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Fair Value Disclosures (Tables)
 6 Months Ended
Jun. 30, 2020
Fair Value Disclosures [Abstract]  
Fair Value Measurements, Recurring and Nonrecurring
The following tables present information about Farmer Mac's assets and liabilities measured at fair value on a recurring basis as of June 30, 2020 and December 31, 2019, respectively, and indicate the fair value hierarchy of the valuation techniques used by Farmer Mac to determine such fair value:

Table 9.1
Assets and Liabilities Measured at Fair Value as of June 30, 2020
 Level 1Level 2
Level 3(1)
Total
 (in thousands)
Recurring: 
Assets:    
Investment Securities:    
Available-for-sale:    
Floating rate auction-rate certificates backed by Government guaranteed student loans$—  $—  $18,283  $18,283  
Floating rate asset-backed securities—  9,807  —  9,807  
Floating rate Government/GSE guaranteed mortgage-backed securities—  2,112,377  —  2,112,377  
Fixed rate GSE guaranteed mortgage-backed securities—  322  —  322  
Fixed rate U.S. Treasuries1,326,589  —  —  1,326,589  
Total Investment Securities1,326,589  2,122,506  18,283  3,467,378  
Farmer Mac Guaranteed Securities:    
Available-for-sale:    
AgVantage—  —  7,898,387  7,898,387  
Total Farmer Mac Guaranteed Securities—  —  7,898,387  7,898,387  
USDA Securities:    
Trading—  —  7,786  7,786  
Total USDA Securities—  —  7,786  7,786  
Financial derivatives—  16,588  —  16,588  
Total Assets at fair value$1,326,589  $2,139,094  $7,924,456  $11,390,139  
Liabilities:    
Financial derivatives$9  $47,534  $—  $47,543  
Total Liabilities at fair value$9  $47,534  $—  $47,543  
(1) Level 3 assets represent 33% of total assets and 69% of financial instruments measured at fair value.
Assets and Liabilities Measured at Fair Value as of December 31, 2019
 Level 1Level 2
Level 3(1)
Total
 (in thousands)
Recurring: 
Assets:    
Investment Securities:    
Available-for-sale:    
Floating rate auction-rate certificates backed by Government guaranteed student loans$—  $—  $18,912  $18,912  
Floating rate asset-backed securities—  11,085  —  11,085  
Floating rate Government/GSE guaranteed mortgage-backed securities—  1,632,583  —  1,632,583  
Fixed rate GSE guaranteed mortgage-backed securities—  340  —  340  
Fixed rate U.S. Treasuries1,296,923  —  —  1,296,923  
Total available-for-sale1,296,923  1,644,008  18,912  2,959,843  
Farmer Mac Guaranteed Securities:    
Available-for-sale:    
AgVantage—  —  7,143,025  7,143,025  
Total Farmer Mac Guaranteed Securities—  —  7,143,025  7,143,025  
USDA Securities:    
Trading—  —  8,913  8,913  
Total USDA Securities—  —  8,913  8,913  
Financial derivatives—  10,519  —  10,519  
Total Assets at fair value$1,296,923  $1,654,527  $7,170,850  $10,122,300  
Liabilities:    
Financial derivatives$51  $26,991  $—  $27,042  
Total Liabilities at fair value$51  $26,991  $—  $27,042  
(1) Level 3 assets represent 33% of total assets and 71% of financial instruments measured at fair value.
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation
The following tables present additional information about assets and liabilities measured at fair value on a recurring basis for which Farmer Mac has used significant unobservable inputs to determine fair value. Net transfers in and/or out of Level 3 are based on the fair values of the assets and liabilities as of the beginning of the reporting period. There were no liabilities measured at fair value using significant unobservable inputs during the three and six months ended June 30, 2020 and 2019.

