Company: FCNCB
Filing Date: 2025-08-08
Form Type: 10-Q
Source: 0000798941-25-000040
Chunk: 373

Company: FIRST CITIZENS BANCSHARES INC /DE/
Filing Date: 2025-08-08
Form: 10-Q
Item: Item 8
Chunk 373
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 of the investment securities portfolio generally increases when interest rates decrease or when credit spreads tighten. Given the consistently strong credit rating of the U.S. Treasury, and the long history of no credit losses on debt securities issued by government agencies and government sponsored entities, no allowance for credit loss was required as of June 30, 2025. For corporate bonds, we analyzed the changes in interest rates relative to when the investment securities were purchased or acquired, and considered other factors including changes in credit ratings, delinquencies, and other macroeconomic factors. We determined no allowance for credit loss was required as of June 30, 2025.

80

Our portfolio of investment securities held to maturity consists of similar mortgage-backed securities, U.S. Treasury securities and government agency securities described above, as well as securities issued by the Supranational Entities & Multilateral Development Banks and FDIC guaranteed certificates of deposit with other financial institutions. Given the consistently strong credit rating of the U.S. Treasury and the Supranational Entities & Multilateral Development Banks, and the long history of no credit losses on debt securities issued by government agencies and government sponsored entities, we determined that no allowance for credit loss was required for investment securities held to maturity at June 30, 2025.

The following table presents the investment securities portfolio, segregated by major category:  

Table 22

Investment Securities 

dollars in millionsJune 30, 2025March 31, 2025December 31, 2024Amortized CostFair ValueComposition(1)Amortized CostFairValueComposition(1)Amortized CostFair ValueComposition(1)Investment securities available for sale:U.S. Treasury$12,125 $12,170 29.0 %$13,105 $13,150 30.6 %$13,897 $13,903 32.7 %Government agency62 60 0.1 71 69 0.2 79 77 0.2 Residential mortgage-backed securities17,118 16,924 40.3 16,905 16,605 38.6 16,161 15,620 36.7 Commercial mortgage-backed securities3,695 3,536 8.4 3,759 3,594 8.4 3,869 3,666 8.6 Corporate bonds364 353 0.8 483 465 1.1