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Securities
 9 Months Ended
Sep. 30, 2018
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, 2018
 
December 31, 2017
 
September 30, 2017
 
 
Fair Value
 
Net Unrealized Gain (Loss)
 
Fair Value
 
Net Unrealized Gain (Loss)
 
Fair
Value
 
Net Unrealized Gain (Loss)
U.S. government agency debentures
 
$
80,692

 
$
21

 
$
21,196

 
$
8

 
$
30,162

 
$
(101
)
U.S. government agency residential mortgage-backed securities
 
1,378,450

 
(3,498
)
 
392,673

 
(517
)
 
516,760

 
723

Municipal and other tax-exempt securities
 
41,345

 
(161
)
 
13,559

 
83

 
56,148

 
153

Asset-backed securities
 
72,309

 
(100
)
 
23,885

 
(26
)
 
—

 
—

Other trading securities
 
40,604

 
5

 
11,363

 
4

 
11,047

 
23

Total trading securities
 
$
1,613,400

 
$
(3,733
)
 
$
462,676

 
$
(448
)
 
$
614,117

 
$
798


Investment Securities
 
The amortized cost and fair values of investment securities are as follows (in thousands):

 
 
September 30, 2018
 
 
Amortized
 
Fair
 
Gross Unrealized
 
 
Cost
 
Value
 
Gain
 
Loss
Municipal and other tax-exempt
 
$
157,723

 
$
158,230

 
$
1,403

 
$
(896
)
U.S. government agency residential mortgage-backed securities
 
13,234

 
13,201

 
205

 
(238
)
Other debt securities
 
203,082

 
211,462

 
10,721

 
(2,341
)
Total investment securities
 
$
374,039

 
$
382,893

 
$
12,329

 
$
(3,475
)

 
 
December 31, 2017
 
 
Amortized
 
Fair
 
Gross Unrealized
 
 
Cost
 
Value
 
Gain
 
Loss
Municipal and other tax-exempt
 
$
228,186

 
$
230,349

 
$
2,967

 
$
(804
)
U.S. government agency residential mortgage-backed securities
 
15,891

 
16,242

 
446

 
(95
)
Other debt securities
 
217,716

 
233,444

 
17,095

 
(1,367
)
Total investment securities
 
$
461,793

 
$
480,035

 
$
20,508

 
$
(2,266
)

 
 
September 30, 2017
 
 
Amortized
 
Fair
 
Gross Unrealized
 
 
Cost
 
Value
 
Gain
 
Loss
Municipal and other tax-exempt
 
$
246,000

 
$
249,250

 
$
3,415

 
$
(165
)
U.S. government agency residential mortgage-backed securities
 
16,926

 
17,458

 
594

 
(62
)
Other debt securities
 
203,636

 
223,187

 
20,141

 
(590
)
Total investment securities
 
$
466,562

 
$
489,895

 
$
24,150

 
$
(817
)



The amortized cost and fair values of investment securities at September 30, 2018, 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
Maturity²
Municipal and other tax-exempt:
 
 
 
 
 
 
 
 
 
 
 
 
Amortized cost
 
$
65,789

 
$
41,827

 
$
35,652

 
$
14,455

 
$
157,723

 
4.13

Fair value
 
65,633

 
41,432

 
36,677

 
14,488

 
158,230

 
 
Nominal yield¹
 
2.06
%
 
2.82
%
 
6.00
%
 
4.33
%
 
3.36
%
 
 
Other debt securities:
 
 

 
 

 
 

 
 

 
 

 
 
Amortized cost
 
14,847

 
60,825

 
115,587

 
11,823

 
203,082

 
7.23

Fair value
 
14,941

 
62,604

 
123,236

 
10,681

 
211,462

 
 
Nominal yield
 
4.17
%
 
4.70
%
 
5.76
%
 
4.34
%
 
5.25
%
 
 
Total fixed maturity securities:
 
 

 
 

 
 

 
 

 
 

 
 
Amortized cost
 
$
80,636

 
$
102,652

 
$
151,239

 
$
26,278

 
$
360,805

 
5.88

Fair value
 
80,574

 
104,036

 
159,913

 
25,169

 
369,692

 
 

