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Investment Securities (Tables)
 6 Months Ended
Jun. 30, 2019
Investments, Debt and Equity Securities [Abstract]  
Carrying Amounts and Fair Values of Investment Securities
The carrying amounts and fair values of investment securities at June 30, 2019 and December 31, 2018 are summarized as follows:
 
 
June 30, 2019
 
 
Amortized Cost
 
Gross Unrealized Gains
 
Gross Unrealized (Losses)
 
Fair Value
 
 
(in thousands)
Held-to-maturity debt securities
 
 
 
 
 
 
 
 
Tax-exempt
 
$
435,997

 
$
30,861

 
$
—

 
$
466,858

 
 
 
 
 
 
 
 
 
Available-for-sale debt securities
 
 
 
 
 
 
 
 
CDO
 
$
50

 
$
14,976

 
$
—

 
$
15,026

Commercial MBS issued by GSEs
 
102,444

 
758

 
(2,361
)
 
100,841

Corporate debt securities
 
105,022

 
123

 
(6,817
)
 
98,328

Municipal securities
 
7,488

 
265

 
—

 
7,753

Private label residential MBS
 
949,699

 
5,605

 
(5,542
)
 
949,762

Residential MBS issued by GSEs
 
1,446,679

 
10,381

 
(3,744
)
 
1,453,316

Tax-exempt
 
541,879

 
20,023

 
(172
)
 
561,730

Trust preferred securities
 
32,000

 
—

 
(7,061
)
 
24,939

U.S. government sponsored agency securities
 
40,000

 
—

 
(95
)
 
39,905

U.S. treasury securities
 
1,495

 
2

 
(3
)
 
1,494

Total AFS debt securities
 
$
3,226,756

 
$
52,133

 
$
(25,795
)
 
$
3,253,094

 
 
 
 
 
 
 
 
 
Equity securities
 
 
 
 
 
 
 
 
CRA investments
 
$
52,516

 
$
—

 
$
(375
)
 
$
52,141

Preferred stock
 
60,871

 
1,964

 
(287
)
 
62,548

Total equity securities
 
$
113,387

 
$
1,964

 
$
(662
)
 
$
114,689


 
 
December 31, 2018
 
 
Amortized Cost
 
Gross Unrealized Gains
 
Gross Unrealized (Losses)
 
Fair Value
 
 
(in thousands)
Held-to-maturity debt securities
 
 
 
 
 
 
 
 
Tax-exempt
 
$
302,905

 
$
3,163

 
$
(7,420
)
 
$
298,648

 
 
 
 
 
 
 
 
 
Available-for-sale debt securities
 
 
 
 
 
 
 
 
CDO
 
$
50

 
$
15,277

 
$
—

 
$
15,327

Commercial MBS issued by GSEs
 
106,385

 
82

 
(6,361
)
 
100,106

Corporate debt securities
 
105,029

 
—

 
(5,649
)
 
99,380

Private label residential MBS
 
948,161

 
945

 
(24,512
)
 
924,594

Residential MBS issued by GSEs
 
1,564,181

 
1,415

 
(35,472
)
 
1,530,124

Tax-exempt
 
542,086

 
4,335

 
(7,753
)
 
538,668

Trust preferred securities
 
32,000

 
—

 
(3,383
)
 
28,617

U.S. government sponsored agency securities
 
40,000

 
—

 
(1,812
)
 
38,188

U.S. treasury securities
 
1,996

 
—

 
(12
)
 
1,984

Total AFS debt securities
 
$
3,339,888

 
$
22,054

 
$
(84,954
)
 
$
3,276,988

 
 
 
 
 
 
 
 
 
Equity securities
 
 
 
 
 
 
 
 
CRA investments
 
$
52,210

 
$
—

 
$
(1,068
)
 
$
51,142

Preferred stock
 
65,954

 
148

 
(2,183
)
 
63,919

Total equity securities
 
$
118,164

 
$
148

 
$
(3,251
)
 
$
115,061
Unrealized Losses and Fair Value of Investment Securities in Continuous Unrealized Loss Position
Information pertaining to securities with gross unrealized losses at June 30, 2019 and December 31, 2018, aggregated by investment category and length of time that individual securities have been in a continuous loss position follows: 
 
