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FARMER MAC GUARANTEED SECURITIES AND USDA SECURITIES (Tables)

12 Months Ended

Dec. 31, 2024

Investments, Debt and Equity Securities [Abstract]

Schedule of Farmer Mac Guaranteed Securities and USDA Securities

The following tables set forth information about Farmer Mac's available-for-sale and held-to-maturity investment securities as of December 31, 2024 and 2023:

Table 4.1


	As of December 31, 2024
	Amount Outstanding		Unamortized Premium/(Discount)		Amortized Cost(1)		Allowance for losses(2)		Unrealized Gains		Unrealized Losses		Fair Value
	(in thousands)
Available-for-sale:
Floating rate auction-rate certificates backed by Government guaranteed student loans	$	19,700	$	—	$	19,700	$	(27)	$	—	$	(197)	$	19,476
Floating rate Government/GSE guaranteed mortgage-backed securities	2,317,032		(841)		2,316,191		—		3,484		(13,950)		2,305,725
Fixed rate Government/GSE guaranteed mortgage-backed securities	2,544,136		(66,845)		2,477,291		—		3,426		(142,750)		2,337,967
Floating rate U.S. Treasuries	—		—		—		—		—		—		—
Fixed rate U.S. Treasuries	1,302,677		(10,743)		1,291,934		—		2,604		(4,692)		1,289,846
Total available-for-sale	6,183,545		(78,429)		6,105,116		(27)		9,514		(161,589)		5,953,014
Held-to-maturity:
Floating rate Government/GSE guaranteed mortgage-backed securities(3)	9,270		—		9,270		—		270		—		9,540
Total held-to-maturity	$	9,270	$	—	$	9,270	$	—	$	270	$	—	$	9,540

(1)Amounts presented exclude $22.3 million of accrued interest receivable on investment securities as of December 31, 2024.

(2)Represents the amount of impairment that has resulted from credit-related factors, and therefore was recognized in the consolidated statement of operations as a provision for losses. Amount excludes unrealized losses relating to non-credit factors.

(3)The held-to-maturity investment securities had a weighted average yield of 6.4% as of December 31, 2024.


	As of December 31, 2023
	Amount Outstanding		Unamortized Premium/(Discount)		Amortized Cost(1)		Allowance for losses(2)		Unrealized Gains		Unrealized Losses		Fair Value
	(in thousands)
Available-for-sale:
Floating rate auction-rate certificates backed by Government guaranteed student loans	$	19,700	$	—	$	19,700	$	(27)	$	—	$	(591)	$	19,082
Floating rate Government/GSE guaranteed mortgage-backed securities	2,454,009		(1,138)		2,452,871		—		1,212		(29,649)		2,424,434
Fixed rate Government/GSE guaranteed mortgage-backed securities	1,727,669		(46,788)		1,680,881		—		6,558		(117,824)		1,569,615
Floating rate U.S. Treasuries	50,000		(17)		49,983		—		—		(15)		49,968
Fixed rate U.S. Treasuries	869,585		(12,885)		856,700		—		2,074		(2,942)		855,832
Total available-for-sale	5,120,963		(60,828)		5,060,135		(27)		9,844		(151,021)		4,918,931
Held-to-maturity:
Floating rate Government/GSE guaranteed mortgage-backed securities(3)	53,756		—		53,756		—		1,745		—		55,501
Total held-to-maturity	$	53,756	$	—	$	53,756	$	—	$	1,745	$	—	$	55,501

(1)Amounts presented exclude $15.9 million of accrued interest receivable on investment securities as of December 31, 2023.

(3)The held-to-maturity investment securities had a weighted average yield of 6.7% as of December 31, 2023.

The following tables set forth information about on-balance sheet Farmer Mac Guaranteed Securities and USDA Securities as of December 31, 2024 and 2023:

Table 5.1


	As of December 31, 2024
	Unpaid Principal Balance		Unamortized Premium/(Discount)		Amortized Cost(1)		Allowance for losses(2)		Unrealized Gains		Unrealized Losses		Fair Value
	(in thousands)
Held-to-maturity:
AgVantage	$	2,694,492	$	(26,928)	$	2,667,564	$	(178)	$	5,978	$	(21,592)	$	2,651,772
Farmer Mac Guaranteed USDA Securities	50,275		27		50,302		—		246		(1,220)		49,328
Total Farmer Mac Guaranteed Securities	2,744,767		(26,901)		2,717,866		(178)		6,224		(22,812)		2,701,100
USDA Securities	2,351,334		19,200		2,370,534		—		180		(258,190)		2,112,524
Total held-to-maturity	$	5,096,101	$	(7,701)	$	5,088,400	$	(178)	$	6,404	$	(281,002)	$	4,813,624
Available-for-sale:
AgVantage	$	5,826,948	$	—	$	5,826,948	$	(236)	$	6,295	$	(327,476)	$	5,505,531
Farmer Mac Guaranteed Securities(3)	—		8,710		8,710		—		305		—		9,015
Total available-for-sale	$	5,826,948	$	8,710	$	5,835,658	$	(236)	$	6,600	$	(327,476)	$	5,514,546
Trading:
USDA Securities(4)	$	814	$	42	$	856	$	—	$	—	$	(38)	$	818