Nominal yield
 
2.44
%
 
3.94
%
 
5.82
%
 
4.33
%
 
4.42
%
 
 

Residential mortgage-backed securities:
 
 

 
 

 
 

 
 

 
 

 
 

Amortized cost
 
 

 
 

 
 

 
 

 
$
13,234

 
³

Fair value
 
 

 
 

 
 

 
 

 
13,201

 
 

Nominal yield4
 
 

 
 

 
 

 
 

 
2.77
%
 
 

Total investment securities:
 
 

 
 

 
 

 
 

 
 

 
 

Amortized cost
 
 

 
 

 
 

 
 

 
$
374,039

 
 

Fair value
 
 

 
 

 
 

 
 

 
382,893

 
 

Nominal yield
 
 

 
 

 
 

 
 

 
4.36
%
 
 

1 
Calculated on a taxable equivalent basis using a 25 percent effective tax rate.
2 
Expected maturities may differ from contractual maturities, because borrowers may have the right to call or prepay obligations with or without penalty.
3 
The average expected lives of residential mortgage-backed securities were 5.2 years based upon current prepayment assumptions.
4 
The nominal yield on residential mortgage-backed securities is based upon prepayment assumptions at the purchase date. Actual yields earned may differ significantly based upon actual prepayments. See Quarterly Financial Summary - Unaudited for current yields on the investment securities portfolio.

Available for Sale Securities 

The amortized cost and fair value of available for sale securities are as follows (in thousands):
 
 
September 30, 2018
 
 
Amortized
 
Fair
 
Gross Unrealized
 
 
 
 
Cost
 
Value
 
Gain
 
Loss
 
OTTI
U.S. Treasury
 
$
495

 
$
490

 
$
—

 
$
(5
)
 
$
—

Municipal and other tax-exempt
 
4,269

 
4,349

 
81

 
(1
)
 
—

Residential mortgage-backed securities:
 
 

 
 

 
 

 
 

 
 

U. S. government agencies:
 
 

 
 

 
 

 
 

 
 

FNMA
 
3,057,570

 
2,959,457

 
1,653

 
(99,766
)
 
—

FHLMC
 
1,562,569

 
1,512,928

 
501

 
(50,142
)
 
—

GNMA
 
677,496

 
659,967

 
450

 
(17,979
)
 
—

Total U.S. government agencies
 
5,297,635

 
5,132,352

 
2,604

 
(167,887
)
 
—

Private issue
 
54,932

 
74,685

 
19,753

 
—

 
—

Total residential mortgage-backed securities
 
5,352,567


5,207,037


22,357


(167,887
)

—

Commercial mortgage-backed securities guaranteed by U.S. government agencies
 
2,905,974

 
2,834,691

 
1,363

 
(72,646
)
 
—

Other debt securities
 
25,502

 
25,447

 
11

 
(66
)
 
—

Total available for sale securities
 
$
8,288,807

 
$
8,072,014

 
$
23,812

 
$
(240,605
)
 
$
—


 
 
December 31, 2017
 
 
Amortized
 
Fair
 
Gross Unrealized
 
 
 
 
Cost
 
Value
 
Gain
 
Loss
 
OTTI
U.S. Treasury
 
$
1,000

 
$
1,000

 
$
—

 
$
—

 
$
—

Municipal and other tax-exempt
 
27,182

 
27,080

 
181

 
(283
)
 
—

Residential mortgage-backed securities:
 
 
 
 

 
 

 
 

 
 

U. S. government agencies:
 
 

 
 

 
 

 
 

 
 

FNMA
 
3,021,551

 
2,997,563

 
11,549

 
(35,537
)
 
—

FHLMC
 
1,545,971

 
1,531,009

 
3,148

 
(18,110
)
 
—

GNMA
 
787,626

 
780,580

 
1,607

 
(8,653
)
 
—

Total U.S. government agencies
 
5,355,148

 
5,309,152

 
16,304

 
(62,300
)
 
