# EDGAR Filing Document

**Accession Number:** 0001329842
**File Stem:** 0001329842-26-000005
**Filing Date:** 2026-3
**Character Count:** 1134280
**Document Hash:** 22b997fa0b2b7f0da913c5e9db6ba726
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001329842-26-000005.hdr.sgml**: 20260320

**ACCESSION NUMBER**: 0001329842-26-000005

**CONFORMED SUBMISSION TYPE**: 10-K

**PUBLIC DOCUMENT COUNT**: 226

**CONFORMED PERIOD OF REPORT**: 20251231

**FILED AS OF DATE**: 20260320

**DATE AS OF CHANGE**: 20260320

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Federal Home Loan Bank of New York
- **CENTRAL INDEX KEY:** 0001329842
- **STANDARD INDUSTRIAL CLASSIFICATION:** FEDERAL & FEDERALLY-SPONSORED CREDIT AGENCIES [6111]
- **ORGANIZATION NAME:** 02 Finance
- **EIN:** 136400946
- **STATE OF INCORPORATION:** X1
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 10-K
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 000-51397
- **FILM NUMBER:** 26777147

**BUSINESS ADDRESS:**
- **STREET 1:** 101 PARK AVENUE, 6TH FLOOR
- **CITY:** NEW YORK
- **STATE:** NY
- **ZIP:** 10178
- **BUSINESS PHONE:** 212-681-6000

**MAIL ADDRESS:**
- **STREET 1:** 101 PARK AVENUE, 6TH FLOOR
- **CITY:** NEW YORK
- **STATE:** NY
- **ZIP:** 10178

?xml version='1.0' encoding='ASCII'? fhlbny-20251231

**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

**WASHINGTON, D.C. 20549**

**FORM 10-K**

**☒** **ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934**

**For the fiscal year ended December 31, 2025**

**Or**

**☐TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934**

**Commission file number: 000-51397**

**Federal Home Loan Bank of New York**

(Exact name of registrant as specified in its charter)

---

| | |
|:---|:---|
| **Federally chartered corporation** | **13-6400946** |
| (State or other jurisdiction of | (I.R.S. Employer |
| incorporation or organization) | Identification No.) |
| **101 Park Avenue, New York, New York** | **10178** |
| (Address of principal executive offices) | (Zip Code) |

---

**(212) 681-6000**

(Registrant's telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:

---

| | | |
|:---|:---|:---|
| Title of each class | Trading Symbol(s) | Name of each exchange on which registered |
| None | N/A | N/A |

---

Securities registered pursuant to Section 12(g) of the Act:

**Class B Stock, putable, par value $100**

(Title of class)

Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. Yes ☐ No ☒

Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act. Yes ☐ No ☒

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding

12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No

☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§

232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth

company. See the definitions of "large accelerated filer," "accelerated filer", "smaller reporting company", and "emerging growth company" in Rule 12b-2 of the Exchange

Act.

---

| | |
|:---|:---|
| Large accelerated filer ☐ | Accelerated filer ☐ |
| Non-accelerated filer ☒ | Smaller reporting company ☐ |
|  | Emerging growth company ☐ |

---

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial

accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant has filed a report on and attestation to its management's assessment of the effectiveness of its internal control over financial

reporting under Section 404(b) of the Sarbanes-Oxley Act (15 U.S.C. 7262(b)) by the registered public accounting firm that prepared or issued its audit report. ☒

If securities are registered pursuant to Section 12(b) of the Act, indicate by check mark whether the financial statements of the registrant included in the filing reflect the

correction of an error to previously issued financial statements. ☐

Indicate by check mark whether any of those error corrections are restatements that required a recovery analysis of incentive-based compensation received by any of the

registrant's executive officers during the relevant recovery period pursuant to §240.10D-1(b). ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act). Yes ☐ No ☒

Registrant's stock is not publicly traded and is only issued to members of the registrant. Such stock is issued and redeemed at par value, $100 per share, subject to certain

regulatory and statutory limits. At June 30, 2025, the aggregate par value of the common stock held by members of the registrant was approximately $5,961,738,200. At

February 28, 2026, 64,100,414 shares of common stock were outstanding.

