Investment Securities (Tables)

3 Months Ended

Mar. 31, 2018



(In thousands)	March 31, 2018		December 31, 2017
Available for sale debt securities	$	8,432,180	$	8,725,442
Trading debt securities	32,025		18,269
Equity securities:
Readily determinable fair value	49,784		48,838
No readily determinable fair value	1,728		1,753
Other:
Federal Reserve Bank stock	33,369		33,253
Federal Home Loan Bank stock	10,000		10,000
Private equity investments	64,951		55,752
Total investment securities	$	8,624,037	$	8,893,307

Summary Of Available For Sale Investment Securities By Maturity Groupings

A summary of the available for sale debt securities by maturity groupings as of March 31, 2018 is shown below. The investment portfolio includes agency mortgage-backed securities, which are guaranteed by agencies such as the FHLMC, FNMA, GNMA and FDIC, in addition to non-agency mortgage-backed securities, which have no guarantee but are collateralized by commercial and residential mortgages. Also included are certain other asset-backed securities, which are primarily collateralized by credit cards, automobiles, student loans, and commercial loans. These securities differ from traditional debt securities primarily in that they may have uncertain maturity dates and are priced based on estimated prepayment rates on the underlying collateral.



(In thousands)	Amortized Cost		Fair Value
U.S. government and federal agency obligations:
Within 1 year	$	52,205	$	52,521
After 1 but within 5 years	644,016		636,542
After 5 but within 10 years	156,769		154,484
After 10 years	68,835		68,376
Total U.S. government and federal agency obligations	921,825		911,923
Government-sponsored enterprise obligations:
Within 1 year	193,937		193,623
After 1 but within 5 years	121,580		120,181
After 5 but within 10 years	34,983		34,152
After 10 years	42,831		40,643
Total government-sponsored enterprise obligations	393,331		388,599
State and municipal obligations:
Within 1 year	157,082		157,746
After 1 but within 5 years	567,474		569,318
After 5 but within 10 years	649,164		646,866
After 10 years	43,729		42,915
Total state and municipal obligations	1,417,449		1,416,845
Mortgage and asset-backed securities:
Agency mortgage-backed securities	3,003,975		2,954,994
Non-agency mortgage-backed securities	966,401		960,612
Asset-backed securities	1,476,947		1,466,035
Total mortgage and asset-backed securities	5,447,323		5,381,641
Other debt securities:
Within 1 year	3,999		3,981
After 1 but within 5 years	262,778		258,315
After 5 but within 10 years	73,723		70,876
Total other debt securities	340,500		333,172
Total available for sale debt securities	$	8,520,428	$	8,432,180

Available For Sale Securities Unrealized Gains And Losses By Security Type

For debt securities classified as available for sale, the following table shows the unrealized gains and losses (pre-tax) in accumulated other comprehensive income, by security type.



(In thousands)	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
March 31, 2018
U.S. government and federal agency obligations	$	921,825	$	1,617	$	(11,519	)	$	911,923
Government-sponsored enterprise obligations	393,331		—		(4,732		)	388,599
State and municipal obligations	1,417,449		7,572		(8,176		)	1,416,845
Mortgage and asset-backed securities:
Agency mortgage-backed securities	3,003,975		8,074		(57,055		)	2,954,994
Non-agency mortgage-backed securities	966,401		6,530		(12,319		)	960,612
Asset-backed securities	1,476,947		2,323		(13,235		)	1,466,035
Total mortgage and asset-backed securities	5,447,323		16,927		(82,609		)	5,381,641
Other debt securities	340,500		9		(7,337		)	333,172
Total	$	8,520,428	$	26,125	$	(114,373	)	$	8,432,180
December 31, 2017
U.S. government and federal agency obligations	$	917,494	$	4,096	$	(4,443	)	$	917,147
Government-sponsored enterprise obligations	408,266		26		(1,929		)	406,363
State and municipal obligations	1,592,707		21,413		(2,754		)	1,611,366
Mortgage and asset-backed securities:
Agency mortgage-backed securities	3,046,701		17,956		(23,744		)	3,040,913
Non-agency mortgage-backed securities	903,920		6,710		(4,837		)	905,793
Asset-backed securities	1,495,380		2,657		(5,237		)	1,492,800
Total mortgage and asset-backed securities	5,446,001		27,323		(33,818		)	5,439,506
Other debt securities	350,988		1,250		(1,178		)	351,060
Total	$	8,715,456	$	54,108	$	(44,122	)	$	8,725,442

