Investment Securities (Tables)

6 Months Ended

Jun. 30, 2019



(In thousands)	June 30, 2019		December 31, 2018
Available for sale debt securities	$	8,682,303	$	8,538,041
Trading debt securities	36,508		27,059
Equity securities:
Readily determinable fair value	2,847		2,585
No readily determinable fair value	1,897		1,824
Other:
Federal Reserve Bank stock	33,627		33,498
Federal Home Loan Bank stock	10,000		10,000
Private equity investments	86,411		85,659
Total investment securities	$	8,853,593	$	8,698,666

Summary Of Available For Sale Investment Securities By Maturity Groupings

A summary of the available for sale debt securities by maturity groupings as of June 30, 2019 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	$	57,062	$	56,474
After 1 but within 5 years	515,684		531,338
After 5 but within 10 years	252,084		258,127
Total U.S. government and federal agency obligations	824,830		845,939
Government-sponsored enterprise obligations:
Within 1 year	36,444		36,326
After 1 but within 5 years	85,157		85,247
After 5 but within 10 years	34,986		35,061
After 10 years	42,934		43,503
Total government-sponsored enterprise obligations	199,521		200,137
State and municipal obligations:
Within 1 year	80,688		80,910
After 1 but within 5 years	651,274		667,864
After 5 but within 10 years	416,248		435,736
After 10 years	51,619		52,946
Total state and municipal obligations	1,199,829		1,237,456
Mortgage and asset-backed securities:
Agency mortgage-backed securities	3,680,963		3,729,632
Non-agency mortgage-backed securities	996,413		1,010,667
Asset-backed securities	1,316,766		1,326,178
Total mortgage and asset-backed securities	5,994,142		6,066,477
Other debt securities:
Within 1 year	27,495		27,458
After 1 but within 5 years	246,153		249,059
After 5 but within 10 years	54,620		55,777
Total other debt securities	328,268		332,294
Total available for sale debt securities	$	8,546,590	$	8,682,303

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 AOCI, by security type.



(In thousands)	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
June 30, 2019
U.S. government and federal agency obligations	$	824,830	$	21,762	$	(653	)	$	845,939
Government-sponsored enterprise obligations	199,521		737		(121		)	200,137
State and municipal obligations	1,199,829		37,686		(59		)	1,237,456
Mortgage and asset-backed securities:
Agency mortgage-backed securities	3,680,963		53,318		(4,649		)	3,729,632
Non-agency mortgage-backed securities	996,413		16,171		(1,917		)	1,010,667
Asset-backed securities	1,316,766		11,912		(2,500		)	1,326,178
Total mortgage and asset-backed securities	5,994,142		81,401		(9,066		)	6,066,477
Other debt securities	328,268		4,073		(47		)	332,294
Total	$	8,546,590	$	145,659	$	(9,946	)	$	8,682,303
December 31, 2018
U.S. government and federal agency obligations	$	914,486	$	4,545	$	(11,379	)	$	907,652
Government-sponsored enterprise obligations	199,470		55		(3,747		)	195,778
State and municipal obligations	1,322,785		10,284		(5,030		)	1,328,039
Mortgage and asset-backed securities:
Agency mortgage-backed securities	3,253,433		9,820		(48,268		)	3,214,985
Non-agency mortgage-backed securities	1,053,854		6,641		(12,779		)	1,047,716
Asset-backed securities	1,518,976		3,849		(11,211		)	1,511,614
Total mortgage and asset-backed securities	5,826,263		20,310		(72,258		)	5,774,315
Other debt securities	339,595		72		(7,410		)	332,257
Total	$	8,602,599	$	35,266	$	(99,824	)	$	8,538,041

Cash Flow Model Inputs Used To Calculate Credit Losses

Significant inputs to the cash flow models used to calculate the credit losses on these securities at June 30, 2019 included the following:



Significant Inputs	Range
Prepayment CPR	0%	-	25%
Projected cumulative default	6%	-	51%
Credit support	0%	-	19%
Loss severity	10%	-	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 Six Months Ended June 30
(In thousands)	2019			2018
Cumulative OTTI credit losses at January 1	$	14,092		$	14,199
Credit losses on debt securities for which impairment was not previously recognized	48			58
Credit losses on debt securities for which impairment was previously recognized	15			10
Increase in expected cash flows that are recognized over remaining life of security	(564		)	(104		)
Cumulative OTTI credit losses at June 30	$	13,591		$	14,163

Securities With Unrealized Losses And Length Of Impairment Period

Debt securities with unrealized losses recorded in AOCI 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
June 30, 2019
U.S. government and federal agency obligations	$	3,568	$	23	$	89,497	$	630	$	93,065	$	653
Government-sponsored enterprise obligations	14,899		3		36,326		118		51,225		121
State and municipal obligations	6,815		14		23,389		45		30,204		59
Mortgage and asset-backed securities:
Agency mortgage-backed securities	101,403		116		603,083		4,533		704,486		4,649
Non-agency mortgage-backed securities	25,463		67		440,616		1,850		466,079		1,917
Asset-backed securities	274,765		1,617		270,243		883		545,008		2,500
Total mortgage and asset-backed securities	401,631		1,800		1,313,942		7,266		1,715,573		9,066
Other debt securities	4,998		1		27,947		46		32,945		47
Total	$	431,911	$	1,841	$	1,491,101	$	8,105	$	1,923,012	$	9,946
December 31, 2018
U.S. government and federal agency obligations	$	317,699	$	6,515	$	116,728	$	4,864	$	434,427	$	11,379
Government-sponsored enterprise obligations	—		—		188,846		3,747		188,846		3,747
State and municipal obligations	157,838		704		257,051		4,326		414,889		5,030
Mortgage and asset-backed securities:
Agency mortgage-backed securities	330,933		1,502		1,927,268		46,766		2,258,201		48,268
Non-agency mortgage-backed securities	207,506		1,085		657,685		11,694		865,191		12,779
Asset-backed securities	147,997		728		813,427		10,483		961,424		11,211
Total mortgage and asset-backed securities	686,436		3,315		3,398,380		68,943		4,084,816		72,258
Other debt securities	51,836		564		260,682		6,846		312,518		7,410
Total	$	1,213,809	$	11,098	$	4,221,687	$	88,726	$	5,435,496	$	99,824

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 Six Months Ended June 30
(In thousands)	2019			2018
Proceeds from sales of securities:
Available for sale debt securities	$	368,219		$	152,541
Equity securities	—			39,981
Other	7,243			—
Total proceeds	$	375,462		$	192,522

Investment securities gains (losses), net:
Available for sale debt securities:
Gains realized on sales	$	2,249		$	423
Losses realized on sales	(1,559		)	—
Other-than-temporary impairment recognized on debt securities	(63		)	(68		)
Equity securities:
Gains realized on sales	—			102
Losses realized on sales	—			(8,917		)
Fair value adjustments, net	262			2,699
Other:
Gains realized on sales	1,094			—
Fair value adjustments, net	(3,018		)	8,096
Total investment securities gains (losses), net	$	(1,035	)	$	2,335