**FEDERAL HOME LOAN BANK OF NEW YORK**

**2025 Annual Report on Form 10-K**

**Table of Contents**

---

| | | | |
|:---|:---|:---|:---|
| **<u>[PART I](#i254f72b682ef4373a7f693751d2cd78f_10)</u>** |  |  |  |
|  | **<u>[Item 1.](#i254f72b682ef4373a7f693751d2cd78f_13)</u>** | **<u>[Business](#i254f72b682ef4373a7f693751d2cd78f_13)</u>** | **<u>[3](#i254f72b682ef4373a7f693751d2cd78f_13)</u>** |
|  | **<u>[Item 1A.](#i254f72b682ef4373a7f693751d2cd78f_16)</u>** | **<u>[Risk Factors](#i254f72b682ef4373a7f693751d2cd78f_16)</u>** | **<u>[15](#i254f72b682ef4373a7f693751d2cd78f_16)</u>** |
|  | **<u>[Item 1B.](#i254f72b682ef4373a7f693751d2cd78f_19)</u>** | **<u>[Unresolved Staff Comments](#i254f72b682ef4373a7f693751d2cd78f_19)</u>** | **<u>[22](#i254f72b682ef4373a7f693751d2cd78f_19)</u>** |
|  | **<u>[Item 1C.](#i254f72b682ef4373a7f693751d2cd78f_22)</u>** | **<u>[Cybersecurity](#i254f72b682ef4373a7f693751d2cd78f_22)</u>** | **<u>[22](#i254f72b682ef4373a7f693751d2cd78f_22)</u>** |
|  | **<u>[Item 2.](#i254f72b682ef4373a7f693751d2cd78f_25)</u>** | **<u>[Properties](#i254f72b682ef4373a7f693751d2cd78f_25)</u>** | **<u>[24](#i254f72b682ef4373a7f693751d2cd78f_25)</u>** |
|  | **<u>[Item 3.](#i254f72b682ef4373a7f693751d2cd78f_28)</u>** | **<u>[Legal Proceedings](#i254f72b682ef4373a7f693751d2cd78f_28)</u>** | **<u>[24](#i254f72b682ef4373a7f693751d2cd78f_28)</u>** |
|  | **<u>[Item 4.](#i254f72b682ef4373a7f693751d2cd78f_31)</u>** | **<u>[Mine Safety Disclosures](#i254f72b682ef4373a7f693751d2cd78f_31)</u>** | **<u>[24](#i254f72b682ef4373a7f693751d2cd78f_31)</u>** |
| **<u>[PART II](#i254f72b682ef4373a7f693751d2cd78f_34)</u>** |  |  |  |
|  | **<u>[Item 5.](#i254f72b682ef4373a7f693751d2cd78f_37)</u>** | **<u>[Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities](#i254f72b682ef4373a7f693751d2cd78f_37)</u>** | **<u>[25](#i254f72b682ef4373a7f693751d2cd78f_37)</u>** |
|  | **<u>[Item 6.](#i254f72b682ef4373a7f693751d2cd78f_40)</u>** | **<u>[\[Reserved\]](#i254f72b682ef4373a7f693751d2cd78f_40)</u>** | **<u>[26](#i254f72b682ef4373a7f693751d2cd78f_40)</u>** |
|  | **<u>[Item 7.](#i254f72b682ef4373a7f693751d2cd78f_43)</u>** | **<u>[Management's Discussion and Analysis of Financial Condition and Results of Operations](#i254f72b682ef4373a7f693751d2cd78f_43)</u>** | **<u>[26](#i254f72b682ef4373a7f693751d2cd78f_43)</u>** |
|  | **<u>[Item 7A.](#i254f72b682ef4373a7f693751d2cd78f_112)</u>** | **<u>[Quantitative and Qualitative Disclosures about Market Risk](#i254f72b682ef4373a7f693751d2cd78f_112)</u>** | **<u>[86](#i254f72b682ef4373a7f693751d2cd78f_112)</u>** |
|  | **<u>[Item 8.](#i254f72b682ef4373a7f693751d2cd78f_115)</u>** | **<u>[Financial Statements and Supplementary Data](#i254f72b682ef4373a7f693751d2cd78f_115)</u>** | **<u>[91](#i254f72b682ef4373a7f693751d2cd78f_115)</u>** |
