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Investment Securities
 3 Months Ended
Mar. 31, 2023
Investments, Debt and Equity Securities [Abstract]  
Investment Securities Investment Securities Investment securities are designated as AFS, HTM, or equity on the consolidated balance sheets at the time of purchase. The amortized cost and fair values of AFS and HTM securities at March 31, 2023 were as follows:
($ in thousands)Amortized
Cost		Gross
Unrealized
Gains		Gross
Unrealized
(Losses)		Fair Value
AFS investment securities
U. S. Treasury securities$124,478 $— $(12,735)$111,743 
Agency securities15,000 — (1,271)13,730 
Obligations of state and political subdivisions (municipal securities)230,673 291 (2,063)228,902 
Residential mortgage-related securities:
FNMA/FHLMC1,768,846 260 (194,529)1,574,578 
GNMA1,092,742 7,273 (4,427)1,095,588 
Commercial mortgage-related securities:
FNMA/FHLMC18,952 — (1,335)17,618 
GNMA194,550 17 (5,101)189,466 
Asset backed securities:
FFELP147,876 — (4,791)143,084 
SBA4,020 13 (50)3,983 
Other debt securities3,000 — (82)2,918 
Total AFS investment securities$3,600,137 $7,854 $(226,383)$3,381,607 
HTM investment securities
U. S. Treasury securities$999 $— $(51)$947 
Obligations of state and political subdivisions (municipal securities)1,720,177 4,888 (146,544)1,578,521 
Residential mortgage-related securities:
FNMA/FHLMC981,065 30,284 (163,514)847,835 
GNMA53,298 195 (2,897)50,596 
Private-label361,170 11,242 (71,147)301,265 
Commercial mortgage-related securities:
FNMA/FHLMC785,516 14,657 (156,369)643,803 
GNMA64,859 502 (6,826)58,536 
Total HTM investment securities$3,967,083 $61,768 $(547,349)$3,481,502 
The amortized cost and fair values of AFS and HTM securities at December 31, 2022 were as follows:
($ in thousands)Amortized
Cost		Gross
Unrealized
Gains		Gross
Unrealized
(Losses)		Fair Value
AFS investment securities
U. S. Treasury securities$124,441 $— $(15,063)$109,378 
Agency securities15,000 — (1,468)13,532 
Obligations of state and political subdivisions (municipal securities)235,693 96 (5,074)230,714 
Residential mortgage-related securities:
FNMA/FHLMC1,820,642 404 (216,436)1,604,610 
GNMA502,537 314 (5,255)497,596 
Commercial mortgage-related securities:
FNMA/FHLMC19,038 — (1,896)17,142 
GNMA115,031 — (4,569)110,462 
Asset backed securities:
FFELP157,138 — (5,947)151,191 
SBA4,512 15 (51)4,477 
Other debt securities3,000 — (78)2,922 
Total AFS investment securities$2,997,032 $830 $(255,837)$2,742,025 
HTM investment securities
U. S. Treasury securities$999 $— $(62)$936 
Obligations of state and political subdivisions (municipal securities)1,732,351 1,994 (182,697)1,551,647 
Residential mortgage-related securities:
FNMA/FHLMC961,231 31,301 (175,760)816,771 
GNMA52,979 85 (3,436)49,628 
Private-label364,728 11,697 (72,920)303,505 
Commercial mortgage-related securities:
FNMA/FHLMC778,796 15,324 (178,281)615,839 
GNMA69,369 577 (7,254)62,691 
 Total HTM investment securities$3,960,451 $60,978 $(620,411)$3,401,018 
Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. The expected maturities of AFS and HTM securities at March 31, 2023, are shown below:
 AFSHTM
($ in thousands)Amortized
Cost		Fair
Value		Amortized
Cost		Fair
Value
Due in one year or less$6,773 $6,768 $14,358 $14,350 
Due after one year through five years179,763 165,292 36,046 35,926 
Due after five years through ten years150,181 149,003 161,217 159,591 
Due after ten years36,434 36,229 1,509,554 1,369,602 
Total debt securities373,151 357,292 1,721,175 1,579,468 
Residential mortgage-related securities:
FNMA/FHLMC1,768,846 1,574,578 981,065 847,835 
GNMA1,092,742 1,095,588 53,298 50,596 
Private-label— — 361,170 301,265 
Commercial mortgage-related securities:
FNMA/FHLMC18,952 17,618 785,516 643,803 
GNMA194,550 189,466 64,859 58,536 
Asset backed securities:
FFELP 147,876 143,084 — — 
SBA4,020 3,983 — — 
Total investment securities$3,600,137 $3,381,607 $3,967,083 $3,481,502 
Ratio of fair value to amortized cost93.9 %87.8 %
On a quarterly basis, the Corporation refreshes the credit quality of each HTM security. The following table summarizes the credit quality indicators of HTM securities at amortized cost at March 31, 2023:
($ in thousands)AAAAAANot RatedTotal
U. S. Treasury securities$999 $— $— $— $999 
Obligations of state and political subdivisions (municipal securities)807,729 903,689 7,602 1,157 1,720,177 
Residential mortgage-related securities:
FNMA/FHLMC981,065 — — — 981,065 
GNMA53,298 — — — 53,298 
Private-label361,170 — — — 361,170 
Commercial mortgage-related securities:
FNMA/FHLMC785,516 — — — 785,516 
GNMA 64,859 — — — 64,859 
Total HTM securities$3,054,635 $903,689 $7,602 $1,157 $3,967,083 