—

Private issue
 
74,311

 
93,221

 
19,301

 
—

 
(391
)
Total residential mortgage-backed securities
 
5,429,459


5,402,373


35,605


(62,300
)

(391
)
Commercial mortgage-backed securities guaranteed by U.S. government agencies
 
2,858,885

 
2,834,961

 
1,963

 
(25,887
)
 
—

Other debt securities
 
25,500

 
25,481

 
50

 
(69
)
 
—

Perpetual preferred stock
 
12,562

 
15,767

 
3,205

 
—

 
—

Equity securities and mutual funds
 
14,487

 
14,916

 
515

 
(86
)
 
—

Total available for sale securities
 
$
8,369,075

 
$
8,321,578

 
$
41,519

 
$
(88,625
)
 
$
(391
)


 
 
September 30, 2017
 
 
Amortized
 
Fair
 
Gross Unrealized
 
 
 
 
Cost
 
Value
 
Gain
 
Loss
 
OTTI
U.S. Treasury
 
$
1,000

 
$
999

 
$
—

 
$
(1
)
 
$
—

Municipal and other tax-exempt
 
28,411

 
28,368

 
240

 
(283
)
 
—

Residential mortgage-backed securities:
 
 
 
 
 
 
 
 
 
 
U. S. government agencies:
 
 

 
 

 
 

 
 

 
 

FNMA
 
3,103,869

 
3,108,822

 
25,510

 
(20,557
)
 
—

FHLMC
 
1,331,212

 
1,330,159

 
6,630

 
(7,683
)
 
—

GNMA
 
864,256

 
862,394

 
3,254

 
(5,116
)
 
—

Other
 
25,000

 
25,009

 
51

 
(42
)
 
—

Total U.S. government agencies
 
5,324,337

 
5,326,384

 
35,445

 
(33,398
)
 
—

Private issue
 
80,797

 
99,994

 
19,197

 
—

 
—

Total residential mortgage-backed securities
 
5,405,134


5,426,378


54,642


(33,398
)

—

Commercial mortgage-backed securities guaranteed by U.S. government agencies
 
2,899,828

 
2,889,346

 
5,577

 
(16,059
)
 
—

Other debt securities
 
4,400

 
4,153

 
—

 
(247
)
 
—

Perpetual preferred stock
 
12,562

 
16,245

 
3,683

 
—

 
—

Equity securities and mutual funds
 
17,803

 
17,710

 
655

 
(748
)
 
—

Total available for sale securities
 
$
8,369,138

 
$
8,383,199

 
$
64,797

 
$
(50,736
)
 
$
—



The amortized cost and fair values of available for sale securities at September 30, 2018, 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
Maturity4
U.S. Treasuries:
 
 
 
 
 
 
 
 
 
 
 
Amortized cost
$
—

 
$
495

 
$
—

 
$
—

 
$
495

 
1.34

Fair value
—

 
490

 
—

 
—

 
490

 
 
Nominal yield
—
%
 
1.99
%
 
—
%
 
—
%
 
1.99
%
 
 
Municipal and other tax-exempt:
 

 
 

 
 

 
 

 
 
 
 
Amortized cost
$
—

 
$
—

 
$
—

 
$
4,269

 
$
4,269

 
18.72

Fair value
—

 
—

 
—

 
4,349

 
4,349

 
 
Nominal yield¹
—
%
 
—
%
 
—
%
 
5.60
%
5 
5.60
%
 
 
Commercial mortgage-backed securities:
 
 
 
 
 
 
 
 
 
 
 
Amortized cost
$
74,694

 
$
1,070,820

 
$
1,449,084

 
$
311,376

 
$
2,905,974

 
7.11

Fair value
73,929

 
1,043,429

 
1,413,692

 
303,641

 
2,834,691

 
 
Nominal yield
1.70
%
 
2.02
%
 
2.24
%
 
2.45
%
 
2.17
%
 
 
Other debt securities:
 

 
 

 
 

 
 

 
 
 
 
Amortized cost
$
—

 
$
—

 
$
—

 
$
25,502

 
$
25,502

 
13.93

Fair value
—

 
—

 
—

 
25,447

 
25,447

 
 