|  | **<u>[Item 9.](#i254f72b682ef4373a7f693751d2cd78f_205)</u>** | **<u>[Changes in and Disagreements with Accountants on Accounting and Financial Disclosure](#i254f72b682ef4373a7f693751d2cd78f_205)</u>** | **<u>[174](#i254f72b682ef4373a7f693751d2cd78f_205)</u>** |
|  | **<u>[Item 9A.](#i254f72b682ef4373a7f693751d2cd78f_208)</u>** | **<u>[Controls and Procedures](#i254f72b682ef4373a7f693751d2cd78f_208)</u>** | **<u>[174](#i254f72b682ef4373a7f693751d2cd78f_208)</u>** |
|  | **<u>[Item 9B.](#i254f72b682ef4373a7f693751d2cd78f_211)</u>** | **<u>[Other Information](#i254f72b682ef4373a7f693751d2cd78f_211)</u>** | **<u>[174](#i254f72b682ef4373a7f693751d2cd78f_211)</u>** |
|  | **<u>[Item 9C.](#i254f72b682ef4373a7f693751d2cd78f_214)</u>** | **<u>[Disclosure Regarding Foreign Jurisdictions that Prevent Inspections](#i254f72b682ef4373a7f693751d2cd78f_214)</u>** | **<u>[174](#i254f72b682ef4373a7f693751d2cd78f_214)</u>** |
| **<u>[PART III](#i254f72b682ef4373a7f693751d2cd78f_217)</u>** |  |  |  |
|  | **<u>[Item 10.](#i254f72b682ef4373a7f693751d2cd78f_220)</u>** | **<u>[Directors, Executive Officers and Corporate Governance](#i254f72b682ef4373a7f693751d2cd78f_220)</u>** | **<u>[175](#i254f72b682ef4373a7f693751d2cd78f_220)</u>** |
|  | **<u>[Item 11.](#i254f72b682ef4373a7f693751d2cd78f_223)</u>** | **<u>[Executive Compensation](#i254f72b682ef4373a7f693751d2cd78f_223)</u>** | **<u>[190](#i254f72b682ef4373a7f693751d2cd78f_223)</u>** |
|  | **<u>[Item 12.](#i254f72b682ef4373a7f693751d2cd78f_226)</u>** | **<u>[Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters](#i254f72b682ef4373a7f693751d2cd78f_226)</u>** | **<u>[220](#i254f72b682ef4373a7f693751d2cd78f_226)</u>** |
|  | **<u>[Item 13.](#i254f72b682ef4373a7f693751d2cd78f_229)</u>** | **<u>[Certain Relationships and Related Transactions, and Director Independence](#i254f72b682ef4373a7f693751d2cd78f_229)</u>** | **<u>[221](#i254f72b682ef4373a7f693751d2cd78f_229)</u>** |
|  | **<u>[Item 14.](#i254f72b682ef4373a7f693751d2cd78f_232)</u>** | **<u>[Principal Accounting Fees and Services](#i254f72b682ef4373a7f693751d2cd78f_232)</u>** | **<u>[224](#i254f72b682ef4373a7f693751d2cd78f_232)</u>** |
| **<u>[PART IV](#i254f72b682ef4373a7f693751d2cd78f_235)</u>** |  |  |  |
|  | **<u>[Item 15.](#i254f72b682ef4373a7f693751d2cd78f_238)</u>** | **<u>[Exhibits, and Financial Statement Schedules](#i254f72b682ef4373a7f693751d2cd78f_238)</u>** | **<u>[225](#i254f72b682ef4373a7f693751d2cd78f_238)</u>** |
|  | **<u>[Item 16.](#i254f72b682ef4373a7f693751d2cd78f_241)</u>** | **<u>[Form 10-K Summary](#i254f72b682ef4373a7f693751d2cd78f_241)</u>** | **<u>[226](#i254f72b682ef4373a7f693751d2cd78f_241)</u>** |
| **<u>[Signatures](#i254f72b682ef4373a7f693751d2cd78f_244)</u>** |  |  | **<u>[227](#i254f72b682ef4373a7f693751d2cd78f_244)</u>** |

