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Investment Securities (Tables)
 9 Months Ended
Sep. 30, 2016
Investments, Debt and Equity Securities [Abstract]  
Available-for-sale Securities [Table Text Block]
 
 
December 31, 2015
Investment Securities
 
Fannie Mae
 
Freddie Mac
 
Ginnie Mae
 
Non-Agency
 
Total
Available-for-sale securities:
 
 
 
 
 
 
 
 
 
 
Par value
 
$
39,205

 
$
10,575

 
$
62

 
$
113

 
$
49,955

Unamortized discount
 
(32
)
 
(4
)
 
—

 
—

 
(36
)
Unamortized premium
 
1,707

 
519

 
1

 
1

 
2,228

Amortized cost
 
40,880

 
11,090

 
63

 
114

 
52,147

Gross unrealized gains
 
286

 
80

 
2

 
—

 
368

Gross unrealized losses
 
(283
)
 
(111
)
 
—

 
(1
)
 
(395
)
Total available-for-sale securities, at fair value
 
40,883

 
11,059

 
65

 
113

 
52,120

Securities remeasured at fair value through earnings: 1
 
 
 
 
 
 
 
 
 
 
Par value 2
 
208

 
—

 
—

 
—

 
208

Unamortized discount
 
(42
)
 
—

 
—

 
—

 
(42
)
Unamortized premium
 
132

 
19

 
—

 
—

 
151

Amortized cost
 
298

 
19

 
—

 
—

 
317

Gross unrealized gains
 
35

 
4

 
—

 
—

 
39

Gross unrealized losses
 
(2
)
 
(1
)
 
—

 
—

 
(3
)
Total securities remeasured at fair value through earnings
 
331

 
22

 
—

 
—

 
353

Total securities, at fair value
 
$
41,214

 
$
11,081

 
$
65

 
$
113

 
$
52,473

Weighted average coupon as of December 31, 2015
 
3.62
%
 
3.69
%
 
3.18
%
 
3.50
%
 
3.63
%
Weighted average yield as of December 31, 2015 3
 
2.79
%
 
2.77
%
 
1.97
%
 
3.33
%
 
2.78
%

 ________________________
1.
Securities measured at fair value through earnings includes agency interest-only and principal-only securities.
2.
Par value amount excludes the underlying unamortized principal balance ("UPB") of interest-only securities of $1.0 billion as of December 31, 2015.
3.
Incorporates a weighted average future constant prepayment rate assumption of 8% based on forward rates as of December 31, 2015.

 
 
September 30, 2016
Investment Securities
 
Fannie Mae
 
Freddie Mac
 
Ginnie Mae
 
Non-Agency
 
CRT
 
Total
Available-for-sale securities:
 
 
 
 
 
 
 
 
 
 
 
 
Par value
 
$
33,919

 
$
9,930

 
$
48

 
$
99

 
$
—

 
$
43,996

Unamortized discount
 
(27
)
 
(3
)
 
—

 
—

 
—

 
(30
)
Unamortized premium
 
1,494

 
520

 
1

 
1

 
—

 
2,016

Amortized cost
 
35,386

 
10,447

 
49

 
100

 
—

 
45,982

Gross unrealized gains
 
817

 
201

 
1

 
2

 
—

 
1,021

Gross unrealized losses
 
(6
)
 
(4
)
 
—

 
—

 
—

 
(10
)
Total available-for-sale securities, at fair value
 
36,197

 
10,644

 
50

 
102

 
—

 
46,993

Securities remeasured at fair value through earnings: 1
 
 
 
 
 
 
 
 
 
 
 

Par value 2
 
181

 
—

 
—

 
—

 
35

 
216

Unamortized discount
 
(37
)
 
—

 
—

 
—

 
—

 
(37
)
Unamortized premium
 
126

 
16

 
—

 
—

 
1

 
143

Amortized cost
 
270

 
16

 
—

 
—

 
36

 
322

Gross unrealized gains
 
41

 
3

 
—

 
—

 
—

 
44

Gross unrealized losses
 
(2
)
 
(1
)
 
—

 
—

 
—

 
(3
)
Total securities remeasured at fair value through earnings
 
309

 
18

 
—

 
—

 
36

 
363

Total securities, at fair value
 
$
36,506

 
$
10,662

 
$
50

 
$
102

 
$
36

 
$
47,356

Weighted average coupon as of September 30, 2016
 
3.63
%
 
3.69
%
 
2.81
%
 
3.50
%
 
4.91
%
 
3.64
%
Weighted average yield as of September 30, 2016 3
 
2.68
%
 
2.67
%
 
1.96
%
 
3.00
%
 
4.85
%
 
2.68
%
 ________________________
1.
Securities measured at fair value through earnings includes agency interest-only and principal-only securities.
2.
Par value amount excludes the underlying unamortized principal balance ("UPB") of interest-only securities of $1.0 billion as of September 30, 2016.
3.
Incorporates a weighted average future constant prepayment rate assumption of 11% based on forward rates as of September 30, 2016.

