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Fair Value of Financial Instruments (Tables)
12 Months Ended
Dec. 31, 2023
Fair Value Disclosures [Abstract]  
Schedule of Company's Financial Instruments Measured at Fair Value on a Recurring Basis
The following fair value hierarchy tables present information about the Company’s financial assets and liabilities measured at fair value on a recurring basis at the dates indicated:
 December 31, 2023
 Fair Value Measurement Using 
(Dollars in thousands)Level 1Level 2Level 3Total
Fair Value
Financial assets
AFS investment securities:    
U.S. Treasury$— $539,256 $— $539,256 
Agency— 1,868 — 1,868 
Corporate— 446,343 — 446,343 
Collateralized mortgage obligation— 152,604 — 152,604 
Total AFS investment securities$— $1,140,071 $— $1,140,071 
Equity securities
$759 $— $— $759 
Derivative assets:
Foreign exchange contracts$$— $— $
Interest rate swaps (1)
— 5,643 — 5,643 
Total derivative assets$$5,643 $— $5,644 
Financial liabilities
Derivative liabilities:
Foreign exchange$10 $— $— $10 
Interest rate swaps— 10,705 — 10,705 
Total derivative liabilities$10 $10,705 $— $10,715 
_______________________________________________________
(1) Represents amounts after the application of variation margin payments as settlements with central counterparties, where applicable. See Note 19 – Derivative Instruments for additional information.
 December 31, 2022
 Fair Value Measurement Using 
(Dollars in thousands)Level 1Level 2Level 3Total
Fair Value
Financial assets
AFS investment securities:    
U.S. Treasury$— $47,017 $— $47,017 
Agency— 431,438 $— 431,438 
Corporate— 542,548 $— 542,548 
Collateralized mortgage obligation— 764,229 — 764,229 
Mortgage-backed securities— 815,781 — 815,781 
Total AFS investment securities$— $2,601,013 $— $2,601,013 
Equity securities (1)
$925 $— $— $13,526 
Derivative assets:
Foreign exchange contracts$$— $— $
Interest rate swaps— 7,053 $— 7,053 
Equity warrants— — 1,894 1,894 
Total derivative assets$$7,053 $1,894 $8,948 
Financial liabilities
Derivative liabilities:
Foreign exchange$$— $— $
Interest rate swaps— 12,530 — 12,530 
Total derivative liabilities$$12,530 $— $12,531 
_______________________________________________________
(1) Includes equity securities that are measured based on the NAV (or its equivalent) practical expedient of $12.6 million at December 31, 2022 and are excluded from the fair value hierarchy.
(2) Represents amounts after the application of variation margin payments as settlements with central counterparties, where applicable. See Note 19 – Derivative Instruments for additional information.
Schedule of Reconciliation of Fair Value of Equity Warrants
The following table is a reconciliation of the fair value of the equity warrants that are classified as Level 3 and measured on a recurring basis as of:
(Dollars in thousands)20232022
Beginning Balance$1,894 $1,889 
Change in fair value (1)
(432)
Net exercise
(1,462)— 
Ending balance$— $1,894 
______________________________________________________
(1) The changes in fair value are included in other income on the consolidated statements of income.
Schedule of Quantitative Information for Level 3 Fair Value Measurements
The following table presents quantitative information about Level 3 of fair value measurements for assets and measured at fair value on a recurring basis at December 31, 2022.
   Range
(Dollars in thousands)Fair ValueValuation Technique(s)Unobservable Input(s)MinMaxWeighted Average
December 31, 2022
Equity warrants$1,894 Black-Scholes
option pricing
model
Volatility
Risk-free interest rate
Marketability discount
30.00%
4.32%
6.00%
35.00%
4.41%
16.00%
31.14%
4.39%
13.60%
The following table presents quantitative information about Level 3 of fair value measurements for assets measured at fair value on a nonrecurring basis at December 31, 2023 and 2022.