---

**PART I**

**Item 1. Business.**

**General**

The Federal Home Loan Bank of New York ("we," "us," "our," "the Bank" or the "FHLBNY") is a federally chartered corporation

exempt from federal, state and local taxes except local real property taxes. It is one of eleven district Federal Home Loan Banks

(FHLBanks). The FHLBanks are U.S. government-sponsored enterprises (GSEs), organized under the authority of the Federal Home

Loan Bank Act of 1932. Each FHLBank is a cooperative owned by member institutions located within a defined geographic district.

The members purchase capital stock in the FHLBank and generally receive dividends on their capital stock investment. Our defined

geographic district is New Jersey, New York, Puerto Rico, and the U.S. Virgin Islands. We provide a readily available, low-cost

source of funds for our member institutions.

The FHLBNY is managed to deliver balanced value to members, rather than to maximize profitability or advance volume through low

pricing. Our members must purchase FHLBNY stock according to regulatory requirements as a condition of membership. For more

information, see financial statements, <u>[Note 14](#i6e44f55b55354254bf5e261e55212924_6668)</u>. Capital Stock, Mandatorily Redeemable Capital Stock and Restricted Retained

Earnings. The business of the cooperative is to provide liquidity for our members (primarily in the form of loans referred to as

"advances") and to provide a return on members' investment in FHLBNY stock in the form of a dividend. Since members are both

stockholders and customers, our management operates the Bank such that there is a trade-off between providing value to them via low

pricing for advances with a relatively lower dividend versus higher advances pricing with a relatively higher dividend.

All federally insured depository institutions, federally insured credit unions and insurance companies engaged in residential housing

finance can apply for membership in the FHLBank in their district. Community development financial institutions (CDFIs) that have

been certified by the CDFI Fund of the U.S. Treasury Department, including community development loan funds, community

development venture capital funds, and state-chartered credit unions without federal insurance, are also eligible to become members of

a FHLBank. Even without CDFI designation, state or territory-chartered credit unions with private deposit insurance are also eligible

for membership.

A member of another FHLBank or a financial institution that is not a member of any FHLBank may also hold FHLBNY stock as a

result of having acquired one of our members. Because we operate as a cooperative, we conduct business with related parties in the

normal course of business and consider all members and non-member stockholders as related parties in addition to the other

FHLBanks. For more information, see financial statements,<u>[Note 20](#i32de807412974739bb39d7e35e639198_4768)</u>. Related Party Transactions and <u>[Item 13](#i254f72b682ef4373a7f693751d2cd78f_229)</u>. Certain Relationships

and Related Transactions, and Director Independence in this Form 10-K.

Our primary business is making collateralized loans or advances to members and is also the principal factor that impacts our financial

condition. We also facilitate our housing finance and liquidity mission through our mortgage programs, which enable our members to

liquefy certain home mortgage loans by selling them to the Bank. We also provide members with such correspondent services as

safekeeping, wire transfers, depository, and settlement services. Non-members that have acquired members have access to these

services up to the time that their advances outstanding prepay or mature.