Components of Investment Securities
The following tables summarize our investment securities as of September 30, 2016 and December 31, 2015 (dollars in millions):
 
 
September 30, 2016
Investment Securities
 
Amortized
Cost
 
Gross
Unrealized
Gain
 
Gross
Unrealized
Loss
 
Fair Value
Agency MBS:
 
 
 
 
 
 
 
 
Fixed rate
 
$
44,641

 
$
980

 
$
(10
)
 
$
45,611

Adjustable rate
 
401

 
14

 
—

 
415

CMO
 
840

 
25

 
—

 
865

Interest-only and principal-only strips
 
286

 
44

 
(3
)
 
327

Total agency MBS
 
46,168

 
1,063

 
(13
)
 
47,218

Non-agency MBS
 
100

 
2

 
—

 
102

CRT securities
 
36

 
—

 
—

 
36

Total investment securities
 
$
46,304

 
$
1,065

 
$
(13
)
 
$
47,356



 
 
December 31, 2015
Investments Securities
 
Amortized
Cost
 
Gross
Unrealized
Gain
 
Gross
Unrealized
Loss
 
Fair Value
Agency MBS:
 
 
 
 
 
 
 
 
Fixed rate
 
$
50,576

 
$
339

 
$
(393
)
 
$
50,522

Adjustable rate
 
484

 
11

 
—

 
495

CMO
 
973

 
18

 
(1
)
 
990

Interest-only and principal-only strips
 
317

 
39

 
(3
)
 
353

Total agency MBS
 
52,350

 
407

 
(397
)
 
52,360

Non-agency MBS
 
114

 
—

 
(1
)
 
113

Total investment securities
 
$
52,464

 
$
407

 
$
(398
)
 
$
52,473
Summary Of Agency Securities Estimated Weighted Average Life Classifications
The following table summarizes our investments classified as available-for-sale as of September 30, 2016 and December 31, 2015 according to their estimated weighted average life classification (dollars in millions):

 
 
September 30, 2016
 
December 31, 2015
Estimated Weighted Average Life of Securities Classified as Available-for-Sale
 
Fair Value
 
Amortized
Cost
 
Weighted
Average
Coupon
 
Weighted
Average
Yield
 
Fair Value
 
Amortized
Cost
 
Weighted
Average
Coupon
 
Weighted
Average
Yield
≥ 1 year and ≤ 3 years
 
$
1,493

 
$
1,467

 
3.92%
 
2.48%
 
$
167

 
$
163

 
4.02%
 
2.66%
> 3 years and ≤ 5 years
 
15,984

 
15,556

 
3.30%
 
2.44%
 
17,497

 
17,343

 
3.27%
 
2.40%
> 5 years and ≤10 years
 
29,490

 
28,936

 
3.65%
 
2.76%
 
34,206

 
34,391

 
3.67%
 
2.93%
> 10 years
 
26

 
23

 
4.67%
 
3.86%
 
250

 
250

 
3.56%
 
3.08%
Total
 
$
46,993

 
$
45,982

 
3.54%
 
2.64%
 
$
52,120

 
$
52,147

 
3.54%
 
2.75%
Summary of Continuous Unrealized Loss Position of Available for Sale Securities
The following table presents the gross unrealized loss and fair values of our available-for-sale securities by length of time that such securities have been in a continuous unrealized loss position as of September 30, 2016 and December 31, 2015 (in millions):

 
 
Unrealized Loss Position For
 
 
Less than 12 Months
 
12 Months or More
 
Total
Securities Classified as Available-for-Sale
 
Estimated Fair
Value
 
Unrealized
Loss
 
Estimated
Fair Value
 
Unrealized
Loss
 
Estimated Fair
Value
 
Unrealized
Loss
September 30, 2016
 
$
602

 
$
(2
)
 
$
1,851

 
$
(8
)
 
$
2,453

 
$
(10
)
December 31, 2015
 
$
24,035

 
$
(200
)
 
$
6,793

 
$
(195
)
 
$
30,828

 
$
(395
)
Summary of Net Gain from Sale of Agency Securities
The following table is a summary of our net gain (loss) from the sale of securities classified as available-for-sale for the three and nine months ended September 30, 2016 and 2015 (in millions). Please refer to Note 9 for a summary of changes in accumulated OCI for the same periods.  
 
 
Three Months Ended September 30,
 
Nine Months Ended September 30,
Securities Classified as Available-for-Sale
 
2016
 
2015
 
2016
 
2015
MBS sold, at cost
 
$
(6,123
)
 
$
(4,575
)
 
$
(17,146
)
 
$
(22,548
)
Proceeds from MBS sold 1
 
6,184

 
4,536

 
17,260

 
22,523

Net gain (loss) on sale of MBS
 
$
61

 
$
(39
)
 
$
114

 
$
(25
)
 
 
 
 
 
 
 
 
 
Gross gain on sale of MBS
 
$
62

 
$
2

 
$
122

 
$
81

Gross loss on sale of MBS
 
(1
)
 
(41
)
 
(8
)
 
(106
)
Net gain (loss) on sale of MBS
 
$
61

 
$
(39
)
 
$
114

 
$
(25
)
  ________________________
1.
Proceeds include cash received during the period, plus receivable for MBS sold during the period as of period end.