XML 47 R11.htm IDEA: XBRL DOCUMENT v3.25.0.1
Investment Securities
 12 Months Ended
Dec. 31, 2024
Investments, Debt and Equity Securities [Abstract]  
Investment Securities INVESTMENT SECURITIES
The following table summarizes our available-for-sale and held-to-maturity portfolios by major security type:
Table 43: Investment Securities Summary (a)(b)
December 31, 2024December 31, 2023
In millionsAmortized
Cost (c)		UnrealizedFair
Value		Amortized
Cost (c)		UnrealizedFair
Value
GainsLossesGainsLosses
Securities Available-for-sale
U.S. Treasury and government agencies$23,962 $25 $(436)$23,551 $7,596 $22 $(667)$6,951 
Residential mortgage-backed
Agency33,589 28 (2,991)30,626 30,643 46 (2,809)27,880 
Non-agency504 105 (6)603 585 118 (7)696 
Commercial mortgage-backed
Agency2,077 1 (133)1,945 1,680 1 (135)1,546 
Non-agency706  (15)691 913 1 (45)869 
Asset-backed2,353 42 (3)2,392 1,092 25 (1)1,116 
Other2,307 42 (118)2,231 2,844 44 (161)2,727 
Total securities available-for-sale $65,498 $243 $(3,702)$62,039 $45,353 $257 $(3,825)$41,785 
Securities Held-to-Maturity
U.S. Treasury and government agencies$29,420  $(896)$28,524 $36,529 $9 $(1,141)$35,397 
Residential mortgage-backed
Agency40,171 $16 (3,696)36,491 42,686 92 (2,733)40,045 
Non-agency240  (21)219 259  (17)242 
Commercial mortgage-backed
Agency955 3 (28)930 939 9 (23)925 
Non-agency836 3 (7)832 1,373 2 (27)1,348 
Asset-backed3,380 37 (16)3,401 5,890 17 (39)5,868 
Other2,691 19 (49)2,661 3,108 50 (35)3,123 
Total securities held-to-maturity (d)$77,693 $78 $(4,713)$73,058 $90,784 $179 $(4,015)$86,948 
(a) At December 31, 2024, the accrued interest associated with our held-to-maturity and available-for-sale portfolios totaled $242 million and $328 million, respectively. The comparable amounts at December 31, 2023 were $281 million and $144 million, respectively. These amounts are included in Other assets on the Consolidated Balance Sheet.
(b) Credit ratings represent a primary credit quality indicator used to monitor and manage credit risk. Of our total securities portfolio, 97% were rated AAA/AA at both December 31, 2024 and 2023.
(c) Amortized cost is presented net of allowance of $86 million for securities available-for-sale, primarily related to non-agency commercial mortgage-backed securities, and $5 million for securities held-to-maturity at December 31, 2024. The comparable amounts at December 31, 2023 were $86 million and $6 million, respectively.
(d) Held-to-maturity securities transferred from available-for-sale are included in held-to-maturity at fair value at the time of the transfer. The amortized cost of held-to-maturity securities included net unrealized losses of $3.4 billion at December 31, 2024, related to securities transferred, which are offset in AOCI, net of tax. The comparable amount at December 31, 2023 was $4.2 billion.

The fair value of investment securities is impacted by interest rates, credit spreads, market volatility and liquidity conditions. Securities available-for-sale are carried at fair value with net unrealized gains and losses included in Total shareholders’ equity as AOCI, unless credit-related. Net unrealized gains and losses are determined by taking the difference between the fair value of a security and its amortized cost, net of any allowance. Securities held-to-maturity are carried at amortized cost, net of any allowance. Investment securities at December 31, 2024 included $1.2 billion of net unsettled purchases that represent non-cash investing activity, and accordingly, are not reflected on the Consolidated Statement of Cash Flows. The comparable amount for December 31, 2023 was less than $0.1 billion.

We maintain the allowance for investment securities at levels that we believe to be appropriate as of the balance sheet date to absorb
expected credit losses on our portfolio. As of December 31, 2024, the allowance for investment securities was $91 million and
primarily related to non-agency commercial mortgage-backed securities in the available-for-sale portfolio. The comparable amount at December 31, 2023 was $92 million. See Note 1 Accounting Policies for a discussion of the methodologies used to determine the allowance for investment securities.