We obtain our funds from several sources. A primary source is the issuance of FHLBank debt instruments, called Consolidated

obligations, to the public. The issuance and servicing of Consolidated obligations are performed by the Office of Finance (OF), the

fiscal agent for the issuance and servicing of Consolidated obligations on behalf of the 11 FHLBanks. These debt instruments

represent the joint and several obligations of all the FHLBanks. Because the FHLBanks' Consolidated obligations are rated Aa1/P-1

with a stable outlook by Moody's Investors Service (Moody's) and AA+/A-1+ with a stable outlook by Standard & Poor's Rating

Services (S&P or Standard & Poor's) and because of the FHLBanks' GSE status, the FHLBanks are generally able to raise funds at

rates that are typically at a small to moderate spread above U.S. Treasury security yields. Additional sources of funding are member

deposits, other borrowings, and the issuance of capital stock. Deposits may be accepted from member financial institutions and federal

instrumentalities.

We combine private capital and public sponsorship as a GSE to provide our member financial institutions with a reliable flow of credit

and other services for housing and community development, and our cooperative ownership structure allows us to pass along the

benefit of these low funding rates to our members. By supplying additional liquidity to our members, we enhance the availability of

residential mortgages and community investment credit. Members also benefit from our affordable housing and economic

development programs, which provide grants and below market-rate loans that support members' involvement in creating affordable

housing and revitalizing communities.

We do not have any wholly or partially owned subsidiaries, nor do we have an equity position in any partnerships, corporations, or

off-balance sheet special purpose entities. We own the grantor trusts to fund certain non-qualified employee retirement programs,

more fully described in financial statements<u>[Note 16](#ibe123fe76ebe4fb1b03d18587bb0ce32_8537)</u>. Employee Retirement Plans and <u>[Note 6](#iaae1047a8db94b6f9b727171c05f4472_982)</u>. Equity Investments.

A Joint Capital Enhancement Agreement (Capital Agreement) among the 11 FHLBanks requires each FHLBank to enhance its capital

position, and each FHLBank will contribute 20% of its net income each quarter to its own restricted retained earnings account at the

FHLBank until the balance of that account equals at least one percent of that FHLBank's average balance of outstanding Consolidated

obligations for the quarter. These restricted retained earnings will not be available to pay dividends.

The FHLBNY is supervised by the Federal Housing Finance Agency, also referred to as U.S. Federal Housing (FHFA or the Finance

Agency), the independent Federal regulator of the FHLBanks, the Federal Home Loan Mortgage Corporation (Freddie Mac) and the

Federal National Mortgage Association (Fannie Mae). The FHFA's stated mission with respect to the FHLBanks is to provide

effective supervision, regulation, and housing mission oversight of the FHLBanks to promote their safety and soundness, support

housing finance and affordable housing, and support a stable and liquid mortgage market.

Each FHLBank carries out its statutory mission only through activities that are authorized under and consistent with the Safety and

Soundness Act and the FHLBank Act; and the activities of each FHLBank and the manner in which they are operated is consistent

with the public interest. The Finance Agency also ensures that the FHLBNY carries out its housing and community development

mission, remains adequately capitalized and able to raise funds in the capital markets. However, while the Finance Agency establishes

regulations governing the operations of the FHLBanks, the Bank functions as a separate entity with its own management, employees

and Board of Directors.

Our website is www.fhlbny.com. We have adopted, and posted on our website, a Code of Business Conduct and Ethics applicable to

all employees and directors.

**Market Area**

Our market area is the same as the membership district — New Jersey, New York, Puerto Rico, and the U.S. Virgin Islands.

Institutions that are members of the FHLBNY must have their charter or principal places of business within this market area but may

also operate elsewhere.

Due to the consolidating market, there are few opportunities to gain members. However, we continue to engage the member prospects

who are eligible to join. In addition, Puerto Rican private insured depository cooperatives and foreign banks with charters based in our

membership district are other potential prospects.

