 2021	52,388,469		7,616,134		60,004,603

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Estimated Fair Values

6 Months Ended

Jun. 30, 2022

Fair Value Disclosures [Abstract]

Estimated Fair Values

Note 12 - Estimated Fair Values

The following tables present the carrying value and estimated fair value of each of our financial instruments. The total of the estimated fair values does not represent an estimate of our overall market value as a going concern, which would take into account, among other considerations, future business opportunities and the net profitability of assets and liabilities.

	June 30, 2022
			Estimated Fair Value
	Carrying										Netting
Financial Instruments	Value		Total		Level 1		Level 2		Level 3		Adjustments (1)
Assets:
Cash and due from banks	$	59,596	$	59,596	$	59,596	$	—	$	—	$	—
Interest-bearing deposits	325,041		325,041		325,000		41		—		—
Securities purchased under agreements to resell	4,500,000		4,500,000		—		4,500,000		—		—
Federal funds sold	2,496,000		2,496,000		—		2,496,000		—		—
Trading securities	4,039,407		4,039,407		—		4,039,407		—		—
AFS securities	10,196,572		10,196,572		—		10,196,572		—		—
HTM securities	3,877,299		3,821,942		—		3,821,942		—		—
Advances	30,507,462		30,354,762		—		30,354,762		—		—
Mortgage loans held for portfolio, net	7,729,642		7,213,065		—		7,199,864		13,201		—
Accrued interest receivable	96,937		96,937		—		96,937		—		—
Derivative assets, net	325,848		325,848		—		497,510		—		(171,662)
Grantor trust assets (2)	52,400		52,400		52,400		—		—		—
Liabilities:
Deposits	907,525		907,525		—		907,525		—		—
Consolidated obligations:
Discount notes	19,587,260		19,579,547		—		19,579,547		—		—
Bonds	39,462,365		38,768,013		—		38,768,013		—		—
Accrued interest payable	124,999		124,999		—		124,999		—		—
Derivative liabilities, net	13,569		13,569		—		1,557,214		—		(1,543,645)
MRCS	45,583		45,583		45,583		—		—		—

	December 31, 2021
			Estimated Fair Value
	Carrying										Netting
Financial Instruments	Value		Total		Level 1		Level 2		Level 3		Adjustments (1)
Assets:
Cash and due from banks	$	867,880	$	867,880	$	867,880	$	—	$	—	$	—
Interest-bearing deposits	100,041		100,041		100,000		41		—		—
Securities purchased under agreements to resell	3,500,000		3,500,000		—		3,500,000		—		—
Federal funds sold	2,580,000		2,580,000		—		2,580,000		—		—
Trading securities	3,946,799		3,946,799		—		3,946,799		—		—
AFS securities	9,159,935		9,159,935		—		9,159,935		—		—
HTM securities	4,313,773		4,322,157		—		4,322,157		—		—
Advances	27,497,835		27,462,295		—		27,462,295		—		—
Mortgage loans held for portfolio, net	7,616,134		7,810,378		—		7,787,334		23,044		—
Accrued interest receivable	80,758		80,758		—		80,758		—		—
Derivative assets, net	220,202		220,202		—		106,926		—		113,276
Grantor trust assets (2)	62,640		62,640		62,640		—		—		—
Liabilities:
Deposits	1,366,397		1,366,397		—		1,366,397		—		—
Consolidated obligations:
Discount notes	12,116,358		12,115,318		—		12,115,318		—		—
Bonds	42,361,572		42,643,536		—		42,643,536		—		—
Accrued interest payable	88,068		88,068		—		88,068		—		—
Derivative liabilities, net	12,185		12,185		—		413,776		—		(401,591)
MRCS	50,422		50,422		50,422		—		—		—

(1)    Represents the application of the netting requirements that allow us to settle (i) positive and negative positions and (ii) cash collateral and related accrued interest held or placed with the same clearing agent and/or counterparty.

(2)    Included in other assets on the statement of condition.

Summary of Valuation Techniques and Significant Inputs. A description of the valuation techniques, significant inputs, and levels of fair value hierarchy is disclosed in Note 16 - Estimated Fair Values in our 2021 Form 10-K. No significant changes have been made in the current year.

Estimated Fair Value Measurements. The following tables present, by level within the fair value hierarchy, the estimated fair value of our financial assets and liabilities that are recorded at estimated fair value on a recurring or non-recurring basis on our statement of condition.

									Netting
June 30, 2022	Total		Level 1		Level 2		Level 3		Adjustments (1)
Trading securities:
U.S. Treasury obligations	$	4,039,407	$	—	$	4,039,407	$	—	$	—
Total trading securities	4,039,407		—		4,039,407		—		—
AFS securities:
U.S. Treasury obligations	2,105,878		—		2,105,878		—		—
GSE and TVA debentures	2,086,063		—		2,086,063		—		—
GSE multifamily MBS	6,004,631		—		6,004,631		—		—
Total AFS securities	10,196,572		—		10,196,572		—		—
Derivative assets:
Interest-rate related	325,740		—		497,402		—		(171,662)
MDCs	108		—		108		—		—
Total derivative assets, net	325,848		—		497,510		—		(171,662)
Other assets:
Grantor trust assets	52,400		52,400		—		—		—
Total assets at recurring estimated fair value	$	14,614,227	$	52,400	$	14,733,489	$	—	$	(171,662)
Derivative liabilities:
Interest-rate related	$	13,524	$	—	$	1,557,169	$	—	$	(1,543,645)
MDCs	45		—		45		—		—
Total derivative liabilities, net	13,569		—		1,557,214		—		(1,543,645)
Total liabilities at recurring estimated fair value	$	13,569	$	—	$	1,557,214	$	—	$	(1,543,645)
Mortgage loans held for portfolio (2)	$	970	$	—	$	—	$	970	$	—
Total assets at non-recurring estimated fair value	$	970	$	—	$	—	$	970	$	—

									Netting
December 31, 2021	Total		Level 1		Level 2		Level 3		Adjustments (1)
Trading securities:
U.S. Treasury obligations	$	3,946,799	$	—	$	3,946,799	$	—	$	—
Total trading securities	3,946,799		—		3,946,799		—		—
AFS securities:
GSE and TVA debentures	2,697,116		—		2,697,116		—		—
GSE MBS	6,462,819		—		6,462,819		—		—
Total AFS securities	9,159,935		—		9,159,935		—		—
Derivative assets:
Interest-rate related	220,157		—		106,881		—		113,276
MDCs	45		—		45		—		—
Total derivative assets, net	220,202		—		106,926		—		113,276
Other assets:
Grantor trust assets	62,640		62,640		—		—		—
Total assets at recurring estimated fair value	$	13,389,576	$	62,640	$	13,213,660	$	—	$	113,276
Derivative liabilities:
Interest-rate related	$	12,080	$	—	$	413,671	$	—	$	(401,591)
MDCs	105		—		105		—		—
Total derivative liabilities, net	12,185		—		413,776		—		(401,591)
Total liabilities at recurring estimated fair value	$	12,185	$	—	$	413,776	$	—	$	(401,591)
Mortgage loans held for portfolio (2)	$	1,141	$	—	$	—	$	1,141	$	—
Total assets at non-recurring estimated fair value	$	1,141	$	—	$	—	$	1,141	$	—

(1)    Represents the application of the netting requirements that allow us to settle (i) positive and negative positions and (ii) cash collateral and related accrued interest held or placed with the same clearing agent and/or counterparty.

(2)    Amounts are as of the date the most recent fair-value adjustment was recorded.

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Commitments and Contingencies

6 Months Ended

Jun. 30, 2022

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

Note 13 - Commitments and Contingencies

The following table presents our off-balance-sheet commitments at their notional amounts.

	June 30, 2022
Type of Commitment	Expire within one year		Expire after one year		Total
Standby letters of credit outstanding	$	48,363	$	616,213	$	664,576
Unused lines of credit (1)	906,668		—		906,668
Commitments to fund additional advances (2)	68,000		—		68,000
Commitments to fund or purchase mortgage loans, net (3)	31,325		—		31,325
Unsettled CO bonds, at par	43,800		—		43,800
Unsettled discount notes, at par	424,000		—		424,000

(1)    Maximum line of credit amount per member is $100,000.

(2)    Generally for periods up to six months.

(3)    Generally for periods up to 91 days.

Pledged Collateral. At June 30, 2022 and December 31, 2021, we had pledged cash collateral of $1,509,963 and $515,740, respectively, to counterparties and clearing agents. At June 30, 2022 and December 31, 2021, we had not pledged any securities as collateral.

Legal Proceedings. We are subject to legal proceedings arising in the normal course of business. We record an accrual for a loss contingency when it is probable that a loss for which we could be liable has been incurred and the amount can be reasonably estimated. After consultation with legal counsel, management is not aware of any such proceedings where the ultimate liability, if any, could have a material effect on our financial condition, results of operations or cash flows.

Additional discussion of other commitments and contingencies is provided in Note 4 - Advances; Note 5 - Mortgage Loans Held for Portfolio; Note 6 - Derivatives and Hedging Activities; Note 7 - Consolidated Obligations; Note 9 - Capital; and Note 12 - Estimated Fair Values.

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Related Party and Other Transactions

6 Months Ended

Jun. 30, 2022

Related Party Transactions [Abstract]

Related Party and Other Transactions

Note 14 - Related Party and Other Transactions

Transactions with Directors Financial Institutions. The following table presents our transactions with directors' financial institutions, taking into account the beginning and ending dates of the directors' terms, merger activity and other changes in the composition of directors' financial institutions.

Transactions with Directors' Financial Institutions	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
Net capital stock issuances (redemptions and repurchases)	$	3,437	$	—	$	(46,983)	$	—
Net advances (repayments)	3,034,988		(993,987)		1,234,703		(2,043,264)
Mortgage loan purchases	4,025		16,745		12,747		29,622

The following table presents the aggregate balances of capital stock and advances outstanding for directors' financial institutions and their balances as a percent of the total balances on our statement of condition.

	June 30, 2022				December 31, 2021
Balances with Directors' Financial Institutions	Par value		% of Total		Par value		% of Total
Capital stock	$	381,061	17	%	$	440,949	19	%
Advances	4,695,040		16	%	3,854,856		14	%

The composition of directors' financial institutions changed effective January 1, 2022, due to changes in board membership resulting from the 2021 director election.

Transactions with Other FHLBanks. Occasionally, we loan or borrow short-term funds to/from other FHLBanks. There were no loans to or borrowings from other FHLBanks that remained outstanding at June 30, 2022 or December 31, 2021.

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Summary of Significant Accounting Policies (Policies)

6 Months Ended

Jun. 30, 2022

Accounting Policies [Abstract]

Basis of Presentation

Basis of Presentation. The accompanying interim financial statements have been prepared in accordance with GAAP and SEC requirements for interim financial information. Accordingly, they do not include all of the information and disclosures required by GAAP for complete financial statements. Certain disclosures that would have substantially duplicated the disclosures in the financial statements, and notes thereto, included in our 2021 Form 10-K have been omitted unless the information contained in those disclosures materially changed. Therefore, these interim financial statements should be read in conjunction with our audited financial statements, and notes thereto, included in our 2021 Form 10-K.

The financial statements contain all adjustments that are, in the opinion of management, necessary for a fair statement of the Bank's financial position, results of operations and cash flows for the interim periods presented. All such adjustments were of a normal recurring nature. The results of operations for the periods presented are not necessarily indicative of the results to be expected for the full calendar year or any other interim period.

Use of Estimates

Use of Estimates. When preparing financial statements in accordance with GAAP, we are required to make subjective assumptions and estimates that may affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities, and the reported amounts of income and expense. Although the reported amounts and disclosures reflect our best estimates, actual results could differ significantly from these estimates. The most significant estimates pertain to the fair values of financial instruments.

Reclassifications

Reclassifications. We have reclassified certain amounts reported in prior periods to conform to the current period presentation. These reclassifications had no effect on total assets, total liabilities, total capital, net income, total comprehensive income or net cash flows.

Recently Issued Accounting Guidance

Recently Issued Accounting Guidance.

Fair-Value Hedging - Portfolio Layer Method (ASU 2022-01). On March 28, 2022, the FASB issued guidance expanding the existing last-of-layer fair-value hedging method by allowing entities to hedge multiple layers of a single closed portfolio of prepayable financial assets rather than a single (or last) layer only. To reflect the change, the last-of-layer method was renamed the portfolio layer method.

The guidance is effective for the interim and annual periods beginning on January 1, 2023, although early adoption is permitted. We are in process of evaluating the potentially favorable impact of this guidance on our future financial condition, results of operations, and cash flows.

Troubled Debt Restructurings and Vintage Disclosures (ASU 2022-02). On March 31, 2022, the FASB issued guidance eliminating the accounting guidance for TDRs by creditors that have adopted the current expected credit losses methodology while enhancing disclosure requirements for certain loan refinancings and restructurings made to borrowers experiencing financial difficulty. Additionally, the guidance requires disclosure of current-period gross write-offs by year of origination.

The guidance is effective for the interim and annual periods beginning on January 1, 2023, although early adoption is permitted. The transition method related to the recognition and measurement of TDRs can be applied using a modified retrospective transition method, while all other amendments are to be applied prospectively. We are in process of evaluating this guidance and its potential effect on our financial statement disclosures.

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Investments (Tables)

6 Months Ended

Jun. 30, 2022

Debt and Equity Securities, FV-NI [Line Items]

Trading Securities by Major Security Type

The following table presents our trading securities by type of security.

Security Type	June 30, 2022		December 31, 2021
U.S. Treasury obligations	$	4,039,407	$	3,946,799
Total trading securities at estimated fair value	$	4,039,407	$	3,946,799

Available-for-Sale (AFS) Securities by Major Security Type

The following table presents our AFS securities by type of security.

