(1)	The underlying assets of the asset-backed securities are substantially guaranteed by the U.S. Government.

(2)	The amortized cost includes the non-credit portion of OTTI recorded in AOCL. At September 30, 2019, the non-credit portion of OTTI recorded in AOCL was $8.6 million before taxes.

(3)	Primarily consists of mutual funds that are CRA-qualified investments .


	December 31, 2018
(in thousands)	Amortized Cost		Gross Unrealized Gain		Gross Unrealized Loss		Fair Value
Debt securities available-for-sale:
Mortgage-related Debt Securities:
GSE certificates	$	1,705,336	$	18,146	$	15,961	$	1,707,521
GSE CMOs		1,248,621		8,380		4,240		1,252,761

Total mortgage-related debt securities	$	2,953,957	$	26,526	$	20,201	$	2,960,282

Other Debt Securities:
GSE debentures	$	1,334,549	$	3,366	$	8,988	$	1,328,927
Asset-backed securities (1)		386,768		784		430		387,122
Municipal bonds		68,551		195		2,563		66,183
Corporate bonds		836,153		8,667		23,105		821,715
Capital trust notes		48,278		6,435		5,422		49,291

Total other debt securities	$	2,674,299	$	19,447	$	40,508	$	2,653,238

Total debt securities available for sale (2)	$	5,628,256	$	45,973	$	60,709	$	5,613,520

Equity Securities:
Preferred stock		15,292		—		1,446		13,846
Mutual funds and common stock (3)		16,870		366		531		16,705

Total equity securities	$	32,162	$	366	$	1,977	$	30,551

Total securities	$	5,660,418	$	46,339	$	62,686	$	5,644,071

(1)	The underlying assets of the asset-backed securities are substantially guaranteed by the U.S. Government.

(2)	The amortized cost includes the non-credit portion of OTTI recorded in AOCL. At December 31, 2018, the non-credit portion of OTTI recorded in AOCL was $8.6 million before taxes.

(3)	Primarily consists of mutual funds that are CRA-qualified investments.

At September 30, 2019 and December 31, 2018, respectively, the Company had $606.4 million and $644.6 million of

FHLB-NY

stock, at cost. The Company maintains an investment in

FHLB-NY

stock partly in conjunction with its membership in the FHLB and partly related to its access to the FHLB funding it utilizes.

The following table summarizes the gross proceeds and gross realized gains from the sale of

available-for-sale

securities during the nine months ended September 30, 2019 and 2018:


	For the Nine Months Ended September 30,
(in thousands)	2019		2018
Gross proceeds	$	363,621		—
Gross realized gains		5,445		—

Net unrealized gains on equity securities recognized in earnings for the three and nine months ended September 30, 2019 was $275,000 and $2.3 million, respectively.

In the following table, the beginning balance represents the credit loss component for debt securities on which OTTI occurred prior to January 1, 2019. For credit-impaired debt securities, OTTI recognized in earnings after that date is presented as an addition in two components, based upon whether the current period is the first time a debt security was credit-impaired (initial credit impairment) or is not the first time a debt security was credit-impaired (subsequent credit impairment).


(in thousands)	For the Nine Months Ended September 30, 2019
Beginning credit loss amount as of December 31, 2018	$	196,187
Add: Initial other-than-temporary credit losses		—
Subsequent other-than-temporary credit losses		—
Amount previously recognized in AOCL		—
Less: Realized losses for securities sold		—
Securities intended or required to be sold		—
Increase in cash flows on debt securities		46

Ending credit loss amount as of September 30, 2019	$	196,141

The following table summarizes, by contractual maturity, the amortized cost of securities at September 30, 2019:


	Mortgage- Related Securities		Average Yield			U.S. Government and GSE Obligations		Average Yield			State, County, and Municipal		Average Yield (1)			Other Debt Securities (2)		Average Yield			Fair Value
(dollars in thousands)
Available-for-Sale Debt Securities:
Due within one year	$	2,505		2.99	%	$	29,763		1.86	%	$	150		6.59	%	$	13,973		3.79	%	$	46,495
Due from one to five years		656,530		3.29			32,874		3.48			148		6.66			154,424		3.42			865,091
Due from five to ten years		345,793		3.31			958,361		3.18			10,957		3.79			734,124		4.19			2,071,651
Due after ten years		2,278,566		2.96			146,000		2.88			16,064		3.22			413,827		2.91			2,871,331

Total debt securities available for sale	$	3,283,394		3.06		$	1,166,998		3.11		$	27,319		3.49		$	1,316,348		3.69		$	5,854,568

(1)	Not presented on a tax-equivalent basis.

(2)	Includes corporate bonds, capital trust notes, and asset-backed securities.

