XML 22 R12.htm IDEA: XBRL DOCUMENT v3.26.1
AVAILABLE-FOR-SALE SECURITIES
 9 Months Ended
Jun. 30, 2026
Debt Securities, Available-for-Sale [Abstract]  
AVAILABLE-FOR-SALE SECURITIES AVAILABLE-FOR-SALE SECURITIES
The following table details the amortized costs and fair values of our available-for-sale securities. See Note 2 of our 2025 Form 10-K for a discussion of our accounting policies applicable to our available-for-sale securities. See Note 4 of this Form 10-Q for additional information regarding the fair value of available-for-sale securities.
$ in millionsCost basisGross
unrealized gains		Gross
unrealized losses		Fair value
June 30, 2026
Agency residential MBS$3,306 $2 $(247)$3,061 
Agency commercial MBS950 — (70)880 
Agency CMOs1,546 1 (142)1,405 
U.S. Treasuries532 — (1)531 
Other agency obligations139 — (2)137 
Non-agency residential MBS434 — (33)401 
Corporate bonds65 1 — 66 
Other15 1 (1)15 
Total available-for-sale securities$6,987 $5 $(496)$6,496 
September 30, 2025
Agency residential MBS$3,531 $3 $(265)$3,269 
Agency commercial MBS1,223 — (85)1,138 
Agency CMOs1,421 3 (147)1,277 
U.S. Treasuries429 1 — 430 
Other agency obligations229 — (2)227 
Non-agency residential MBS484 1 (32)453 
Corporate bonds79 1 (1)79 
Other14 1 — 15 
Total available-for-sale securities$7,410 $10 $(532)$6,888 

The amortized costs and fair values in the preceding table exclude $19 million and $18 million of accrued interest on available-for-sale securities as of June 30, 2026 and September 30, 2025, respectively, which was included in “Other receivables, net” on our Condensed Consolidated Statements of Financial Condition.

See Note 7 for additional information regarding available-for-sale securities pledged with the FHLB and FRB.
The following table details the contractual maturities, amortized costs, fair values and current yields for our available-for-sale securities.  Weighted-average yields are calculated on a taxable-equivalent basis based on estimated annual income divided by the average amortized cost of these securities. Since our MBS and CMO available-for-sale securities are backed by mortgages, actual maturities may differ from contractual maturities because borrowers may have the right to prepay obligations without prepayment penalties. As a result, the weighted-average life of our available-for-sale securities portfolio, after factoring in estimated prepayments, was approximately 3.8 years as of June 30, 2026.
June 30, 2026
$ in millionsWithin one yearAfter one but
within five years		After five but
within ten years		After ten yearsTotal
Agency residential MBS
Amortized cost
$1 $413 $1,567 $1,325 $3,306 
Fair value$1 $390 $1,428 $1,242 $3,061 
Weighted-average yield
2.18 %1.18 %1.35 %3.39 %2.14 %
Agency commercial MBS
Amortized cost
$161 $738 $8 $43 $950 
Fair value$159 $680 $7 $34 $880 
Weighted-average yield
1.65 %1.28 %1.21 %1.83 %1.37 %
Agency CMOs
Amortized cost
$— $— $29 $1,517 $1,546 
Fair value$— $— $27 $1,378 $1,405 
Weighted-average yield
— %— %1.46 %2.67 %2.64 %
U.S. Treasuries
Amortized cost
$205 $327 $— $— $532 
Fair value$205 $326 $— $— $531 
Weighted-average yield
3.98 %3.96 %— %— %3.97 %
Other agency obligations
Amortized cost
$27 $105 $— $7 $139 
Fair value$27 $103 $— $7 $137 
Weighted-average yield
3.08 %3.85 %— %3.06 %3.66 %
Non-agency residential MBS
Amortized cost
$— $— $— $434 $434 
Fair value$— $— $— $401 $401 
Weighted-average yield
— %— %— %3.96 %3.96 %
Corporate bonds
Amortized cost
$8 $48 $9 $— $65 
Fair value$8 $48 $10 $— $66 
Weighted-average yield
4.20 %4.62 %5.66 %— %4.72 %
Other
Amortized cost
$— $— $5 $10 $15 
Fair value$— $— $5 $10 $15 
Weighted-average yield
— %— %1.99 %6.30 %4.84 %
Total available-for-sale securities
Amortized cost
$402 $1,631 $1,618 $3,336 $6,987 
Fair value$400 $1,547 $1,477 $3,072 $6,496 
Weighted-average yield
2.98 %2.06 %1.37 %3.12 %2.46 %
The following table details the gross unrealized losses and fair values of securities that were in a loss position at the reporting period end, aggregated by investment category and length of time the individual securities have been in a continuous unrealized loss position.
Less than 12 months12 months or moreTotal
$ in millionsFair valueUnrealized
losses		Fair valueUnrealized
losses		Fair valueUnrealized
losses
June 30, 2026
Agency residential MBS
$365 $(3)$2,526 $(244)$2,891 $(247)
Agency commercial MBS
5 — 871 (70)876 (70)
Agency CMOs
401 (3)871 (139)1,272 (142)
U.S. Treasuries243 (1)8 — 251 (1)
Other agency obligations43 (1)95 (1)138 (2)
Non-agency residential MBS12 — 355 (33)367 (33)
Corporate bonds5 — 9 — 14 — 
Other 1 — 5 (1)6 (1)
Total$1,075 $(8)$4,740 $(488)$5,815 $(496)
September 30, 2025
Agency residential MBS
$23 $— $2,994 $(265)$3,017 $(265)
Agency commercial MBS
— — 1,129 (85)1,129 (85)
Agency CMOs
2 — 978 (147)980 (147)
U.S. Treasuries215 — 9 — 224 — 
Other agency obligations— — 227 (2)227 (2)
Non-agency residential MBS— — 380 (32)380 (32)
Corporate bonds— — 15 (1)15 (1)
Other1 — 5 — 6 — 
Total
$241 $— $5,737 $(532)$5,978 $(532)

At June 30, 2026, of the 830 available-for-sale securities in an unrealized loss position, 97 were in a continuous unrealized loss position for less than 12 months and 733 securities were in a continuous unrealized loss position for greater than 12 months.

During the three and nine months ended June 30, 2026, we received proceeds of $40 million from sales of available-for-sale securities resulting in insignificant gains. There were no sales of available-for-sale securities during the three months ended June 30, 2025. During the nine months ended June 30, 2025, we received proceeds of $78 million from sales of available-for-sale securities resulting in $2 million of losses. Such losses were reclassified from accumulated other comprehensive income/loss (“AOCI”) to “Other” revenue on the Condensed Consolidated Statements of Income and Comprehensive Income during the nine months ended June 30, 2025.