Nominal yield
—
%
 
—
%
 
—
%
 
1.59
%
5 
1.59
%
 
 
Total fixed maturity securities:
 

 
 

 
 

 
 

 
 
 
 
Amortized cost
$
74,694

 
$
1,071,315

 
$
1,449,084

 
$
341,147

 
$
2,936,240

 
7.18

Fair value
73,929

 
1,043,919

 
1,413,692

 
333,437

 
2,864,977

 
 
Nominal yield
1.70
%
 
2.02
%
 
2.24
%
 
2.42
%
 
2.17
%
 
 
Residential mortgage-backed securities:
 

 
 

 
 

 
 

 
 
 
 
Amortized cost
 

 
 

 
 

 
 

 
$
5,352,567

 
2 

Fair value
 

 
 

 
 

 
 

 
5,207,037

 
 
Nominal yield3
 

 
 

 
 

 
 

 
2.24
%
 
 
Total available-for-sale securities:
 

 
 

 
 

 
 

 
 
 
 

Amortized cost
 

 
 

 
 

 
 

 
$
8,288,807

 
 

Fair value
 

 
 

 
 

 
 

 
8,072,014

 
 

Nominal yield
 

 
 

 
 

 
 

 
2.21
%
 
 

1 
Calculated on a taxable equivalent basis using a 25 percent effective tax rate.
2 
The average expected lives of mortgage-backed securities were 4.4 years based upon current prepayment assumptions.
3 
The nominal yield on mortgage-backed securities is based upon prepayment assumptions at the purchase date. Actual yields earned may differ significantly based upon actual prepayments. See Quarterly Financial Summary –– Unaudited following for current yields on available for sale securities portfolio.
4 
Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without penalty.
5 
Nominal yield on municipal and other tax-exempt securities and other debt securities with contractual maturity dates over ten years are based on variable rates which generally are reset within 35 days.

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,
 
2018
 
2017
 
2018
 
2017
Proceeds
$
45,293

 
$
265,632

 
$
232,826

 
$
966,044

Gross realized gains
250

 
2,768

 
700

 
7,623

Gross realized losses
—

 
(281
)
 
(1,502
)
 
(2,707
)
Related federal and state income tax expense (benefit)
64

 
967

 
(204
)
 
1,912



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 $8.0 billion at September 30, 2018, $7.3 billion at December 31, 2017 and $7.0 billion at September 30, 2017.

The secured parties do not have the right to sell or repledge these securities.


Temporarily Impaired Securities as of September 30, 2018
(in thousands):
 
 
Number of Securities
 
Less Than 12 Months
 
12 Months or Longer
 
Total
 
 
 
Fair
Value
 
Unrealized
Loss
 
Fair
Value
 
Unrealized
Loss
 
Fair
Value
 
Unrealized
Loss
Investment:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Municipal and other tax-exempt
 
85

 
$
46,618

 
$
277

 
$
54,149

 
$
619

 
$
100,767

 
$
896

U.S. government agency residential mortgage-backed securities
 
3

 
6,682

 
96

 
2,625

 
142

 
9,307

 
238

Other debt securities
 
93

 
38,441

 
2,035

 
4,714

 
306

 
43,155

 
2,341

Total investment securities
 
181

 
$
91,741

 
$
2,408

 
$
61,488

 
$
1,067

 
$
153,229

 
$
3,475


 
 
Number of Securities
 
Less Than 12 Months
 
12 Months or Longer
 
Total
 
 
 
Fair
Value
 
Unrealized
Loss
 
Fair
Value
 
Unrealized
Loss
 
Fair
Value
 
Unrealized
Loss
Available for sale:
 
 

 
 

 
 

 
 

 
 

 
 

 
 

U.S. Treasury
 
1

 
$
490

 
$
5

 
$
—

 
$
—

 
$
490

 
$
5

Municipal and other tax-exempt
 
2

 
1,046

 
1

 
—

 
—

 
1,046

 
1

Residential mortgage-backed securities:
 
 
 
 

 
 

 
 

 
 

 


 