June 30, 2019
 
Less Than Twelve Months
 
More Than Twelve Months
 
Total
 
Gross Unrealized Losses
 
Fair Value
 
Gross Unrealized Losses
 
Fair Value
 
Gross Unrealized Losses
 
Fair Value
 
(in thousands)
Available-for-sale debt securities
 
 
 
 
 
 
 
 
 
 
 
Commercial MBS issued by GSEs
$
—

 
$
—

 
$
2,361

 
$
79,102

 
$
2,361

 
$
79,102

Corporate debt securities
—

 
—

 
6,817

 
93,183

 
6,817

 
93,183

Private label residential MBS
—

 
12,818

 
5,542

 
469,802

 
5,542

 
482,620

Residential MBS issued by GSEs
57

 
17,116

 
3,687

 
446,947

 
3,744

 
464,063

Tax-exempt
172

 
37,111

 
—

 
—

 
172

 
37,111

Trust preferred securities
—

 
—

 
7,061

 
24,939

 
7,061

 
24,939

U.S. government sponsored agency securities
—

 
—

 
95

 
34,905

 
95

 
34,905

U.S. treasury securities
—

 
—

 
3

 
995

 
3

 
995

Total AFS securities
$
229

 
$
67,045

 
$
25,566

 
$
1,149,873

 
$
25,795

 
$
1,216,918

 
December 31, 2018
 
Less Than Twelve Months
 
More Than Twelve Months
 
Total
 
Gross Unrealized Losses
 
Fair Value
 
Gross Unrealized Losses
 
Fair Value
 
Gross Unrealized Losses
 
Fair Value
 
(in thousands)
Held-to-maturity debt securities
 
 
 
 
 
 
 
 
 
 
 
Tax-exempt
$
3,868

 
$
91,095

 
$
3,552

 
$
69,991

 
$
7,420

 
$
161,086

 
 
 
 
 
 
 
 
 
 
 
 
Available-for-sale debt securities
 
 
 
 
 
 
 
 
 
 
 
Commercial MBS issued by GSEs
$
—

 
$
—

 
$
6,361

 
$
98,275

 
$
6,361

 
$
98,275

Corporate debt securities
16

 
5,013

 
5,633

 
94,367

 
5,649

 
99,380

Private label residential MBS
5,173

 
217,982

 
19,339

 
537,316

 
24,512

 
755,298

Residential MBS issued by GSEs
1,363

 
141,493

 
34,109

 
1,215,490

 
35,472

 
1,356,983

Tax-exempt
3,562

 
209,767

 
4,191

 
72,382

 
7,753

 
282,149

Trust preferred securities
—

 
—

 
3,383

 
28,617

 
3,383

 
28,617

U.S. government sponsored agency securities
—

 
—

 
1,812

 
38,188

 
1,812

 
38,188

U.S. treasury securities
—

 
—

 
12

 
1,984

 
12

 
1,984

Total AFS securities
$
10,114

 
$
574,255

 
$
74,840

 
$
2,086,619

 
$
84,954

 
$
2,660,874
Amortized Cost and Fair Value of Investment Securities by Contractual Maturities
The amortized cost and fair value of securities as of June 30, 2019, by contractual maturities, are shown below. MBS are shown separately as individual MBS are comprised of pools of loans with varying maturities. Therefore, these securities are listed separately in the maturity summary. 
 
 
June 30, 2019
 
 
Amortized Cost
 
Estimated Fair Value
 
 
(in thousands)
Held-to-maturity
 
 
 
 
Due in one year or less
 
$
10,100

 
$
10,139

After one year through five years
 
24,940

 
25,714

After ten years
 
400,957

 
431,005

Total HTM securities
 
$
435,997

 
$
466,858

 
 
 
 
 
Available-for-sale
 
 
 
 
Due in one year or less
 
$
3,781

 
$
3,789

After one year through five years
 
16,012

 
16,173

After five years through ten years
 
209,275

 
203,657

After ten years
 
498,866

 
525,556

Mortgage-backed securities
 
2,498,822

 
2,503,919

Total AFS securities
 
$
3,226,756

 
$
3,253,094
Investment Securities by Credit Rating Type
The following tables summarize the carrying amount of the Company’s investment ratings position as of June 30, 2019 and December 31, 2018: 
 
 
June 30, 2019
 
 
AAA
 
Split-rated AAA/AA+
 
AA+ to AA-
 
A+ to A-
 
BBB+ to BBB-
 
BB+ and below
 
Unrated
 
Totals
 
 
(in thousands)
Held-to-maturity debt securities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Tax-exempt
 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

