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Investment Securities
 9 Months Ended
Sep. 30, 2025
Investments, Debt and Equity Securities [Abstract]  
Investment Securities Investment Securities
The amortized cost, gross unrealized gains and losses, and fair value of the Company’s AFS and HTM investment securities are as follows:
September 30, 2025Amortized
Cost		Gross
Unrealized
Gains		Gross
Unrealized
Losses		Fair
Value
Available for sale securities    
U.S. agency mortgage-backed securities$48,011 $— $3,555 $44,456 
U.S. Treasury securities8,009 3 226 7,786 
Corporate debt securities (1)
5,502 — 411 5,091 
Asset-backed securities (2)
4,429 — 148 4,281 
U.S. state and municipal securities597 — 35 562 
Non-agency commercial mortgage-backed securities121 — 8 113 
Other21 — 2 19 
Unallocated portfolio layer method (PLM) fair value basis adjustments (3)
8 — 8 — 
Total available for sale securities$66,698 $3 $4,393 $62,308 
Held to maturity securities    
U.S. agency mortgage-backed securities$136,693 $1,672 $10,106 $128,259 
Total held to maturity securities$136,693 $1,672 $10,106 $128,259 
December 31, 2024
Available for sale securities
U.S. agency mortgage-backed securities$57,262 $— $5,429 $51,833 
U.S. Treasury securities14,939 1 471 14,469 
Corporate debt securities (1)
10,166 — 587 9,579 
Asset-backed securities (2)
6,106 — 196 5,910 
U.S. state and municipal securities603 — 54 549 
Foreign government agency securities533 — 6 527 
Non-agency commercial mortgage-backed securities121 — 12 109 
Other21 — 3 18 
Unallocated PLM fair value basis adjustments (3)
(47)— (47)— 
Total available for sale securities$89,704 $1 $6,711 $82,994 
Held to maturity securities
U.S. agency mortgage-backed securities$146,453 $146 $13,994 $132,605 
Total held to maturity securities$146,453 $146 $13,994 $132,605 
(1) As of September 30, 2025 and December 31, 2024, approximately 15% and 35%, respectively, of the total AFS in corporate debt securities were issued by institutions in the financial services industry. Approximately 25% and 16% of the holdings of these securities were issued by institutions in the information technology industry as of September 30, 2025 and December 31, 2024, respectively. Approximately 24% and 18% of the holdings of these securities were issued by companies in the consumer staples industry as of September 30, 2025 and December 31, 2024, respectively.
(2) Approximately 71% and 62% of asset-backed securities held as of September 30, 2025 and December 31, 2024, respectively, were Federal Family Education Loan Program Asset-Backed Securities. Asset-backed securities collateralized by credit card receivables represented approximately 21% and 25% of the asset-backed securities held as of September 30, 2025 and December 31, 2024, respectively.
(3) This represents the amount of PLM fair value hedge basis adjustments related to AFS securities hedged in a closed portfolio. See Note 11 for more information on PLM hedge accounting.

At September 30, 2025, our banking subsidiaries had pledged investment securities with a fair value of $60.7 billion (collateral value of $56.3 billion) as collateral to secure borrowing capacity on secured credit facilities with the FHLB (see Note 9). Our banking subsidiaries also pledge investment securities as collateral to secure borrowing capacity at the Federal Reserve discount window, and had pledged securities with a fair value of $30.8 billion (collateral value of $29.7 billion) as collateral for this facility at September 30, 2025. The Company also pledges investment securities issued by federal agencies to secure certain trust deposits. The fair value and collateral value of these pledged securities was $1.7 billion at September 30, 2025.

At September 30, 2025, our banking subsidiaries had pledged HTM securities as collateral under repurchase agreements with external financial institutions and the FICC. HTM securities pledged were U.S. agency mortgage-backed securities with an aggregate amortized cost of $4.1 billion, of which $2.0 billion may be sold, repledged, or otherwise used by the counterparties. See Notes 9 and 12 for additional information on these repurchase agreements.
At September 30, 2025, the Company had pledged AFS securities consisting of U.S. Treasury securities with an aggregate fair value of $311 million as initial margin on interest rate swaps (see Notes 11 and 12). All of Schwab’s interest rate swaps are cleared through central counterparty (CCP) clearing houses which require the Company to post initial margin as collateral against potential losses. Initial margin is posted through futures commission merchants (FCM) which serve as the intermediary between the CCPs and Schwab. The FCM agreements governing our swaps allow for securities pledged as initial margin to be sold, repledged, or otherwise used by the FCM.

