Trading securities are recorded at fair value with subsequent changes in fair value recorded as “Fair value gains (losses), net” in our condensed consolidated statements of operations and comprehensive income. The following table displays our investments in trading securities.



	As of
	June 30, 2019			December 31, 2018
	(Dollars in millions)
Mortgage-related securities:
Fannie Mae⁽¹⁾		$	3,151		$	1,467
Other agency⁽²⁾		3,629			3,503
Private-label and other mortgage securities		736			1,306
Total mortgage-related securities (includes $983 and $32, respectively, related to consolidated trusts)		7,516			6,276
Non-mortgage-related securities:
U.S. Treasury securities		35,266			35,502
Other securities		84			89
Total non-mortgage-related securities		35,350			35,591
Total trading securities		$	42,866		$	41,867



	For the Three Months Ended June 30,				For the Six Months Ended June 30,
	For the Three Months Ended June 30,				For the Six Months Ended June 30,
	2019		2018		2019		2018
	(Dollars in millions)
Net trading gains	$	183	$	21	$	275	$	119
Net trading gains recognized in the period related to securities still held at period end	147		1		227		48

We record AFS securities at fair value with unrealized gains and losses, recorded net of tax, as a component of “Other comprehensive income (loss)” and we recognize realized gains and losses from the sale of AFS securities in “Investment gains, net” in our condensed consolidated statements of operations and comprehensive income.



	For the Three Months Ended June 30,				For the Six Months Ended June 30,
	For the Three Months Ended June 30,				For the Six Months Ended June 30,
	2019		2018		2019		2018
	(Dollars in millions)
Gross realized gains	$	110	$	—	$	171	$	363
Total proceeds (excludes initial sale of securities from new portfolio securitizations)	245		6		376		641



	As of June 30, 2019
	Total Amortized Cost⁽¹⁾			Gross Unrealized Gains			Gross Unrealized Losses⁽²⁾				Total Fair Value
	(Dollars in millions)
Fannie Mae		$	1,536		$	90		$	(11	)	$	1,615
Other agency		209			19			—			228
Alt-A and subprime private-label securities		109			111			—			220
Mortgage revenue bonds		356			11			(3		)	364
Other mortgage-related securities		329			5			—			334
Total		$	2,539		$	236		$	(14	)	$	2,761



	As of December 31, 2018
	Total Amortized Cost⁽¹⁾			Gross Unrealized Gains			Gross Unrealized Losses⁽²⁾				Total Fair Value
	(Dollars in millions)
Fannie Mae		$	1,754		$	69		$	(26	)	$	1,797
Other agency		239			17			—			256
Alt-A and subprime private-label securities		325			267			—			592
Mortgage revenue bonds		425			13			(4		)	434
Other mortgage-related securities		336			14			—			350
Total		$	3,079		$	380		$	(30	)	$	3,429

Represents the gross unrealized losses on securities for which we have not recognized OTTI, as well as the noncredit component of OTTI and cumulative changes in fair value of securities for which we previously recognized the credit component of OTTI in “Accumulated other comprehensive income” in our condensed consolidated balance sheets.

The following tables display additional information regarding gross unrealized losses and fair value by major security type for AFS securities in an unrealized loss position.



	As of June 30, 2019
	Less Than 12 Consecutive Months						12 Consecutive Months or Longer
	Gross Unrealized Losses				Fair Value		Gross Unrealized Losses				Fair Value
	(Dollars in millions)
Fannie Mae		$	—		$	—		$	(11	)	$	366
Mortgage revenue bonds		—			—			(3		)	5
Total		$	—		$	—		$	(14	)	$	371

	As of December 31, 2018
	Less Than 12 Consecutive Months						12 Consecutive Months or Longer
	Gross Unrealized Losses				Fair Value		Gross Unrealized Losses				Fair Value
	(Dollars in millions)
Fannie Mae		$	—		$	—		$	(26	)	$	487
Mortgage revenue bonds		(1		)	24			(3		)	19
Total		$	(1	)	$	24		$	(29	)	$	506

The cumulative outstanding balance related to other-than-temporary-impairment (OTTI) credit loss amounts previously recognized in our condensed consolidated statements of operations and comprehensive income throughout the life of AFS debt securities held in portfolio were $57 million and $635 million as of June 30, 2019 and December 31, 2018, respectively. Those amounts were $733 million and $1.1 billion as of June 30, 2018 and December 31, 2017, respectively. The decrease in the cumulative outstanding balance in the first six months of 2019 and 2018 was primarily driven by securities that we no longer hold in portfolio.

The following table displays net unrealized gains on AFS securities and other amounts within accumulated other comprehensive income (“AOCI”), net of tax, by major categories.



	As of
	June 30,			December 31,
	2019			2018
	(Dollars in millions)
Net unrealized gains on AFS securities for which we have not recorded OTTI		$	80		$	52
Net unrealized gains on AFS securities for which we have recorded OTTI		95			224
Other		41			46
Accumulated other comprehensive income		$	216		$	322

The following table displays the amortized cost and fair value of our AFS securities by major security type and remaining contractual maturity, assuming no principal prepayments. The contractual maturity of mortgage-backed securities is not a reliable indicator of their expected life because borrowers generally have the right to prepay their obligations at any time.



	As of June 30, 2019
	Total Amortized Cost			Total Fair Value		One Year or Less					After One Year Through Five Years					After Five Years Through Ten Years					After Ten Years
	Total Amortized Cost			Total Fair Value		Amortized Cost			Fair Value		Amortized Cost			Fair Value		Amortized Cost			Fair Value		Amortized Cost			Fair Value
	(Dollars in millions)
Fannie Mae		$	1,536	$	1,615		$	—	$	—		$	15	$	15		$	104	$	115		$	1,417	$	1,485
Other agency		209		228			—		—			22		24			25		28			162		176
Alt-A and subprime private-label securities		109		220			—		—			—		—			1		1			108		219
Mortgage revenue bonds		356		364			2		2			24		24			43		45			287		293
Other mortgage-related securities		329		334			—		—			—		—			26		28			303		306
Total		$	2,539	$	2,761		$	2	$	2		$	61	$	63		$	199	$	217		$	2,277	$	2,479