 
$
435,997

 
$
435,997

Available-for-sale debt securities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
CDO
 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

 
$
15,026

 
$
—

 
$
15,026

Commercial MBS issued by GSEs
 
—

 
100,841

 
—

 
—

 
—

 
—

 
—

 
100,841

Corporate debt securities
 
—

 
—

 
—

 
65,244

 
33,084

 
—

 
—

 
98,328

Municipal securities
 
—

 
—

 
—

 
—

 
—

 
—

 
7,753

 
7,753

Private label residential MBS
 
926,847

 
—

 
20,454

 
256

 
881

 
1,324

 
—

 
949,762

Residential MBS issued by GSEs
 
—

 
1,453,316

 
—

 
—

 
—

 
—

 
—

 
1,453,316

Tax-exempt
 
69,310

 
8,922

 
309,263

 
174,235

 
—

 
—

 
—

 
561,730

Trust preferred securities
 
—

 
—

 
—

 
—

 
24,939

 
—

 
—

 
24,939

U.S. government sponsored agency securities
 
—

 
39,905

 
—

 
—

 
—

 
—

 
—

 
39,905

U.S. treasury securities
 
—

 
1,494

 
—

 
—

 
—

 
—

 
—

 
1,494

Total AFS securities
 
$
996,157

 
$
1,604,478

 
$
329,717

 
$
239,735

 
$
58,904

 
$
16,350

 
$
7,753

 
$
3,253,094

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Equity securities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
CRA investments
 
$
—

 
$
25,375

 
$
—

 
$
—

 
$
—

 
$
—

 
$
26,766

 
$
52,141

Preferred stock
 
—

 
—

 
—

 
—

 
48,975

 
4,030

 
9,543

 
62,548

Total equity securities
 
$
—

 
$
25,375

 
$
—

 
$
—

 
$
48,975

 
$
4,030

 
$
36,309

 
$
114,689

(1)Where ratings differ, the Company uses an average of the available ratings by major credit agencies.
 
 
December 31, 2018
 
 
AAA
 
Split-rated AAA/AA+
 
AA+ to AA-
 
A+ to A-
 
BBB+ to BBB-
 
BB+ and below
 
Unrated
 
Totals
 
 
(in thousands)
Held-to-maturity debt securities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Tax-exempt
 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

 
$
302,905

 
$
302,905

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Available-for-sale debt securities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
CDO
 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

 
$
15,327

 
$
—

 
$
15,327

Commercial MBS issued by GSEs
 
—

 
100,106

 
—

 
—

 
—

 
—

 
—

 
100,106

Corporate debt securities
 
—

 
—

 
—

 
66,515

 
32,865

 
—

 
—

 
99,380

Private label residential MBS
 
887,520

 
—

 
34,342

 
343

 
947

 
1,442

 
—

 
924,594

Residential MBS issued by GSEs
 
—

 
1,530,124

 
—

 
—

 
—

 
—

 
—

 
1,530,124

Tax-exempt
 
66,160

 
12,146

 
306,409

 
152,330

 
—

 
—

 
1,623

 
538,668

Trust preferred securities
 
—

 
—

 
—

 
—

 
28,617

 
—

 
—

 
28,617

U.S. government sponsored agency securities
 
—

 
38,188

 
—

 
—

 
—

 
—

 
—

 
38,188

U.S. treasury securities
 
—

 
1,984

 
—

 
—

 
—

 
—

 
—

 
1,984

Total AFS securities
 
$
953,680

 
$
1,682,548

 
$
340,751

 
$
219,188

 
$
62,429

 
$
16,769

 
$
1,623

 
$
3,276,988

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Equity securities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
CRA investments
 
$
—

 
$
25,375

 
$
—

 
$
—

 
$
—

 
$
—

 
$
25,767

 
$
51,142

Preferred stock
 
—

 
—

 
—

 
—

 
45,771

 
3,693

 
14,455

 
63,919

Total equity securities
 
$
—

 
$
25,375

 
$
—

 
$
—

 
$
45,771

 
$
3,693

 
$
40,222

 
$
115,061


(1)
Where ratings differ, the Company uses an average of the available ratings by major credit agencies.
Gross Gains and (Losses) on Sales of Investment Securities here were no gains and losses recognized on sales of these investment securities during the three and six months ended June 30, 2019 and June 30, 2018