
Details of fixed income securities by category as of June 30, 2024
Table	7.1a
(In thousands)		Amortized Cost		Gross Unrealized Gains		Gross Unrealized (Losses)		Fair Value
U.S. Treasury securities and obligations of U.S. government corporations and agencies		$	270,158	$	66	$	(6,311)	$	263,913
Obligations of U.S. states and political subdivisions		2,068,272		2,141		(197,033)		1,873,380
Corporate debt securities		2,654,262		7,893		(130,214)		2,531,941
ABS		174,794		1,098		(2,020)		173,872
RMBS		381,258		2,459		(25,400)		358,317
CMBS		275,559		26		(12,759)		262,826
CLOs		291,461		542		(275)		291,728
Foreign government debt		4,487		—		(717)		3,770
Commercial paper		30,220		1		—		30,221
Total fixed income securities		$	6,150,471	$	14,226	$	(374,729)	$	5,789,968


Details of fixed income securities by category as of December 31, 2023
Table	7.1b

(In thousands)		Amortized Cost		Gross Unrealized Gains		Gross Unrealized (Losses)		Fair Value
U.S. Treasury securities and obligations of U.S. government corporations and agencies		$	167,995	$	51	$	(6,364)	$	161,682
Obligations of U.S. states and political subdivisions		2,092,754		5,159		(189,835)		1,908,078
Corporate debt securities		2,626,401		17,391		(128,211)		2,515,581
ABS		173,256		1,292		(3,275)		171,273
RMBS		347,132		4,297		(20,656)		330,773
CMBS		293,204		5		(15,752)		277,457
CLOs		327,467		37		(1,408)		326,096
Foreign government debt		4,486		—		(643)		3,843
Commercial paper		28,327		3		—		28,330
Total fixed income securities		$	6,061,022	$	28,235	$	(366,144)	$	5,723,113

We had $12.1 million and $12.2 million of investments at fair value on deposit with various states as of June 30, 2024 and December 31, 2023, respectively, due to regulatory requirements of those state insurance departments.

In connection with our insurance and reinsurance activities within MAC and MIC, insurance subsidiaries of MGIC, we are required to maintain assets in trusts for the benefit of contractual counterparties, which had investments at fair value of $197.9 million and $156.9 million at June 30, 2024 and December 31, 2023, respectively.

The amortized cost and fair values of fixed income securities at June 30, 2024, by contractual maturity, are shown in table 7.2 below. Actual maturities will differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. Because most mortgage and asset-backed securities provide periodic payments throughout their lives, they are listed in separate categories.


Fixed income securities maturity schedule
Table	7.2
		June 30, 2024
(In thousands)		Amortized cost		Fair Value
Due in one year or less		$	724,100	$	718,932
Due after one year through five years		1,549,563		1,498,402
Due after five years through ten years		1,797,579		1,670,721
Due after ten years		956,157		815,170
		5,027,399		4,703,225

ABS		174,794		173,872
RMBS		381,258		358,317
CMBS		275,559		262,826
CLOs		291,461		291,728
Total		$	6,150,471	$	5,789,968


Details of equity security investments as of June 30, 2024
Table	7.3a
(In thousands)		Cost		Fair Value Gains		Fair Value Losses		Fair Value
Equity securities		$	16,084	$	3	$	(1,451)	$	14,636


Details of equity security investments as of December 31, 2023
Table	7.3b
(In thousands)		Cost		Fair Value Gains		Fair Value Losses		Fair Value
Equity securities		$	16,025	$	5	$	(1,259)	$	14,771

The net gains (losses) on investments and other financial instruments and the proceeds from the sale of fixed income securities classified as available-for-sale securities are shown in table 7.4 below.


