5. INVESTMENT SECURITIES

The amortized cost and approximate fair value of investment securities consisted of the following at the dates indicated (in thousands):


			Gross		Gross
	Amortized		Unrealized		Unrealized		Estimated Fair
	Cost		Gains		Losses		Value
September 30, 2020
Available for sale:
Municipal securities	$	4,733	$	277	$	—	$	5,010
Agency securities		3,006		4		(8)		3,002
Real estate mortgage investment conduits (1)		36,312		811		—		37,123
Residential mortgage-backed securities (1)		48,302		1,399		—		49,701
Other mortgage-backed securities (2)		30,318		1,201		(82)		31,437
Total available for sale	$	122,671	$	3,692	$	(90)	$	126,273

Held to maturity:
Residential mortgage-backed securities (3)	$	24	$	—	$	—	$	24

March 31, 2020
Available for sale:
Municipal securities	$	4,740	$	137	$	—	$	4,877
Agency securities		6,009		17		(10)		6,016
Real estate mortgage investment conduits (1)		42,663		1,128		—		43,791
Residential mortgage-backed securities (1)		58,700		1,415		(30)		60,085
Other mortgage-backed securities (2)		33,417		256		(151)		33,522
Total available for sale	$	145,529	$	2,953	$	(191)	$	148,291

Held to maturity:
Residential mortgage-backed securities (3)	$	28	$	—	$	—	$	28

(1) Comprised of Federal Home Loan Mortgage Corporation (“FHLMC”), Federal National Mortgage Association (“FNMA”) and Ginnie Mae (“GNMA”) issued securities.

(2) Comprised of U.S. Small Business Administration (“SBA”) issued securities and commercial real estate (“CRE”) secured securities issued by FNMA.

(3) Comprised of FHLMC and FNMA issued securities.

The contractual maturities of investment securities as of September 30, 2020 are as follows (in thousands):


	Available for Sale				Held to Maturity
	Amortized		Estimated		Amortized		Estimated
	Cost		Fair Value		Cost		Fair Value
Due in one year or less	$	1,000	$	1,004	$	—	$	—
Due after one year through five years		6,650		6,760		21		21
Due after five years through ten years		28,333		29,193		3		3
Due after ten years		86,688		89,316		—		—
Total	$	122,671	$	126,273	$	24	$	24

Expected maturities of investment securities may differ from contractual maturities because borrowers may have the right to prepay obligations with or without prepayment penalties.

The fair value of temporarily impaired investment securities, the amount of unrealized losses and the length of time these unrealized losses existed are as follows at the dates indicated (in thousands):


	Less than 12 months				12 months or longer				Total
	Estimated		Unrealized		Estimated		Unrealized		Estimated		Unrealized
	Fair Value		Losses		Fair Value		Losses		Fair Value		Losses
September 30, 2020

Available for sale:
Agency securities	$	—	$	—	$	1,998	$	(8)	$	1,998	$	(8)
Real estate mortgage investment conduits (1)		31		—		—		—		31		—
Other mortgage-backed securities (2)		—		—		4,536		(82)		4,536		(82)
Total available for sale	$	31	$	—	$	6,534	$	(90)	$	6,565	$	(90)

	Less than 12 months				12 months or longer				Total
	Estimated		Unrealized		Estimated		Unrealized		Estimated		Unrealized
	Fair Value		Losses		Fair Value		Losses		Fair Value		Losses
March 31, 2020

Available for sale:
Agency securities	$	1,998	$	(10)	$	—	$	—	$	1,998	$	(10)
Residential mortgage-backed securities (1)		2,509		(22)		409		(8)		2,918		(30)
Other mortgage-backed securities (2)		11,726		(58)		4,911		(93)		16,637		(151)
Total available for sale	$	16,233	$	(90)	$	5,320	$	(101)	$	21,553	$	(191)

⁽¹⁾

Comprised of FHLMC and FNMA issued securities.

⁽²⁾

Comprised of SBA and CRE secured securities issued by FNMA.

The unrealized losses on the Company’s investment securities were primarily attributable to increases in market interest rates subsequent to their purchase by the Company. The Company expects the fair value of these securities to recover as the securities approach their maturity dates or sooner if market yields for such securities decline. The Company does not believe that these securities are other than temporarily impaired because of their credit quality or related to any issuer or industry specific event. The Company has the ability and intent to hold the investments until the fair value recovers. Based on management’s evaluation and intent, the unrealized losses related to the investment securities in the above tables are considered temporary.

The Company had no sales and realized no gains or losses on sales of investment securities for the three and six months ended September 30, 2020 and 2019. Investment securities available for sale with an amortized cost of $6.0 million and $6.6 million and an estimated fair value of $6.2 million and $6.8 million at September 30, 2020 and March 31, 2020, respectively, were pledged as collateral for government public funds held by the Bank. There were no held to maturity securities pledged as collateral for government public funds held by the Bank at September 30, 2020 and March 31, 2020.