Cash Flow Model Inputs Used To Calculate Credit Losses

ignificant inputs to the cash flow models used to calculate the credit losses on these securities at March 31, 2018 included the following:



Significant Inputs	Range
Prepayment CPR	0%	-	25%
Projected cumulative default	15%	-	52%
Credit support	0%	-	63%
Loss severity	15%	-	63%

Changes In Recorded Credit Losses

The following table presents a rollforward of the cumulative OTTI credit losses recognized in earnings on all available for sale debt securities.



	For the Three Months Ended March 31
(In thousands)	2018			2017
Cumulative OTTI credit losses at January 1	$	14,199		$	14,080
Credit losses on debt securities for which impairment was not previously recognized	58			—
Credit losses on debt securities for which impairment was previously recognized	10			109
Increase in expected cash flows that are recognized over remaining life of security	(54		)	(73		)
Cumulative OTTI credit losses at March 31	$	14,213		$	14,116

Securities With Unrealized Losses And Length Of Impairment Period

ecurities with unrealized losses recorded in accumulated other comprehensive income are shown in the table below, along with the length of the impairment period.



	Less than 12 months				12 months or longer				Total
(In thousands)	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
March 31, 2018
U.S. government and federal agency obligations	$	653,945	$	9,647	$	59,435	$	1,872	$	713,380	$	11,519
Government-sponsored enterprise obligations	338,752		4,588		49,847		144		388,599		4,732
State and municipal obligations	529,699		6,427		44,474		1,749		574,173		8,176
Mortgage and asset-backed securities:
Agency mortgage-backed securities	1,922,859		35,455		591,341		21,600		2,514,200		57,055
Non-agency mortgage-backed securities	729,615		9,447		137,775		2,872		867,390		12,319
Asset-backed securities	884,800		11,101		207,087		2,134		1,091,887		13,235
Total mortgage and asset-backed securities	3,537,274		56,003		936,203		26,606		4,473,477		82,609
Other debt securities	305,412		6,462		19,779		875		325,191		7,337
Total	$	5,365,082	$	83,127	$	1,109,738	$	31,246	$	6,474,820	$	114,373
December 31, 2017
U.S. government and federal agency obligations	$	618,617	$	4,443	$	—	$	—	$	618,617	$	4,443
Government-sponsored enterprise obligations	286,393		1,712		49,766		217		336,159		1,929
State and municipal obligations	282,843		1,752		49,339		1,002		332,182		2,754
Mortgage and asset-backed securities:
Agency mortgage-backed securities	1,320,689		9,433		619,300		14,311		1,939,989		23,744
Non-agency mortgage-backed securities	577,017		2,966		153,813		1,871		730,830		4,837
Asset-backed securities	786,048		3,168		264,295		2,069		1,050,343		5,237
Total mortgage and asset-backed securities	2,683,754		15,567		1,037,408		18,251		3,721,162		33,818
Other debt securities	144,090		727		20,202		451		164,292		1,178
Total	$	4,015,697	$	24,201	$	1,156,715	$	19,921	$	5,172,412	$	44,122

Proceeds From Sales Of Securities And Components Of Investment Securities Gains And Losses

The following tables present proceeds from sales of securities and the components of investment securities gains and losses which have been recognized in earnings.



	For the Three Months Ended March 31
(In thousands)	2018			2017
Proceeds from sales of securities:
Available for sale debt securities	$	148,637		$	—
Equity securities	15			—
Other	—			98
Total proceeds	$	148,652		$	98

Investment securities gains (losses), net:
Available for sale debt securities:
Gains realized on sales	$	212		$	—
Gains realized on donations of securities	—			2,157
Other-than-temporary impairment recognized on debt securities	(68		)	(109		)
Equity securities:
Gains realized on sales	14			—
Fair value adjustments, net	947			—
Other:
Gains realized on sales	—			58
Fair value adjustments, net	4,305			(2,878		)
Total investment securities gains (losses), net	$	5,410		$	(772	)