Details of net gains (losses) on investments and other financial instruments
Table	7.4	Three Months Ended June 30,		Six Months Ended June 30,
(in thousands)		2024	2023	2024	2023

Fixed income securities
Gains on sales		425	107	480	166
Losses on sales		(1,262)	(6,415)	(6,747)	(10,548)


Equity securities gains (losses)

Changes in fair value		(92)	(164)	(195)	196
Change in embedded derivative on Home Re Transactions		646	1,497	(2,330)	(2,479)
Other
Gains (losses) on sales		16	(6)	17	—
Market adjustment		(9)	(6)	(10)	(20)
Net gains (losses) on investments and other financial instruments		(276)	(4,987)	(8,785)	(12,685)

Proceeds from sales of fixed income securities		—	236,777	14,886	268,958

Our other invested assets balance includes an investment in FHLB stock that is carried at cost, which due to its nature approximates fair value. Ownership of FHLB stock provides access to a secured lending facility, subject to certain conditions, which includes requirements to post collateral and to maintain a minimum investment in FHLB stock.

Tables 7.5a and 7.5b below summarize, for all available-for-sale investments in an unrealized loss position at June 30, 2024 and December 31, 2023, the aggregate fair value and gross unrealized loss by the length of time those securities have been continuously in an unrealized loss position. The fair value amounts reported in tables 7.5a and 7.5b are estimated using the process described in Note 8 - “Fair Value Measurements” to these consolidated financial statements and in Note 3 - “Significant Accounting Policies” to the consolidated financial statements in our 2023 Annual Report on Form 10-K.


Unrealized loss aging for securities by type and length of time as of June 30, 2024
Table	7.5a
		Less Than 12 Months				12 Months or Greater				Total
(In thousands)		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
U.S. Treasury securities and obligations of U.S. government corporations and agencies		$	77,946	$	(159)	$	100,540	$	(6,152)	$	178,486	$	(6,311)
Obligations of U.S. states and political subdivisions		433,539		(3,733)		1,340,359		(193,300)		1,773,898		(197,033)
Corporate debt securities		704,646		(8,593)		1,362,682		(121,621)		2,067,328		(130,214)
ABS		53,203		(987)		40,590		(1,033)		93,793		(2,020)
RMBS		78,939		(4,990)		172,749		(20,410)		251,688		(25,400)
CMBS		2,767		(25)		261,570		(12,734)		264,337		(12,759)
CLOs		19,870		(274)		16,929		(1)		36,799		(275)
Foreign government debt		—		—		3,770		(717)		3,770		(717)

Total		$	1,370,910	$	(18,761)	$	3,299,189	$	(355,968)	$	4,670,099	$	(374,729)


Unrealized loss aging for securities by type and length of time as of December 31, 2023
Table	7.5b
		Less Than 12 Months				12 Months or Greater				Total
(In thousands)		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses		Fair Value		Unrealized Losses
U.S. Treasury securities and obligations of U.S. government corporations and agencies		$	26,550	$	(75)	$	98,359	$	(6,289)	$	124,909	$	(6,364)
Obligations of U.S. states and political subdivisions		275,727		(3,622)		1,200,533		(186,213)		1,476,260		(189,835)
Corporate debt securities		270,956		(6,060)		1,604,021		(122,151)		1,874,977		(128,211)
ABS		41,549		(1,234)		62,611		(2,041)		104,160		(3,275)
RMBS		44,867		(872)		176,349		(19,784)		221,216		(20,656)
CMBS		35,249		(391)		244,216		(15,361)		279,465		(15,752)
CLOs		—		—		274,729		(1,408)		274,729		(1,408)
Foreign government debt		—		—		3,843		(643)		3,843		(643)
Total		$	694,898	$	(12,254)	$	3,664,661	$	(353,890)	$	4,359,559	$	(366,144)

There were 1,188 and 1,021 securities in an unrealized loss position at June 30, 2024 and December 31, 2023, respectively. Based on current facts and circumstances, we believe the unrealized losses as of June 30, 2024 presented in table 7.5a above are not indicative of the ultimate collectability of the current amortized cost of the securities. The unrealized losses in all categories of our investments at June 30, 2024 were primarily caused by an increase in prevailing interest rates. We also rely upon estimates of several credit and non-credit factors in our review and evaluation of individual investments to determine whether a credit impairment exists. All of the securities in an unrealized loss position are current with respect to their interest obligations.