XML 61 R43.htm IDEA: XBRL DOCUMENT v3.22.2.2
BANK LOANS, NET (Tables)
 12 Months Ended
Sep. 30, 2022
Receivables [Abstract]  
Held for Sale and Held for Investment Loan Portfolios
The following table presents the balances for held for investment loans by portfolio segment and held for sale loans.
September 30,
$ in millions20222021
SBL$15,297 $6,106 
C&I loans11,173 8,440 
CRE loans6,549 2,872 
REIT loans1,592 1,112 
Residential mortgage loans7,386 5,318 
Tax-exempt loans1,501 1,321 
Total loans held for investment43,498 25,169 
Held for sale loans137 145 
Total loans held for sale and investment43,635 25,314 
Allowance for credit losses(396)(320)
Bank loans, net (1)
$43,239 $24,994 
ACL as a % of total loans held for investment0.91 %1.27 %
Accrued interest receivable on bank loans (included in “Other receivables, net”)$137 $48 

(1)    Bank loans, net as of September 30, 2022 are presented net of $112 million of net unamortized discount, unearned income, and deferred loan fees and costs. The net unamortized discount primarily arose from the acquisition date fair value purchased discount on bank loans acquired in the TriState Capital acquisition. See Note 3 for further information. Bank loans, net as of September 30, 2021 are presented net of $1 million of unearned income and deferred loan fees and costs.
Loan Purchases and Sales
The following table presents purchases and sales of loans held for investment by portfolio segment. Purchases do not include loans obtained from the acquisition of TriState Capital Bank.
$ in millionsC&I loansCRE loansResidential mortgage loansTotal
Year ended September 30, 2022
Purchases$1,288 $— $1,207 

$2,495 
Sales $147 $— $1 $148 
Year ended September 30, 2021
Purchases$1,528 $— $524 $2,052 
Sales $297 $— $— $297 
Year ended September 30, 2020
Purchases$589 $5 $402 $996 
Sales $598 $27 $2 $627 
Analysis of the Payment Status of Loans Held for Investment
The following table presents information on delinquency status of our loans held for investment.
$ in millions30-89
days and accruing		90 days
or more and accruing		Total past due and accruingNonaccrual with allowanceNonaccrual with no allowanceCurrent and accruingTotal loans held for
investment
September 30, 2022     
SBL$— $— $— $— $— $15,297 $15,297 
C&I loans
— — — 32 — 11,141 11,173 
CRE loans— — — 12 16 6,521 6,549 
REIT loans— — — — — 1,592 1,592 
Residential mortgage loans4 — 4 — 14 7,368 7,386 
Tax-exempt loans
— — — — — 1,501 1,501 
Total loans held for investment
$4 $— $4 $44 $30 $43,420 $43,498 
September 30, 2021     
SBL$— $— $— $— $— $6,106 $6,106 
C&I loans— — — 39 — 8,401 8,440 
CRE loans— — — — 20 2,852 2,872 
REIT loans— — — — — 1,112 1,112 
Residential mortgage loans2 — 2 2 13 5,301 5,318 
Tax-exempt loans— — — — — 1,321 1,321 
Total loans held for investment$2 $— $2 $41 $33 $25,093 $25,169 
Credit Quality of Held for Investment Loan Portfolio
The following tables present our held for investment bank loan portfolio by credit quality indicator.
September 30, 2022
Loans by origination fiscal year
$ in millions20222021202020192018PriorRevolving loansTotal
SBL
Risk rating:
Pass$14$27$72$44$36$41$15,063$15,297
Special mention————————
Substandard————————
Doubtful————————
Total SBL$14$27$72$44$36$41$15,063$15,297
C&I loans
Risk rating:
Pass$1,011$1,448$1,301$1,124$1,389$2,200$2,380$10,853
Special mention1028337—826166
Substandard1—602840614149
Doubtful————5——5
Total C&I loans$1,022$1,476$1,364$1,189$1,434$2,288$2,400$11,173
CRE loans
Risk rating:
Pass$1,916$1,345$892$707$816$551$176$6,403
Special mention—1——362—39
Substandard——14174630—107
Doubtful————————
Total CRE loans$1,916$1,346$906$724$898$583$176$6,549
REIT loans
Risk rating:
Pass$169$230$96$53$40$222$782$1,592
Special mention————————
Substandard————————
Doubtful————————
Total REIT loans$169$230$96$53$40$222$782$1,592
Residential mortgage loans
Risk rating:
Pass$2,984$1,704$1,023$477$290$843$35$7,356
Special mention11—2—4—8
Substandard1———120—22
Doubtful————————
Total residential mortgage loans$2,986$1,705$1,023$479$291$867$35$7,386
Tax-exempt loans
Risk rating:
Pass$264$169$56$115$192$705$—$1,501
Special mention————————
Substandard————————
Doubtful————————
Total tax-exempt loans$264$169$56$115$192$705$—$1,501
The following table presents the held for investment residential mortgage loan portfolio by FICO score and by LTV ratio at origination.
September 30, 2022
Loans by origination fiscal year
$ in millions20222021202020192018PriorRevolving loansTotal
FICO score:
Below 600$1$3$2$3$1$54$—$64
600 - 699155112903220684481
700 - 7992,4031,301744353219470225,512
800 +424284184874827361,306
FICO score not available353432323
Total$2,986$1,705$1,023$479$291$867$35$7,386
LTV ratio:
Below 80%$2,287$1,333$797$358$226$661$31$5,693
80%+6993722261216520641,693
Total$2,986$1,705$1,023$479$291$867$35$7,386

