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Securities
 9 Months Ended
Sep. 30, 2020
Marketable Securities [Abstract]  
Securities [Text Block] Securities
Trading Securities
 
The fair value and net unrealized gain (loss) included in trading securities are as follows (in thousands):
 
 September 30, 2020December 31, 2019
 Fair ValueNet Unrealized Gain (Loss)Fair ValueNet Unrealized Gain (Loss)
U.S. government agency debentures$5,181 $(1)$44,264 $6 
Residential agency mortgage-backed securities
2,150,759 (693)1,504,651 2,293 
Municipal and other tax-exempt securities30,533 (44)26,196 60 
Asset-backed securities— — 14,084 (21)
Other debt securities59,007 61 34,726 21 
Total trading securities$2,245,480 $(677)$1,623,921 $2,359 
Investment Securities
 
The amortized cost and fair values of investment securities are as follows (in thousands):
 September 30, 2020
 AmortizedFairGross Unrealized
 CostValueGainLoss
Municipal and other tax-exempt$76,109 $80,368 $4,259 $— 
Residential agency mortgage-backed securities
9,317 10,219 902 — 
Other debt securities171,314 194,342 23,227 (199)
Total investment securities256,740 284,929 28,388 (199)
Allowance for credit losses1
(739)
Investment securities, net of allowance256,001 284,929 28,388 (199)
1 Effective with the adoption of FASB ASU No. 2016-13, Financial Instruments - Credit Losses (Topic 326) on January 1, 2020.
 December 31, 2019
 AmortizedFairGross Unrealized
 CostValueGainLoss
Municipal and other tax-exempt$93,653 $96,897 $3,250 $(6)
Residential agency mortgage-backed securities
10,676 11,164 488 — 
Other debt securities189,089 206,341 17,547 (295)
Total investment securities$293,418 $314,402 $21,285 $(301)
The amortized cost and fair values of investment securities at September 30, 2020, by contractual maturity, are as shown in the following table (dollars in thousands):
Less than
One Year		One to
Five Years		Six to
Ten Years		Over
Ten Years		Total
Weighted
Average
Maturity1
Fixed maturity debt securities:     
Amortized cost$30,455 $87,606 $120,073 $9,289 $247,423 4.94 
Fair value30,761 95,912 138,580 9,457 274,710  
Residential mortgage-backed securities:      
Amortized cost    $9,317 2
Fair value    10,219  
Total investment securities:      
Amortized cost    $256,740  
Fair value    284,929  
1Expected maturities may differ from contractual maturities, because borrowers may have the right to call or prepay obligations with or without penalty.
2The average expected lives of residential mortgage-backed securities were 4.58 years based upon current prepayment assumptions.

Temporarily Impaired Investment Securities
(in thousands):
September 30, 2020
 Number of SecuritiesLess Than 12 Months12 Months or LongerTotal
Fair
Value		Unrealized
Loss		Fair
Value		Unrealized
Loss		Fair
Value		Unrealized
Loss
Investment:       
Other debt securities8 3,026 68 2,043 131 5,069 199 
Total investment securities8 $3,026 $68 $2,043 $131 $5,069 $199 

December 31, 2019
 Number of SecuritiesLess Than 12 Months12 Months or LongerTotal
Fair
Value		Unrealized
Loss		Fair
Value		Unrealized
Loss		Fair
Value		Unrealized
Loss
Investment:       
Municipal and other tax-exempt
4 $1,001 $1 $1,706 $5 $2,707 $6 
Other debt securities13 275 1 8,041 294 8,316 295 
Total investment securities17 $1,276 $2 $9,747 $299 $11,023 $301 
Available for Sale Securities 

The amortized cost and fair value of available for sale securities are as follows (in thousands):
 September 30, 2020
 AmortizedFairGross Unrealized
 CostValueGainLoss
U.S. Treasury$500 $509 $9 $— 
Municipal and other tax-exempt50,050 51,601 1,648 (97)
Mortgage-backed securities:    
Residential agency9,033,728 9,384,998 354,669 (3,399)
Residential non-agency19,954 34,873 14,919 — 
Commercial agency3,221,538 3,334,409 114,244 (1,373)
Other debt securities10,936 10,879 — (57)
Total available for sale securities$12,336,706 $12,817,269 $485,489 $(4,926)
 December 31, 2019
 AmortizedFairGross Unrealized
 CostValueGainLoss
U.S. Treasury$1,598 $1,600 $2 $— 
Municipal and other tax-exempt1,789 1,861 72 — 
Mortgage-backed securities:   
Residential agency7,956,297 8,046,096 104,912 (15,113)
Residential non-agency25,968 41,609 15,641 — 
Commercial agency3,145,342 3,178,005 37,808 (5,145)
Other debt securities500 472 — (28)
Total available for sale securities$11,131,494 $11,269,643 $158,435 $(20,286)

