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Investment Securities
 3 Months Ended
Mar. 31, 2025
Investments, Debt and Equity Securities [Abstract]  
Investment Securities
NOTE 3—INVESTMENT SECURITIES
Our investment securities portfolio consists of the following: U.S. government-sponsored enterprise or agency (“GSE” or “Agency”) and non-agency residential mortgage-backed securities (“RMBS”), agency commercial mortgage-backed securities (“CMBS”), U.S. Treasury securities and other securities. Agency securities include Government National Mortgage Association (“Ginnie Mae”) guaranteed securities, Federal National Mortgage Association (“Fannie Mae”) and Federal Home Loan Mortgage Corporation (“Freddie Mac”) issued securities. The carrying value of our investments in Agency and U.S. Treasury securities represented 97% and 96% of our total investment securities portfolio as of March 31, 2025 and December 31, 2024, respectively.
The table below presents the amortized cost, allowance for credit losses, gross unrealized gains and losses and fair value aggregated by major security type as of March 31, 2025 and December 31, 2024. Accrued interest receivable of $291 million and $262 million as of March 31, 2025 and December 31, 2024, respectively, is not included in the table below.
Table 3.1: Investment Securities Available for Sale
March 31, 2025
(Dollars in millions)Amortized
Cost		Allowance
 for Credit
 Losses		Gross
Unrealized
Gains		Gross
Unrealized
Losses		Fair
Value
Investment securities available for sale:
U.S. Treasury securities$6,222 $0 $5 $(6)$6,221 
RMBS:
Agency74,163 0 105 (8,273)65,995 
Non-agency557 (3)71 (4)621 
Total RMBS74,720 (3)176 (8,277)66,616 
Agency CMBS8,437 0 24 (487)7,974 
Other securities(1)
3,548 0 4 (1)3,551 
Total investment securities available for sale$92,927 $(3)$209 $(8,771)$84,362 
 December 31, 2024
(Dollars in millions)Amortized
Cost		Allowance
 for Credit
 Losses		Gross
Unrealized
Gains		Gross
Unrealized
Losses		Fair
Value
Investment securities available for sale:
U.S. Treasury securities$6,114 $0 $5 $(9)$6,110 
RMBS:
Agency74,177 0 57 (9,527)64,707 
Non-agency567 (4)64 (6)621 
Total RMBS74,744 (4)121 (9,533)65,328 
Agency CMBS8,389 0 17 (581)7,825 
Other securities(1)
3,748 0 5 (3)3,750 
Total investment securities available for sale$92,995 $(4)$148 $(10,126)$83,013 
__________
(1)Includes $1.8 billion and $2.0 billion of asset-backed securities (“ABS”) as of March 31, 2025 and December 31, 2024, respectively. The remaining amount is primarily comprised of supranational bonds, foreign government bonds and U.S. agency debt bonds.
Investment Securities in a Gross Unrealized Loss Position
The table below provides the gross unrealized losses and fair value of our securities available for sale aggregated by major security type and the length of time that individual securities have been in a continuous unrealized loss position as of March 31, 2025 and December 31, 2024. The amounts include securities available for sale without an allowance for credit losses.
Table 3.2: Securities in a Gross Unrealized Loss Position
March 31, 2025
Less than 12 Months12 Months or LongerTotal
(Dollars in millions)Fair ValueGross
Unrealized
Losses		Fair ValueGross
Unrealized
Losses		Fair ValueGross
Unrealized
Losses
Investment securities available for sale without an allowance for credit losses:
U.S. Treasury securities$1,711 $(4)$679 $(2)$2,390 $(6)
RMBS:
Agency7,457 (75)48,541 (8,198)55,998 (8,273)
Non-agency4 0 7 0 11 0 
Total RMBS7,461 (75)48,548 (8,198)56,009 (8,273)
Agency CMBS826 (4)5,462 (483)6,288 (487)
Other securities924 (1)11 0 935 (1)
Total investment securities available for sale in a gross unrealized loss position without an allowance for credit losses(1)
$10,922 $(84)$54,700 $(8,683)$65,622 $(8,767)
December 31, 2024
Less than 12 Months12 Months or LongerTotal
(Dollars in millions)Fair ValueGross
Unrealized
Losses		Fair ValueGross
Unrealized
Losses		Fair ValueGross
Unrealized
Losses
Investment securities available for sale without an allowance for credit losses:
U.S. Treasury securities$1,724 $(6)$931 $(3)$2,655 $(9)
RMBS:
Agency11,324 (178)48,707 (9,349)60,031 (9,527)
Non-agency3 0 11 (1)14 (1)
Total RMBS11,327 (178)48,718 (9,350)60,045 (9,528)
Agency CMBS700 (7)5,677 (574)6,377 (581)
Other securities1,438 (3)0 0 1,438 (3)
Total investment securities available for sale in a gross unrealized loss position without an allowance for credit losses(1)
$15,189 $(194)$55,326 $(9,927)$70,515 $(10,121)
__________
(1)    Consists of approximately 2,480 and 2,740 securities in gross unrealized loss positions as of March 31, 2025 and December 31, 2024, respectively.
Maturities and Yields of Investment Securities
The table below summarizes, as of March 31, 2025, the fair value of our investment securities by major security type and contractual maturity as well as the total fair value, amortized cost and weighted-average yields of our investment securities by contractual maturity. Since borrowers may have the right to call or prepay certain obligations, the expected maturities of our securities are likely to differ from the scheduled contractual maturities presented below. The weighted-average yield below represents the effective yield for the investment securities presented on a pre-tax basis and is calculated based on the amortized cost of each security, inclusive of the contractual coupon, the impact of any premium amortization or discount accretion and any hedge accounting relationships.
Table 3.3: Contractual Maturities and Weighted-Average Yields of Securities
March 31, 2025
(Dollars in millions)Due in
1 Year or Less		Due > 1 Year
through
5 Years		Due > 5 Years
through
10 Years		Due > 10 YearsTotal
Fair value of securities available for sale:
U.S. Treasury securities$3,242$920$2,059$0$6,221
RMBS(1):
Agency1671,10764,82065,995
Non-agency0022599621
Total RMBS1671,12965,41966,616
Agency CMBS(1)
8982,5542,5741,9487,974
Other securities1643,3672003,551
Total securities available for sale$4,305$6,908$5,782$67,367$84,362
Amortized cost of securities available for sale$4,312$7,013$6,050$75,552$92,927
Weighted-average yield for securities available for sale4.26%4.10%3.73%3.42%3.53%
__________
(1)As of March 31, 2025, the weighted-average expected maturities of RMBS and Agency CMBS were 7.7 years and 4.6 years, respectively.
Net Securities Gains or Losses and Proceeds from Sales
We had no sales of securities for both the three months ended March 31, 2025 and 2024.
Securities Pledged and Received
We pledged investment securities totaling $38.6 billion and $39.4 billion as of March 31, 2025 and December 31, 2024, respectively. These securities are primarily pledged to support our access to Federal Home Loan Bank (“FHLB”) advances and Public Fund Deposits, as well as for other purposes as required or permitted by law. We accepted pledges of securities with a fair value of approximately $5 million and $18 million as of March 31, 2025 and December 31, 2024, respectively, related to our derivative transactions.