Table 9.2

Level 3 Assets and Liabilities Measured at Fair Value for the Three Months Ended June 30, 2020
  Beginning
Balance		PurchasesSalesSettlementsAllowance for lossesRealized and
unrealized gains/(losses) included
in Income		Unrealized gains/(losses)
included in Other
Comprehensive
Income		Ending
Balance
 (in thousands)
Recurring: 
Assets:     
Investment Securities:     
Available-for-sale:     
Floating rate auction-rate certificates backed by Government guaranteed student loans$16,721  $—  $—  $—  $(15) $—  $1,577  $18,283  
Total available-for-sale16,721  —  —  —  (15) —  1,577  18,283  
Farmer Mac Guaranteed Securities:     
Available-for-sale:     
AgVantage7,587,186  351,896  —  (85,261) (69) 9,050  35,585  7,898,387  
Total available-for-sale7,587,186  351,896  —  (85,261) (69) 9,050  35,585  7,898,387  
USDA Securities:     
Trading8,408  —  —  (602) —  (20) —  7,786  
Total USDA Securities8,408  —  —  (602) (20) —  7,786  
Total Assets at fair value$7,612,315  $351,896  $—  $(85,863) $(84) $9,030  $37,162  $7,924,456  
Level 3 Assets and Liabilities Measured at Fair Value for the Three Months Ended June 30, 2019
  Beginning
Balance		PurchasesSalesSettlementsRealized and
unrealized gains/(losses) included
in Income		Unrealized gains/(losses)
included in Other
Comprehensive
Income		Ending
Balance
 (in thousands)
Recurring: 
Assets:     
Investment Securities:     
Available-for-sale:     
Floating rate auction-rate certificates backed by Government guaranteed student loans$18,912  $—  $—  $—  $—  $296  $19,208  
Total available-for-sale18,912  —  —  —  —  296  19,208  
Farmer Mac Guaranteed Securities:     
Available-for-sale:     
AgVantage6,441,624  613,764  —  (98,579) 114,638  (35,779) 7,035,668  
Total available-for-sale6,441,624  613,764  —  (98,579) 114,638  (35,779) 7,035,668  
USDA Securities:     
Available-for-sale—  29,419  (29,419) —  —  —  —  
Trading9,487  —  —  (347) 61  —  9,201  
Total USDA Securities9,487  29,419  (29,419) (347) 61  —  9,201  
Total Assets at fair value$6,470,023  $643,183  $(29,419) $(98,926) $114,699  $(35,483) $7,064,077  

Level 3 Assets and Liabilities Measured at Fair Value for the Six Months Ended June 30, 2020
Beginning BalancePurchasesSalesSettlementsAllowance for LossesRealized and
unrealized gains/(losses) included
in Income		Unrealized gains/(losses)
included in Other
Comprehensive
Income		Ending Balance
(in thousands)
Recurring:
Assets:
Investment Securities:
Available-for-sale:
Floating rate auction-rate certificates backed by Government guaranteed student loans$18,912  $—  $—  $—  $(38) $—  $(591) $18,283  
Total available-for-sale18,912  —  —  —  (38) —  (591) 18,283  
Farmer Mac Guaranteed Securities:
Available-for-sale:
AgVantage7,143,025  835,476  —  (312,516) (234) 299,429  (66,793) 7,898,387  
Total available-for-sale7,143,025  835,476  —  (312,516) (234) 299,429  (66,793) 7,898,387  
USDA Securities:
Trading8,913  —  —  (1,213) —  86  —  7,786  
Total USDA Securities8,913  —  —  (1,213) 86  —  7,786  
Total Assets at fair value$7,170,850  $835,476  $—  $(313,729) $(272) $299,515  $(67,384) $7,924,456  
Level 3 Assets and Liabilities Measured at Fair Value for the Six Months Ended June 30, 2019
  Beginning
Balance		PurchasesSalesSettlementsRealized and
unrealized gains/(losses) included
in Income		Unrealized gains/(losses)
included in Other
Comprehensive
Income		Ending
Balance
 (in thousands)
Recurring: 
Assets:     
Investment Securities:     
Available-for-sale:     
Floating rate auction-rate certificates backed by Government guaranteed student loans$18,715  $—  $—  $—  $—  $493  $19,208  
Total available-for-sale18,715  —  —  —  —  493  19,208  
Farmer Mac Guaranteed Securities:     
Available-for-sale:     
AgVantage5,974,497  1,390,096  —  (470,312) 173,990  (32,603) 7,035,668  
Total available-for-sale5,974,497  1,390,096  —  (470,312) 173,990  (32,603) 7,035,668  
USDA Securities:     
Available-for-sale—  48,347  (48,347) —  —  —  —  
Trading9,999  —  —  (903) 105  —  9,201  
Total USDA Securities9,999  48,347  (48,347) (903) 105  —  9,201  
Total Assets at fair value$6,003,211  $1,438,443  $(48,347) $(471,215) $174,095  $(32,110) $7,064,077  
Fair Value Inputs, Assets and Liabilities, Quantitative Information
The following tables present additional information about the significant unobservable inputs, such as discount rates and constant prepayment rates ("CPR"), used in the fair value measurements categorized in Level 3 of the fair value hierarchy as of June 30, 2020 and December 31, 2019:

Table 9.3
As of June 30, 2020
Financial InstrumentsFair ValueValuation TechniqueUnobservable InputRange (Weighted-Average)
(in thousands)
Assets:
Investment securities:
Floating rate auction-rate certificates backed by Government guaranteed student loans$18,283  Indicative bidsRange of broker quotes
93.0% - 93.0% (93.0%)
Farmer Mac Guaranteed Securities:
AgVantage$7,898,387  Discounted cash flowDiscount rate
0.9% - 4.0% (1.2%)
USDA Securities$7,786  Discounted cash flowDiscount rate
1.5% - 2.2% (1.6%)
CPR
14% - 23% (22%)
As of December 31, 2019
Financial InstrumentsFair ValueValuation TechniqueUnobservable InputRange (Weighted-Average)
(in thousands)
Assets:
Investment securities:
Floating rate auction-rate certificates backed by Government guaranteed student loans$18,912  Indicative bidsRange of broker quotes
96.0% - 96.0% (96.0%)
Farmer Mac Guaranteed Securities:
AgVantage$7,143,025  Discounted cash flowDiscount rate
2.3% - 5.5% (2.6%)
USDA Securities$8,913  Discounted cash flowDiscount rate
2.3% - 2.6% (2.1%)
CPR
10% - 21% (19%)
Fair Value, by Balance Sheet Grouping
The following table sets forth the estimated fair values and carrying values for financial assets, liabilities, and guarantees and commitments as of June 30, 2020 and December 31, 2019:

Table 9.4
 As of June 30, 2020As of December 31, 2019
 Fair ValueCarrying
Amount		Fair ValueCarrying
Amount
 (in thousands)
Financial assets:    
Cash and cash equivalents$827,600  $827,600  $604,381  $604,381  
Investment securities3,513,060  3,512,410  3,005,828  3,004,875  
Farmer Mac Guaranteed Securities9,070,424  9,039,105  8,606,451  8,590,476  
USDA Securities2,432,674  2,347,709  2,294,671  2,241,073  
Loans8,214,871  7,891,148  7,317,091  6,981,440  
Financial derivatives16,588  16,588  10,519  10,519  
Guarantee and commitment fees receivable32,254  36,612  36,732  38,442  
Financial liabilities:
Notes payable21,736,245  21,421,550  19,234,079  19,098,648  
Debt securities of consolidated trusts held by third parties1,499,947  1,476,964  1,663,177  1,616,504  
Financial derivatives47,543  47,543  27,042  27,042  
Guarantee and commitment obligations30,804  35,162  34,990  36,700