The following table summarizes the credit quality indicators of HTM securities at amortized cost at December 31, 2022:
($ in thousands)AAAAAANot RatedTotal
U. S. Treasury securities$999 $— $— $— $999 
Obligations of state and political subdivisions (municipal securities)806,529 917,059 7,604 1,158 1,732,351 
Residential mortgage-related securities:
FNMA/FHLMC961,231 — — — 961,231 
GNMA52,979 — — — 52,979 
Private-label364,728 — — — 364,728 
Commercial mortgage-related securities:
FNMA/FHLMC778,796 — — — 778,796 
GNMA 69,369 — — — 69,369 
Total HTM securities$3,034,630 $917,059 $7,604 $1,158 $3,960,451 
The following table summarizes gross realized gains and losses on AFS securities, net write-up of equity securities, and proceeds from the sale of investment securities for the three months ended March 31, 2023 and 2022:
Three Months Ended Mar 31,
($ in thousands)20232022
Gross gains on AFS securities$— $21 
Net write-up of equity securities51 — 
Investment securities gains (losses), net$51 $21 
Proceeds from sales of AFS investment securities$— $734 
Investment securities with a carrying value of $2.2 billion and $2.3 billion at March 31, 2023 and December 31, 2022, respectively, were pledged as required to secure certain deposits or for other purposes.
Accrued interest receivable on HTM securities totaled $16 million and $19 million at March 31, 2023 and December 31, 2022, respectively. Accrued interest receivable on AFS securities totaled $12 million and $9 million at March 31, 2023 and December 31, 2022, respectively. Accrued interest receivable on both HTM and AFS securities is included in interest receivable on the consolidated balance sheets. There was no interest income reversed for investments going into nonaccrual at both March 31, 2023 and December 31, 2022.
A security is considered past due once it is 30 days past due under the terms of the agreement. At both March 31, 2023 and December 31, 2022, the Corporation had no past due HTM securities.

The allowance for credit losses on HTM securities was approximately $25,000 at March 31, 2023 and approximately $54,000 at December 31, 2022, attributable entirely to the Corporation's municipal securities, included in HTM investment securities, net, at amortized cost on the consolidated balance sheets. The Corporation also holds U.S. Treasury, municipal, and mortgage-related securities issued by the U.S. government or a GSE which are backed by the full faith and credit of the U.S. government and private-label residential mortgage-related securities that have credit enhancement which covers the first 15% of losses and, as a result, no allowance for credit losses has been recorded related to these securities.
The following represents gross unrealized losses and the related fair value of AFS and HTM securities, aggregated by investment category and length of time individual securities have been in a continuous unrealized loss position, at March 31, 2023:
 Less than 12 months12 months or moreTotal
($ in thousands)Number
of
Securities		Unrealized
(Losses)		Fair
Value		Number
of
Securities		Unrealized
(Losses)		Fair
Value		Unrealized
(Losses)		Fair
Value
AFS investment securities
U.S. Treasury securities— $— $— 7 $(12,735)$111,743 $(12,735)$111,743 
Agency securities— — — 1 (1,271)13,730 (1,271)13,730 
Obligations of state and political subdivisions (municipal securities)189 (1,025)111,529 72 (1,037)40,199 (2,063)151,727 
Residential mortgage-related securities:
FNMA/FHLMC12 (3,619)51,021 96 (190,909)1,504,384 (194,529)1,555,405 
GNMA23 (2,583)294,212 9 (1,844)33,128 (4,427)327,340 
Commercial mortgage-related securities:
FNMA/FHLMC— — — 1 (1,335)17,618 (1,335)17,618 
GNMA13 (1,039)100,585 29 (4,062)74,665 (5,101)175,250 
Asset backed securities:
FFELP— — — 15 (4,791)143,084 (4,791)143,084 
SBA2 (1)331 6 (49)1,755 (50)2,087 
Other debt securities1 (31)969 2 (51)1,949 (82)2,918 
Total240 $(8,299)$558,647 238 $(218,084)$1,942,255 $(226,383)$2,500,901 
HTM investment securities
U.S. Treasury securities— $— $— 1 $(51)$947 $(51)$947 
Obligations of state and political subdivisions (municipal securities)311 (7,598)454,461 400 (138,946)614,842 (146,544)1,069,304 
Residential mortgage-related securities:
FNMA/FHLMC63 (2,881)75,386 50 (160,633)762,280 (163,514)837,666 
GNMA16 (168)6,511 63 (2,729)32,771 (2,897)39,282 
Private-label— — — 18 (71,147)301,265 (71,147)301,265 
 Commercial mortgage-related securities:
FNMA/FHLMC4 (473)29,658 41 (155,897)614,153 (156,369)643,811 
GNMA— — — 14 (6,826)58,536 (6,826)58,536 
Total394 $(11,120)$566,017 587 $(536,229)$2,384,794 $(547,349)$2,950,811 
For comparative purposes, the following represents gross unrealized losses and the related fair value of AFS and HTM securities, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position, at December 31, 2022:
