NOTE 4 - INVESTMENT SECURITIES

The following table summarizes the amortized cost and fair value of securities available for sale and securities held to maturity at March 31, 2019 and December 31, 2018 and the corresponding amounts of gross unrealized gains and losses recognized in accumulated other comprehensive loss and gross unrecognized losses (dollars in thousands):


			Gross		Gross
			Unrealized/		Unrealized/
	Amortized		Unrecognized		Unrecognized
At March 31, 2019	Cost		Gains		Losses		Fair Value
Debt securities available-for-sale
Residential mortgage-backed securities	$	20,914	$	35	$	(243)	$	20,706
Residential collateralized mortgage obligations		2,107		—		(76)		2,031
Commercial mortgage-backed securities		5,859		66		—		5,925
Municipal bond		1,068		1		—		1,069
Total securities available-for-sale	$	29,948	$	102	$	(319)	$	29,731

Held-to-maturity securities:
Residential mortgage-backed securities	$	4,367	$	—	$	(97)	$	4,270
Foreign government securities		25		—		—		25
Total securities held-to-maturity	$	4,392	$	—	$	(97)	$	4,295

Marketable equity securities:
CRA Mutual Fund	$	2,220	$	—	$	(71)	$	2,149
Total non-trading equity investment securities	$	2,220	$	—	$	(71)	$	2,149


			Gross		Gross
			Unrealized/		Unrealized/
	Amortized		Unrecognized		Unrecognized
At December 31, 2018	Cost		Gains		Losses		Fair Value
Debt securities available-for-sale
Residential mortgage-backed securities	$	21,880	$	3	$	(486)	$	21,397
Residential collateralized mortgage obligations		2,213		—		(97)		2,116
Commercial mortgage-backed securities		5,874		—		(25)		5,849
Municipal bond		1,074		3		—		1,077
Total securities available-for-sale	$	31,041	$	6	$	(608)	$	30,439

Held-to-maturity securities:
Residential mortgage-backed securities	$	4,546	$	—	$	(168)	$	4,378
Foreign government securities		25		—		—		25
Total securities held-to-maturity	$	4,571	$	—	$	(168)	$	4,403

Marketable equity securities:
CRA Mutual Fund	$	2,208	$	—	$	(98)	$	2,110
Total non-trading equity investment securities	$	2,208	$	—	$	(98)	$	2,110

There were no sales or calls of securities for the three months ended March 31, 2019 and March 31, 2018.

The amortized cost and fair value of debt securities at March 31, 2019 and December 31, 2018 are shown by contractual maturity. Expected maturities may differ from contractual maturities if borrowers have the right to call or prepay obligations with or without call or prepayment penalties (dollars in thousands):


	Held to Maturity				Available for Sale
At March 31, 2019	Amortized Cost		Fair Value		Amortized Cost		Fair Value
Within one year	$	25	$	25	$	256	$	256
One to five years		—		—		—		—
Five to ten years		—		—		—		—
Due after ten years		—		—		812		813
Total	$	25	$	25	$	1,068	$	1,069

Residential mortgage-backed securities	$	4,367	$	4,270	$	20,914	$	20,706
Residential collateralized mortgage obligations		—		—		2,107		2,031
Commercial mortgage-backed securities		—		—		5,859		5,925
Total Securities	$	4,392	$	4,295	$	29,948	$	29,731


	Held to Maturity				Available for Sale
At December 31, 2018	Amortized Cost		Fair Value		Amortized Cost		Fair Value
Within one year	$	25	$	25	$	257	$	258
One to five years		—		—		—		—
Five to ten years		—		—		—		—
Due after ten years		—		—		817		819
Total	$	25	$	25	$	1,074	$	1,077

Residential mortgage-backed securities	$	4,546	$	4,378	$	21,880	$	21,397
Residential collateralized mortgage obligations		—		—		2,213		2,116
Commercial mortgage-backed securities		—		—		5,874		5,849
Total Securities	$	4,571	$	4,403	$	31,041	$	30,439

There were no securities pledged to secure borrowings at March 31, 2019 and December 31, 2018.

At March 31, 2019 and December 31, 2018, all of the mortgage-backed securities and collateralized mortgage obligations held by the Bank were issued by U.S. Government-sponsored entities and agencies, primarily Fannie Mae and Freddie Mac.

Securities with unrealized/unrecognized losses at March 31, 2019 and December 31, 2018, aggregated by investment category and length of time that individual securities have been in a continuous unrealized/unrecognized loss position, are as follows (dollars in thousands):


	Less than 12 Months				12 months or more				Total
			Unrealized/				Unrealized/				Unrealized/
	Estimated		Unrecognized		Estimated		Unrecognized		Estimated		Unrecognized
At March 31, 2019	Fair Value		Losses		Fair Value		Losses		Fair Value		Losses
Debt securities available-for-sale
Residential mortgage-backed securities	$	—	$	—	$	15,812	$	(243)	$	15,812	$	(243)
Residential collateralized mortgage obligations		—		—		2,031		(76)		2,031		(76)
Total securities available-for-sale	$	—	$	—	$	17,843	$	(319)	$	17,843	$	(319)

Held-to-maturity securities:
Residential mortgage-backed securities	$	—	$	—	$	4,270	$	(97)	$	4,270	$	(97)
Total securities held-to-maturity	$	—	$	—	$	4,270	$	(97)	$	4,270	$	(97)


	Less than 12 Months				12 months or more				Total
			Unrealized/				Unrealized/				Unrealized/
	Estimated		Unrecognized		Estimated		Unrecognized		Estimated		Unrecognized
At December 31, 2018	Fair Value		Losses		Fair Value		Losses		Fair Value		Losses
Debt securities available-for-sale
Residential mortgage-backed securities	$	10,374	$	(73)	$	7,774	$	(413)	$	18,148	$	(486)
Residential collateralized mortgage obligations		—		—		2,116		(97)		2,116		(97)
Commercial mortgage-backed securities		—		—		5,849		(25)		5,849		(25)
Total securities available-for-sale	$	10,374	$	(73)	$	15,739	$	(535)	$	26,113	$	(608)

Held-to-maturity securities:
Residential mortgage-backed securities	$	—	$	—	$	4,378	$	(168)	$	4,378	$	(168)
Total securities held-to-maturity	$	—	$	—	$	4,378	$	(168)	$	4,378	$	(168)

The unrealized losses of securities are primarily due to the changes in market interest rates subsequent to purchase. The Bank does not consider these securities to be other-than-temporarily impaired at March 31, 2019 and December 31, 2018 since the decline in market value is attributable to changes in interest rates and not credit quality. In addition, the Bank does not intend to sell and does not believe that it is more likely than not that it will be required to sell these investments until there is a full recovery of the unrealized loss, which may be at maturity. As a result, no impairment loss was recognized during the three months ended March 31, 2019 and for the year ended December 31, 2018.

At March 31, 2019 and December 31, 2018, there were no holdings of securities of any one issuer, other than the U.S. Government and its agencies, in an amount greater than 10% of stockholders’ equity.