U. S. government agencies:
 
 
 
 

 
 

 
 

 
 

 


 


FNMA
 
188

 
1,584,010

 
32,919

 
1,277,814

 
66,847

 
2,861,824

 
99,766

FHLMC
 
99

 
702,707

 
15,450

 
781,589

 
34,692

 
1,484,296

 
50,142

GNMA
 
38

 
285,731

 
5,326

 
253,506

 
12,653

 
539,237

 
17,979

Total U.S. government agencies
 
325


2,572,448


53,695


2,312,909


114,192


4,885,357


167,887

Private issue1
 
—

 
—

 
—

 
—

 
—

 
—

 
—

Total residential mortgage-backed securities
 
325

 
2,572,448

 
53,695

 
2,312,909

 
114,192

 
4,885,357

 
167,887

Commercial mortgage-backed securities guaranteed by U.S. government agencies
 
220

 
1,174,544

 
24,982

 
1,238,848

 
47,664

 
2,413,392

 
72,646

Other debt securities
 
2

 
—

 
—

 
20,435

 
66

 
20,435

 
66

Total available for sale securities
 
550

 
$
3,748,528


$
78,683


$
3,572,192


$
161,922


$
7,320,720


$
240,605


1 
Includes securities for which an unrealized loss remains in AOCI after an other-than-temporary credit loss has been recognized in income.

Temporarily Impaired Securities as of December 31, 2017
(In thousands)
 
 
Number of Securities
 
Less Than 12 Months
 
12 Months or Longer
 
Total
 
 
 
Fair
Value
 
Unrealized
Loss
 
Fair
Value
 
Unrealized
Loss
 
Fair
Value
 
Unrealized
Loss
Investment:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Municipal and other tax-exempt
 
100

 
$
145,960

 
$
643

 
$
5,833

 
$
161

 
$
151,793

 
$
804

U.S. government agency residential mortgage-backed securities
 
1

 
—

 
—

 
3,356

 
95

 
3,356

 
95

Other debt securities
 
49

 
20,091

 
1,238

 
3,076

 
129

 
23,167

 
1,367

Total investment securities
 
150

 
$
166,051

 
$
1,881

 
$
12,265

 
$
385

 
$
178,316

 
$
2,266


 
 
Number of Securities
 
Less Than 12 Months
 
12 Months or Longer
 
Total
 
 
 
Fair
Value
 
Unrealized
Loss
 
Fair
Value
 
Unrealized
Loss
 
Fair
Value
 
Unrealized
Loss
Available for sale:
 
 

 
 

 
 

 
 

 
 

 


 


U.S. Treasury
 
—

 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

 
$
—

Municipal and other tax-exempt
 
19

 
12,765

 
18

 
4,802

 
265

 
17,567

 
283

Residential mortgage-backed securities:
 
 

 
 

 
 

 
 

 
 

 


 


U. S. government agencies:
 
 

 
 

 
 

 
 

 
 

 


 


FNMA
 
113

 
1,203,041

 
9,618

 
824,029

 
25,919

 
2,027,070

 
35,537

FHLMC
 
69

 
863,778

 
7,297

 
385,816

 
10,813

 
1,249,594

 
18,110

GNMA
 
27

 
201,887

 
1,452

 
248,742

 
7,201

 
450,629

 
8,653

Total U.S. government agencies
 
209

 
2,268,706

 
18,367

 
1,458,587

 
43,933

 
3,727,293

 
62,300

Private issue1
 
8

 
5,898

 
391

 
—

 
—

 
5,898

 
391

Total residential mortgage-backed securities
 
217

 
2,274,604

 
18,758

 
1,458,587

 
43,933

 
3,733,191

 
62,691

Commercial mortgage-backed securities guaranteed by U.S. government agencies
 
185

 
1,465,703

 
11,824

 
652,296

 
14,063

 
2,117,999

 
25,887

Other debt securities
 
2

 
19,959

 
41

 
472

 
28

 
20,431

 
69

Perpetual preferred stocks
 
—

 
—

 
—

 
—

 
—

 
—

 
—

Equity securities and mutual funds
 
111

 
911

 
7

 
2,203

 
79

 
3,114

 
86

Total available for sale securities
 
534

 
$
3,773,942


$
30,648


$
2,118,360


$
58,368


$
5,892,302


$
89,016


1 
Includes securities for which an unrealized loss remains in AOCI after an other-than-temporary credit loss has been recognized in income.