 Less than 12 months12 months or moreTotal
($ in thousands)Number
of
Securities		Unrealized
(Losses)		Fair
Value		Number
of
Securities		Unrealized
(Losses)		Fair
Value		Unrealized
(Losses)		Fair
Value
AFS investment securities
U.S. Treasury securities— $— $— 7 $(15,063)$109,378 $(15,063)$109,378 
Agency securities— — — 1 (1,468)13,532 (1,468)13,532 
Obligations of state and political subdivisions (municipal securities)358 (5,066)201,260 4 (8)1,916 (5,074)203,176 
Residential mortgage-related securities:
FNMA/FHLMC24 (31,266)260,986 84 (185,170)1,321,420 (216,436)1,582,406 
GNMA23 (4,415)220,276 2 (840)11,096 (5,255)231,372 
Commercial mortgage-related securities:
FNMA/FHLMC1 (1,896)17,142 — — — (1,896)17,142 
GNMA33 (3,920)101,036 4 (649)9,426 (4,569)110,462 
Asset backed securities:
FFELP3 (1,668)44,304 12 (4,278)106,887 (5,947)151,191 
SBA2 (1)417 6 (50)2,057 (51)2,474 
Other debt securities2 (30)1,970 1 (49)951 (78)2,922 
Total446 $(48,263)$847,391 121 $(207,575)$1,576,665 $(255,837)$2,424,055 
HTM investment securities
U.S. Treasury securities1 $(62)$936 — $— $— $(62)$936 
Obligations of state and political subdivisions (municipal securities)771 (96,282)1,079,216 156 (86,415)231,022 (182,697)1,310,238 
Residential mortgage-related securities:
FNMA/FHLMC79 (18,925)143,201 22 (156,836)671,570 (175,760)814,770 
GNMA81 (3,436)44,476 — — — (3,436)44,476 
Private-label3 (9,509)58,733 15 (63,411)244,772 (72,920)303,505 
Commercial mortgage-related securities:
FNMA/FHLMC4 (3,814)20,338 39 (174,467)576,911 (178,281)597,249 
GNMA8 (2,528)34,612 6 (4,726)28,080 (7,254)62,691 
Total947 $(134,556)$1,381,511 238 $(485,855)$1,752,354 $(620,411)$3,133,865 
The Corporation reviews the AFS investment securities portfolio on a quarterly basis to monitor its credit exposure. A determination as to whether a security’s decline in fair value is the result of credit risk takes into consideration numerous factors and the relative significance of any single factor can vary by security. Some factors the Corporation may consider in this impairment analysis include the extent to which the security has been in an unrealized loss position, the change in security rating, financial condition and near-term prospects of the issuer, as well as the security and industry specific economic conditions.
Based on the Corporation’s evaluation, management does not believe any unrealized losses at March 31, 2023 represent credit deterioration as these unrealized losses are primarily attributable to changes in interest rates and the current market conditions. The Corporation does not intend to sell, nor does it believe that it will be required to sell, the securities in an unrealized loss position before recovery of their amortized cost basis.
FHLB and Federal Reserve Bank stocks: The Corporation is required to maintain Federal Reserve Bank stock and FHLB stock as a member bank of both the Federal Reserve System and the FHLB, and in amounts as required by these institutions. These equity securities are “restricted” in that they can only be sold back to the respective institutions or another member institution at par. Therefore, they are less liquid than other marketable equity securities and their fair value is equal to amortized cost. The Corporation had FHLB stock of $245 million and $209 million at March 31, 2023 and December 31, 2022, respectively. The Corporation had Federal Reserve Bank stock of $87 million at both March 31, 2023 and December 31, 2022. Accrued interest receivable on FHLB stock totaled $4 million and $3 million at March 31, 2023 and December 31, 2022, respectively. There was approximately $776,000 of accrued interest receivable on Federal Reserve Bank Stock at March 31, 2023, and none at December 31, 2022. Accrued interest receivable on both FHLB stock and Federal Reserve Bank stock is included in interest receivable on the consolidated balance sheets.
Equity Securities
Equity securities with readily determinable fair values: The Corporation's portfolio of equity securities with readily determinable fair values is primarily comprised of CRA Qualified Investment mutual funds and other mutual funds. At both March 31, 2023 and December 31, 2022, the Corporation had equity securities with readily determinable fair values of $6 million.
Equity securities without readily determinable fair values: The Corporation's portfolio of equity securities without readily determinable fair values, which primarily consists of Visa Class B restricted shares and an investment in a private SBA loan fund, was carried at $24 million and $19 million at March 31, 2023 and December 31, 2022, respectively