			Gross		Gross
	Amortized		Unrealized		Unrealized		Estimated
June 30, 2022	Cost (1)		Gains		Losses		Fair Value
U.S. Treasury obligations	$	2,110,103	$	—	$	(4,225)	$	2,105,878
GSE and TVA debentures	2,061,550		24,514		(1)		2,086,063
GSE multifamily MBS	5,992,668		35,467		(23,504)		6,004,631
Total AFS securities	$	10,164,321	$	59,981	$	(27,730)	$	10,196,572
December 31, 2021
GSE and TVA debentures	$	2,651,571	$	45,557	$	(12)	$	2,697,116
GSE multifamily MBS	6,356,422		109,956		(3,559)		6,462,819
Total AFS securities	$	9,007,993	$	155,513	$	(3,571)	$	9,159,935

(1)    Includes adjustments made to the cost basis for purchase discount or premium and related accretion or amortization, and, if applicable, fair-value hedging basis adjustments. Includes at June 30, 2022 and December 31, 2021 unamortized discounts totaling $150,580 and unamortized premiums totaling $14,344, respectively. The applicable fair value hedging basis adjustments at June 30, 2022 and December 31, 2021 totaled losses of $576,995 and gains of $206,199, respectively. Excludes accrued interest receivable at June 30, 2022 and December 31, 2021 of $35,316 and $32,127, respectively.

Available-for-sale (AFS) Securities in an Unrealized Loss Position

The following table presents impaired AFS securities (i.e., in an unrealized loss position), aggregated by major security type and length of time that individual securities have been in a continuous unrealized loss position.

	Less than 12 months				12 months or More				Total
	Estimated		Unrealized		Estimated		Unrealized		Estimated		Unrealized
June 30, 2022	Fair Value		Losses		Fair Value		Losses		Fair Value		Losses
U.S. Treasury obligations	$	2,105,878	$	(4,225)	$	—	$	—	$	2,105,878	$	(4,225)
GSE and TVA debentures	15,000		(1)		—		—		15,000		(1)
GSE multifamily MBS	2,496,226		(21,280)		105,536		(2,224)		2,601,762		(23,504)
Total impaired AFS securities	$	4,617,104	$	(25,506)	$	105,536	$	(2,224)	$	4,722,640	$	(27,730)
December 31, 2021
GSE and TVA debentures	$	250,145	$	(12)	$	—	$	—	$	250,145	$	(12)
GSE multifamily MBS	384,015		(3,559)		—		—		384,015		(3,559)
Total impaired AFS securities	$	634,160	$	(3,571)	$	—	$	—	$	634,160	$	(3,571)

HTM Securities by Major Security Type

The following table presents our HTM securities by type of security.

			Gross		Gross
			Unrecognized		Unrecognized
	Amortized		Holding		Holding		Estimated
June 30, 2022	Cost (1)		Gains		Losses		Fair Value
MBS:
Other U.S. obligations - guaranteed single-family	$	2,521,513	$	152	$	(35,792)	$	2,485,873
GSE single-family	722,385		1,697		(20,401)		703,681
GSE multifamily	633,401		5		(1,018)		632,388
Total HTM securities	$	3,877,299	$	1,854	$	(57,211)	$	3,821,942
December 31, 2021
MBS:
Other U.S. obligations - guaranteed single-family	$	2,626,143	$	7,384	$	(9,238)	$	2,624,289
GSE single-family	815,924		14,424		(4,773)		825,575
GSE multifamily	871,706		779		(192)		872,293
Total HTM securities	$	4,313,773	$	22,587	$	(14,203)	$	4,322,157

(1)    Carrying value equals amortized cost, which includes adjustments made to the cost basis for purchase discount or premium and related accretion or amortization. Net unamortized premium at June 30, 2022 and December 31, 2021 totaled $29,144 and $28,440, respectively.

AFS Securities

Debt and Equity Securities, FV-NI [Line Items]

AFS Securities by Contractual Maturity

The amortized cost and estimated fair value of non-MBS AFS securities are presented below by contractual maturity. MBS are not presented by contractual maturity because their actual maturities will likely differ from their contractual maturities as borrowers have the right to prepay their obligations with or without prepayment fees.

	June 30, 2022				December 31, 2021
	Amortized		Estimated		Amortized		Estimated
Year of Contractual Maturity	Cost		Fair Value		Cost		Fair Value
Due in 1 year or less	$	250,957	$	251,579	$	581,801	$	582,240
Due after 1 through 5 years	1,566,089		1,586,412		1,494,109		1,523,600
Due after 5 through 10 years	2,354,607		2,353,950		575,661		591,276
Total non-MBS	4,171,653		4,191,941		2,651,571		2,697,116
Total MBS	5,992,668		6,004,631		6,356,422		6,462,819
Total AFS securities	$	10,164,321	$	10,196,572	$	9,007,993	$	9,159,935

Trading Securities

Debt and Equity Securities, FV-NI [Line Items]

Gain (Loss) on Securities

The following table presents net gains (losses) on trading securities, excluding any offsetting effect of gains (losses) on the associated derivatives.

	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
Net gains (losses) on trading securities held at period end	$	(13,740)	$	(12,637)	$	(34,831)	$	(23,275)
Net gains (losses) on trading securities that matured/sold during the period	(480)		(1,094)		(3,584)		(4,084)
Net gains (losses) on trading securities	$	(14,220)	$	(13,731)	$	(38,415)	$	(27,359)

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Advances (Tables)

6 Months Ended

Jun. 30, 2022

Advances [Abstract]

Summary of Advances Redemption Terms

The following table presents advances outstanding by redemption term.

	June 30, 2022			December 31, 2021
Redemption Term	Amount		WAIR %	Amount		WAIR %
Overdrawn demand and overnight deposit accounts	$	98,456	3.90	$	—	—
Due in 1 year or less	13,371,345		1.44	7,863,703		0.59
Due after 1 through 2 years	3,736,129		2.21	2,684,996		2.02
Due after 2 through 3 years	2,384,761		1.70	3,536,759		1.35
Due after 3 through 4 years	2,563,139		1.82	2,931,260		1.29
Due after 4 through 5 years	1,822,975		1.79	1,908,432		1.34
Thereafter	6,867,716		1.52	8,384,458		0.82
Total advances, par value	30,844,521		1.63	27,309,608		1.03
Fair-value hedging basis adjustments, net	(344,955)			179,115
Unamortized swap termination fees associated with modified advances, net of deferred prepayment fees	7,896			9,112
Total advances (1)	$	30,507,462		$	27,497,835

(1)    Carrying value equals amortized cost, which excludes accrued interest receivable at June 30, 2022 and December 31, 2021 of $18,542 and $13,075, respectively.

The following table presents advances outstanding by the earlier of the redemption date or the next call date and next put date.

	Earlier of Redemption or Next Call Date				Earlier of Redemption or Next Put Date
	June 30, 2022		December 31, 2021		June 30, 2022		December 31, 2021
Overdrawn demand and overnight deposit accounts	$	98,456	$	—	$	98,456	$	—
Due in 1 year or less	18,134,158		12,547,866		16,934,750		13,452,703
Due after 1 through 2 years	2,494,629		2,578,396		4,138,129		3,090,101
Due after 2 through 3 years	2,011,211		2,127,759		2,770,661		3,636,259
Due after 3 through 4 years	1,579,789		1,997,060		2,563,139		3,007,160
Due after 4 through 5 years	1,460,800		1,530,307		1,509,875		1,485,332
Thereafter	5,065,478		6,528,220		2,829,511		2,638,053
Total advances, par value	$	30,844,521	$	27,309,608	$	30,844,521	$	27,309,608

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Mortgage Loans Held for Portfolio (Tables)

6 Months Ended

Jun. 30, 2022

Receivables [Abstract]

Mortgage Loans Held for Portfolio

The following tables present information on mortgage loans held for portfolio by term and type.

Term	June 30, 2022		December 31, 2021
Fixed-rate long-term mortgages	$	6,633,317	$	6,417,543
Fixed-rate medium-term (1) mortgages	931,310		1,016,851
Total mortgage loans held for portfolio, UPB	7,564,627		7,434,394
Unamortized premiums	175,372		181,172
Unamortized discounts	(5,687)		(2,389)
Hedging basis adjustments, net	(4,470)		3,157
Total mortgage loans held for portfolio	7,729,842		7,616,334
Allowance for credit losses	(200)		(200)
Total mortgage loans held for portfolio, net (2)	$	7,729,642	$	7,616,134

(1)    Defined as a term of 15 years or less at origination.

(2)    Excludes accrued interest receivable at June 30, 2022 and December 31, 2021 of $29,062 and $27,977, respectively.

Type	June 30, 2022		December 31, 2021
Conventional	$	7,404,571	$	7,254,056
Government-guaranteed or -insured	160,056		180,338
Total mortgage loans held for portfolio, UPB	$	7,564,627	$	7,434,394

Key Credit Quality Indicators

The tables below present the key credit quality indicators and other delinquency statistics for our mortgage loans held for portfolio aggregated by (i) the most recent five origination years and (ii) all other prior origination years. Amounts are based on amortized cost, which excludes accrued interest receivable.

	Origination Year
Payment Status as of June 30, 2022	Prior to 2018		2018 to 2022		Total
Past due:
30-59 days	$	17,062	$	9,822	$	26,884
60-89 days	2,628		1,055		3,683
90 days or more	14,450		1,630		16,080
Total past due	34,140		12,507		46,647
Total current	2,613,182		4,908,165		7,521,347
Total conventional mortgage loans, amortized cost	$	2,647,322	$	4,920,672	$	7,567,994

	Origination Year
Payment Status as of December 31, 2021	Prior to 2017		2017 to 2021		Total
Past due:
30-59 days	$	16,968	$	12,662	$	29,630
60-89 days	4,175		1,767		5,942
90 days or more	18,599		11,206		29,805
Total past due	39,742		25,635		65,377
Total current	2,447,420		4,921,101		7,368,521
Total conventional mortgage loans, amortized cost	$	2,487,162	$	4,946,736	$	7,433,898

Other Delinquency Statistics

Other Delinquency Statistics as of June 30, 2022	Conventional			Government			Total
In process of foreclosure (1)	$	3,368		$	—		$	3,368
Serious delinquency rate (2)	0.21		%	1.05		%	0.23		%
Past due 90 days or more still accruing interest (3)	$	11,298		$	1,483		$	12,781
On non-accrual status (4)	$	10,788		$	—		$	10,788
Other Delinquency Statistics as of December 31, 2021
In process of foreclosure (1)	$	1,999		$	—		$	1,999
Serious delinquency rate (2)	0.40		%	0.86		%	0.41		%
Past due 90 days or more still accruing interest (3)	$	15,725		$	1,364		$	17,089
On non-accrual status (4)	$	23,487		$	—		$	23,487

(1)    Includes loans for which the decision of foreclosure or similar alternative, such as pursuit of deed-in-lieu of foreclosure, has been reported. Loans in process of foreclosure are included in past due categories depending on their delinquency status, but are not necessarily considered to be on non-accrual status.

(2)    Represents loans 90 days or more past due (including loans in process of foreclosure) expressed as a percentage of the total mortgage loans.

(3)    Although our past due scheduled/scheduled MPP loans are classified as loans past due 90 days or more based on the loan's delinquency status, we do not consider these loans to be on non-accrual status as they are well-secured and in the process of collection.

(4)    As of June 30, 2022 and December 31, 2021, $3,721 and $11,701, respectively, of UPB of these conventional mortgage loans on non-accrual status did not have a related allowance for credit losses because these loans were either previously charged off to the expected recoverable value and/or the fair value of the underlying collateral, including any credit enhancements, exceeded the amortized cost of the loans.

Rollforward of Allowance for Credit Losses on Mortgage Loans

The table below presents a rollforward of our allowance for credit losses.

	Three Months Ended June 30,				Six Months Ended June 30,
Rollforward of Allowance	2022		2021		2022		2021
Balance, beginning of period	$	200	$	350	$	200	$	350
Charge-offs (1)	7		—		7		(92)
Recoveries	31		19		53		23
Provision for (reversal of) credit losses	(38)		(44)		(60)		44
Balance, end of period	$	200	$	325	$	200	$	325

(1)    Includes receipts of LRA funds on certain loans that are recorded as reversals of previous charge-offs.

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Derivatives and Hedging Activities (Tables)

6 Months Ended

Jun. 30, 2022

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Notional Amount and Estimated Fair Value of Derivative Instruments

The following table presents the notional amount and estimated fair value of derivative assets and liabilities.

	June 30, 2022						December 31, 2021
	Notional		Derivative		Derivative		Notional		Derivative		Derivative
	Amount		Assets		Liabilities		Amount		Assets		Liabilities
Derivatives designated as hedging instruments:
Interest-rate swaps	$	55,010,636	$	493,855	$	1,555,740	$	46,395,451	$	105,446	$	413,324
Derivatives not designated as hedging instruments:
Economic hedges:
Interest-rate swaps	9,270,000		1,987		1,363		8,595,000		357		148
Interest-rate caps/floors	611,000		1,208		—		625,500		1,077		—
Interest-rate forwards	32,200		352		66		98,200		1		199
MDCs	31,325		108		45		96,424		45		105
Total derivatives not designated as hedging instruments	9,944,525		3,655		1,474		9,415,124		1,480		452
Total derivatives before adjustments	$	64,955,161	497,510		1,557,214		$	55,810,575	106,926		413,776
Netting adjustments and cash collateral (1)			(171,662)		(1,543,645)				113,276		(401,591)
Total derivatives, net, at estimated fair value			$	325,848	$	13,569			$	220,202	$	12,185

(1)    Represents the application of the netting requirements that allow us to settle (i) positive and negative positions and (ii) cash collateral and related accrued interest held or placed, with the same clearing agent and/or counterparty. Cash collateral pledged to counterparties at June 30, 2022 and December 31, 2021, including accrued interest, totaled $1,511,166 and $515,761, respectively. Cash collateral received from counterparties and held at both June 30, 2022 and December 31, 2021, including accrued interest, totaled $139,183 and $894, respectively. At June 30, 2022 and December 31, 2021, no securities were pledged as collateral.

Offsetting of Derivative Assets and Derivative Liabilities

The following table presents separately the estimated fair value of derivative instruments meeting and not meeting netting requirements, including the effect of the related collateral.

	June 30, 2022				December 31, 2021
	Derivative Assets		Derivative Liabilities		Derivative Assets		Derivative Liabilities
Derivative instruments meeting netting requirements:
Gross recognized amount
Uncleared	$	493,033	$	1,482,271	$	105,667	$	411,886
Cleared	4,017		74,832		1,213		1,586
Total gross recognized amount	497,050		1,557,103		106,880		413,472
Gross amounts of netting adjustments and cash collateral
Uncleared	(408,142)		(1,468,813)		(105,417)		(400,005)
Cleared	236,480		(74,832)		218,693		(1,586)
Total gross amounts of netting adjustments and cash collateral	(171,662)		(1,543,645)		113,276		(401,591)
Net amounts after netting adjustments and cash collateral
Uncleared	84,891		13,458		250		11,881
Cleared	240,497		—		219,906		—
Total net amounts after netting adjustments and cash collateral	325,388		13,458		220,156		11,881
Derivative instruments not meeting netting requirements (1)	460		111		46		304
Total derivatives, net, at estimated fair value	$	325,848	$	13,569	$	220,202	$	12,185

(1)    Includes MDCs and certain interest-rate forwards.

