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Investment Fair Value Changes, Net
 9 Months Ended
Sep. 30, 2019
Investments, Debt and Equity Securities [Abstract]  
Investment Fair Value Changes, Net Investment Fair Value Changes, Net
The following table presents the components of Investment fair value changes, net, recorded in our consolidated statements of income for the three and nine months ended September 30, 2019 and 2018.
Table 20.1 – Investment Fair Value Changes
 
 
Three Months Ended September 30,
 
Nine Months Ended September 30,
(In Thousands)
 
2019
 
2018
 
2019
 
2018
Investment Fair Value Changes, Net
 
 
 
 
 
 
 
 
Changes in fair value of:
 
 
 
 
 
 
 
 
Residential loans held-for-investment at Redwood
 
$
7,667

 
$
(17,063
)
 
$
71,323

 
$
(71,058
)
Single-family rental loans held-for-investment
 
22

 
—

 
22

 
—

Residential bridge loans held-for-investment
 
(742
)
 
53

 
(1,363
)
 
53

Trading securities
 
15,275

 
6,314

 
55,577

 
2,429

Servicer advance investments
 
1,585

 
—

 
3,025

 
—

Excess MSRs
 
(1,635
)
 
—

 
(2,137
)
 
—

Shared home appreciation options
 
29

 
—

 
29

 
—

REO
 
(331
)
 
—

 
(470
)
 
—

Net investments in Legacy Sequoia entities (1)
 
(407
)
 
(248
)
 
(904
)
 
(976
)
Net investments in Sequoia Choice entities (1)
 
2,722

 
(943
)
 
8,866

 
43

Net investments in Freddie Mac SLST entities (1)
 
17,300

 
—

 
31,702

 
—

Net investments in Freddie Mac K-Series entities (1)
 
7,445

 
511

 
13,810

 
511

Risk-sharing investments
 
(53
)
 
(126
)
 
(191
)
 
(474
)
Risk management derivatives, net
 
(37,433
)
 
21,867

 
(144,548
)
 
82,391

Impairments on AFS securities
 
—

 
(33
)
 
—

 
(89
)
Investment Fair Value Changes, Net
 
$
11,444

 
$
10,332

 
$
34,741

 
$
12,830


(1)
Includes changes in fair value of the loans held-for-investment, REO and the ABS issued at the entities, which netted together represent the change in value of our investments at the consolidated VIEs.