Investment Securities (Tables)

9 Months Ended

Sep. 30, 2023

The following tables summarize FHN’s investment securities as of September 30, 2023 and December 31, 2022:


INVESTMENT SECURITIES AT SEPTEMBER 30, 2023
	September 30, 2023
(Dollars in millions)	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
Securities available for sale:

Government agency issued MBS	$	5,156	$	—	$	(831)	$	4,325
Government agency issued CMO	2,528		—		(428)		2,100
Other U.S. government agencies	1,334		—		(206)		1,128

States and municipalities	630		—		(83)		547
Total securities available for sale (a)	$	9,648	$	—	$	(1,548)	$	8,100

Securities held to maturity:
Government agency issued MBS	$	863	$	—	$	(143)	$	720
Government agency issued CMO	472		—		(88)		384
Total securities held to maturity	$	1,335	$	—	$	(231)	$	1,104

(a)Includes $8.4 billion of securities pledged to secure public deposits, securities sold under agreements to repurchase, and for other purposes.


INVESTMENT SECURITIES AT DECEMBER 31, 2022
	December 31, 2022
(Dollars in millions)	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
Securities available for sale:

Government agency issued MBS	$	5,457	$	1	$	(695)	$	4,763
Government agency issued CMO	2,682		—		(369)		2,313
Other U.S. government agencies	1,325		—		(162)		1,163

States and municipalities	658		1		(62)		597
Total securities available for sale (a)	$	10,122	$	2	$	(1,288)	$	8,836

Securities held to maturity:
Government agency issued MBS	$	897	$	—	$	(109)	$	788
Government agency issued CMO	474		—		(53)		421
Total securities held to maturity	$	1,371	$	—	$	(162)	$	1,209

(a)Includes $6.5 billion of securities pledged to secure public deposits, securities sold under agreements to repurchase, and for other purposes.

Schedule of Amortized Cost And Fair Value By Contractual Maturity

The amortized cost and fair value by contractual maturity for the debt securities portfolio as of September 30, 2023 is provided below:


DEBT SECURITIES PORTFOLIO MATURITIES
	Held to Maturity				Available for Sale
(Dollars in millions)	Amortized Cost		Fair Value		Amortized Cost		Fair Value
Within 1 year	$	—	$	—	$	14	$	14
After 1 year through 5 years	—		—		125		118
After 5 years through 10 years	—		—		394		341
After 10 years	—		—		1,431		1,202
Subtotal	—		—		1,964		1,675
Government agency issued MBS and CMO (a)	1,335		1,104		7,684		6,425
Total	$	1,335	$	1,104	$	9,648	$	8,100

(a)Expected maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties.

Schedule of Investments Within The Available For Sale Portfolio That Had Unrealized Losses

The following tables provide information on investments within the available-for-sale portfolio that had unrealized losses as of September 30, 2023 and December 31, 2022:

AFS INVESTMENT SECURITIES WITH UNREALIZED LOSSES


	As of September 30, 2023
	Less than 12 months				12 months or longer				Total
(Dollars in millions)	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses

Government agency issued MBS	$	258	$	(14)	$	4,066	$	(817)	$	4,324	$	(831)
Government agency issued CMO	53		(4)		2,047		(424)		2,100		(428)
Other U.S. government agencies	256		(12)		871		(194)		1,127		(206)

States and municipalities	97		(6)		439		(77)		536		(83)
Total	$	664	$	(36)	$	7,423	$	(1,512)	$	8,087	$	(1,548)


	As of December 31, 2022
	Less than 12 months				12 months or longer				Total
(Dollars in millions)	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses

Government agency issued MBS	$	2,314	$	(249)	$	2,350	$	(446)	$	4,664	$	(695)
Government agency issued CMO	1,104		(123)		1,209		(246)		2,313		(369)
Other U.S. government agencies	643		(67)		424		(95)		1,067		(162)

States and municipalities	493		(48)		54		(14)		547		(62)
Total	$	4,554	$	(487)	$	4,037	$	(801)	$	8,591	$	(1,288)