Components of Net Gains (Losses) on Derivatives and Hedging Activities in Net Interest Income

The following table presents the impact of qualifying fair-value hedging relationships on net interest income by hedged item, excluding any offsetting interest income/expense of the associated hedged items.

Three Months Ended June 30, 2022	Advances		AFS Securities		CO Bonds		Total
Net impact of fair-value hedging relationships on net interest income:
Net interest settlements on derivatives (1)	$	(18,870)	$	(11,663)	$	31,275	$	742
Net gains (losses) on derivatives (2)	141,937		106,280		(390,352)		(142,135)
Net gains (losses) on hedged items (3)	(147,671)		(122,790)		387,546		117,085
Net impact on net interest income	$	(24,604)	$	(28,173)	$	28,469	$	(24,308)
Total interest income (expense) recorded in the Statement of Income (4)	$	67,562	$	38,563	$	(99,192)	$	6,933

Three Months Ended June 30, 2021
Net impact of fair-value hedging relationships on net interest income:
Net interest settlements on derivatives (1)	$	(46,173)	$	(28,327)	$	22,011	$	(52,489)
Net gains (losses) on derivatives (2)	(12,098)		(87,731)		37,082		(62,747)
Net gains (losses) on hedged items (3)	10,494		81,883		(39,194)		53,183
Net impact on net interest income	$	(47,777)	$	(34,175)	$	19,899	$	(62,053)
Total interest income (expense) recorded in the Statement of Income (4)	$	28,175	$	21,184	$	(52,674)	$	(3,315)

Six Months Ended June 30, 2022	Advances		AFS Securities		CO Bonds		Total
Net impact of fair-value hedging relationships on net interest income:
Net interest settlements on derivatives (1)	$	(59,024)	$	(34,128)	$	82,664	$	(10,488)
Net gains (losses) on derivatives (2)	498,571		284,010		(1,290,066)		(507,485)
Net gains (losses) on hedged items (3)	(500,575)		(314,279)		1,282,605		467,751
Net impact on net interest income	$	(61,028)	$	(64,397)	$	75,203	$	(50,222)
Total interest income (expense) recorded in the Statement of Income (4)	$	102,603	$	61,008	$	(150,891)	$	12,720

Six Months Ended June 30, 2021
Net impact of fair-value hedging relationships on net interest income:
Net interest settlements on derivatives (1)	$	(91,892)	$	(60,780)	$	34,237	$	(118,435)
Net gains (losses) on derivatives (2)	234,784		234,210		(81,111)		387,883
Net gains (losses) on hedged items (3)	(233,031)		(234,631)		84,221		(383,441)
Net impact on net interest income	$	(90,139)	$	(61,201)	$	37,347	$	(113,993)
Total interest income (expense) recorded in the Statement of Income (4)	$	64,284	$	51,020	$	(106,470)	$	8,834

(1)    Represents interest income/expense on derivatives in qualifying fair-value hedging relationships. Net interest settlements on derivatives that are not in qualifying fair-value hedging relationships are reported in other income.

(2)    Includes for the three months ended June 30, 2022 and 2021, increases (decreases) in estimated fair value totaling $(141,004) and $(62,754), respectively, and price alignment interest of $(1,131) and $7, respectively. Includes for the six months ended June 30, 2022 and 2021, increases (decreases) in estimated fair value totaling $(506,306) and $387,834, respectively, and price alignment interest of $(1,179) and $49, respectively.

(3)    Includes for the three months ended June 30, 2022 and 2021, increases (decreases) in estimated fair value totaling $134,151 and $57,142, respectively, and amortization of net losses on ineffective and discontinued fair-value hedging relationships of $(17,066) and $(3,959), respectively. Includes for the six months ended June 30, 2022 and 2021, increases (decreases) in estimated fair value totaling $501,499 and $(374,858), respectively, and amortization of net losses on ineffective and discontinued fair-value hedging relationships of $(33,748) and $(8,583), respectively.

(4)    For advances, AFS securities and CO bonds only.

Components of Net Gains (Losses) on Derivatives and Hedging Activities Reported in Other Income

The following table presents the components of net gains (losses) on derivatives reported in other income.

	Three Months Ended June 30,				Six Months Ended June 30,
Type of Hedge	2022		2021		2022		2021
Net gains (losses) on derivatives not designated as hedging instruments:
Economic hedges:
Interest-rate swaps	$	16,413	$	4,083	$	38,463	$	8,194
Interest-rate caps/floors	(42)		(528)		131		(396)
Interest-rate forwards	1,768		(1,344)		7,026		2,812
Net interest settlements (1)	881		(3,285)		(1,137)		(8,238)
MDCs	(1,817)		1,260		(7,286)		(3,024)
Net gains (losses) on derivatives in other income	$	17,203	$	186	$	37,197	$	(652)

(1)    Relates to derivatives that are not in qualifying fair-value hedging relationships. The interest income/expense of the associated hedged items is recorded in net interest income.

Effect of Fair Value Hedge-Related Derivative Instruments

The following table presents the amortized cost of, and the related cumulative basis adjustments on, hedged items in qualifying fair-value hedging relationships.

June 30, 2022	Advances		AFS Securities		CO Bonds
Amortized cost of hedged items (1)	$	16,303,974	$	10,164,322	$	26,730,944
Cumulative basis adjustments included in amortized cost:
For active fair-value hedging relationships (2)	$	(345,091)	$	(934,237)	$	(1,530,303)
For discontinued fair-value hedging relationships	136		357,242		—
Total cumulative fair-value hedging basis adjustments on hedged items	$	(344,955)	$	(576,995)	$	(1,530,303)

December 31, 2021
Amortized cost of hedged items (1)	$	17,374,515	$	9,007,993	$	20,902,714
Cumulative basis adjustments included in amortized cost:
For active fair-value hedging relationships (2)	$	178,543	$	(184,724)	$	(247,699)
For discontinued fair-value hedging relationships	572		390,923		—
Total cumulative fair-value hedging basis adjustments on hedged items	$	179,115	$	206,199	$	(247,699)

(1)    Includes the amortized cost of the hedged items in active or discontinued fair-value hedging relationships.

(2)    Includes effective and ineffective fair-value hedging relationships. Excludes any offsetting effect of the net estimated fair value of the associated derivatives.

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Consolidated Obligations (Tables)

6 Months Ended

Jun. 30, 2022

Debt Disclosure [Abstract]

Discount Notes

The following table presents our discount notes outstanding, all of which are due within one year of issuance.

Discount Notes	June 30, 2022			December 31, 2021
Book value	$	19,587,260		$	12,116,358
Par value	19,617,332			12,117,846
Weighted average effective interest rate	1.17		%	0.05		%

CO Bonds by Year of Contractual Maturity

The following table presents our CO bonds outstanding by contractual maturity.

	June 30, 2022			December 31, 2021
Year of Contractual Maturity	Amount		WAIR%	Amount		WAIR%
Due in 1 year or less	$	8,949,535	1.52	$	14,357,350	0.29
Due after 1 through 2 years	3,556,625		1.49	2,965,510		1.02
Due after 2 through 3 years	9,827,090		1.09	5,797,550		0.76
Due after 3 through 4 years	4,878,500		1.26	3,947,300		0.83
Due after 4 through 5 years	5,039,820		1.36	6,587,600		1.14
Thereafter	8,698,820		2.20	8,894,940		2.09
Total CO bonds, par value	40,950,390		1.51	42,550,250		0.96
Unamortized premiums	60,418			77,035
Unamortized discounts	(10,819)			(11,268)
Unamortized concessions	(7,321)			(6,746)
Fair-value hedging basis adjustments, net	(1,530,303)			(247,699)
Total CO bonds	$	39,462,365		$	42,361,572

Year of Contractual Maturity or Next Call Date	June 30, 2022		December 31, 2021
Due in 1 year or less	$	35,829,035	$	36,028,850
Due after 1 through 2 years	1,374,625		3,122,510
Due after 2 through 3 years	997,090		586,550
Due after 3 through 4 years	745,500		577,300
Due after 4 through 5 years	248,320		415,100
Thereafter	1,755,820		1,819,940
Total CO bonds, par value	$	40,950,390	$	42,550,250

CO Bonds by Redemption Feature

The following tables present the par value of our CO bonds outstanding by redemption feature and the earlier of the year of contractual maturity or next call date.

Redemption Feature	June 30, 2022		December 31, 2021
Non-callable / non-putable	$	11,740,890	$	20,346,750
Callable	29,209,500		22,203,500
Total CO bonds, par value	$	40,950,390	$	42,550,250

CO Bonds Outstanding by Interest Payment Type

The following table presents the par value of our CO bonds outstanding by interest-rate payment type.

Interest-Rate Payment Type	June 30, 2022		December 31, 2021
Fixed-rate	$	34,548,390	$	36,717,750
Step-up	2,233,500		898,500
Simple variable-rate	4,168,500		4,934,000
Total CO bonds, par value	$	40,950,390	$	42,550,250

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Affordable Housing Program (Tables)

6 Months Ended

Jun. 30, 2022

Affordable Housing Program [Abstract]

Schedule of Activity in Affordable Housing Program Obligation

The following table summarizes the activity in our AHP funding obligation.

	Three Months Ended June 30,				Six Months Ended June 30,
AHP Activity	2022		2021		2022		2021
Liability at beginning of period	$	31,937	$	35,690	$	31,049	$	34,402
Assessment (expense)	3,623		2,008		6,828		5,451
Subsidy usage, net (1)	(6,607)		(6,933)		(8,924)		(9,088)
Liability at end of period	$	28,953	$	30,765	$	28,953	$	30,765

(1)    Subsidies disbursed are reported net of returns/recaptures of previously disbursed subsidies.

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Capital (Tables)

6 Months Ended

Jun. 30, 2022

Banking Regulation, Total Capital [Abstract]

Schedule of Capital Stock Outstanding by Sub-series

The following table presents the capital stock outstanding by sub-series.

Capital Stock Outstanding	June 30, 2022		December 31, 2021
Class B-1	$	765,075	$	931,517
Class B-2	1,485,760		1,314,684
Total Class B	$	2,250,835	$	2,246,201

Mandatorily Redeemable Capital Stock

The following table presents the activity in our MRCS.

	Three Months Ended June 30,				Six Months Ended June 30,
MRCS Activity	2022		2021		2022		2021
Liability at beginning of period	$	45,591	$	232,695	$	50,422	$	250,768
Reclassification from capital stock	—		281		—		281
Redemptions/repurchases	(8)		(83)		(4,839)		(18,156)
Liability at end of period	$	45,583	$	232,893	$	45,583	$	232,893

The following table presents MRCS by contractual year of redemption. The year of redemption is the later of (i) the final year of the 5-year redemption period, or (ii) the first year in which a non-member no longer has an activity-based stock requirement.

MRCS Contractual Year of Redemption	June 30, 2022		December 31, 2021
Past contractual redemption date (1)	$	560	$	577
Year 1 (2)	12,298		11,835
Year 2	868		471
Year 3	12,124		9,873
Year 4	16,059		23,218
Year 5	3,674		4,448
Total MRCS	$	45,583	$	50,422

(1)    Balance represents Class B stock that will not be redeemed until the associated credit products and other obligations are no longer outstanding.

(2)    Balance at June 30, 2022 and December 31, 2021 includes $11,835 of Class B stock held by one captive insurance company whose membership was terminated on February 19, 2021 but will not be redeemed until the associated credit products and other obligations are no longer outstanding.

Schedule of Distributions on Mandatorily Redeemable Capital Stock

The following table presents the distributions related to MRCS.

	Three Months Ended June 30,				Six Months Ended June 30,
MRCS Distributions	2022		2021		2022		2021
Recorded as interest expense	$	269	$	929	$	514	$	2,033
Recorded as distributions from retained earnings	—		1		—		84
Total	$	269	$	930	$	514	$	2,117

Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations

As presented in the following table, we were in compliance with these Finance Agency's capital requirements at June 30, 2022 and December 31, 2021.

	June 30, 2022				December 31, 2021
Regulatory Capital Requirements	Required		Actual		Required		Actual
Risk-based capital	$	1,217,930	$	3,508,138	$	1,091,337	$	3,473,695
Total regulatory capital	$	2,570,651	$	3,508,138	$	2,400,184	$	3,473,695
Total regulatory capital-to-assets ratio	4.00%		5.46%		4.00%		5.79%
Leverage capital	$	3,213,313	$	5,262,207	$	3,000,230	$	5,210,543
Leverage ratio	5.00%		8.19%		5.00%		8.69%

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Accumulated Other Comprehensive Income (Tables)

6 Months Ended

Jun. 30, 2022

Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]

Schedule of Changes in the Components of AOCI

The following table presents a summary of the changes in the components of AOCI.

AOCI Rollforward	Unrealized Gains (Losses) on AFS Securities		Pension Benefits		Total AOCI
Balance, March 31, 2022	$	77,479	$	(18,424)	$	59,055
OCI before reclassifications:
Net change in unrealized gains (losses)	(45,228)		—		(45,228)
Reclassifications from OCI to net income:
Pension benefits, net	—		329		329
Total other comprehensive income (loss)	(45,228)		329		(44,899)
Balance, June 30, 2022	$	32,251	$	(18,095)	$	14,156
Balance, March 31, 2021	$	210,450	$	(30,523)	$	179,927
OCI before reclassifications:
Net change in unrealized gains	4,502		—		4,502
Reclassifications from OCI to net income:
Pension benefits, net	—		8,995		8,995
Total other comprehensive income	4,502		8,995		13,497
Balance, June 30, 2021	$	214,952	$	(21,528)	$	193,424

AOCI Rollforward	Unrealized Gains (Losses) on AFS Securities		Pension Benefits		Total AOCI
Balance, December 31, 2021	$	151,942	$	(18,884)	$	133,058
OCI before reclassifications:
Net change in unrealized gains (losses)	(119,691)		—		(119,691)
Reclassifications from OCI to net income:
Pension benefits, net	—		789		789
Total other comprehensive income (loss)	(119,691)		789		(118,902)
Balance, June 30, 2022	$	32,251	$	(18,095)	$	14,156
Balance, December 31, 2020	$	136,921	$	(31,519)	$	105,402
OCI before reclassifications:
Net change in unrealized gains	78,031		—		78,031
Reclassifications from OCI to net income:
Pension benefits, net	—		9,991		9,991
Total other comprehensive income	78,031		9,991		88,022
Balance, June 30, 2021	$	214,952	$	(21,528)	$	193,424

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Segment Information (Tables)

6 Months Ended

Jun. 30, 2022

Segment Reporting [Abstract]

Financial Performance by Operating Segment

The following table presents our financial performance by operating segment.

