5. NET TRADING

Net trading consisted of the following in the periods presented.


NET TRADING
(Dollars in Thousands)

		Three Months Ended				Nine Months Ended
		September 30, 2018		September 30, 2017		September 30, 2018		September 30, 2017
Net realized gains (losses) - trading inventory	$	1,627	$	4,609	$	9,420	$	15,060
Net unrealized gains (losses) - trading inventory		3,302		181		5,503		1,562
Net Gains and losses		4,929		4,790		14,923		16,622

Interest income-trading inventory		1,144		364		3,373		1,533
Interest income-receivables under resale agreements		18,160		3,543		38,720		8,018
Interest income		19,304		3,907		42,093		9,551

Interest expense-securities sold under agreements to repurchase		(16,894)		(2,500)		(35,493)		(5,497)
Interest expense-margin payable		(523)		(209)		(1,330)		(518)
Interest expense		(17,417)		(2,709)		(36,823)		(6,015)

Net trading	$	6,816	$	5,988	$	20,193	$	20,158

Trading inventory includes investments, classified as investments-trading as well as trading securities sold, not yet purchased. See note 8. See note 11 for discussion of receivables under resale agreements and securities sold under agreements to repurchase. See note 7 for discussion of margin payable.