The following table presents securities having a continuous unrealized loss position for less than twelve months and for twelve months or longer as of September 30, 2019:


	Less than Twelve Months				Twelve Months or Longer				Total
(in thousands)	Fair Value		Unrealized Loss		Fair Value		Unrealized Loss		Fair Value		Unrealized Loss
Temporarily Impaired Securities:
U. S. Government agency and GSE obligations	$	128,052	$	821	$	118,879	$	1,182	$	246,931	$	2,003
GSE certificates		165,955		334		7,866		60		173,821		394
GSE CMOs		395,590		959		104,844		738		500,434		1,697
Asset-backed securities		378,256		6,528		—		—		378,256		6,528
Municipal bonds		—		—		9,793		382		9,793		382
Corporate bonds		325,936		9,877		—		—		325,936		9,877
Capital trust notes		45,999		690		37,855		5,963		83,854		6,653
Equity securities		—		—		11,687		118		11,687		118

Total temporarily impaired securities	$	1,439,788	$	19,209	$	290,924	$	8,443	$	1,730,712	$	27,652

The following table presents securities having a continuous unrealized loss position for less than twelve months and for twelve months or longer as of December 31, 2018:


	Less than Twelve Months				Twelve Months or Longer				Total
(in thousands)	Fair Value		Unrealized Loss		Fair Value		Unrealized Loss		Fair Value		Unrealized Loss
Temporarily Impaired Securities:
U. S. Government agency and GSE obligations	$	276,113	$	2,629	$	329,372	$	6,359	$	605,485	$	8,988
GSE certificates		576,970		10,598		232,969		5,363		809,939		15,961
GSE CMOs		465,779		1,892		99,050		2,348		564,829		4,240
Asset-backed securities		69,166		430		—		—		69,166		430
Municipal bonds		5,876		21		48,837		2,542		54,713		2,563
Corporate bonds		642,843		23,105		—		—		642,843		23,105
Capital trust notes		—		—		38,360		5,422		38,360		5,422
Equity securities		17,836		1,464		11,293		513		29,129		1,977

Total temporarily impaired securities	$	2,054,583	$	40,139	$	759,881	$	22,547	$	2,814,464	$	62,686

An OTTI loss on impaired debt securities must be fully recognized in earnings if an investor has the intent to sell the debt security, or if it is more likely than not that the investor will be required to sell the debt security before recovery of its amortized cost. However, even if an investor does not expect to sell a debt security, it must evaluate the expected cash flows to be received and determine if a credit loss has occurred. In the event that a credit loss occurs, only the amount of impairment associated with the credit loss is recognized in earnings. Amounts of impairment relating to factors other than credit losses are recorded in AOCL.

At September 30, 2019, the Company had unrealized losses on certain available for sale GSE obligations, municipal bonds, corporate bonds, asset-backed securities, capital trust notes, and equity investments with readily determinable fair values. The unrealized losses on the Company’s GSE obligations, municipal bonds, corporate bonds, asset-backed securities and capital trust notes at September 30, 2019 were primarily caused by movements in market interest rates and spread volatility, rather than credit risk. These securities are not expected to be settled at a price that is less than the amortized cost of the Company’s investment.

The Company reviews quarterly financial information related to its investments in capital trust notes, as well as other information that is released by each of the issuers of such notes, to determine their continued creditworthiness. The Company continues to monitor these investments and currently estimates that the present value of expected cash flows is not less than the amortized cost of the securities. It is possible that these securities will perform worse than is currently expected, which could lead to adverse changes in cash flows from these securities and potential OTTI losses in the future. Future events that could trigger material unrecoverable declines in the fair values of the Company’s investments, and thus result in potential OTTI losses, include, but are not limited to, government intervention; deteriorating asset quality and credit metrics; significantly higher levels of default and loan loss provisions; losses in value on the underlying collateral; net operating losses; and illiquidity in the financial markets.

The unrealized losses on the Company’s equity investments with readily determinable fair values at September 30, 2019 were caused by market volatility. Equity investments with readily determinable fair values are measured at fair value with changes in fair value recognized in net income, thus eliminating eligibility for the

available-for-sale

category. Events that could trigger a material decline in the fair value of these securities include, but are not limited to, deterioration in the equity markets; a decline in the quality of the loan portfolio of the issuer in which the Company has invested; and the recording of higher loan loss provisions and net operating losses by such issuer.

The investment securities designated as having a continuous loss position for twelve months or more at September 30, 2019 consisted of

six

US Government agency securities,

five

capital trusts notes,

three

agency mortgage-related securities,

two

agency collateralized mortgage obligations,

one

municipal bond, and

one

mutual fund. At December 31, 2018 securities designated as having a continuous loss position for twelve months or more consisted of

nine

agency mortgage-related securities,

nine

US Government agency securities,

seven

agency collateralized mortgage obligations,

five

capital trusts notes,

three

municipal bonds, and

one

mutual fund.

At September 30, 2019, the fair value of securities having a continuous loss position for twelve months or more was 2.8% below the collective amortized cost of $299.4 million. At December 31, 2018, the fair value of such securities was 2.9% below the collective amortized cost of $782.4 million. At September 30, 2019 and December 31, 2018, the combined market value of the respective securities represented unrealized losses of $8.4 million and $22.5 million, respectively.