	Three Months Ended June 30, 2022						Three Months Ended June 30, 2021
	Traditional		Mortgage Loans		Total		Traditional		Mortgage Loans		Total
Net interest income	$	50,671	$	13,151	$	63,822	$	53,952	$	3,364	$	57,316
Provision for (reversal of) credit losses	—		(38)		(38)		—		(44)		(44)
Other income (loss)	(1,732)		34		(1,698)		(9,734)		(36)		(9,770)
Other expenses	22,436		3,767		26,203		24,221		4,216		28,437
Income (loss) before assessments	26,503		9,456		35,959		19,997		(844)		19,153
Affordable Housing Program assessments (credits)	2,677		946		3,623		2,093		(85)		2,008
Net income (loss)	$	23,826	$	8,510	$	32,336	$	17,904	$	(759)	$	17,145
	Six Months Ended June 30, 2022						Six Months Ended June 30, 2021
	Traditional		Mortgage Loans		Total		Traditional		Mortgage Loans		Total
Net interest income	$	103,361	$	25,045	$	128,406	$	128,137	$	3,700	$	131,837
Provision for (reversal of) credit losses	—		(60)		(60)		—		44		44
Other income (loss)	(8,942)		(158)		(9,100)		(22,611)		(135)		(22,746)
Other expenses	44,202		7,395		51,597		48,339		8,228		56,567
Income (loss) before assessments	50,217		17,552		67,769		57,187		(4,707)		52,480
Affordable Housing Program assessments (credits)	5,073		1,755		6,828		5,922		(471)		5,451
Net income (loss)	$	45,144	$	15,797	$	60,941	$	51,265	$	(4,236)	$	47,029

Schedule of Segment Assets by Segment

The following table presents our asset balances by operating segment.

By Date	Traditional		Mortgage Loans		Total
June 30, 2022	$	56,536,621	$	7,729,642	$	64,266,263
December 31, 2021	52,388,469		7,616,134		60,004,603

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Estimated Fair Values (Tables)

6 Months Ended

Jun. 30, 2022

Fair Value Disclosures [Abstract]

Fair Value, by Balance Sheet Grouping

The following tables present the carrying value and estimated fair value of each of our financial instruments. The total of the estimated fair values does not represent an estimate of our overall market value as a going concern, which would take into account, among other considerations, future business opportunities and the net profitability of assets and liabilities.

	June 30, 2022
			Estimated Fair Value
	Carrying										Netting
Financial Instruments	Value		Total		Level 1		Level 2		Level 3		Adjustments (1)
Assets:
Cash and due from banks	$	59,596	$	59,596	$	59,596	$	—	$	—	$	—
Interest-bearing deposits	325,041		325,041		325,000		41		—		—
Securities purchased under agreements to resell	4,500,000		4,500,000		—		4,500,000		—		—
Federal funds sold	2,496,000		2,496,000		—		2,496,000		—		—
Trading securities	4,039,407		4,039,407		—		4,039,407		—		—
AFS securities	10,196,572		10,196,572		—		10,196,572		—		—
HTM securities	3,877,299		3,821,942		—		3,821,942		—		—
Advances	30,507,462		30,354,762		—		30,354,762		—		—
Mortgage loans held for portfolio, net	7,729,642		7,213,065		—		7,199,864		13,201		—
Accrued interest receivable	96,937		96,937		—		96,937		—		—
Derivative assets, net	325,848		325,848		—		497,510		—		(171,662)
Grantor trust assets (2)	52,400		52,400		52,400		—		—		—
Liabilities:
Deposits	907,525		907,525		—		907,525		—		—
Consolidated obligations:
Discount notes	19,587,260		19,579,547		—		19,579,547		—		—
Bonds	39,462,365		38,768,013		—		38,768,013		—		—
Accrued interest payable	124,999		124,999		—		124,999		—		—
Derivative liabilities, net	13,569		13,569		—		1,557,214		—		(1,543,645)
MRCS	45,583		45,583		45,583		—		—		—

	December 31, 2021
			Estimated Fair Value
	Carrying										Netting
Financial Instruments	Value		Total		Level 1		Level 2		Level 3		Adjustments (1)
Assets:
Cash and due from banks	$	867,880	$	867,880	$	867,880	$	—	$	—	$	—
Interest-bearing deposits	100,041		100,041		100,000		41		—		—
Securities purchased under agreements to resell	3,500,000		3,500,000		—		3,500,000		—		—
Federal funds sold	2,580,000		2,580,000		—		2,580,000		—		—
Trading securities	3,946,799		3,946,799		—		3,946,799		—		—
AFS securities	9,159,935		9,159,935		—		9,159,935		—		—
HTM securities	4,313,773		4,322,157		—		4,322,157		—		—
Advances	27,497,835		27,462,295		—		27,462,295		—		—
Mortgage loans held for portfolio, net	7,616,134		7,810,378		—		7,787,334		23,044		—
Accrued interest receivable	80,758		80,758		—		80,758		—		—
Derivative assets, net	220,202		220,202		—		106,926		—		113,276
Grantor trust assets (2)	62,640		62,640		62,640		—		—		—
Liabilities:
Deposits	1,366,397		1,366,397		—		1,366,397		—		—
Consolidated obligations:
Discount notes	12,116,358		12,115,318		—		12,115,318		—		—
Bonds	42,361,572		42,643,536		—		42,643,536		—		—
Accrued interest payable	88,068		88,068		—		88,068		—		—
Derivative liabilities, net	12,185		12,185		—		413,776		—		(401,591)
MRCS	50,422		50,422		50,422		—		—		—

(1)    Represents the application of the netting requirements that allow us to settle (i) positive and negative positions and (ii) cash collateral and related accrued interest held or placed with the same clearing agent and/or counterparty.

(2)    Included in other assets on the statement of condition.

Schedule of Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis

The following tables present, by level within the fair value hierarchy, the estimated fair value of our financial assets and liabilities that are recorded at estimated fair value on a recurring or non-recurring basis on our statement of condition.

									Netting
June 30, 2022	Total		Level 1		Level 2		Level 3		Adjustments (1)
Trading securities:
U.S. Treasury obligations	$	4,039,407	$	—	$	4,039,407	$	—	$	—
Total trading securities	4,039,407		—		4,039,407		—		—
AFS securities:
U.S. Treasury obligations	2,105,878		—		2,105,878		—		—
GSE and TVA debentures	2,086,063		—		2,086,063		—		—
GSE multifamily MBS	6,004,631		—		6,004,631		—		—
Total AFS securities	10,196,572		—		10,196,572		—		—
Derivative assets:
Interest-rate related	325,740		—		497,402		—		(171,662)
MDCs	108		—		108		—		—
Total derivative assets, net	325,848		—		497,510		—		(171,662)
Other assets:
Grantor trust assets	52,400		52,400		—		—		—
Total assets at recurring estimated fair value	$	14,614,227	$	52,400	$	14,733,489	$	—	$	(171,662)
Derivative liabilities:
Interest-rate related	$	13,524	$	—	$	1,557,169	$	—	$	(1,543,645)
MDCs	45		—		45		—		—
Total derivative liabilities, net	13,569		—		1,557,214		—		(1,543,645)
Total liabilities at recurring estimated fair value	$	13,569	$	—	$	1,557,214	$	—	$	(1,543,645)
Mortgage loans held for portfolio (2)	$	970	$	—	$	—	$	970	$	—
Total assets at non-recurring estimated fair value	$	970	$	—	$	—	$	970	$	—

									Netting
December 31, 2021	Total		Level 1		Level 2		Level 3		Adjustments (1)
Trading securities:
U.S. Treasury obligations	$	3,946,799	$	—	$	3,946,799	$	—	$	—
Total trading securities	3,946,799		—		3,946,799		—		—
AFS securities:
GSE and TVA debentures	2,697,116		—		2,697,116		—		—
GSE MBS	6,462,819		—		6,462,819		—		—
Total AFS securities	9,159,935		—		9,159,935		—		—
Derivative assets:
Interest-rate related	220,157		—		106,881		—		113,276
MDCs	45		—		45		—		—
Total derivative assets, net	220,202		—		106,926		—		113,276
Other assets:
Grantor trust assets	62,640		62,640		—		—		—
Total assets at recurring estimated fair value	$	13,389,576	$	62,640	$	13,213,660	$	—	$	113,276
Derivative liabilities:
Interest-rate related	$	12,080	$	—	$	413,671	$	—	$	(401,591)
MDCs	105		—		105		—		—
Total derivative liabilities, net	12,185		—		413,776		—		(401,591)
Total liabilities at recurring estimated fair value	$	12,185	$	—	$	413,776	$	—	$	(401,591)
Mortgage loans held for portfolio (2)	$	1,141	$	—	$	—	$	1,141	$	—
Total assets at non-recurring estimated fair value	$	1,141	$	—	$	—	$	1,141	$	—

(1)    Represents the application of the netting requirements that allow us to settle (i) positive and negative positions and (ii) cash collateral and related accrued interest held or placed with the same clearing agent and/or counterparty.

(2)    Amounts are as of the date the most recent fair-value adjustment was recorded.

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Commitments and Contingencies (Tables)

6 Months Ended

Jun. 30, 2022

Commitments and Contingencies Disclosure [Abstract]

Off-Balance Sheet Commitments

The following table presents our off-balance-sheet commitments at their notional amounts.

	June 30, 2022
Type of Commitment	Expire within one year		Expire after one year		Total
Standby letters of credit outstanding	$	48,363	$	616,213	$	664,576
Unused lines of credit (1)	906,668		—		906,668
Commitments to fund additional advances (2)	68,000		—		68,000
Commitments to fund or purchase mortgage loans, net (3)	31,325		—		31,325
Unsettled CO bonds, at par	43,800		—		43,800
Unsettled discount notes, at par	424,000		—		424,000

(1)    Maximum line of credit amount per member is $100,000.

(2)    Generally for periods up to six months.

(3)    Generally for periods up to 91 days.

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Related Party and Other Transactions (Tables)

6 Months Ended

Jun. 30, 2022

Related Party Transactions [Abstract]

Directors' Financial institutions Activity

The following table presents our transactions with directors' financial institutions, taking into account the beginning and ending dates of the directors' terms, merger activity and other changes in the composition of directors' financial institutions.

Transactions with Directors' Financial Institutions	Three Months Ended June 30,				Six Months Ended June 30,
	2022		2021		2022		2021
Net capital stock issuances (redemptions and repurchases)	$	3,437	$	—	$	(46,983)	$	—
Net advances (repayments)	3,034,988		(993,987)		1,234,703		(2,043,264)
Mortgage loan purchases	4,025		16,745		12,747		29,622

Outstanding Balances with Respect to Transactions with Related Parties

The following table presents the aggregate balances of capital stock and advances outstanding for directors' financial institutions and their balances as a percent of the total balances on our statement of condition.

	June 30, 2022				December 31, 2021
Balances with Directors' Financial Institutions	Par value		% of Total		Par value		% of Total
Capital stock	$	381,061	17	%	$	440,949	19	%
Advances	4,695,040		16	%	3,854,856		14	%

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Investments - Narrative (Details) - USD ($)	Jun. 30, 2022	Dec. 31, 2021
Investments, Debt and Equity Securities [Abstract]
HTM securities allowance for credit loss	$ 0	$ 0

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Investments - Trading Securities (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021	Dec. 31, 2021
Debt and Equity Securities, FV-NI [Line Items]
Total trading securities at estimated fair value	$ 4,039,407		$ 4,039,407		$ 3,946,799
Debt Securities, Trading, Gain (Loss) [Abstract]
Net gains (losses) on trading securities held at period end	(13,740)	$ (12,637)	(34,831)	$ (23,275)
Net gains (losses) on trading securities that matured/sold during the period	(480)	(1,094)	(3,584)	(4,084)
Net gains (losses) on trading securities	(14,220)	$ (13,731)	(38,415)	$ (27,359)
U.S. Treasury obligations
Debt and Equity Securities, FV-NI [Line Items]
Total trading securities at estimated fair value	$ 4,039,407		$ 4,039,407		$ 3,946,799

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Investments - AFS Securities - Major Security Types (Details) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2022	Dec. 31, 2021
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	$ 10,164,321	$ 9,007,993
Gross Unrealized Gains	59,981	155,513
Gross Unrealized Losses	(27,730)	(3,571)
Estimated Fair Value	10,196,572	9,159,935
Unamortized premium (discount)	(150,580)	14,344
Applicable fair value hedging-basis adjustment	(576,995)	206,199
Accrued interest receivable	35,316	32,127
U.S. Treasury obligations
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	2,110,103
Gross Unrealized Gains	0
Gross Unrealized Losses	(4,225)
Estimated Fair Value	2,105,878
GSE and TVA debentures
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	2,061,550	2,651,571
Gross Unrealized Gains	24,514	45,557
Gross Unrealized Losses	(1)	(12)
Estimated Fair Value	2,086,063	2,697,116
GSE multifamily MBS
Debt Securities, Available-for-sale [Line Items]
Amortized Cost	5,992,668	6,356,422
Gross Unrealized Gains	35,467	109,956
Gross Unrealized Losses	(23,504)	(3,559)
Estimated Fair Value	$ 6,004,631	$ 6,462,819

