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Derivative Instruments (Tables)
9 Months Ended
Sep. 30, 2021
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of derivative instruments in statement of financial condition and statements of income related to cumulative basis adjustment for fair value hedges
The following amounts were recorded on the consolidated statement of financial condition related to cumulative basis adjustment for fair value hedges as of the dates indicated:

Line Item in the Statement of Financial Position in Which the Hedged Item is IncludedCarrying Amount of the Hedged AssetsCumulative Amount of Fair Value Hedging Adjustment Included in the Carrying Amount of the Hedged Assets
(Dollars in thousands)September 30, 2021December 31, 2020September 30, 2021December 31, 2020
Loans held for investment(1)
$298,973 $— $(1,027)$— 
Total$298,973 $— $(1,027)$— 
______________________________
(1) These amounts include the amortized cost basis of closed portfolios used to designate hedging relationships in which the hedged item is the last layer expected to be remaining at the end of the hedging relationship. At September 30, 2021, the amortized cost basis of the closed portfolios used in these hedging relationships was $815.2 million; the cumulative basis adjustments associated with these hedging relationships was $1.0 million; and the amounts of the designated hedged items were $300.0 million.
The following table presents the effect of fair value hedge accounting on the consolidated statements of income:
Three Months Ended
(Dollars in thousands)Location of Gain (Loss) Recognized in Income on Derivative InstrumentsSeptember 30, 2021
Gain (loss) on fair value hedging relationships:
Hedged itemsInterest Income$(1,027)
Derivatives designated as hedging instruments Interest Income932 
Schedule of derivative instruments
The following tables summarize the Company's derivative instruments included in other assets and other liabilities in the consolidated statements of financial condition:
September 30, 2021
Derivative AssetsDerivative Liabilities
(Dollars in thousands)NotionalFair ValueNotionalFair Value
Derivative instruments designated as hedging instruments:
Fair value hedge - interest rate swap contracts$300,000 $932 $— $— 
Total derivative designated as hedging instruments300,000 932 — — 
Derivative instruments not designated as hedging instruments:
Interest rate swaps contracts135,580 5,815 135,580 5,819 
Equity warrants— 1,895 — — 
Total derivative not designated as hedging instruments$135,580 $7,710 $135,580 $5,819 
Total derivatives435,580 8,642 135,580 5,819 

December 31, 2020
Derivative AssetsDerivative Liabilities
(Dollars in thousands)NotionalFair ValueNotionalFair Value
Derivative instruments not designated as hedging instruments:
Interest rate swaps contracts$145,181 $12,053 $145,181 $12,066 
Equity warrants— 1,914 — — 
Total derivative instruments$145,181 $13,967 $145,181 $12,066 
The following table summarizes the effect of the derivatives not designated as hedging instruments in the consolidated statements of income.
(Dollars in thousands)Three Months Ended September 30,Nine Months Ended September 30,
Derivatives Not Designated as Hedging Instruments:Location of Gain (Loss) Recognized in Income on Derivative Instruments2021202020212020
Interest rate productsOther income$$— $$— 
Other contractsOther income— 218 — 415 
Equity warrantsOther income(8)(31)(19)(35)
Total$(7)$187 $(10)$380