September 30, 2021
Loans by origination fiscal year
$ in millions20212020201920182017PriorRevolving loansTotal
FICO score:
Below 600$3$2$4$1$46$11$—$67
600 - 699134114463216731416
700 - 7991,420921483294252386163,772
800 +3032281075913822031,058
FICO score not available11—111—5
Total$1,861$1,266$640$387$453$691$20$5,318
LTV ratio:
Below 80%$1,451$990$480$304$378$500$20$4,123
80%+4102761608375191—1,195
Total$1,861$1,266$640$387$453$691$20$5,318
Changes in the Allowance for Credit Losses
The following table presents changes in the allowance for credit losses on held for investment bank loans by portfolio segment. The allowance for credit losses on held for investment bank loans and related provision for fiscal 2020 were calculated under the incurred loss model.
$ in millionsSBLC&I loansCRE loansREIT loansResidential
mortgage
loans		Tax-exempt loansTotal
Year ended September 30, 2022     
Balance at beginning of year$4 $191 $66 $22 $35 $2 $320 
Initial allowance on acquired PCD loans— 1 2 — — — 3 
Provision/(benefit) for credit losses:
Initial provision for credit losses on non-PCD loans acquired with TriState Capital2 5 19 — — — 26 
Provision/(benefit) for credit losses(3)57 — (1)21 — 74 
Total provision/(benefit) for credit losses(1)62 19 (1)21 — 100 
Net (charge-offs)/recoveries:     
Charge-offs— (28)(4)— — — (32)
Recoveries— — 5 — 1 — 6 
Net (charge-offs)/recoveries— (28)1 — 1 — (26)
Foreign exchange translation adjustment— — (1)— — — (1)
Balance at end of year$3 $226 $87 $21 $57 $2 $396 
ACL by loan portfolio segment as a % of total ACL0.8 %57.0 %22.0 %5.3 %14.4 %0.5 %100.0 %
Year ended September 30, 2021     
Balance at beginning of year$5 $200 $81 $36 $18 $14 $354 
Impact of CECL adoption(2)19 (11)(9)24 (12)9 
Provision/(benefit) for credit losses1 (25)5 (5)(8)— (32)
Net (charge-offs)/recoveries:  
Charge-offs— (4)(10)— — — (14)
Recoveries— — — — 1 — 1 
Net (charge-offs)/recoveries— (4)(10)— 1 — (13)
Foreign exchange translation adjustment— 1 1 — — — 2 
Balance at end of year$4 $191 $66 $22 $35 $2 $320 
ACL by loan portfolio segment as a % of total ACL1.3 %59.7 %20.6 %6.9 %10.9 %0.6 %100.0 %
Year ended September 30, 2020
Balance at beginning of year$5 $139 $34 $15 $16 $9 $218 
Provision/(benefit) for credit losses— 157 48 23 — 5 233 
Net (charge-offs)/recoveries:
Charge-offs— (96)(2)(2)— — (100)
Recoveries— — — — 2 — 2 
Net (charge-offs)/recoveries— (96)(2)(2)2 — (98)
Foreign exchange translation adjustment— — 1 — — — 1 
Balance at end of year$5 $200 $81 $36 $18 $14 $354 
ACL by loan portfolio segment as a % of total ACL1.4 %56.4 %22.9 %10.2 %5.1 %4.0 %100.0 %