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Investments - AFS Securities - Unrealized Loss Positions (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Available-for-sale Securities [Line Items]
Less than 12 Months, Estimated Fair Value	$ 4,617,104	$ 634,160
Less than 12 Months, Unrealized Losses	(25,506)	(3,571)
12 Months or More, Estimated Fair Value	105,536	0
12 Months or More, Unrealized Losses	(2,224)	0
Total Estimated Fair Value	4,722,640	634,160
Total Unrealized Losses	(27,730)	(3,571)
U.S. Treasury obligations
Available-for-sale Securities [Line Items]
Less than 12 Months, Estimated Fair Value	2,105,878
Less than 12 Months, Unrealized Losses	(4,225)
12 Months or More, Estimated Fair Value	0
12 Months or More, Unrealized Losses	0
Total Estimated Fair Value	2,105,878
Total Unrealized Losses	(4,225)
GSE and TVA debentures
Available-for-sale Securities [Line Items]
Less than 12 Months, Estimated Fair Value	15,000	250,145
Less than 12 Months, Unrealized Losses	(1)	(12)
12 Months or More, Estimated Fair Value	0	0
12 Months or More, Unrealized Losses	0	0
Total Estimated Fair Value	15,000	250,145
Total Unrealized Losses	(1)	(12)
GSE multifamily MBS
Available-for-sale Securities [Line Items]
Less than 12 Months, Estimated Fair Value	2,496,226	384,015
Less than 12 Months, Unrealized Losses	(21,280)	(3,559)
12 Months or More, Estimated Fair Value	105,536	0
12 Months or More, Unrealized Losses	(2,224)	0
Total Estimated Fair Value	2,601,762	384,015
Total Unrealized Losses	$ (23,504)	$ (3,559)

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Investments - AFS Securities - Redemption Terms (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Amortized Cost
Amortized Cost	$ 10,164,321	$ 9,007,993
Fair value	10,196,572	9,159,935
Available for Sale Securities Other Than MBS and ABS
Amortized Cost
Due in 1 year or less	250,957	581,801
Due after 1 through 5 years	1,566,089	1,494,109
Due after 5 through 10 years	2,354,607	575,661
Amortized Cost	4,171,653	2,651,571
Due in 1 year or less, Fair value	251,579	582,240
Due in 1 year through 5 years, Fair value	1,586,412	1,523,600
Due in 5 years through 10 years, Fair value	2,353,950	591,276
Fair value	4,191,941	2,697,116
Mortgage Backed Securities
Amortized Cost
Total MBS, Amortized cost	5,992,668	6,356,422
Total MBS, Fair value	$ 6,004,631	$ 6,462,819

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Investments - HTM Narrative (Details) - USD ($)	Jun. 30, 2022	Dec. 31, 2021
Other than Temporary Impairment, Credit Losses Recognized in Earnings [Roll Forward]
AFS and HTM securities, based on amortized cost, rated single-A or above (percent)	100.00%	100.00%
AFS securities allowance for credit loss	$ 0	$ 0
HTM securities allowance for credit loss	$ 0	$ 0

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Investments - HTM Securities - Major Security Types (Details) - USD ($) $ in Thousands		Jun. 30, 2022	Dec. 31, 2021
Schedule of Held-to-maturity Securities [Line Items]
Amortized cost	[1]	$ 3,877,299	$ 4,313,773
Gross Unrecognized Holding Gains		1,854	22,587
Gross Unrecognized Holding Losses		(57,211)	(14,203)
Estimated fair value		3,821,942	4,322,157
Unamortized premium, net		29,144	28,440
Residential Mortgage Backed Securities Other US Obligations
Schedule of Held-to-maturity Securities [Line Items]
Amortized cost		2,521,513	2,626,143
Gross Unrecognized Holding Gains		152	7,384
Gross Unrecognized Holding Losses		(35,792)	(9,238)
Estimated fair value		2,485,873	2,624,289
GSE multifamily | Single Family
Schedule of Held-to-maturity Securities [Line Items]
Amortized cost		722,385	815,924
Gross Unrecognized Holding Gains		1,697	14,424
Gross Unrecognized Holding Losses		(20,401)	(4,773)
Estimated fair value		703,681	825,575
GSE multifamily | Multifamily
Schedule of Held-to-maturity Securities [Line Items]
Amortized cost		633,401	871,706
Gross Unrecognized Holding Gains		5	779
Gross Unrecognized Holding Losses		(1,018)	(192)
Estimated fair value		$ 632,388	$ 872,293

[1] Carrying value equals amortized cost, which includes adjustments made to the cost basis for purchase discount or premium and related accretion or amortization. Net unamortized premium at June 30, 2022 and December 31, 2021 totaled $29,144 and $28,440, respectively.

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Advances - Advances by Year of Contractual Maturity (Details) - USD ($) $ in Thousands		Jun. 30, 2022	Dec. 31, 2021
Year of Contractual Maturity, Amount
Overdrawn demand and overnight deposit accounts		$ 98,456	$ 0
Due in 1 year or less		13,371,345	7,863,703
Due after 1 through 2 years		3,736,129	2,684,996
Due after 2 through 3 years		2,384,761	3,536,759
Due after 3 through 4 years		2,563,139	2,931,260
Due after 4 through 5 years		1,822,975	1,908,432
Thereafter		6,867,716	8,384,458
Total advances, par value		$ 30,844,521	$ 27,309,608
Year of Contractual Maturity, WAIR %
Overdrawn demand and overnight deposit accounts		3.90%	0.00%
Due in 1 year or less		1.44%	0.59%
Due after 1 through 2 years		2.21%	2.02%
Due after 2 through 3 years		1.70%	1.35%
Due after 3 through 4 years		1.82%	1.29%
Due after 4 through 5 years		1.79%	1.34%
Thereafter		1.52%	0.82%
Total advances, par value		1.63%	1.03%
Fair-value hedging basis adjustments, net		$ (344,955)	$ 179,115
Unamortized swap termination fees associated with modified advances, net of deferred prepayment fees		7,896	9,112
Total Advances	[1]	30,507,462	27,497,835
Accrued interest		$ 18,542	$ 13,075

[1] Carrying value equals amortized cost, which excludes accrued interest receivable at June 30, 2022 and December 31, 2021 of $18,542 and $13,075, respectively.

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Advances - Advances Outstanding Earlier of Contractual Maturity or Next Call Date and Year of Contractual Maturity or Next Put Date (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Federal Home Loan Bank, Advances, Earlier of Contractual Maturity or Next Call Date, Rolling Year, Par Value [Abstract]
Overdrawn demand and overnight deposit accounts	$ 98,456	$ 0
Due in 1 year or less	18,134,158	12,547,866
Due after 1 through 2 years	2,494,629	2,578,396
Due after 2 through 3 years	2,011,211	2,127,759
Due after 3 through 4 years	1,579,789	1,997,060
Due after 4 through 5 years	1,460,800	1,530,307
Thereafter	5,065,478	6,528,220
Federal Home Loan Bank, Advances, Earlier of Contractual Maturity or Next Put or Convert Date, Rolling Year, Par Value [Abstract]
Overdrawn demand and overnight deposit accounts	98,456	0
Due in 1 year or less	16,934,750	13,452,703
Due after 1 through 2 years	4,138,129	3,090,101
Due after 2 through 3 years	2,770,661	3,636,259
Due after 3 through 4 years	2,563,139	3,007,160
Due after 4 through 5 years	1,509,875	1,485,332
Thereafter	2,829,511	2,638,053
Total advances, par value	$ 30,844,521	$ 27,309,608

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Advances - Narrative (Details) - USD ($)	6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Dec. 31, 2021
Advances [Abstract]
Percent of advances par value held by top five borrowers	47.00%		43.00%
Provision for credit loss	$ 0	$ 0

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Mortgage Loans Held for Portfolio Mortgage Loans (Details) - USD ($) $ in Thousands		6 Months Ended
		Jun. 30, 2022	Mar. 31, 2022	Dec. 31, 2021		Jun. 30, 2021	Mar. 31, 2021	Dec. 31, 2020
Loans and Leases Receivable Disclosure [Line Items]
Unamortized premiums				$ 181,172
Unamortized discounts				(2,389)
Hedging basis adjustments, net				3,157
Total				7,616,334
Loans and Leases Receivable, Net Amount, Total		$ 7,729,642		7,616,134	[1]
Accrued interest		18,542		13,075
Real Estate Loan
Loans and Leases Receivable Disclosure [Line Items]
Accrued interest		29,062		27,977
Residential Portfolio Segment
Loans and Leases Receivable Disclosure [Line Items]
Mortgage loans held		7,564,627		7,434,394
Unamortized premiums		175,372
Unamortized discounts		(5,687)
Hedging basis adjustments, net		(4,470)
Total		7,729,842
Allowance for credit losses		(200)		(200)
Loans and Leases Receivable, Net Amount, Total	[1]	7,729,642
Residential Portfolio Segment | Government-guaranteed or -insured
Loans and Leases Receivable Disclosure [Line Items]
Mortgage loans held		160,056		180,338
Fixed-rate long-term mortgages
Loans and Leases Receivable Disclosure [Line Items]
Mortgage loans held		6,633,317		6,417,543
Loans Receivable With Fixed Rates Of Interest Medium Term
Loans and Leases Receivable Disclosure [Line Items]
Mortgage loans held	[2]	$ 931,310		1,016,851
Loans Receivable With Fixed Rates Of Interest Medium Term | Maximum
Loans and Leases Receivable Disclosure [Line Items]
Origination term		15 years
Conventional
Loans and Leases Receivable Disclosure [Line Items]
Total		$ 7,567,994		7,433,898
Conventional | Residential Portfolio Segment
Loans and Leases Receivable Disclosure [Line Items]
Mortgage loans held		7,404,571		7,254,056
Allowance for credit losses		$ (200)	$ (200)	$ (200)		$ (325)	$ (350)	$ (350)

[1] Excludes accrued interest receivable at June 30, 2022 and December 31, 2021 of $29,062 and $27,977, respectively.

[2] Defined as a term of 15 years or less at origination.

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Mortgage Loans Held for Portfolio - Credit Quality Indicators (Details) - USD ($) $ in Thousands		Jun. 30, 2022	Dec. 31, 2021
Financing Receivable, Past Due [Line Items]
Total			$ 7,616,334
In process of foreclosure	[1]	$ 3,368	1,999
Residential Portfolio Segment
Financing Receivable, Past Due [Line Items]
Total		7,729,842
Past due 90 days or more still accruing interest	[2]	12,781	17,089
On non-accrual status	[3]	$ 10,788	$ 23,487
90 days or more | Residential Portfolio Segment
Financing Receivable, Past Due [Line Items]
Serious delinquency rate (in percent)	[4]	0.23%	0.41%
Government
Financing Receivable, Past Due [Line Items]
In process of foreclosure	[1]	$ 0	$ 0
Government | Residential Portfolio Segment
Financing Receivable, Past Due [Line Items]
Past due 90 days or more still accruing interest	[2]	1,483	1,364
On non-accrual status	[3]	$ 0	$ 0
Government | 90 days or more | Residential Portfolio Segment
Financing Receivable, Past Due [Line Items]
Serious delinquency rate (in percent)	[4]	1.05%	0.86%
Conventional
Financing Receivable, Past Due [Line Items]
Mortgages originated more than 5 years prior to current fiscal year		$ 2,647,322	$ 2,487,162
Mortgages originated in current fiscal year and preceding 4 fiscal years		4,920,672	4,946,736
Total		7,567,994	7,433,898
In process of foreclosure	[1]	3,368	1,999
Conventional | Residential Portfolio Segment
Financing Receivable, Past Due [Line Items]
Past due 90 days or more still accruing interest	[2]	11,298	15,725
On non-accrual status	[3]	10,788	23,487
On non-accrual status with no associated allowance for credit losses		3,721	11,701
Conventional | 30-59 days
Financing Receivable, Past Due [Line Items]
Mortgages originated more than 5 years prior to current fiscal year		17,062	16,968
Mortgages originated in current fiscal year and preceding 4 fiscal years		9,822	12,662
Total		26,884	29,630
Conventional | 60-89 days
Financing Receivable, Past Due [Line Items]
Mortgages originated more than 5 years prior to current fiscal year		2,628	4,175
Mortgages originated in current fiscal year and preceding 4 fiscal years		1,055	1,767
Total		3,683	5,942
Conventional | 90 days or more
Financing Receivable, Past Due [Line Items]
Mortgages originated more than 5 years prior to current fiscal year		14,450	18,599
Mortgages originated in current fiscal year and preceding 4 fiscal years		1,630	11,206
Total		$ 16,080	$ 29,805
Conventional | 90 days or more | Residential Portfolio Segment
Financing Receivable, Past Due [Line Items]
Serious delinquency rate (in percent)	[4]	0.21%	0.40%
Conventional | Financial Asset, Past Due
Financing Receivable, Past Due [Line Items]
Mortgages originated more than 5 years prior to current fiscal year		$ 34,140	$ 39,742
Mortgages originated in current fiscal year and preceding 4 fiscal years		12,507	25,635
Total		46,647	65,377
Conventional | Financial Asset, Not Past Due
Financing Receivable, Past Due [Line Items]
Mortgages originated more than 5 years prior to current fiscal year		2,613,182	2,447,420
Mortgages originated in current fiscal year and preceding 4 fiscal years		4,908,165	4,921,101
Total		$ 7,521,347	$ 7,368,521

[1] Includes loans for which the decision of foreclosure or similar alternative, such as pursuit of deed-in-lieu of foreclosure, has been reported. Loans in process of foreclosure are included in past due categories depending on their delinquency status, but are not necessarily considered to be on non-accrual status.

[2] Although our past due scheduled/scheduled MPP loans are classified as loans past due 90 days or more based on the loan's delinquency status, we do not consider these loans to be on non-accrual status as they are well-secured and in the process of collection.

[3] As of June 30, 2022 and December 31, 2021, $3,721 and $11,701, respectively, of UPB of these conventional mortgage loans on non-accrual status did not have a related allowance for credit losses because these loans were either previously charged off to the expected recoverable value and/or the fair value of the underlying collateral, including any credit enhancements, exceeded the amortized cost of the loans.

[4] Represents loans 90 days or more past due (including loans in process of foreclosure) expressed as a percentage of the total mortgage loans.