Temporarily Impaired Securities as of September 30, 2017
(In thousands)
 
 
Number of Securities
 
Less Than 12 Months
 
12 Months or Longer
 
Total
 
 
 
Fair
Value
 
Unrealized
Loss
 
Fair
Value
 
Unrealized
Loss
 
Fair
Value
 
Unrealized
Loss
Investment:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Municipal and other tax-exempt
 
63

 
$
80,235

 
$
70

 
$
9,795

 
$
95

 
$
90,030

 
$
165

U.S. government agency residential mortgage-backed securities
 
1

 
3,578

 
62

 
—

 
—

 
3,578

 
62

Other debt securities
 
28

 
10,022

 
566

 
427

 
24

 
10,449

 
590

Total investment securities
 
92

 
$
93,835

 
$
698

 
$
10,222

 
$
119

 
$
104,057

 
$
817


 
 
Number of Securities
 
Less Than 12 Months
 
12 Months or Longer
 
Total
 
 
 
Fair
Value
 
Unrealized
Loss
 
Fair
Value
 
Unrealized
Loss
 
Fair
Value
 
Unrealized
Loss
Available for sale:
 
 

 
 

 
 

 
 

 
 

 


 


U.S. Treasury
 
1

 
$
999

 
$
1

 
$
—

 
$
—

 
$
999

 
$
1

Municipal and other tax-exempt
 
11

 
576

 
1

 
4,785

 
282

 
5,361

 
283

Residential mortgage-backed securities:
 
 

 
 

 
 

 
 

 
 

 


 


U. S. government agencies:
 
 

 
 

 
 

 
 

 
 

 


 


FNMA
 
81

 
1,054,171

 
10,288

 
480,994

 
10,269

 
1,535,165

 
20,557

FHLMC
 
42

 
477,823

 
3,546

 
198,478

 
4,137

 
676,301

 
7,683

GNMA
 
17

 
166,565

 
1,718

 
124,037

 
3,398

 
290,602

 
5,116

Other
 
1

 
19,958

 
42

 
—

 
—

 
19,958

 
42

Total U.S. government agencies
 
141

 
1,718,517

 
15,594

 
803,509

 
17,804

 
2,522,026

 
33,398

Private issue1
 
—

 
—

 
—

 
—

 
—

 
—

 
—

Total residential mortgage-backed securities
 
141

 
1,718,517

 
15,594

 
803,509

 
17,804

 
2,522,026

 
33,398

Commercial mortgage-backed securities guaranteed by U.S. government agencies
 
137

 
1,154,911

 
7,194

 
559,984

 
8,865

 
1,714,895

 
16,059

Other debt securities
 
2

 
—

 
—

 
4,153

 
247

 
4,153

 
247

Perpetual preferred stocks
 
—

 
—

 
—

 
—

 
—

 
—

 
—

Equity securities and mutual funds
 
91

 
3,672

 
696

 
1,428

 
52

 
5,100

 
748

Total available for sale securities
 
383

 
$
2,878,675

 
$
23,486

 
$
1,373,859

 
$
27,250

 
$
4,252,534

 
$
50,736

1 
Includes securities for which an unrealized loss remains in AOCI after an other-than-temporary credit loss has been recognized in income.

Based on evaluations of impaired securities as of September 30, 2018, 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, 2018
 
December 31, 2017
 
September 30, 2017
 
 
Fair Value
 
Net Unrealized Gain (Loss)
 
Fair Value
 
Net Unrealized Gain (Loss)
 
Fair
Value
 
Net Unrealized Gain (Loss)
U.S. government agency residential mortgage-backed securities
 
$
452,150

 
$
(7,923
)
 
$
755,054

 
$
(1,877
)
 
$
819,531

 
$
1,671