Investment Securities (Tables)

9 Months Ended

Sep. 30, 2024

The following tables summarize FHN’s investment securities as of September 30, 2024 and December 31, 2023:


INVESTMENT SECURITIES AT SEPTEMBER 30, 2024
	September 30, 2024
(Dollars in millions)	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
Securities available for sale:

Government agency issued MBS	$	4,754	$	5	$	(460)	$	4,299
Government agency issued CMO	2,530		1		(276)		2,255
Other U.S. government agencies	1,251		5		(122)		1,134

States and municipalities	598		1		(39)		560
Total securities available for sale (a)	$	9,133	$	12	$	(897)	$	8,248

Securities held to maturity:
Government agency issued MBS	$	814	$	—	$	(77)	$	737
Government agency issued CMO	468		—		(61)		407
Total securities held to maturity (a)	$	1,282	$	—	$	(138)	$	1,144

(a)Includes $7.2 billion of securities available for sale and $1.3 billion of securities held to maturity pledged to secure public deposits, securities sold under agreements to repurchase, and for other purposes.


INVESTMENT SECURITIES AT DECEMBER 31, 2023
	December 31, 2023
(Dollars in millions)	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
Securities available for sale:

Government agency issued MBS	$	5,061	$	2	$	(579)	$	4,484
Government agency issued CMO	2,487		—		(341)		2,146
Other U.S. government agencies	1,321		2		(151)		1,172

States and municipalities	627		3		(41)		589
Total securities available for sale (a)	$	9,496	$	7	$	(1,112)	$	8,391

Securities held to maturity:
Government agency issued MBS	$	852	$	—	$	(96)	$	756
Government agency issued CMO	471		—		(66)		405
Total securities held to maturity (a)	$	1,323	$	—	$	(162)	$	1,161

(a)Includes $7.6 billion of securities available for sale and $1.3 billion of securities held to maturity 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, 2024 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	$	—	$	—	$	41	$	41
After 1 year through 5 years	—		—		123		117
After 5 years through 10 years	—		—		378		352
After 10 years	—		—		1,307		1,184
Subtotal	—		—		1,849		1,694
Government agency issued MBS and CMO (a)	1,282		1,144		7,284		6,554
Total	$	1,282	$	1,144	$	9,133	$	8,248

(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, 2024 and December 31, 2023:

AFS INVESTMENT SECURITIES WITH UNREALIZED LOSSES


	As of September 30, 2024
	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	$	—	$	—	$	4,057	$	(460)	$	4,057	$	(460)
Government agency issued CMO	150		—		2,002		(276)		2,152		(276)
Other U.S. government agencies	—		—		909		(122)		909		(122)

States and municipalities	4		—		452		(39)		456		(39)
Total	$	154	$	—	$	7,420	$	(897)	$	7,574	$	(897)


	As of December 31, 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	$	140	$	(2)	$	4,231	$	(577)	$	4,371	$	(579)
Government agency issued CMO	32		—		2,098		(341)		2,130		(341)
Other U.S. government agencies	114		(2)		905		(149)		1,019		(151)

States and municipalities	14		—		465		(41)		479		(41)
Total	$	300	$	(4)	$	7,699	$	(1,108)	$	7,999	$	(1,112)