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Mortgage Loans Held for Portfolio - Rollforward (Details) - USD ($) $ in Thousands		3 Months Ended		6 Months Ended
		Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Rollforward of Allowance
Provision for (reversal of) credit losses		$ (38)	$ (44)	$ (60)	$ 44
Residential Portfolio Segment
Rollforward of Allowance
Balance, beginning of period				200
Balance, end of period		200		200
Conventional | Residential Portfolio Segment
Rollforward of Allowance
Balance, beginning of period		200	350	200	350
Charge-offs	[1]	7	0	7	(92)
Recoveries		31	19	53	23
Provision for (reversal of) credit losses		(38)	(44)	(60)	44
Balance, end of period		$ 200	$ 325	$ 200	$ 325

[1] Includes receipts of LRA funds on certain loans that are recorded as reversals of previous charge-offs

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Derivatives and Hedging Activities Derivative Notional Amounts (Details) - USD ($) $ in Thousands		Jun. 30, 2022	Dec. 31, 2021
Derivatives, Fair Value [Line Items]
Notional amount of derivatives		$ 64,955,161	$ 55,810,575
Estimated fair value of derivative assets		497,510	106,926
Estimated fair value of derivative liabilities		1,557,214	413,776
Netting adjustments and cash collateral, derivative asset	[1],[2]	(171,662)	113,276
Netting adjustments and cash collateral, derivative liability	[1],[2]	(1,543,645)	(401,591)
Total derivatives, net, at estimated fair value		325,848	220,202
Total derivatives, net, at estimated fair value		13,569	12,185
Cash collateral pledged to counterparties		1,511,166	515,761
Cash collateral received from counterparties		139,183	894
Securities pledged as collateral		0	0
Derivatives designated as hedging instruments | Interest-rate swaps
Derivatives, Fair Value [Line Items]
Notional amount of derivatives		55,010,636	46,395,451
Estimated fair value of derivative assets		493,855	105,446
Estimated fair value of derivative liabilities		1,555,740	413,324
Derivatives not designated as hedging instruments
Derivatives, Fair Value [Line Items]
Notional amount of derivatives		9,944,525	9,415,124
Estimated fair value of derivative assets		3,655	1,480
Estimated fair value of derivative liabilities		1,474	452
Derivatives not designated as hedging instruments | Interest-rate swaps
Derivatives, Fair Value [Line Items]
Notional amount of derivatives		9,270,000	8,595,000
Estimated fair value of derivative assets		1,987	357
Estimated fair value of derivative liabilities		1,363	148
Derivatives not designated as hedging instruments | Interest-rate caps/floors
Derivatives, Fair Value [Line Items]
Notional amount of derivatives		611,000	625,500
Estimated fair value of derivative assets		1,208	1,077
Estimated fair value of derivative liabilities		0	0
Derivatives not designated as hedging instruments | Interest-rate forwards
Derivatives, Fair Value [Line Items]
Notional amount of derivatives		32,200	98,200
Estimated fair value of derivative assets		352	1
Estimated fair value of derivative liabilities		66	199
MDCs | Derivatives not designated as hedging instruments | Interest-rate forwards
Derivatives, Fair Value [Line Items]
Notional amount of derivatives		31,325	96,424
Estimated fair value of derivative assets		108	45
Estimated fair value of derivative liabilities		$ 45	$ 105

[1] Represents the application of the netting requirements that allow us to settle (i) positive and negative positions and (ii) cash collateral and related accrued interest held or placed, with the same clearing agent and/or counterparty. Cash collateral pledged to counterparties at June 30, 2022 and December 31, 2021, including accrued interest, totaled $1,511,166 and $515,761, respectively. Cash collateral received from counterparties and held at both June 30, 2022 and December 31, 2021, including accrued interest, totaled $139,183 and $894, respectively. At June 30, 2022 and December 31, 2021, no securities were pledged as collateral.

[2] Represents the application of the netting requirements that allow us to settle (i) positive and negative positions and (ii) cash collateral and related accrued interest held or placed with the same clearing agent and/or counterparty.

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Derivatives and Hedging Activities Offsetting of Derivative Instruments (Details) - USD ($) $ in Thousands		Jun. 30, 2022	Dec. 31, 2021
Derivative Assets
Gross recognized amount		$ 497,050	$ 106,880
Gross amounts of netting adjustments and cash collateral	[1],[2]	(171,662)	113,276
Net amounts after netting adjustments and cash collateral		325,388	220,156
Derivative instruments not meeting netting requirements	[3]	460	46
Derivative assets, net		325,848	220,202
Derivative Liabilities
Gross recognized amount		1,557,103	413,472
Gross amounts of netting adjustments and cash collateral	[1],[2]	(1,543,645)	(401,591)
Net amounts after netting adjustments and cash collateral		13,458	11,881
Derivative instruments not meeting netting requirements	[3]	111	304
Derivative liabilities, net (Note 6)		13,569	12,185
Uncleared
Derivative Assets
Gross recognized amount		493,033	105,667
Gross amounts of netting adjustments and cash collateral		(408,142)	(105,417)
Net amounts after netting adjustments and cash collateral		84,891	250
Derivative Liabilities
Gross recognized amount		1,482,271	411,886
Gross amounts of netting adjustments and cash collateral		(1,468,813)	(400,005)
Net amounts after netting adjustments and cash collateral		13,458	11,881
Cleared
Derivative Assets
Gross recognized amount		4,017	1,213
Gross amounts of netting adjustments and cash collateral		236,480	218,693
Net amounts after netting adjustments and cash collateral		240,497	219,906
Derivative Liabilities
Gross recognized amount		74,832	1,586
Gross amounts of netting adjustments and cash collateral		(74,832)	(1,586)
Net amounts after netting adjustments and cash collateral		$ 0	$ 0

[1] Represents the application of the netting requirements that allow us to settle (i) positive and negative positions and (ii) cash collateral and related accrued interest held or placed, with the same clearing agent and/or counterparty. Cash collateral pledged to counterparties at June 30, 2022 and December 31, 2021, including accrued interest, totaled $1,511,166 and $515,761, respectively. Cash collateral received from counterparties and held at both June 30, 2022 and December 31, 2021, including accrued interest, totaled $139,183 and $894, respectively. At June 30, 2022 and December 31, 2021, no securities were pledged as collateral.

[2] Represents the application of the netting requirements that allow us to settle (i) positive and negative positions and (ii) cash collateral and related accrued interest held or placed with the same clearing agent and/or counterparty.

[3] Includes MDCs and certain interest-rate forwards.

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Derivatives and Hedging Activities - Derivatives in Statement of Income and Impact on Interest) (Details) - USD ($) $ in Thousands		3 Months Ended				6 Months Ended
		Jun. 30, 2022		Jun. 30, 2021		Jun. 30, 2022		Jun. 30, 2021
Derivative Instruments, Gain (Loss) [Line Items]
Total interest income (expense) recorded in the Statement of Income		$ 63,822		$ 57,316		$ 128,406		$ 131,837
Change in estimated fair value of hedged items (attributable to risk being hedged)		134,151		57,142		501,499		(374,858)
Amortization of net losses on active and discontinued fair value hedging relationships		(17,066)		(3,959)		(33,748)		(8,583)
Interest-rate swaps
Derivative Instruments, Gain (Loss) [Line Items]
Change in estimated fair value of derivatives		(141,004)		(62,754)		(506,306)		387,834
Price alignment interest		(1,131)		7		(1,179)		49
Interest Income (Expense), Net
Derivative Instruments, Gain (Loss) [Line Items]
Net interest settlements on derivatives	[1]	742		(52,489)		(10,488)		(118,435)
Net gains (losses) on derivatives		(142,135)	[2]	(62,747)	[3]	(507,485)	[3]	387,883	[3]
Net gains (losses) on hedged items	[4]	117,085		53,183		467,751		(383,441)
Net changes in fair value before price alignment interest		(24,308)		(62,053)		(50,222)		(113,993)
Total interest income (expense) recorded in the Statement of Income	[5]	6,933		(3,315)		12,720		8,834
Advances | Interest Income | Interest-rate swaps
Derivative Instruments, Gain (Loss) [Line Items]
Net interest settlements on derivatives	[1]	(18,870)		(46,173)		(59,024)		(91,892)
Net gains (losses) on derivatives		141,937	[2]	(12,098)	[3]	498,571	[3]	234,784	[3]
Net gains (losses) on hedged items	[4]	(147,671)		10,494		(500,575)		(233,031)
Net changes in fair value before price alignment interest		(24,604)		(47,777)		(61,028)		(90,139)
Total interest income (expense) recorded in the Statement of Income	[5]	67,562		28,175		102,603		64,284
AFS Securities | Interest Income | Interest-rate swaps
Derivative Instruments, Gain (Loss) [Line Items]
Net interest settlements on derivatives	[1]	(11,663)		(28,327)		(34,128)		(60,780)
Net gains (losses) on derivatives		106,280	[2]	(87,731)	[3]	284,010	[3]	234,210	[3]
Net gains (losses) on hedged items	[4]	(122,790)		81,883		(314,279)		(234,631)
Net changes in fair value before price alignment interest		(28,173)		(34,175)		(64,397)		(61,201)
Total interest income (expense) recorded in the Statement of Income	[5]	38,563		21,184		61,008		51,020
Unsettled CO bonds, at par | Interest Expense | Interest-rate swaps
Derivative Instruments, Gain (Loss) [Line Items]
Net interest settlements on derivatives	[1]	31,275		22,011		82,664		34,237
Net gains (losses) on derivatives		(390,352)	[2]	37,082	[3]	(1,290,066)	[3]	(81,111)	[3]
Net gains (losses) on hedged items	[4]	387,546		(39,194)		1,282,605		84,221
Net changes in fair value before price alignment interest		28,469		19,899		75,203		37,347
Total interest income (expense) recorded in the Statement of Income	[5]	$ (99,192)		$ (52,674)		$ (150,891)		$ (106,470)

[1] Represents interest income/expense on derivatives in qualifying fair-value hedging relationships. Net interest settlements on derivatives that are not in qualifying fair-value hedging relationships are reported in other income.

[2] Includes effective and ineffective fair-value hedging relationships. Excludes any offsetting effect of the net estimated fair value of the associated derivatives.

[3] Includes for the three months ended June 30, 2022 and 2021, increases (decreases) in estimated fair value totaling $(141,004) and $(62,754), respectively, and price alignment interest of $(1,131) and $7, respectively. Includes for the six months ended June 30, 2022 and 2021, increases (decreases) in estimated fair value totaling $(506,306) and $387,834, respectively, and price alignment interest of $(1,179) and $49, respectively.

[4]     Includes for the three months ended June 30, 2022 and 2021, increases (decreases) in estimated fair value totaling $134,151 and $57,142, respectively, and amortization of net losses on ineffective and discontinued fair-value hedging relationships of $(17,066) and $(3,959), respectively. Includes for the six months ended June 30, 2022 and 2021, increases (decreases) in estimated fair value totaling $501,499 and $(374,858), respectively, and amortization of net losses on ineffective and discontinued fair-value hedging relationships of $(33,748) and $(8,583), respectively.

[5] For advances, AFS securities and CO bonds only.

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Derivatives and Hedging Activities Derivatives Reported in Other Income (Loss) (Details) - Economic Hedge - USD ($) $ in Thousands		3 Months Ended		6 Months Ended
		Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Derivative Instruments, Gain (Loss) [Line Items]
Net gains (losses) on derivatives in other income		$ 17,203	$ 186	$ 37,197	$ (652)
Interest-rate swaps
Derivative Instruments, Gain (Loss) [Line Items]
Net gains (losses) on derivatives in other income		16,413	4,083	38,463	8,194
Interest-rate caps/floors
Derivative Instruments, Gain (Loss) [Line Items]
Net gains (losses) on derivatives in other income		(42)	(528)	131	(396)
Interest-rate forwards
Derivative Instruments, Gain (Loss) [Line Items]
Net gains (losses) on derivatives in other income		1,768	(1,344)	7,026	2,812
Net interest rate settlements
Derivative Instruments, Gain (Loss) [Line Items]
Net gains (losses) on derivatives in other income	[1]	881	(3,285)	(1,137)	(8,238)
MDCs
Derivative Instruments, Gain (Loss) [Line Items]
Net gains (losses) on derivatives in other income		$ (1,817)	$ 1,260	$ (7,286)	$ (3,024)

[1] Relates to derivatives that are not in qualifying fair-value hedging relationships. The interest income/expense of the associated hedged items is recorded in net interest income.

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Derivatives and Hedging Activities Cumulative Basis Adjustments for Fair Value Hedges (Details) - USD ($) $ in Thousands		Jun. 30, 2022	Dec. 31, 2021
Advances
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Amortized cost of hedged items	[1]	$ 16,303,974	$ 17,374,515
For active fair-value hedging relationships	[2]	(345,091)	178,543
For discontinued fair-value hedging relationships		136	572
Total cumulative fair-value hedging basis adjustments on hedged items		(344,955)	179,115
AFS Securities
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Amortized cost of hedged items	[1]	10,164,322	9,007,993
For active fair-value hedging relationships	[2]	(934,237)	(184,724)
For discontinued fair-value hedging relationships		357,242	390,923
Total cumulative fair-value hedging basis adjustments on hedged items		(576,995)	206,199
Unsettled CO bonds, at par
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Amortized cost of hedged items	[1]	26,730,944	20,902,714
For active fair-value hedging relationships	[2]	(1,530,303)	(247,699)
For discontinued fair-value hedging relationships		0	0
Total cumulative fair-value hedging basis adjustments on hedged items		$ (1,530,303)	$ (247,699)

[1] Includes the amortized cost of the hedged items in active or discontinued fair-value hedging relationships.

[2] Includes effective and ineffective fair-value hedging relationships. Excludes any offsetting effect of the net estimated fair value of the associated derivatives.