The amortized cost and fair values of available for sale securities at September 30, 2020, by contractual maturity, are as shown in the following table (dollars in thousands):
Less than
One Year		One to
Five Years		Six to
Ten Years		Over
Ten Years		Total
Weighted
Average
Maturity1
Fixed maturity debt securities:
Amortized cost$70,791 $1,326,715 $1,282,122 $603,396 $3,283,024 8.02 
Fair value71,123 1,383,695 1,313,942 628,638 3,397,398 
Residential mortgage-backed securities:
Amortized cost$9,053,682 2
Fair value9,419,871 
Total available-for-sale securities:
Amortized cost$12,336,706 
Fair value12,817,269 
1Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without penalty.
2The average expected lives of residential mortgage-backed securities were 3.02 years based upon current prepayment assumptions.
Sales of available for sale securities resulted in gains and losses as follows (in thousands):
 Three Months Ended September 30,Nine Months Ended September 30,
 2020201920202019
Proceeds$1,034 $261,028 $206,979 $628,385 
Gross realized gains54 989 5,637 7,316 
Gross realized losses(66)(984)(66)(6,206)
Related federal and state income tax expense (benefit)(3)1 1,419 282 

The fair value of debt securities pledged as collateral for repurchase agreements, public trust funds on deposit and for other purposes, as required by law was $12.5 billion at September 30, 2020 and $10.1 billion at December 31, 2019. The secured parties do not have the right to sell or repledge these securities.

Temporarily Impaired Available for Sale Securities
(in thousands)
September 30, 2020
 Number of SecuritiesLess Than 12 Months12 Months or LongerTotal
Fair
Value		Unrealized
Loss		Fair
Value		Unrealized
Loss		Fair
Value		Unrealized
Loss
Available for sale:       
Municipal and other tax-exempt11 $19,768 $97 $— $— $19,768 $97 
Mortgage-backed securities:
    
Residential agency32 630,460 3,178 165,726 221 796,186 3,399 
Commercial agency29 264,836 923 253,378 450 518,214 1,373 
Other debt securities5 10,407 29 472 28 10,879 57 
Total available for sale securities77 $925,471 $4,227 $419,576 $699 $1,345,047 $4,926 

December 31, 2019
 Number of SecuritiesLess Than 12 Months12 Months or LongerTotal
Fair
Value		Unrealized
Loss		Fair
Value		Unrealized
Loss		Fair
Value		Unrealized
Loss
Available for sale:     
Mortgage-backed securities:
     
Residential agency
133 $1,352,597 $6,690 $686,002 $8,423 $2,038,599 $15,113 
Commercial agency
69 830,047 4,238 210,877 907 1,040,924 5,145 
Other debt securities1 — — 472 28 472 28 
Total available for sale securities
203 $2,182,644 $10,928 $897,351 $9,358 $3,079,995 $20,286 

Based on evaluations of impaired securities as of September 30, 2020, the Company does not intend to sell any impaired available for sale debt securities before fair value recovers to the current amortized cost and it is more-likely-than-not that the Company will not be required to sell impaired securities before fair value recovers, which may be maturity.
Fair Value Option Securities
 
Fair value option securities represent securities which the Company has elected to carry at fair value and are separately identified on the Consolidated Balance Sheets. Changes in the fair value are recognized in earnings as they occur. Certain securities are held as an economic hedge of the mortgage servicing rights. 

The fair value and net unrealized gain (loss) included in fair value option securities is as follows (in thousands):
 September 30, 2020December 31, 2019
 Fair ValueNet Unrealized Gain (Loss)Fair ValueNet Unrealized Gain (Loss)
U.S. Treasury
$— $— $9,917 $(48)
Residential agency mortgage-backed securities
134,756 4,926 1,088,660 14,109 
Total$134,756 $4,926 $1,098,577 $14,061