(1)Amounts presented exclude $57.5 million and $59.8 million of accrued interest receivable on available-for-sale and held-to-maturity securities, respectively, as of December 31, 2024.

(2)Represents the amount of impairment that has resulted from credit-related factors, and therefore was recognized in the statement of financial operations as a provision for losses. Amount excludes unrealized losses relating to non-credit factors.

(3)Fair value includes $9.0 million of an interest-only security with a notional amount of $228.0 million.

(4)The trading USDA securities had a weighted average yield of 5.47% as of December 31, 2024.


	As of December 31, 2023
	Unpaid Principal Balance		Unamortized Premium/(Discount)		Amortized Cost(1)		Allowance for losses(2)		Unrealized Gains		Unrealized Losses		Fair Value
	(in thousands)
Held-to-maturity:
AgVantage	$	4,206,324	$	(29,622)	$	4,176,702	$	(209)	$	4,676	$	(39,451)	$	4,141,718
Farmer Mac Guaranteed USDA Securities	36,543		33		36,576		—		107		(806)		35,877
Total Farmer Mac Guaranteed Securities	4,242,867		(29,589)		4,213,278		(209)		4,783		(40,257)		4,177,595
USDA Securities	2,331,093		23,078		2,354,171		—		417		(319,783)		2,034,805
Total held-to-maturity	$	6,573,960	$	(6,511)	$	6,567,449	$	(209)	$	5,200	$	(360,040)	$	6,212,400
Available-for-sale:
AgVantage	$	5,816,024	$	—	$	5,816,024	$	(317)	$	16,416	$	(309,411)	$	5,522,712
Farmer Mac Guaranteed Securities(3)	—		9,409		9,409		—		358		—		9,767
Total available-for-sale	$	5,816,024	$	9,409	$	5,825,433	$	(317)	$	16,774	$	(309,411)	$	5,532,479
Trading:
USDA Securities(4)	$	1,236	$	64	$	1,300	$	—	$	—	$	(59)	$	1,241

(1)Amounts presented exclude $47.2 million and $67.4 million of accrued interest receivable on available-for-sale and held-to-maturity securities, respectively, as of December 31, 2023.

(3)Fair value includes $9.8 million of an interest-only security with a notional amount of $238.4 million.

(4)The trading USDA securities had a weighted average yield of 5.46% as of December 31, 2023.

Schedule of Unrealized Losses on Available-for-Sale Investment Securities

As of December 31, 2024 and 2023, unrealized losses on available-for-sale investment securities were as follows:

Table 4.2


	As of December 31, 2024
	Available-for-Sale Securities
	Unrealized loss position for less than 12 months				Unrealized loss position for more than 12 months
	Fair Value		Unrealized Loss		Fair Value		Unrealized Loss
	(dollars in thousands)
Floating rate auction-rate certificates backed by Government guaranteed student loans	$	—	$	—	$	19,476	$	(197)
Floating rate Government/GSE guaranteed mortgage-backed securities	269,862		(420)		1,025,360		(13,530)
Fixed rate Government/GSE guaranteed mortgage-backed securities	999,793		(17,682)		946,166		(125,068)
Floating rate U.S. Treasuries	—		—		—		—
Fixed rate U.S. Treasuries	590,307		(4,375)		58,523		(317)
Total	$	1,859,962	$	(22,477)	$	2,049,525	$	(139,112)

Number of securities in loss position			90				155


	As of December 31, 2023
	Available-for-Sale Securities
	Unrealized loss position for less than 12 months				Unrealized loss position for more than 12 months
	Fair Value		Unrealized Loss		Fair Value		Unrealized Loss
	(dollars in thousands)
Floating rate auction-rate certificates backed by Government guaranteed student loans	$	—	$	—	$	19,082	$	(591)
Floating rate Government/GSE guaranteed mortgage-backed securities	568,759		(4,395)		1,449,122		(25,254)
Fixed rate Government/GSE guaranteed mortgage-backed securities	384,305		(4,262)		905,759		(113,562)
Floating rate U.S. Treasuries	49,969		(15)		—		—
Fixed rate U.S. Treasuries	140,435		(606)		237,192		(2,336)
Total	$	1,143,468	$	(9,278)	$	2,611,155	$	(141,743)