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Consolidated Obligations (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2022	Dec. 31, 2021
Schedule of Short-term and Long-term Debt [Line Items]
FHLB system outstanding consolidated obligations	$ 882,500,000	$ 652,900,000
Discount notes maturity period	1 year
Discount Notes
Book value	$ 19,587,260	12,116,358
CO Bonds [Abstract]
Total CO bonds, par value	40,950,390	42,550,250
Total CO bonds	39,462,365	42,361,572
Year of Contractual Maturity or Next Call Date
CO Bonds [Abstract]
Due in 1 year or less, amount	35,829,035	36,028,850
Due after 1 year through 2 years, amount	1,374,625	3,122,510
Due after 2 years through 3 years, amount	997,090	586,550
Due after 3 years through 4 years, amount	745,500	577,300
Due after 4 years through 5 years, amount	248,320	415,100
Thereafter, amount	1,755,820	1,819,940
Total CO bonds, par value	40,950,390	42,550,250
Unsettled CO bonds, at par
CO Bonds [Abstract]
Due in 1 year or less, amount	8,949,535	14,357,350
Due after 1 year through 2 years, amount	3,556,625	2,965,510
Due after 2 years through 3 years, amount	9,827,090	5,797,550
Due after 3 years through 4 years, amount	4,878,500	3,947,300
Due after 4 years through 5 years, amount	5,039,820	6,587,600
Thereafter, amount	8,698,820	8,894,940
Total CO bonds, par value	40,950,390	42,550,250
Unamortized premiums	60,418	77,035
Unamortized discounts	(10,819)	(11,268)
Unamortized concessions	(7,321)	(6,746)
Fair-value hedging basis adjustments, net	$ (1,530,303)	$ (247,699)
Due in 1 year or less, WAIR %	1.52%	0.29%
Due after 1 year through 2 years, WAIR %	1.49%	1.02%
Due after 2 years through 3 years, WAIR %	1.09%	0.76%
Due after 3 years through 4 years, WAIR %	1.26%	0.83%
Due after 4 years through 5 years, WAIR %	1.36%	1.14%
Thereafter, WAIR %	2.20%	2.09%
Total CO bonds, par value, WAIR %	1.51%	0.96%
Short-term Debt
Discount Notes
Book value	$ 19,587,260	$ 12,116,358
Weighted average effective interest rate	1.17%	0.05%
CO Bonds [Abstract]
Total CO bonds, par value	$ 19,617,332	$ 12,117,846
Non-callable / non-putable
CO Bonds [Abstract]
Total CO bonds, par value	11,740,890	20,346,750
Callable
CO Bonds [Abstract]
Total CO bonds, par value	$ 29,209,500	$ 22,203,500

XML

Consolidated Obligations Interest-rate Payment Terms (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Debt Instrument [Line Items]
Total CO bonds, par value	$ 40,950,390	$ 42,550,250
Fixed-rate
Debt Instrument [Line Items]
Total CO bonds, par value	34,548,390	36,717,750
Step-up
Debt Instrument [Line Items]
Total CO bonds, par value	2,233,500	898,500
Simple variable-rate
Debt Instrument [Line Items]
Total CO bonds, par value	$ 4,168,500	$ 4,934,000

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Affordable Housing Program (Details) - USD ($) $ in Thousands		3 Months Ended		6 Months Ended
		Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Affordable Housing Program Funding Obligation [Roll Forward]
Balance at beginning of period		$ 31,937	$ 35,690	$ 31,049	$ 34,402
Assessment (expense)		3,623	2,008	6,828	5,451
Subsidy usage, net	[1]	(6,607)	(6,933)	(8,924)	(9,088)
Balance at end of period		$ 28,953	$ 30,765	$ 28,953	$ 30,765

[1] Subsidies disbursed are reported net of returns/recaptures of previously disbursed subsidies.

XML

Capital - Class B Shares (Details) - USD ($) $ in Thousands	Jun. 30, 2022	Dec. 31, 2021
Class of Stock [Line Items]
Class B issued and outstanding	$ 2,250,835	$ 2,246,201
Class B
Class of Stock [Line Items]
Class B issued and outstanding	2,250,835	2,246,201
Class B-1
Class of Stock [Line Items]
Class B issued and outstanding	765,075	931,517
Class B-2
Class of Stock [Line Items]
Class B issued and outstanding	$ 1,485,760	$ 1,314,684

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Capital - Mandatorily Redeemable Capital Stock (Details) $ in Thousands		3 Months Ended		6 Months Ended
		Jun. 30, 2022 USD ($) capital_requirement	Jun. 30, 2021 USD ($)	Jun. 30, 2022 USD ($) capital_requirement	Jun. 30, 2021 USD ($)	Dec. 31, 2021 USD ($)
Banking Regulation, Total Capital [Abstract]
Redemption period				5 years
Mandatorily Redeemable Capital Stock Activity [Roll Forward]
Liability at beginning of period		$ 45,591	$ 232,695	$ 50,422	$ 250,768
Reclassification from capital stock		0	281	0	281
Redemptions/repurchases		(8)	(83)	(4,839)	(18,156)
Liability at end of period		45,583	232,893	45,583	232,893
Financial Instruments Subject to Mandatory Redemption, Settlement Terms, Share Value, Amount [Abstract]
Past contractual redemption date	[1]	560		560		$ 577
Year 1	[2]	12,298		12,298		11,835
Year 2		868		868		471
Year 3		12,124		12,124		9,873
Year 4		16,059		16,059		23,218
Year 5		3,674		3,674		4,448
Total MRCS		45,583	232,893	45,583	232,893	50,422
Outstanding Class B stock held by captive insurer		11,835		11,835		11,835
Recorded as interest expense		269	929	514	2,033
Recorded as distributions from retained earnings		0	1	0	84
Total		$ 269	$ 930	$ 514	$ 2,117
Regulatory Capital Requirements
Number of regulatory capital requirements | capital_requirement		3		3
Risk-based capital, required		$ 1,217,930		$ 1,217,930		1,091,337
Risk-based capital, actual		3,508,138		3,508,138		3,473,695
Regulatory capital, required		2,570,651		2,570,651		2,400,184
Regulatory capital, actual		$ 3,508,138		$ 3,508,138		$ 3,473,695
Regulatory permanent capital-to-asset ratio, required		4.00%		4.00%		4.00%
Regulatory permanent capital-to-asset ratio, actual		5.46%		5.46%		5.79%
Leverage capital, required		$ 3,213,313		$ 3,213,313		$ 3,000,230
Leverage capital, actual		$ 5,262,207		$ 5,262,207		$ 5,210,543
Leverage ratio, required		5.00%		5.00%		5.00%
Leverage ratio, actual		8.19%		8.19%		8.69%

[1] Balance represents Class B stock that will not be redeemed until the associated credit products and other obligations are no longer outstanding.

[2] Balance at June 30, 2022 and December 31, 2021 includes $11,835 of Class B stock held by one captive insurance company whose membership was terminated on February 19, 2021 but will not be redeemed until the associated credit products and other obligations are no longer outstanding.

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Accumulated Other Comprehensive Income (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021
Accumulated Other Comprehensive Income (Loss) before Tax [Roll Forward]
Beginning Balance	$ 3,373,270	$ 3,547,376	$ 3,556,331	$ 3,450,302
Total other comprehensive income (loss)	(44,899)	13,497	(118,902)	88,022
Ending Balance	3,476,711	3,583,753	3,476,711	3,583,753
Unrealized Gains (Losses) on AFS Securities
Accumulated Other Comprehensive Income (Loss) before Tax [Roll Forward]
Beginning Balance	77,479	210,450	151,942	136,921
Net change in unrealized gains (losses)	(45,228)	4,502	(119,691)	78,031
Pension benefits, net	0	0	0	0
Total other comprehensive income (loss)	(45,228)	4,502	(119,691)	78,031
Ending Balance	32,251	214,952	32,251	214,952
Pension Benefits
Accumulated Other Comprehensive Income (Loss) before Tax [Roll Forward]
Beginning Balance	(18,424)	(30,523)	(18,884)	(31,519)
Net change in unrealized gains (losses)	0	0	0	0
Pension benefits, net	329	8,995	789	9,991
Total other comprehensive income (loss)	329	8,995	789	9,991
Ending Balance	(18,095)	(21,528)	(18,095)	(21,528)
Accumulated Other Comprehensive Income
Accumulated Other Comprehensive Income (Loss) before Tax [Roll Forward]
Beginning Balance	59,055	179,927	133,058	105,402
Net change in unrealized gains (losses)	(45,228)	4,502	(119,691)	78,031
Pension benefits, net	329	8,995	789	9,991
Total other comprehensive income (loss)	(44,899)	13,497	(118,902)	88,022
Ending Balance	$ 14,156	$ 193,424	$ 14,156	$ 193,424

XML

Segment Information (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021	Dec. 31, 2021
Segment Reporting Information [Line Items]
Net interest income	$ 63,822	$ 57,316	$ 128,406	$ 131,837
Provision for (reversal of) credit losses	(38)	(44)	(60)	44
Other income (loss)	(1,698)	(9,770)	(9,100)	(22,746)
Other expenses	26,203	28,437	51,597	56,567
Income before assessments	35,959	19,153	67,769	52,480
Affordable Housing Program assessments (credits)	3,623	2,008	6,828	5,451
Net income (loss)	32,336	17,145	60,941	47,029
Assets	64,266,263		64,266,263		$ 60,004,603
Traditional
Segment Reporting Information [Line Items]
Net interest income	50,671	53,952	103,361	128,137
Provision for (reversal of) credit losses	0	0	0	0
Other income (loss)	(1,732)	(9,734)	(8,942)	(22,611)
Other expenses	22,436	24,221	44,202	48,339
Income before assessments	26,503	19,997	50,217	57,187
Affordable Housing Program assessments (credits)	2,677	2,093	5,073	5,922
Net income (loss)	23,826	17,904	45,144	51,265
Assets	56,536,621		56,536,621		52,388,469
Mortgage Loans
Segment Reporting Information [Line Items]
Net interest income	13,151	3,364	25,045	3,700
Provision for (reversal of) credit losses	(38)	(44)	(60)	44
Other income (loss)	34	(36)	(158)	(135)
Other expenses	3,767	4,216	7,395	8,228
Income before assessments	9,456	(844)	17,552	(4,707)
Affordable Housing Program assessments (credits)	946	(85)	1,755	(471)
Net income (loss)	8,510	$ (759)	15,797	$ (4,236)
Assets	$ 7,729,642		$ 7,729,642		$ 7,616,134

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Estimated Fair Values - Carrying Value and Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands		Jun. 30, 2022	Mar. 31, 2022	Dec. 31, 2021	Jun. 30, 2021	Mar. 31, 2021	Dec. 31, 2020
Assets:
Cash and due from banks		$ 59,596		$ 867,880
Trading securities		4,039,407		3,946,799
AFS securities		10,196,572		9,159,935
HTM securities		3,821,942		4,322,157
Accrued interest receivable		96,937		80,758
Derivative assets, net		325,848		220,202
Netting adjustments and cash collateral, derivative asset	[1],[2]	(171,662)		113,276
Consolidated obligations:
Accrued interest payable		124,999		88,068
Derivative liabilities, net		13,569		12,185
Netting adjustments and cash collateral, derivative liability	[1],[2]	(1,543,645)		(401,591)
MRCS		45,583	$ 45,591	50,422	$ 232,893	$ 232,695	$ 250,768
Level 1
Assets:
Cash and due from banks		59,596		867,880
Interest-bearing deposits		325,000		100,000
Securities purchased under agreements to resell		0		0
Federal funds sold		0		0
Trading securities		0		0
AFS securities		0		0
HTM securities		0		0
Advances		0		0
Mortgage loans held for portfolio, net		0		0
Accrued interest receivable		0		0
Derivative assets, net		0		0
Grantor trust assets	[3]	52,400		62,640
Liabilities:
Deposits		0		0
Consolidated obligations:
Accrued interest payable		0		0
Derivative liabilities, net		0		0
MRCS		45,583		50,422
Level 2
Assets:
Cash and due from banks		0		0
Interest-bearing deposits		41		41
Securities purchased under agreements to resell		4,500,000		3,500,000
Federal funds sold		2,496,000		2,580,000
Trading securities		4,039,407		3,946,799
AFS securities		10,196,572		9,159,935
HTM securities		3,821,942		4,322,157
Advances		30,354,762		27,462,295
Mortgage loans held for portfolio, net		7,199,864		7,787,334
Accrued interest receivable		96,937		80,758
Derivative assets, net		497,510		106,926
Grantor trust assets	[3]	0		0
Liabilities:
Deposits		907,525		1,366,397
Consolidated obligations:
Accrued interest payable		124,999		88,068
Derivative liabilities, net		1,557,214		413,776
MRCS		0		0
Level 3
Assets:
Cash and due from banks		0		0
Interest-bearing deposits		0		0
Securities purchased under agreements to resell		0		0
Federal funds sold		0		0
Trading securities		0		0
AFS securities		0		0
HTM securities		0		0
Advances		0		0
Mortgage loans held for portfolio, net		13,201		23,044
Accrued interest receivable		0		0
Derivative assets, net		0		0
Grantor trust assets	[3]	0		0
Liabilities:
Deposits		0		0
Consolidated obligations:
Accrued interest payable		0		0
Derivative liabilities, net		0		0
MRCS		0		0
Carrying value
Assets:
Cash and due from banks		59,596		867,880
Interest-bearing deposits		325,041		100,041
Securities purchased under agreements to resell		4,500,000		3,500,000
Federal funds sold		2,496,000		2,580,000
Trading securities		4,039,407		3,946,799
AFS securities		10,196,572		9,159,935
HTM securities		3,877,299		4,313,773
Advances		30,507,462		27,497,835
Mortgage loans held for portfolio, net		7,729,642		7,616,134
Accrued interest receivable		96,937		80,758
Derivative assets, net		325,848		220,202
Grantor trust assets	[3]	52,400		62,640
Liabilities:
Deposits		907,525		1,366,397
Consolidated obligations:
Accrued interest payable		124,999		88,068
Derivative liabilities, net		13,569		12,185
MRCS		45,583		50,422
Fair Value
Assets:
Cash and due from banks		59,596		867,880
Interest-bearing deposits		325,041		100,041
Securities purchased under agreements to resell		4,500,000		3,500,000
Federal funds sold		2,496,000		2,580,000
Trading securities		4,039,407		3,946,799
AFS securities		10,196,572		9,159,935
HTM securities		3,821,942		4,322,157
Advances		30,354,762		27,462,295
Mortgage loans held for portfolio, net		7,213,065		7,810,378
Accrued interest receivable		96,937		80,758
Derivative assets, net		325,848		220,202
Grantor trust assets	[3]	52,400		62,640
Liabilities:
Deposits		907,525		1,366,397
Consolidated obligations:
Accrued interest payable		124,999		88,068
Derivative liabilities, net		13,569		12,185
MRCS		45,583		50,422
Unsettled discount notes, at par | Level 1
Consolidated obligations:
Discount notes		0		0
Unsettled discount notes, at par | Level 2
Consolidated obligations:
Discount notes		19,579,547		12,115,318
Unsettled discount notes, at par | Level 3
Consolidated obligations:
Discount notes		0		0
Unsettled discount notes, at par | Carrying value
Consolidated obligations:
Discount notes		19,587,260		12,116,358
Unsettled discount notes, at par | Fair Value
Consolidated obligations:
Discount notes		19,579,547		12,115,318
Unsettled CO bonds, at par | Level 1
Consolidated obligations:
Bonds		0		0
Unsettled CO bonds, at par | Level 2
Consolidated obligations:
Bonds		38,768,013		42,643,536
Unsettled CO bonds, at par | Level 3
Consolidated obligations:
Bonds		0		0
Unsettled CO bonds, at par | Carrying value
Consolidated obligations:
Bonds		39,462,365		42,361,572
Unsettled CO bonds, at par | Fair Value
Consolidated obligations:
Bonds		$ 38,768,013		$ 42,643,536

[1] Represents the application of the netting requirements that allow us to settle (i) positive and negative positions and (ii) cash collateral and related accrued interest held or placed, with the same clearing agent and/or counterparty. Cash collateral pledged to counterparties at June 30, 2022 and December 31, 2021, including accrued interest, totaled $1,511,166 and $515,761, respectively. Cash collateral received from counterparties and held at both June 30, 2022 and December 31, 2021, including accrued interest, totaled $139,183 and $894, respectively. At June 30, 2022 and December 31, 2021, no securities were pledged as collateral.