We actively market membership through a series of targeted, on-going sales and marketing initiatives. We compete for business by

offering competitively priced products, services and programs that provide financial flexibility to the membership. The dominant

reason institutions join the FHLBNY is access to a reliable source of liquidity, through products such as advances, letters of credit and

our secondary market program, Mortgage Asset Program. While liquidity is provided in a variety of ways, advances are one of the

most attractive sources of liquidity because they permit members to pledge relatively illiquid assets, such as 1-4 family, multifamily,

home equity, and commercial real estate mortgages held in portfolio, to create liquidity.

The following table summarizes our members by type of institution:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **Commercial** <br>**Banks**<br>| **Thrift** <br>**Institutions**<br>| **Credit** <br>**Unions**<br>| **Insurance** <br>**Companies**<br>| **Community** <br>**Development** <br>**Financial** <br>**Institution**<br>| **Total** |
| December 31, 2025 | 100 | 56 | 108 | 57 | 9 | 330 |
| December 31, 2024 | 103 | 59 | 109 | 52 | 9 | 332 |

---

**Business Segments**

We manage our operations as a single business segment. The Bank's President and CEO reviews enterprise-wide financial information

in order to make operating decisions and assess performance.

Our cooperative structure permits us to expand and contract with demand for advances and changes in membership. When advances

are paid down, because the member no longer needs the funds or because the member has been acquired by a non-member and the

former member decides to prepay advances, the stock associated with the advances is subject to immediate redemption in our sole

discretion. When advances are paid before maturity, we collect fees that make us financially indifferent to the prepayment. Our

operating expenses are low. Dividend capacity, which is a function of net income and the amount of stock outstanding, is largely

unaffected by the prepayment since future stock and future income are reduced more or less proportionately. We believe that we will

be able to meet our financial obligations and continue to deliver balanced value to members, even if advance demand contracts or if

membership declines.

**Products and Services**

**Introduction *—*** Advances to members are the primary focus of our operations and are also the principal factor that impacts our

financial condition. Revenues from advances to members are the largest and the most significant element in our operating results.

Providing advances to members, supporting the products, and associated collateral and credit operations, and funding and swapping

the funds are the focus of our operations.

We offer our members several correspondent banking services as well as safekeeping services. The fee income that is generated from

these services is not significant. We also issue standby letters of credit on behalf of members for a fee. The total income derived from

all such sources, and other incidental income and expenses were not material in the periods in this report.

We provide our members with an alternative to originating and selling long-term, fixed-rate mortgages in the secondary market. We

accomplish this by purchasing eligible conforming fixed-rate mortgages originated or purchased by our members. Purchases are at

negotiated market rates. For more information, see Acquired Member Assets Programs below and in the financial statements, <u>[Note 10](#i4cc2771be69544ff88bfce949ed2c6fe_13236)</u>.

Mortgage Loans Held-for-Portfolio.

**Advances**

We offer a wide range of credit products to help members meet local credit needs, manage interest rate and liquidity risk, and serve

their communities. Our primary business is making secured loans, called advances, to members. These advances are available as short-

and long-term loans with adjustable, variable, and fixed-rate features (including option-embedded and amortizing advances).

Advances to members, including former members, constituted 59.0% and 66.0% of our total assets of $156.5 billion and $160.3

billion at December 31, 2025 and 2024, respectively. In terms of revenues, interest income derived from advances were $4.7 billion,

$6.1 billion, and $6.0 billion, representing 65.3%, 69.1% and 71.3% of total interest income in 2025, 2024 and 2023, respectively.

Most of our critical functions are directed at supporting the borrowing needs of our members and monitoring the members' associated

collateral positions. For more information about advances, including our underwriting standards, see financial statements, <u>[Note 9](#i677220ca7fae4928a646e5df0601ca60_8875)</u>.

