Securities (Tables)

3 Months Ended

Mar. 31, 2019


	March 31, 2019
			Gross		Gross
	Amortized		Unrealized		Unrealized		Estimated
(dollars in thousands)	Cost		Gains		Losses		Fair Value
Securities available for sale (AFS)
Asset-backed securities issued by GSEs and U.S. Agencies
Residential Mortgage Backed Securities ("MBS")	$	12,343	$	27	$	126	$	12,244
Residential Collateralized Mortgage Obligations ("CMOs")		104,772		754		1,014		104,512
U.S. Agency		11,938		19		313		11,644
Total securities available for sale	$	129,053	$	800	$	1,453	$	128,400

Securities held to maturity (HTM)
Asset-backed securities issued by GSEs and U.S. Agencies
Residential MBS	$	25,191	$	124	$	192	$	25,123
Residential CMOs		52,074		188		842		51,420
U.S. Agency		10,319		31		188		10,162
Asset-backed securities issued by Others:
Residential CMOs		465		—		19		446

Callable GSE Agency Bonds		5,007		—		31		4,976
Certificates of Deposit Fixed		950		—		—		950
U.S. government obligations		1,489		—		1		1,488
Total securities held to maturity	$	95,495	$	343	$	1,273	$	94,565

Equity securities carried at fair value through income
CRA investment fund	$	4,511	$	—	$	—	$	4,511
Non-marketable equity securities
Other equity securities	$	209	$	—	$	—	$	209


	December 31, 2018
			Gross		Gross
	Amortized		Unrealized		Unrealized		Estimated
(dollars in thousands)	Cost		Gains		Losses		Fair Value
Securities available for sale (AFS)
Asset-backed securities issued by GSEs and U.S. Agencies
Residential MBS	$	7,641	$	1	$	281	$	7,361
Residential CMOs		102,411		199		1,870		100,740
U.S. Agency		12,472		9		606		11,875
Total securities available for sale	$	122,524	$	209	$	2,757	$	119,976

Securities held to maturity (HTM)
Asset-backed securities issued by GSEs and U.S. Agencies
Residential MBS	$	25,948	$	75	$	756	$	25,267
Residential CMOs		52,375		64		1,360		51,079
U.S. Agency		10,507		7		404		10,110
Asset-backed securities issued by Others:
Residential CMOs		483		—		41		442

Callable GSE Agency Bonds		5,009		—		110		4,899
Certificates of Deposit Fixed		950		—		—		950
U.S. government obligations		999		—		1		998
Total securities held to maturity	$	96,271	$	146	$	2,672	$	93,745

Equity securities carried at fair value through income
CRA investment fund	$	4,428	$	—	$	—	$	4,428
Non-marketable equity securities
Other equity securities	$	209	$	—	$	—	$	209

Credit Quality of Asset-Backed Securities and Agency Bonds

The tables below present the Standard & Poor’s (“S&P”) or equivalent credit rating from other major rating agencies for AFS and HTM securities at March 31, 2019 and December 31, 2018 by carrying value. The Company considers noninvestment grade securities rated BB+ or lower as classified assets for regulatory and financial reporting. GSE asset-backed securities and GSE agency bonds with S&P AA+ ratings were treated as AAA based on regulatory guidance.


March 31, 2019			December 31, 2018
Credit Rating		Amount	Credit Rating		Amount
(dollars in thousands)
AAA	$	223,430	AAA	$	215,764
BB		465	BB		483
B+		—	B+		—
Total	$	223,895	Total	$	216,247

Available-For-Sale Securities [Member]

Schedule of Unrealized Loss on Investments

AFS Securities

Gross unrealized losses and estimated fair value by length of time that individual AFS securities have been in a continuous unrealized loss position at March 31, 2019, and December 31, 2018 were as follows:


March 31, 2019	Less Than 12				More Than 12
	Months				Months				Total
			Unrealized				Unrealized				Unrealized
(dollars in thousands)	Fair Value		Loss		Fair Value		Loss		Fair Value		Losses
Asset-backed securities issued by GSEs and U.S. Agencies	$	6,789	$	23	$	55,540	$	1,430	$	62,329	$	1,453
	$	6,789	$	23	$	55,540	$	1,430	$	62,329	$	1,453


December 31, 2018	Less Than 12				More Than 12
	Months				Months				Total
			Unrealized				Unrealized				Unrealized
(dollars in thousands)	Fair Value		Loss		Fair Value		Loss		Fair Value		Losses
Asset-backed securities issued by GSEs and U.S. Agencies	$	30,095	$	163	$	54,846	$	2,594	$	84,941	$	2,757
	$	30,095	$	163	$	54,846	$	2,594	$	84,941	$	2,757

Held-To-Maturity Securities [Member]

Schedule of Unrealized Loss on Investments

HTM Securities

Gross unrealized losses and estimated fair value by length of time that the individual HTM securities have been in a continuous unrealized loss position at March 31, 2019 and December 31, 2018 were as follows:


March 31, 2019	Less Than 12				More Than 12
	Months				Months				Total
			Unrealized				Unrealized				Unrealized
(dollars in thousands)	Fair Value		Loss		Fair Value		Loss		Fair Value		Losses
Asset-backed securities issued by GSEs and U.S. Agencies	$	2,732	$	12	$	56,849	$	1,211	$	59,581	$	1,223
Callable GSE Agency Bonds		—		—		4,976		31		4,976		31
Asset-backed securities issued by Others		—		—		446		19		446		19
	$	2,732	$	12	$	62,271	$	1,261	$	65,003	$	1,273


December 31, 2018	Less Than 12				More Than 12
	Months				Months				Total
			Unrealized				Unrealized				Unrealized
(dollars in thousands)	Fair Value		Loss		Fair Value		Loss		Fair Value		Losses
Asset-backed securities issued by GSEs and U.S. Agencies	$	6,955	$	38	$	70,752	$	2,483	$	77,707	$	2,521
Callable GSE Agency Bonds		—		—		4,899		110		4,899		110
Asset-backed securities issued by Others		—		—		441		41		441		41
	$	6,955	$	38	$	76,092	$	2,634	$	83,047	$	2,672