[2] Represents the application of the netting requirements that allow us to settle (i) positive and negative positions and (ii) cash collateral and related accrued interest held or placed with the same clearing agent and/or counterparty.

[3] Included in other assets on the statement of condition.

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Estimated Fair Values - Recurring and Non-Recurring Basis (Details) - USD ($) $ in Thousands		Jun. 30, 2022		Dec. 31, 2021
Derivative Asset [Abstract]
Trading securities		$ 4,039,407		$ 3,946,799
AFS securities		10,196,572		9,159,935
Derivative assets, net		325,848		220,202
Netting adjustments and cash collateral, derivative asset	[1],[2]	(171,662)		113,276
Derivative Liability [Abstract]
Derivative liabilities, net		13,569		12,185
Netting adjustments and cash collateral, derivative liability	[1],[2]	(1,543,645)		(401,591)
Fair Value, Measurements, Recurring
Derivative Asset [Abstract]
Netting adjustments and cash collateral, derivative asset		(171,662)	[2]	113,276	[3]
Derivative Liability [Abstract]
Netting adjustments and cash collateral, derivative liability		(1,543,645)	[2]	(401,591)	[3]
Fair Value, Measurements, Recurring | Interest-rate related
Derivative Asset [Abstract]
Netting adjustments and cash collateral, derivative asset		(171,662)	[2]	113,276	[3]
Derivative Liability [Abstract]
Netting adjustments and cash collateral, derivative liability		(1,543,645)	[2]	(401,591)	[3]
Level 1
Derivative Asset [Abstract]
Trading securities		0		0
AFS securities		0		0
Derivative assets, net		0		0
Grantor trust assets	[4]	52,400		62,640
Derivative Liability [Abstract]
Derivative liabilities, net		0		0
Mortgage loans held for portfolio		0		0
Level 1 | Fair Value, Measurements, Recurring
Derivative Asset [Abstract]
Trading securities		0		0
AFS securities		0		0
Derivative assets, net		0		0
Grantor trust assets		52,400		62,640
Total assets at estimated fair value		52,400		62,640
Derivative Liability [Abstract]
Derivative liabilities, net		0		0
Total liabilities at recurring estimated fair value		0		0
Level 1 | Fair Value, Measurements, Recurring | Interest-rate related
Derivative Asset [Abstract]
Derivative assets, net		0		0
Derivative Liability [Abstract]
Derivative liabilities, net		0		0
Level 1 | Fair Value, Measurements, Nonrecurring
Derivative Asset [Abstract]
Total assets at estimated fair value		0		0
Derivative Liability [Abstract]
Mortgage loans held for portfolio		0	[5]	0
Level 2
Derivative Asset [Abstract]
Trading securities		4,039,407		3,946,799
AFS securities		10,196,572		9,159,935
Derivative assets, net		497,510		106,926
Grantor trust assets	[4]	0		0
Derivative Liability [Abstract]
Derivative liabilities, net		1,557,214		413,776
Mortgage loans held for portfolio		7,199,864		7,787,334
Level 2 | Fair Value, Measurements, Recurring
Derivative Asset [Abstract]
Trading securities		4,039,407		3,946,799
AFS securities		10,196,572		9,159,935
Derivative assets, net		497,510		106,926
Grantor trust assets		0		0
Total assets at estimated fair value		14,733,489		13,213,660
Derivative Liability [Abstract]
Derivative liabilities, net		1,557,214		413,776
Total liabilities at recurring estimated fair value		1,557,214		413,776
Level 2 | Fair Value, Measurements, Recurring | Interest-rate related
Derivative Asset [Abstract]
Derivative assets, net		497,402		106,881
Derivative Liability [Abstract]
Derivative liabilities, net		1,557,169		413,671
Level 2 | Fair Value, Measurements, Nonrecurring
Derivative Asset [Abstract]
Total assets at estimated fair value		0		0
Derivative Liability [Abstract]
Mortgage loans held for portfolio		0	[5]	0
Level 3
Derivative Asset [Abstract]
Trading securities		0		0
AFS securities		0		0
Derivative assets, net		0		0
Grantor trust assets	[4]	0		0
Derivative Liability [Abstract]
Derivative liabilities, net		0		0
Mortgage loans held for portfolio		13,201		23,044
Level 3 | Fair Value, Measurements, Recurring
Derivative Asset [Abstract]
Trading securities		0		0
AFS securities		0		0
Derivative assets, net		0		0
Grantor trust assets		0		0
Total assets at estimated fair value		0		0
Derivative Liability [Abstract]
Derivative liabilities, net		0		0
Total liabilities at recurring estimated fair value		0		0
Level 3 | Fair Value, Measurements, Recurring | Interest-rate related
Derivative Asset [Abstract]
Derivative assets, net		0		0
Derivative Liability [Abstract]
Derivative liabilities, net		0		0
Level 3 | Fair Value, Measurements, Nonrecurring
Derivative Asset [Abstract]
Total assets at estimated fair value		970		1,141
Derivative Liability [Abstract]
Mortgage loans held for portfolio		970	[5]	1,141
U.S. Treasury obligations
Derivative Asset [Abstract]
Trading securities		4,039,407		3,946,799
U.S. Treasury obligations | Level 1 | Fair Value, Measurements, Recurring
Derivative Asset [Abstract]
Trading securities		0		0
AFS securities		0
U.S. Treasury obligations | Level 2 | Fair Value, Measurements, Recurring
Derivative Asset [Abstract]
Trading securities		4,039,407		3,946,799
AFS securities		2,105,878
U.S. Treasury obligations | Level 3 | Fair Value, Measurements, Recurring
Derivative Asset [Abstract]
Trading securities		0		0
AFS securities		0
GSE and TVA debentures
Derivative Asset [Abstract]
AFS securities		2,086,063		2,697,116
GSE and TVA debentures | Level 1 | Fair Value, Measurements, Recurring
Derivative Asset [Abstract]
AFS securities		0		0
GSE and TVA debentures | Level 2 | Fair Value, Measurements, Recurring
Derivative Asset [Abstract]
AFS securities		2,086,063		2,697,116
GSE and TVA debentures | Level 3 | Fair Value, Measurements, Recurring
Derivative Asset [Abstract]
AFS securities		0		0
GSE multifamily
Derivative Asset [Abstract]
AFS securities		6,004,631		6,462,819
GSE multifamily | Level 1 | Fair Value, Measurements, Recurring
Derivative Asset [Abstract]
AFS securities		0		0
GSE multifamily | Level 2 | Fair Value, Measurements, Recurring
Derivative Asset [Abstract]
AFS securities		6,004,631		6,462,819
GSE multifamily | Level 3 | Fair Value, Measurements, Recurring
Derivative Asset [Abstract]
AFS securities		0		0
MDCs | Level 1 | Fair Value, Measurements, Recurring | Interest-rate forwards
Derivative Asset [Abstract]
Derivative assets, net		0		0
Derivative Liability [Abstract]
Derivative liabilities, net		0		0
MDCs | Level 2 | Fair Value, Measurements, Recurring | Interest-rate forwards
Derivative Asset [Abstract]
Derivative assets, net		108		45
Derivative Liability [Abstract]
Derivative liabilities, net		45		105
MDCs | Level 3 | Fair Value, Measurements, Recurring | Interest-rate forwards
Derivative Asset [Abstract]
Derivative assets, net		0		0
Derivative Liability [Abstract]
Derivative liabilities, net		0		0
Total
Derivative Asset [Abstract]
Trading securities		4,039,407		3,946,799
AFS securities		10,196,572		9,159,935
Derivative assets, net		325,848		220,202
Grantor trust assets	[4]	52,400		62,640
Derivative Liability [Abstract]
Derivative liabilities, net		13,569		12,185
Mortgage loans held for portfolio		7,213,065		7,810,378
Total | Fair Value, Measurements, Recurring
Derivative Asset [Abstract]
Trading securities		4,039,407		3,946,799
AFS securities		10,196,572		9,159,935
Derivative assets, net		325,848		220,202
Grantor trust assets		52,400		62,640
Total assets at estimated fair value		14,614,227		13,389,576
Derivative Liability [Abstract]
Derivative liabilities, net		13,569		12,185
Total liabilities at recurring estimated fair value		13,569		12,185
Total | Fair Value, Measurements, Recurring | Interest-rate related
Derivative Asset [Abstract]
Derivative assets, net		325,740		220,157
Derivative Liability [Abstract]
Derivative liabilities, net		13,524		12,080
Total | Fair Value, Measurements, Nonrecurring
Derivative Asset [Abstract]
Total assets at estimated fair value		970		1,141
Derivative Liability [Abstract]
Mortgage loans held for portfolio		970	[5]	1,141
Total | U.S. Treasury obligations | Fair Value, Measurements, Recurring
Derivative Asset [Abstract]
Trading securities		4,039,407		3,946,799
AFS securities		2,105,878
Total | GSE and TVA debentures | Fair Value, Measurements, Recurring
Derivative Asset [Abstract]
AFS securities		2,086,063		2,697,116
Total | GSE multifamily | Fair Value, Measurements, Recurring
Derivative Asset [Abstract]
AFS securities		6,004,631		6,462,819
Total | MDCs | Fair Value, Measurements, Recurring | Interest-rate forwards
Derivative Asset [Abstract]
Derivative assets, net		108		45
Derivative Liability [Abstract]
Derivative liabilities, net		$ 45		$ 105

[1] Represents the application of the netting requirements that allow us to settle (i) positive and negative positions and (ii) cash collateral and related accrued interest held or placed, with the same clearing agent and/or counterparty. Cash collateral pledged to counterparties at June 30, 2022 and December 31, 2021, including accrued interest, totaled $1,511,166 and $515,761, respectively. Cash collateral received from counterparties and held at both June 30, 2022 and December 31, 2021, including accrued interest, totaled $139,183 and $894, respectively. At June 30, 2022 and December 31, 2021, no securities were pledged as collateral.

[2] Represents the application of the netting requirements that allow us to settle (i) positive and negative positions and (ii) cash collateral and related accrued interest held or placed with the same clearing agent and/or counterparty.

[3] Represents the application of the netting requirements that allow us to settle (i) positive and negative positions and (ii) cash collateral and related accrued interest held or placed with the same clearing agent and/or counterparty

[4] Included in other assets on the statement of condition.

[5] Amounts are as of the date the most recent fair-value adjustment was recorded.

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Commitments and Contingencies (Details) - USD ($)		6 Months Ended
		Jun. 30, 2022	Dec. 31, 2021
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]
Cash Collateral Pledged		$ 1,509,963,000	$ 515,740,000
Standby letters of credit outstanding
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]
Off-balance-sheet commitments expire within one year		48,363,000
Off-balance-sheet commitments expire after one year		616,213,000
Off-balance-sheet commitments, Total		664,576,000
Unused lines of credit
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]
Off-balance-sheet commitments expire within one year	[1]	906,668,000
Off-balance-sheet commitments expire after one year	[1]	0
Off-balance-sheet commitments, Total	[1]	906,668,000
Maximum line of credit		100,000,000
Commitments to fund additional advances
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]
Off-balance-sheet commitments expire within one year	[2]	68,000,000
Off-balance-sheet commitments expire after one year	[2]	0
Off-balance-sheet commitments, Total	[2]	$ 68,000,000
Commitments to fund additional advances | Maximum
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]
Commitments to fund additional Advances are generally for periods up		6 months
Unsettled CO bonds, at par
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]
Off-balance-sheet commitments expire within one year		$ 43,800,000
Off-balance-sheet commitments expire after one year		0
Off-balance-sheet commitments, Total		$ 43,800,000
Unsettled CO bonds, at par | Maximum
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]
Period of time commitments unconditionally obligate to fund or purchase mortgage loans and participation interests		91 days
Unsettled discount notes, at par
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]
Off-balance-sheet commitments expire within one year		$ 424,000,000
Off-balance-sheet commitments expire after one year		0
Off-balance-sheet commitments, Total		424,000,000
Mortgage Receivable | Commitments to fund or purchase mortgage loans, net
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items]
Off-balance-sheet commitments expire within one year	[3]	31,325,000
Off-balance-sheet commitments expire after one year	[3]	0
Off-balance-sheet commitments, Total	[3]	$ 31,325,000

[1] Maximum line of credit amount per member is $100,000.

[2] Generally for periods up to six months.

[3] Generally for periods up to 91 days.

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Related Party and Other Transactions (Details) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2022	Jun. 30, 2021	Jun. 30, 2022	Jun. 30, 2021	Dec. 31, 2021
Related Party Transaction [Line Items]
Advances, par value	$ 30,844,521,000		$ 30,844,521,000		$ 27,309,608,000
Loans to other FHLBanks	0		0		0
Loans from other FHLBanks	0		0		0
Directors' Financial Institutions
Related Party Transaction [Line Items]
Net capital stock issuances (redemptions and repurchases)	3,437,000	$ 0	(46,983,000)	$ 0
Net advances (repayments)	3,034,988,000	(993,987,000)	1,234,703,000	(2,043,264,000)
Mortgage loan purchases	4,025,000	$ 16,745,000	12,747,000	$ 29,622,000
Capital stock, par value	$ 381,061,000		$ 381,061,000		$ 440,949,000
Capital stock, % of total	17.00%		17.00%		19.00%
Advances, par value	$ 4,695,040,000		$ 4,695,040,000		$ 3,854,856,000
Advances, % of total	16.00%		16.00%		14.00%