Advances; also see <u>[Tables 3.1](#i23427be897764b6bb37f066d9ec757f8_10237)</u> to<u>[3.8](#i428c1c5cc759445c835b797bc842c559_2996)</u> and the accompanying discussions in this MD&A.

Members use advances as a source of funding to supplement their deposit gathering activities. Advances borrowed by members have

generally increased over the last decade because many members have not been able to increase their deposits in their local markets as

quickly as they have increased their assets. To close this funding gap, members have preferred to obtain reasonably priced advances

rather than increasing their deposits by offering higher rates or foregoing asset growth. Because of the wide range of advance types,

terms, and structures available to them, members have also used advances to augment their asset/liability management. As a

cooperative, we price advances at minimal net spreads above the cost of our funding in order to deliver more value to members.

**Letters of Credit**

We may issue standby financial letters of credit on behalf of members to facilitate members' residential and community lending,

provide members with liquidity, or assist members with asset/liability management. Where permitted by law, members may utilize

FHLBNY letters of credit to collateralize deposits made by units of state and local governments. Our underwriting and collateral

requirements for securing letters of credit are the same as our requirements for securing advances.

**Acquired Member Assets Programs**

The FHLBanks are permitted to acquire certain assets from or through their members. These initiatives are referred to as Acquired

Member Assets (AMA) programs. At the FHLBNY, the Acquired Member Assets initiatives are the Mortgage Partnership Finance

(MPF) Program and Mortgage Asset Program (MAP), which provide members with an alternative to originating and selling long-term,

fixed-rate mortgages in the secondary market. These programs are managed and funded in a consistent manner. We purchase

conforming fixed-rate mortgages originated or purchased by our members. By selling mortgage loans to us, members can increase

their balance sheet liquidity and lower interest rate and mortgage prepayment risks.

The Bank introduced the new AMA investment program, MAP in the fourth quarter of 2020. MAP purchases are investment grade,

conforming one-to-four family or government insured long-term, fixed-rate home mortgages. MAP, like MPF, is structured to provide

secondary mortgage market liquidity to the selling member, the participating financial institution (PFI).

MAP was fully rolled out in March 2021, at which time we stopped purchasing MPF loans. Legacy MPF loans will remain on the

FHLBNY's balance sheet and will continue to be supported by the FHLBNY and the FHLBank of Chicago as MPF Provider.

as pooled, member performance account (MPA). The FHLBNY sets aside funds in the MPA account; funds are unsecured for the PFI

and serves as the selling member's credit enhancement for future credit losses experienced on that MAP loan pool. This first loss

credit enhancement provided by the member, or a group of members through pool aggregation, brings the FHLBNY purchased loans

to at least investment grade at the time of sale. We offer pool aggregation under MAP to reduce the credit enhancement cost to small

and mid-sized PFIs when they sell mortgages into combined pools. These credit enhancements apply after a homeowner's equity, and

if applicable, private mortgage insurance has first been exhausted. For Federal Housing Administration (FHA) and other government

insured home mortgages that we purchase under MAP, we do not establish an additional MPA credit enhancement because the credit

risk is insured by the United States government.

Under the MPF Program, members are then paid a fee for assuming a portion of the credit risk of the mortgages that we acquired.

Members assume credit risk by providing a credit enhancement to us or providing and paying for a supplemental mortgage insurance

policy insuring us for some portion of the credit risk involved.

Income from both MPF and MAP are derived primarily from the difference, or spread, between the yield on the purchased mortgage

loans and the borrowing cost of Consolidated obligations.

We do not service the mortgage loans we purchase under MPF and MAP. PFIs may elect to retain servicing rights for the loans sold to

us, or they may elect to sell servicing rights to a FHLBNY approved servicer. We do not pay a PFI any fees other than the servicing

fee when the PFI retains the servicing rights. We closely monitor the servicers because we are exposed to credit and operational risk if

they fail to properly perform.

