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Securities
 3 Months Ended
Mar. 31, 2022
Investments, Debt and Equity Securities [Abstract]  
Securities Securities
The amortized cost, estimated fair value, and allowance for securities credit losses of debt securities available-for-sale and held-to-maturity at March 31, 2022 and December 31, 2021 are as follows (in thousands):
Amortized
Cost		Gross
Unrealized
Gains		Gross
Unrealized
Losses		Estimated
Fair
Value		Allowance for Credit Losses
At March 31, 2022
Debt securities available-for-sale:
U.S. government and agency obligations$145,690 $206 $(3,855)$142,041 $— 
Corporate debt securities5,000 — (216)4,784 — 
Asset-backed securities302,389 — (5,300)297,089 — 
Agency commercial mortgage-backed securities (“MBS”)111,399 — (8,843)102,556 — 
Total debt securities available-for-sale$564,478 $206 $(18,214)$546,470 $— 
Debt securities held-to-maturity:
State, municipal and sovereign debt obligations$272,250 $396 $(12,673)$259,973 $(69)
Corporate debt securities64,198 917 (1,951)63,164 (1,272)
Mortgage-backed securities:
Agency residential730,960 467 (38,828)692,599 — 
Agency commercial4,163 3 (45)4,121 — 
Non-agency commercial32,057 3 (1,025)31,035 (39)
Total mortgage-backed securities767,180 473 (39,898)727,755 (39)
Total debt securities held-to-maturity$1,103,628 $1,786 $(54,522)$1,050,892 $(1,380)
Total debt securities$1,668,106 $1,992 $(72,736)$1,597,362 $(1,380)
At December 31, 2021
Debt securities available-for-sale:
U.S. government and agency obligations$164,756 $1,135 $(471)$165,420 $— 
Corporate debt securities5,000 42 (11)5,031 — 
Asset-backed securities298,976 41 (1,489)297,528 — 
Agency commercial MBS101,142 57 (923)100,276 — 
Total debt securities available-for-sale$569,874 $1,275 $(2,894)$568,255 $— 
Debt securities held-to-maturity:
State, municipal, and sovereign debt obligations$281,389 $10,185 $(1,164)$290,410 $(85)
Corporate debt securities68,823 1,628 (1,279)69,172 (1,343)
Mortgage-backed securities:
Agency residential756,844 6,785 (7,180)756,449 — 
Agency commercial4,385 7 (44)4,348 — 
Non-agency commercial32,107 362 (104)32,365 (39)
Total mortgage-backed securities793,336 7,154 (7,328)793,162 (39)
Total debt securities held-to-maturity$1,143,548 $18,967 $(9,771)$1,152,744 $(1,467)
Total debt securities$1,713,422 $20,242 $(12,665)$1,720,999 $(1,467)
There was no allowance for securities credit losses on debt securities available-for-sale at March 31, 2022 or December 31, 2021.
The following table presents the activity in the allowance for credit losses for debt securities held-to-maturity for the three months ended March 31, 2022 and 2021 (in thousands):
Three Months Ended March 31,
20222021
Allowance for securities credit losses
Beginning balance$(1,467)$(1,715)
Benefit (provision) for credit loss expense87 (2)
Total ending allowance balance$(1,380)$(1,717)

During 2021 and 2013, the Bank transferred $12.7 million and $536.0 million, respectively, of previously designated available-for-sale securities to a held-to-maturity designation at estimated fair value. The securities transferred had an unrealized net loss of $209,000 and $13.3 million at the time of transfer in 2021 and 2013, respectively, which continues to be reflected in accumulated other comprehensive loss on the Consolidated Statement of Financial Condition, net of subsequent amortization, which is being recognized over the life of the securities. The carrying value of the debt securities held-to-maturity at March 31, 2022 and December 31, 2021 is as follows (in thousands): 
March 31,December 31,
20222021
Amortized cost$1,103,628 $1,143,548 
Net loss on date of transfer from available-for-sale(13,556)(13,556)
Allowance for securities credit losses(1,380)(1,467)
Accretion of net unrealized loss on securities reclassified as held-to-maturity10,822 10,668 
Carrying value$1,099,514 $1,139,193 
There was $87,000 of realized losses on debt securities for the three months ended March 31, 2022. There were no realized gains or losses on debt securities for the three months ended March 31, 2021.
The amortized cost and estimated fair value of debt securities at March 31, 2022 by contractual maturity are shown below (in thousands).
March 31, 2022Amortized
Cost		Estimated
Fair Value
Less than one year$95,878 $95,857 
Due after one year through five years153,847 148,910 
Due after five years through ten years242,079 232,695 
Due after ten years297,723 289,589 
$789,527 $767,051 
Actual maturities may differ from contractual maturities in instances where issuers have the right to call or prepay obligations with or without call or prepayment penalties. At March 31, 2022, corporate debt securities, state and municipal obligations, and asset-backed securities with an amortized cost of $63.1 million, $87.6 million, and $303.4 million, respectively, and an estimated fair value of $61.8 million, $85.4 million, and $297.1 million, respectively, were callable prior to the maturity date. Mortgage-backed securities are excluded from the above table since their effective lives are expected to be shorter than the contractual maturity date due to principal prepayments.