Number of securities in loss position			91				162

As of December 31, 2024 and 2023, unrealized losses on held-to-maturity and available-for-sale on-balance sheet Farmer Mac Guaranteed Securities and USDA Securities were as follows:

Table 5.2


	As of December 31, 2024
	Held-to-Maturity and Available-for-Sale Securities
	Unrealized loss position for less than 12 months				Unrealized loss position for more than 12 months
	Fair Value		Unrealized Loss		Fair Value		Unrealized Loss
	(in thousands)
Held-to-maturity:
AgVantage	$	998,200	$	(3,326)	$	1,187,464	$	(18,266)
Farmer Mac Guaranteed USDA Securities	30,912		(529)		8,070		(691)
USDA Securities	8,938		(164)		2,099,695		(258,026)
Total held-to-maturity	$	1,038,050	$	(4,019)	$	3,295,229	$	(276,983)

Available-for-sale:
AgVantage	$	1,152,227	$	(12,889)	$	3,649,845	$	(314,587)

Total available-for-sale	$	1,152,227	$	(12,889)	$	3,649,845	$	(314,587)


	As of December 31, 2023
	Held-to-Maturity and Available-for-Sale Securities
	Unrealized loss position for less than 12 months				Unrealized loss position for more than 12 months
	Fair Value		Unrealized Loss		Fair Value		Unrealized Loss
	(in thousands)
Held-to-maturity:
AgVantage	$	2,070,770	$	(6,705)	$	725,347	$	(32,746)
Farmer Mac Guaranteed USDA Securities	—		—		8,393		(806)
USDA Securities	—		—		2,023,801		(319,783)
Total held-to-maturity	$	2,070,770	$	(6,705)	$	2,757,541	$	(353,335)

Available-for-sale:
AgVantage	$	508,182	$	(5,716)	$	4,043,431	$	(303,695)

Total available-for-sale	$	508,182	$	(5,716)	$	4,043,431	$	(303,695)

Schedule of Available-for-Sale and Held-to-Maturity Securities Maturities

The amortized cost, fair value, and weighted-average yield of available-for-sale investment securities by remaining contractual maturity as of December 31, 2024 are set forth below. Asset-backed and mortgage-backed securities are included based on their final maturities, although the actual maturities may differ due to prepayments of the underlying assets.

Table 4.3


	As of December 31, 2024
	Available-for-Sale Securities
	Amortized Cost		Fair Value		Weighted- Average Yield
	(dollars in thousands)
Due within one year	$	463,931	$	464,956	3.90%
Due after one year through five years	2,308,576		2,288,524		4.09%
Due after five years through ten years	2,441,044		2,319,007		3.94%
Due after ten years	891,565		880,527		4.97%
Total	$	6,105,116	$	5,953,014	4.15%

The amortized cost, fair value, and weighted-average yield of available-for-sale and held-to-maturity Farmer Mac Guaranteed Securities and USDA Securities by remaining contractual maturity as of December 31, 2024 are set forth below. The balances presented are based on their contractual maturities, although the actual maturities may differ due to prepayments of the underlying assets.

Table 5.3


	As of December 31, 2024
	Available-for-Sale Securities
	Amortized Cost(1)		Fair Value		Weighted- Average Yield
	(dollars in thousands)
Due within one year	$	871,516	$	869,749	4.20	%
Due after one year through five years	3,102,516		3,010,710		3.73	%
Due after five years through ten years	730,000		650,677		3.26	%
Due after ten years	1,131,626		983,410		3.82	%
Total	$	5,835,658	$	5,514,546	3.75	%

(1)Amounts presented exclude $57.5 million of accrued interest receivable.


	As of December 31, 2024
	Held-to-Maturity Securities
	Amortized Cost(1)		Fair Value		Weighted- Average Yield
	(dollars in thousands)
Due within one year	$	1,094,388	$	1,089,152	4.41	%
Due after one year through five years	1,021,370		1,006,240		4.08	%
Due after five years through ten years	296,135		263,383		3.72	%
Due after ten years	2,676,507		2,454,849		4.23	%
Total	$	5,088,400	$	4,813,624	4.25	%

(1)Amounts presented exclude $59.8 million of accrued interest receivable.