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Derivatives (Tables)
 3 Months Ended
Mar. 31, 2021
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivatives Associated With Fixed Income Trading Activities
The following tables summarize derivatives associated with FHNF's trading activities as of March 31, 2021 and December 31, 2020:
 
 March 31, 2021
(Dollars in millions)NotionalAssetsLiabilities
Customer interest rate contracts$3,877 $111 $60 
Offsetting upstream interest rate contracts3,877 6 13 
Option contracts purchased3 — — 
Forwards and futures purchased15,777 12 108 
Forwards and futures sold16,495 119 8 
 
 December 31, 2020
(Dollars in millions)NotionalAssetsLiabilities
Customer interest rate contracts$3,950 $207 $7 
Offsetting upstream interest rate contracts3,950 2 17 
Forwards and futures purchased10,795 62 — 
Forwards and futures sold11,633 1 65 
Derivatives Associated With Interest Rate Risk Management Activities
The following tables summarize FHN’s derivatives associated with interest rate risk management activities as of March 31, 2021 and December 31, 2020:
 
 March 31, 2021
(Dollars in millions)NotionalAssetsLiabilities
Customer Interest Rate Contracts Hedging 
Hedging Instruments and Hedged Items: 
Customer interest rate contracts$7,057 $255 $30 
Offsetting upstream interest rate contracts7,057 4 24 

 December 31, 2020
(Dollars in millions)NotionalAssetsLiabilities
Customer Interest Rate Contracts Hedging
Hedging Instruments and Hedged Items: 
Customer interest rate contracts$6,868 $436 $1 
Offsetting upstream interest rate contracts6,868 5 35 
Gains/(Losses) on Derivatives Associated with Interest Rate Risk Management Activities
The following table summarizes gains (losses) on FHN’s derivatives associated with interest rate risk management activities for the three months ended March 31, 2021 and 2020:
Three Months Ended
March 31,
20212020
(Dollars in millions)Gains (Losses)Gains (Losses)
Customer Interest Rate Contracts Hedging
Hedging Instruments and Hedged Items:
Customer interest rate contracts (a)$214 $196 
Offsetting upstream interest rate contracts (a)(214)(196)
Debt Hedging
Hedging Instruments:
Interest rate swaps (b)$— $5 
Hedged Items:
Term borrowings (a) (c)— (4)
(a)Gains (losses) included in Other expense within the Consolidated Statements of Income.
(b)Gains (losses) included in Interest expense.
(c)Represents gains and losses attributable to changes in fair value due to interest rate risk as designated in ASC 815-20 hedging relationships.
Derivative Associated With Cash Flow Hedges
The following tables summarize FHN’s derivative activities associated with cash flow hedges as of March 31, 2021 and December 31, 2020:
 March 31, 2021
(Dollars in millions)NotionalAssetsLiabilities
Cash Flow Hedges 
Hedging Instruments: 
Interest rate contracts$1,250 $27 $— 
Hedged Items:
Variability in cash flows related to debt instruments (primarily loans)N/A$1,250 N/A
 
 December 31, 2020
(Dollars in millions)NotionalAssetsLiabilities
Cash Flow Hedges
Hedging Instruments: 
Interest rate contracts$1,250 $32 $— 
Hedged Items:
Variability in cash flows related to debt instruments (primarily loans)N/A$1,250 N/A
Gains/(Losses) on Derivatives Associated with Cash Flow Hedges
The following table summarizes gains (losses) on FHN’s derivatives associated with cash flow hedges for the three months ended March 31, 2021 and 2020:
Three Months Ended
March 31,
20212020
(Dollars in millions)Gains (Losses)Gains (Losses)
Cash Flow Hedges
Hedging Instruments:
Interest rate contracts (a)$8 $17 
       Gain (loss) recognized in Other comprehensive income (loss)(3)13 
       Gain (loss) reclassified from AOCI into Interest income1 — 
(a)Approximately $25 million of pre-tax gains are expected to be reclassified into earnings in the next twelve months.
Schedule of Fair Value Derivative Instruments, Statements of Financial Performance and Financial Position, Location The notional and fair values of these contracts are presented in the table below. Balances and activity for periods prior to the IBKC merger were not significant.
March 31, 2021
(Dollars in millions)NotionalAssetsLiabilities
Mortgage Banking Hedges
Option contracts written$702 $9 $1 
Forward contracts purchased878 14 — 
December 31, 2020
(Dollars in millions)NotionalAssetsLiabilities
Mortgage Banking Hedges
Option contracts written$667 $20 $— 
Forward contracts purchased725 — 6 
The following table summarizes gains (losses) on FHN's derivatives associated with mortgage banking activities for the three month period ended March 31, 2021.
Three Months Ended
March 31,
2021
(Dollars in millions)Gains (Losses)
Mortgage Banking Hedges
Option contracts written$(11)
Forward contracts purchased23 
Derivative Assets And Collateral Received
The following table provides details of derivative assets and collateral received as presented on the Consolidated Balance Sheets as of March 31, 2021 and December 31, 2020:
 
    Gross amounts not offset in the Balance Sheets 
(Dollars in millions)Gross amounts
of recognized
assets		Gross amounts
offset in the
Balance Sheets		Net amounts of
assets presented
in the Balance Sheets (a)		Derivative
liabilities
available for
offset		Collateral
received		Net amount
Derivative assets:
March 31, 2021
Interest rate derivative contracts$412 $— $412 $(42)$(232)$138 
Forward contracts131 — 131 (33)(5)93 
$543 $— $543 $(75)$(237)$231 
December 31, 2020
Interest rate derivative contracts$702 $— $702 $(7)$(327)$368 
Forward contracts63 — 63 (14)(20)29 
$765 $— $765 $(21)$(347)$397 
(a)Included in Other assets on the Consolidated Balance Sheets. As of March 31, 2021 and December 31, 2020, $16 million and $4 million, respectively, of derivative assets have been excluded from these tables because they are generally not subject to master netting or similar agreements.
Derivative Liabilities and Collateral Pledged
The following table provides details of derivative liabilities and collateral pledged as presented on the Consolidated Balance Sheets as of March 31, 2021 and December 31, 2020:
 
    Gross amounts not offset
 in the Balance Sheets		 
(Dollars in millions)Gross amounts
of recognized
liabilities		Gross amounts
offset in the
Balance Sheets		Net amounts of
liabilities presented
in the Balance Sheets (a)		Derivative
assets 
available for
offset		Collateral
pledged		Net amount
Derivative liabilities:
March 31, 2021
Interest rate derivative contracts$128 $— $128 $(42)$(12)$74 
Forward contracts115 — 115 (33)(34)48 
$243 $— $243 $(75)$(46)$122 
December 31, 2020
Interest rate derivative contracts$60 $— $60 $(7)$(31)$22 
Forward contracts65 — 65 (14)(51)— 
$125 $— $125 $(21)$(82)$22 
(a)Included in Other liabilities on the Consolidated Balance Sheets. As of March 31, 2021 and December 31, 2020, $21 million and $22 million, respectively, of derivative liabilities (primarily Visa-related derivatives) have been excluded from these tables because they are generally not subject to master netting or similar agreements.