The estimated fair value of securities pledged for the ability to draw on FHLB advances, access to the Federal Reserve discount window, and other borrowings and for other purposes required by law amounted to $1.09 billion and $1.14 billion at March 31, 2022 and December 31, 2021, respectively, which includes $114.6 million and $142.9 million at March 31, 2022 and December 31, 2021, respectively, pledged as collateral for securities sold under agreements to repurchase.
The estimated fair value and unrealized losses for debt securities available-for-sale and held-to-maturity at March 31, 2022 and December 31, 2021, segregated by the duration of the unrealized losses, are as follows (in thousands):
 Less than 12 months12 months or longerTotal
 Estimated
Fair
Value		Unrealized
Losses		Estimated
Fair
Value		Unrealized
Losses		Estimated
Fair
Value		Unrealized
Losses
At March 31, 2022
Debt securities available-for-sale:
U.S. government and agency obligations$76,857 $(3,811)$5,017 $(44)$81,874 $(3,855)
Corporate debt securities4,784 (216)— — 4,784 (216)
Asset-backed securities266,780 (5,058)15,309 (242)282,089 (5,300)
Agency commercial MBS102,556 (8,843)— — 102,556 (8,843)
Total debt securities available-for-sale450,977 (17,928)20,326 (286)471,303 (18,214)
Debt securities held-to-maturity:
State, municipal and sovereign debt obligations203,363 (11,481)15,508 (1,192)218,871 (12,673)
Corporate debt securities6,080 (87)36,467 (1,864)42,547 (1,951)
Mortgage-backed securities:
Agency residential469,893 (24,938)170,870 (13,890)640,764 (38,828)
Agency commercial608 (2)2,393 (43)3,001 (45)
Non-agency commercial30,032 (1,025)— — 30,032 (1,025)
Total mortgage-backed securities500,533 (25,965)173,263 (13,933)673,797 (39,898)
Total debt securities held-to-maturity709,976 (37,533)225,238 (16,989)935,215 (54,522)
Total debt securities$1,160,953 $(55,461)$245,564 $(17,275)$1,406,518 $(72,736)
At December 31, 2021
Debt securities available-for-sale:
U.S. government and agency obligations$82,395 $(471)$— $— $82,395 $(471)
Corporate debt securities1,989 (11)— — 1,989 (11)
Asset-backed securities279,486 (1,489)— — 279,486 (1,489)
Agency commercial MBS80,726 (923)— — 80,726 (923)
Total debt securities available-for-sale444,596 (2,894)— — 444,596 (2,894)
Debt securities held-to-maturity:
State, municipal, and sovereign debt obligations75,329 (1,063)4,383 (101)79,712 (1,164)
Corporate debt securities38,304 (1,279)— — 38,304 (1,279)
Mortgage-backed securities:
Agency residential445,399 (5,822)50,133 (1,358)495,532 (7,180)
Agency commercial2,255 (41)886 (3)3,141 (44)
Non-agency commercial10,722 (104)— — 10,722 (104)
Total mortgage-backed securities458,376 (5,967)51,019 (1,361)509,395 (7,328)
Total debt securities held-to-maturity572,009 (8,309)55,402 (1,462)627,411 (9,771)
Total debt securities$1,016,605 $(11,203)$55,402 $(1,462)$1,072,007 $(12,665)

The Company concluded that debt securities were not impaired at March 31, 2022 based on a consideration of several factors. The Company noted that each issuer made all the contractually due payments when required. There were no defaults on principal or interest payments, and no interest payments were deferred. Based on management’s analysis of each individual security, the issuers appear to have the ability to meet debt service requirements over the life of the security. Furthermore, the change in net unrealized losses were primarily due to changes in the general interest rate environment and not credit quality. Historically, the Company has not utilized securities sales as a source of liquidity and the Company’s liquidity plans include adequate sources of liquidity outside the securities portfolio.
The Company monitors the credit quality of debt securities held-to-maturity on a quarterly basis through the use of internal credit analysis supplemented by external credit ratings. Credit ratings of BBB- or Baa3 or higher are considered as investment
grade. The amortized cost of debt securities held-to-maturity at March 31, 2022, aggregated by credit quality indicator are as follows (in thousands):
Investment GradeNon-Investment Grade/Non-ratedTotal
As of March 31, 2022
State, municipal and sovereign debt obligations$272,250 $— $272,250 
Corporate debt securities48,211 15,987 64,198 
Non-agency commercial MBS32,057 — 32,057 
Total debt securities held-to-maturity$352,518 $15,987 $368,505 
Equity Investments
At March 31, 2022 and December 31, 2021, the Company held equity investments of $93.9 million and $101.2 million, respectively. The equity investments primarily comprised of select financial services institutions’ common and preferred stocks and to a lesser extent other equity investments in funds and other financial institutions.
The realized and unrealized gains or losses on equity securities for the three months ended March 31, 2022 and 2021 are shown in the table below (in thousands):
Three Months Ended March 31,
20222021
Net (loss) gain on equity investments$(2,786)$8,287 
Less: Net gains recognized on equity securities sold1,582 8,123 
Unrealized (loss) gain recognized on equity securities still held$(4,368)$164