AFS securities with unrealized losses, aggregated by category and period of continuous unrealized loss, are as follows:
Less than 12 months12 months or longerTotal
September 30, 2025Fair
Value		Unrealized
Losses		Fair
Value		Unrealized
Losses		Fair
Value		Unrealized
Losses
Available for sale securities      
U.S. agency mortgage-backed securities (1)
$4 $— $44,416 $3,555 $44,420 $3,555 
U.S. Treasury securities (1)
757 — 5,380 226 6,137 226 
Corporate debt securities— — 5,092 411 5,092 411 
Asset-backed securities (1)
114 — 4,164 148 4,278 148 
U.S. state and municipal securities27 3 535 32 562 35 
Non-agency commercial mortgage-backed securities— — 113 8 113 8 
Other— — 19 2 19 2 
Total (2)
$902 $3 $59,719 $4,382 $60,621 $4,385 
December 31, 2024   
Available for sale securities   
U.S. agency mortgage-backed securities
$— $— $51,833 $5,429 $51,833 $5,429 
U.S. Treasury securities (1)
243 — 12,727 471 12,970 471 
Corporate debt securities— — 9,579 587 9,579 587 
Asset-backed securities (1)
12 — 5,888 196 5,900 196 
U.S. state and municipal securities— — 549 54 549 54 
Foreign government agency securities— — 527 6 527 6 
Non-agency commercial mortgage-backed securities— — 109 12 109 12 
Other— — 18 3 18 3 
Total (2)
$255 $— $81,230 $6,758 $81,485 $6,758 
(1) Unrealized losses less than 12 months amounts were less than $500 thousand.
(2) For purposes of this table, unrealized losses on AFS securities excludes the unallocated PLM fair value hedge basis adjustments of $8 million and $(47) million at September 30, 2025 and December 31, 2024, respectively.

At September 30, 2025, substantially all rated securities in the investment portfolios were investment grade. U.S. agency mortgage-backed securities do not have explicit credit ratings; however, management considers these to be of the highest credit quality and rating given the guarantee of principal and interest by the U.S. government or U.S. government-sponsored enterprises.

For a description of management’s quarterly evaluation of AFS securities in unrealized loss positions, see Item 8 – Note 2 in the 2024 Form 10-K. No amounts were recognized as credit loss expense and no securities were written down to fair value through earnings for the nine months ended September 30, 2025 and the year ended December 31, 2024. None of the Company’s AFS securities held as of September 30, 2025 and December 31, 2024 had an allowance for credit losses. All HTM securities as of September 30, 2025 and December 31, 2024 were U.S. agency mortgage-backed securities and therefore had no allowance for credit losses because expected nonpayment of the amortized cost basis is zero.

The Company had $372 million and $455 million of accrued interest for AFS and HTM securities as of September 30, 2025 and December 31, 2024, respectively. These amounts are excluded from the amortized cost basis and fair market value of AFS and HTM securities and included in other assets on the condensed consolidated balance sheets. There were no writeoffs of accrued interest receivable on AFS and HTM securities during the nine months ended September 30, 2025, or for the year ended December 31, 2024.
The following table presents the Company’s estimated effective duration, which reflects anticipated future payments, by category at September 30, 2025:
In years
Estimated effective duration, exclusive of derivatives:
AFS investment securities portfolio
2.5
AFS and HTM investment securities portfolio4.0
Estimated effective duration, inclusive of derivatives (1):
AFS investment securities portfolio
2.0
AFS and HTM investment securities portfolio3.8
(1) See Note 11 for additional discussion of the Company’s derivatives.

In the table below, mortgage-backed securities and other asset-backed securities have been allocated to maturity groupings based on final contractual maturities. As borrowers may have the right to call or prepay certain obligations underlying our investment securities, actual maturities may differ from the scheduled contractual maturities presented below.

The maturities of AFS and HTM investment securities are as follows:
September 30, 2025Within
1 year		After 1 year
through
5 years		After 5 years
through
10 years		After
10 years		Total
Available for sale securities     
U.S. agency mortgage-backed securities$1,433 $7,445 $14,476 $21,102 $44,456 
U.S. Treasury securities4,021 3,765 — — 7,786 
Corporate debt securities877 3,744 470 — 5,091 
Asset-backed securities132 1,001 446 2,702 4,281 
U.S. state and municipal securities2 231 318 11 562 
Non-agency commercial mortgage-backed securities— — — 113 113 
Other — — — 19 19 
Total fair value$6,465 $16,186 $15,710 $23,947 $62,308 
Total amortized cost (1)
$6,543 $17,192 $16,981 $25,974 $66,690 
Held to maturity securities     
U.S. agency mortgage-backed securities$588 $19,789 $26,519 $81,363 $128,259 
Total fair value$588 $19,789 $26,519 $81,363 $128,259 
Total amortized cost$592 $20,357 $27,439 $88,305 $136,693 
(1) For purposes of this table, the amortized cost of AFS securities excludes the unallocated PLM fair value hedge basis adjustments of $8 million at September 30, 2025.

Proceeds and gross realized gains and losses from sales of AFS investment securities are as follows:
Three Months Ended
September 30,		Nine Months Ended
September 30,
2025202420252024
Proceeds$1,206 $886 $5,411 $2,929 
Gross realized gains— — — — 
Gross realized losses10 10 50 30