At December 31, 2024, AOCI included pretax losses of $275 million from derivatives that hedged the purchase of investment securities classified as held-to-maturity. The losses will be accreted to interest income as an adjustment of yield on the securities.
Table 44 presents the gross unrealized losses and fair value of securities available-for-sale that do not have an associated allowance for investment securities at December 31, 2024 and 2023. These securities are segregated between investments that had been in a continuous unrealized loss position for less than twelve months and twelve months or more, based on the point in time that the fair value declined below the amortized cost basis. All securities included in the table have been evaluated to determine if a credit loss exists. As part of that assessment, as of December 31, 2024, we concluded that we do not intend to sell and believe we will not be required to sell these securities prior to recovery of the amortized cost basis.
Table 44: Gross Unrealized Loss and Fair Value of Securities Available-for-Sale Without an Allowance for Credit Losses
Unrealized loss position
less than 12 months		Unrealized loss position
12 months or more		Total
In millionsUnrealized
Loss		Fair
Value		Unrealized
Loss		Fair
Value		Unrealized
Loss		Fair
Value
December 31, 2024
U.S. Treasury and government agencies$(70)$17,500 $(366)$1,824 $(436)$19,324 
Residential mortgage-backed
Agency(65)6,163 (2,926)19,595 (2,991)25,758 
Non-agency  (3)41 (3)41 
Commercial mortgage-backed
Agency(8)501 (125)1,388 (133)1,889 
Non-agency  (15)559 (15)559 
Asset-backed(2)226 (1)8 (3)234 
Other(2)99 (98)1,734 (100)1,833 
Total securities available-for-sale$(147)$24,489 $(3,534)$25,149 $(3,681)$49,638 
December 31, 2023
U.S. Treasury and government agencies  $(666)$6,035 $(666)$6,035 
Residential mortgage-backed
Agency$(4)$1,015 (2,805)24,306 (2,809)25,321 
Non-agency(1)15 (4)84 (5)99 
Commercial mortgage-backed
Agency  (135)1,495 (135)1,495 
Non-agency(45)731 (45)731 
Asset-backed  (1)9 (1)9 
Other(3)78 (136)2,106 (139)2,184 
Total securities available-for-sale$(8)$1,108 $(3,792)$34,766 $(3,800)$35,874 
Information related to gross realized securities gains and losses from the sales of securities is set forth in the following table:

Table 45: Gains (Losses) on Sales of Securities Available-for-Sale
Year ended December 31
In millions		Gross GainsGross LossesNet Gains (Losses)Tax Expense (Benefit)
2024$2 $(502)$(500)$(105)
2023$(2)$(2)
2022$11 $(18)$(7)$(1)
In the second quarter of 2024, we sold available-for-sale securities with a market value of $3.8 billion, resulting in a loss of $497 million.
The following table presents, by remaining contractual maturity, the amortized cost, fair value and weighted-average yield of debt securities at December 31, 2024:
Table 46: Contractual Maturity of Debt Securities
1 Year or
Less		After 1 Year
through 5 Years		After 5 Years
through 10 Years		After 10
Years		Total
Dollars in millions
Securities Available-for-sale
U.S. Treasury and government agencies$512 $10,325 $10,849 $2,276 $23,962 
Residential mortgage-backed
Agency4 226 3,627 29,732 33,589 
Non-agency 18 486 504 
Commercial mortgage-backed
Agency73 1,101 475 428 2,077 
Non-agency1 103 84 518 706 
Asset-backed 850 319 1,184 2,353 
Other283 1,623 261 140 2,307 
Total securities available-for-sale at amortized cost$873 $14,228 $15,633 $34,764 $65,498 
Fair value$870 $14,074 $15,287 $31,808 $62,039 
Weighted-average yield, GAAP basis (a)2.75 %3.69 %4.10 %3.73 %3.80 %
Securities Held-to-Maturity
U.S. Treasury and government agencies$8,211 $18,783 $1,563 $863 $29,420 
Residential mortgage-backed
Agency7 290 39,874 40,171 
Non-agency240 240 
Commercial mortgage-backed
Agency 278 469 208 955 
Non-agency 39 797 836 
Asset-backed 967 1,393 1,020 3,380 
Other304 796 322 1,269 2,691 
Total securities held-to-maturity at amortized cost$8,515 $20,870 $4,037 $44,271 $77,693 
Fair value$8,448 $20,271 $3,856 $40,483 $73,058 
Weighted-average yield, GAAP basis (a)1.36 %1.72 %3.05 %2.93 %2.44 %
(a)        Weighted-average yields are based on amortized cost with effective yields weighted for the contractual maturity of each security. Actual maturities and yields may differ as certain securities may be prepaid.
The following table presents the fair value of securities that have been either pledged to or accepted from others to collateralize outstanding borrowings:
Table 47: Fair Value of Securities Pledged and Accepted as Collateral
In millionsDecember 31
2024		December 31
2023
Pledged to others$69,330 $29,878 
Accepted from others:
Permitted by contract or custom to sell or repledge $1,231 $755 
Permitted amount repledged to others$1,231 $755 
The securities pledged to others include positions held in our portfolio of investment securities, trading securities and securities accepted as collateral from others that we are permitted by contract or custom to sell or repledge. Such securities were pledged to the Federal Reserve and pledged to secure public and trust deposits, repurchase agreements and for other purposes. See Note 15 Financial Derivatives for information related to securities pledged and accepted as collateral for derivatives.