   Range
(Dollars in thousands)Fair ValueValuation Technique(s)Unobservable Input(s)MinMaxWeighted Average
December 31, 2023
Investor loans secured by real estate
SBA secured by real estate (1)
$419 Fair value of collateralCost to sell10.00%10.00%10.00%
Commercial loans
Commercial and industrial1,150 Fair value of collateralCost to sell7.00%7.00%7.00%
Total individually evaluated loans1,569 
Other real estate owned248 Fair value of propertyCost to sell10.00%10.00%10.00%
Total assets$1,817 
December 31, 2022
Commercial loans
Commercial and industrial3,180 Fair value of collateralCollateral discount and cost to sell6.00%6.00%6.00%
Total individually evaluated loans$3,180 
_________________________________________________
(1) SBA loans that are collateralized by hotel/motel real property.
Schedule of Company's Financial Instruments Measured at Fair Value on a Nonrecurring Basis
The following table presents our assets measured at fair value on a nonrecurring basis at December 31, 2023 and 2022.
(Dollars in thousands)Level 1Level 2Level 3Total
Fair Value
December 31, 2023
Financial assets   
Collateral dependent loans$— $— $1,569 $1,569 
Other real estate owned— — 248 248 
Total assets$— $— $1,817 $1,817 

December 31, 2022
Financial assets    
Collateral dependent loans$— $— $3,180 $3,180 
Schedule of Carrying Amount and Estimated Fair Value of Financial Instruments
The fair value estimates presented herein are based on pertinent information available to management as of the dates indicated, representing an exit price.
 December 31, 2023
(Dollars in thousands)Carrying
Amount
Level 1Level 2Level 3Estimated
Fair Value
Assets:     
Cash and cash equivalents$936,473 $936,473 $— $— $936,473 
Interest-bearing time deposits with financial institutions995 995 — — 995 
HTM investment securities1,729,541 — 1,485,506 — 1,485,506 
AFS investment securities1,140,071 — 1,140,071 — 1,140,071 
Equity securities759 759 — — 759 
Loans held for investment, net13,289,020 — — 12,562,323 12,562,323 
Derivative assets (1)
5,644 5,643 — 5,644 
Accrued interest receivable68,516 — 68,516 — 68,516 
Liabilities:     
Deposit accounts14,995,626 — 15,003,769 — 15,003,769 
FHLB advances600,000 — 592,480 — 592,480 
Subordinated debentures331,842 — 320,687 — 320,687 
Derivative liabilities10,715 10 10,705 — 10,715 
Accrued interest payable18,671 — 18,671 — 18,671 
_________________________________________________________
(1) Represents amounts after the application of variation margin payments as settlements with central counterparties, where applicable. See Note 19 – Derivative Instruments for additional information.
 December 31, 2022
(Dollars in thousands)Carrying
Amount
Level 1Level 2Level 3Estimated
Fair Value
Assets:     
Cash and cash equivalents$1,101,249 $1,101,249 $— $— $1,101,249 
Interest-bearing time deposits with financial institutions1,734 1,734 — — 1,734 
HTM investment securities1,388,103 — 1,097,096 — 1,097,096 
AFS investment securities2,601,013 — 2,601,013 — 2,601,013 
Equity securities (1)
13,526 925 — — 13,526 
Loans held for sale2,643 — 2,755 — 2,755 
Loans held for investment, net14,676,298 — — 13,846,403 13,846,403 
Derivative assets (2)
8,948 7,053 1,894 8,948 
Accrued interest receivable73,784 — 73,784 — 73,784 
Liabilities: 
Deposit accounts17,352,401 — 17,334,219 — 17,334,219 
FHLB advances1,000,000 — 982,695 — 982,695 
Subordinated debentures331,204 — 327,609 — 327,609 
Derivative liabilities12,531 12,530 — 12,531 
Accrued interest payable14,661 — 14,661 — 14,661 
_______________________________________________________
(1) Includes equity securities that are measured based on the NAV (or its equivalent) practical expedient of $12.6 million at December 31, 2022 and are excluded from the fair value hierarchy.
(2) Represents amounts after the application of variation margin payments as settlements with central counterparties, where applicable. See Note 19 – Derivative Instruments for additional information.