Company: WTFCN
Filing Date: 2025-11-06
Form Type: 10-Q
Source: 0001015328-25-000207
Chunk: 62

Company: WINTRUST FINANCIAL CORP
Filing Date: 2025-11-06
Form: 10-Q
Item: Item 1
Chunk 62
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5 and December 31, 2024, the Company held foreign currency derivatives with an aggregate notional amount of approximately $50.5 million and $97.1 million, respectively. 

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Table of Contents

Other Derivatives—Periodically, the Company will sell options to a bank or dealer for the right to purchase certain securities held within the banks’ investment portfolios (covered call options). These option transactions are designed to increase the total return associated with the investment securities portfolio. These options do not qualify as accounting hedges pursuant to ASC 815 and, accordingly, changes in the fair value of these contracts are recognized as other non-interest income. There were no covered call options outstanding as of September 30, 2025, December 31, 2024 or September 30, 2024. Periodically, the Company will purchase options for the right to purchase securities not currently held within the banks’ investment portfolios or enter into interest rate swaps in which the Company elects to not designate such derivatives as hedging instruments. These option and swap transactions are designed primarily to economically hedge a portion of the fair value adjustments related to the Company’s mortgage servicing rights portfolio. The gain or loss associated with these derivative contracts are included in mortgage banking revenue. The Company held ten interest rate derivatives with an aggregate notional value of $362.0 million at September 30, 2025 and ten interest rate derivatives with an aggregate notional value of and $295.0 million at December 31, 2024, for such purpose of economically hedging a portion of the fair value adjustment related to its mortgage servicing rights portfolio. Amounts included in the Consolidated Statements of Income related to derivative instruments not designated in hedge relationships were as follows:(In thousands)Three Months EndedNine Months EndedDerivativeLocation in income statementSeptember 30,2025September 30,2024September 30,2025September 30,2024Interest rate swaps and capsTrading gains (losses), net$92 $(245)$60 $248 Mortgage banking derivativesMortgage banking(584)(1,692)2,733 2,014 Commodity contractsTrading gains (losses), net89 (116)166 282 Foreign exchange contractsTrading gains (losses), net79 (171)152 (152)Covered call optionsFees from covered call options5,619 988 14,689 7,891 Derivative contract held as economic hedge on MS