Investment Securities (Tables)

12 Months Ended

Dec. 31, 2019

Investments, Debt and Equity Securities [Abstract]

Investment Securities

A summary of the amortized cost and fair value of investment securities is presented below:


	At December 31,
	2019														2018
(In thousands)	Amortized Cost		Unrealized Gains		Unrealized Losses		Fair Value		Amortized Cost		Unrealized Gains		Unrealized Losses		Fair Value
Available-for-sale:
U.S. Treasury Bills	$	—	$	—	$	—	$	—	$	7,549	$	1	$	—	$	7,550
Agency CMO	184,500		2,218		(917)		185,801		238,968		412		(4,457)		234,923
Agency MBS	1,580,743		35,456		(4,035)		1,612,164		1,521,534		1,631		(42,076)		1,481,089
Agency CMBS	587,974		513		(6,935)		581,552		608,167		—		(41,930)		566,237
CMBS	432,085		38		(252)		431,871		447,897		645		(2,961)		445,581
CLO	92,628		45		(468)		92,205		114,641		94		(1,964)		112,771
Corporate debt	23,485		—		(1,245)		22,240		55,860		—		(5,281)		50,579
Total available-for-sale	$	2,901,415	$	38,270	$	(13,852)	$	2,925,833	$	2,994,616	$	2,783	$	(98,669)	$	2,898,730
Held-to-maturity:
Agency CMO	$	167,443	$	1,123	$	(1,200)	$	167,366	$	208,113	$	287	$	(5,255)	$	203,145
Agency MBS	2,957,900		60,602		(8,733)		3,009,769		2,517,823		8,250		(79,701)		2,446,372
Agency CMBS	1,172,491		6,444		(5,615)		1,173,320		667,500		53		(22,572)		644,981
Municipal bonds and notes	740,431		32,709		(21)		773,119		715,041		2,907		(18,285)		699,663
CMBS	255,653		2,278		(852)		257,079		216,943		405		(2,388)		214,960
Total held-to-maturity	$	5,293,918	$	103,156	$	(16,421)	$	5,380,653	$	4,325,420	$	11,902	$	(128,201)	$	4,209,121

Other than Temporary Impairment, Credit Losses Recognized in Earnings

Other-Than-Temporary Impairment

The amount in the amortized cost columns in the table above includes OTTI related to certain CLO positions that were previously considered Covered Funds as defined by Section 619 of Dodd-Frank. The Company has taken measures to bring its CLO positions into compliance with these requirements.

The following table presents the changes in OTTI:


	Years ended December 31,
(In thousands)	2019		2018		2017
Beginning balance	$	822	$	1,364	$	3,243
Reduction for investment securities called	—		(542)		(2,005)
Additions for OTTI not previously recognized in earnings	—		—		126
Ending balance	$	822	$	822	$	1,364

Debt Securities, Available-for-sale, Unrealized Loss Position, Fair Value

Fair Value and Unrealized Losses

The following tables provide information on fair value and unrealized losses for the individual investment securities with an unrealized loss, aggregated by classification and length of time that the individual investment securities have been in a continuous unrealized loss position:


	At December 31, 2019
	Less Than Twelve Months						Twelve Months or Longer					Total
(Dollars in thousands)	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		# of Holdings	Fair Value		Unrealized Losses
Available-for-sale:
Agency CMO	$	36,447	$	(352)	$	32,288	$	(565)	9	$	68,735	$	(917)
Agency MBS	41,408		(193)		299,674		(3,842)		79	341,082		(4,035)
Agency CMBS	174,406		(1,137)		357,717		(5,798)		34	532,123		(6,935)
CMBS	355,260		(232)		7,480		(20)		29	362,740		(252)
CLO	—		—		43,232		(468)		2	43,232		(468)
Corporate debt	—		—		22,240		(1,245)		4	22,240		(1,245)
Total available-for-sale in an unrealized loss position	$	607,521	$	(1,914)	$	762,631	$	(11,938)	157	$	1,370,152	$	(13,852)
Held-to-maturity:
Agency CMO	$	26,480	$	(174)	$	54,602	$	(1,026)	11	$	81,082	$	(1,200)
Agency MBS	164,269		(1,165)		727,778		(7,568)		105	892,047		(8,733)
Agency CMBS	488,091		(5,591)		4,148		(24)		21	492,239		(5,615)
Municipal bonds and notes	2,508		(21)		—		—		1	2,508		(21)
CMBS	85,422		(852)		—		—		8	85,422		(852)
Total held-to-maturity in an unrealized loss position	$	766,770	$	(7,803)	$	786,528	$	(8,618)	146	$	1,553,298	$	(16,421)


	At December 31, 2018
	Less Than Twelve Months						Twelve Months or Longer					Total
(Dollars in thousands)	Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		# of Holdings	Fair Value		Unrealized Losses
Available-for-sale:
Agency CMO	$	15,524	$	(72)	$	180,641	$	(4,385)	36	$	196,165	$	(4,457)
Agency MBS	321,678		(2,078)		975,084		(39,998)		184	1,296,762		(42,076)
Agency CMBS	—		—		566,237		(41,930)		37	566,237		(41,930)
CMBS	343,457		(2,937)		5,193		(24)		39	348,650		(2,961)
CLO	83,305		(1,695)		14,873		(269)		5	98,178		(1,964)
Corporate debt	35,990		(1,820)		14,589		(3,461)		8	50,579		(5,281)
Total available-for-sale in an unrealized loss position	$	799,954	$	(8,602)	$	1,756,617	$	(90,067)	309	$	2,556,571	$	(98,669)
Held-to-maturity:
Agency CMO	$	691	$	(1)	$	182,396	$	(5,254)	25	$	183,087	$	(5,255)
Agency MBS	288,635		(1,916)		1,892,951		(77,785)		272	2,181,586		(79,701)
Agency CMBS	—		—		635,284		(22,572)		56	635,284		(22,572)
Municipal bonds and notes	68,351		(882)		414,776		(17,403)		223	483,127		(18,285)
CMBS	24,881		(270)		132,464		(2,118)		20	157,345		(2,388)
Total held-to-maturity in an unrealized loss position	$	382,558	$	(3,069)	$	3,257,871	$	(125,132)	596	$	3,640,429	$	(128,201)

Summary of Debt Securities by Contractual Maturity

Contractual Maturities

The amortized cost and fair value of debt securities by contractual maturity are set forth below:


	At December 31, 2019
	Available-for-Sale						Held-to-Maturity
(In thousands)	Amortized Cost		Fair Value		Amortized Cost		Fair Value
Due in one year or less	$	—	$	—	$	1,084	$	1,088
Due after one year through five years	—		—		4,621		4,747
Due after five through ten years	299,979		299,531		245,473		249,501
Due after ten years	2,601,436		2,626,302		5,042,740		5,125,317
Total debt securities	$	2,901,415	$	2,925,833	$	5,293,918	$	5,380,653

For the maturity schedule above, mortgage-backed securities and CLO, which are not due at a single maturity date, have been categorized based on the maturity date of the underlying collateral. Actual principal cash flows may differ from this maturity date presentation as borrowers have the right to prepay obligations with or without prepayment penalties.