It is the servicer's responsibility to initiate claims for losses on the loans. If a loss is expected, no claims are settled until the claim has

been reviewed and approved by the FHLBNY. Under MAP, the MPA first absorbs the credit loss after a homeowner's equity, and if

applicable, private mortgage insurance has first been exhausted. If the MPA has been depleted, based on our contractual arrangement,

the FHLBNY takes the ultimate credit loss, and the servicer is reimbursed for an approved claim amount.

Under its current housing goals regulation, the Finance Agency establishes low-income housing goals for the FHLBNY for

conventional mortgages purchased through the AMA programs. If we do not meet any affordable housing goals established by the

Finance Agency, we may be required to submit a housing plan to the Finance Agency.

The Acquired Member Assets Regulation does not specifically address the disposition of Acquired Member Assets. The main intent of

that regulation is the purchase of assets for investment rather than for trading purposes. The FHLBNY's present intent for MPF and

MAP is to hold these investments in portfolio. However, the FHLBanks have the legal authority to sell MPF and MAP loans pursuant

to the granting of incidental powers in Section 12 of the FHLBank Act. Section 12(a) of the FHLBank Act specifically provides that

each FHLBank shall have all such incidental powers, not inconsistent with the provisions of this chapter, as are customary and usual in

corporations generally. General corporate law principles permit the sale of investments.

For additional discussion on our mortgage loans and their related credit risk, see financial statements, <u>[Note 10](#i4cc2771be69544ff88bfce949ed2c6fe_13236)</u>. Mortgage Loans Held-

for-Portfolio. Also see<u>[Tables 5.1](#i221aff0059b84ec7bdb6884b7b17ef41_3070)</u> to <u>[5.3](#i221aff0059b84ec7bdb6884b7b17ef41_3073)</u> and accompanying discussions in this MD&A.

**Correspondent Banking Services**

We offer our members an array of correspondent banking services, including depository services, wire transfers, settlement services,

and safekeeping services. Depository services include processing of customer transactions in "Overnight Investment Accounts," the

interest-bearing demand deposit account each customer has with us. All customer-related transactions (e.g. deposits, Federal Reserve

Bank settlements, advances, securities transactions, and wires) are posted to these accounts each business day. Wire transfers include

processing of incoming and outgoing domestic wire transfers, including third-party transfers. Settlement services include automated

clearinghouse and other transactions received through our accounts at the Federal Reserve Bank as correspondent for members and

passed through to our customers' Overnight Investment Accounts with us. Through a third party, we offer customers a range of

securities custodial services, such as settlement of book entry (electronically held) and physical securities. We encourage members to

access these products through 1Link<sup>sm</sup>, an Internet-based delivery system we developed as a proprietary service. Members access the

1Link system to obtain account activity information or process wire transfers, book transfers, security safekeeping and advance

transactions.

**Affordable Housing Program and Other Mission Related Programs**

Federal Housing Finance Agency regulation 12 CFR Part 1292.5 (Community Investment Cash Advance Programs) states in general

that each FHLBank shall establish an Affordable Housing Program (AHP) in accordance with Part 1291, and a Community

Investment Program. The 11 FHLBanks together must annually allocate for the AHP the greater of $100 million or 10 percent of

regulatory defined net earnings. The FHLBank may also offer a Rural Development Advance program, an Urban Development

Advance program, and other Community Investment Cash Advance programs.

• ***Affordable Housing Program.*** We meet this requirement by allocating 10 percent of regulatory defined net income to our

AHP to finance homeownership and support the creation and preservation of housing for lower income families and

individuals. The program is offered in two forms: a competitive program and a homeownership program. In the competitive

program, AHP funds are awarded through a competitive process to members who submit applications on behalf of project

sponsors who are planning to purchase, rehabilitate, or construct affordable homes or apartments. In the homeownership

program, households are required to have income at or below 80% of the area median income, and we may set aside annually,

in aggregate, up to the greater of $4.5 million or 35% of the Bank's annual required AHP contributions. See financial

statements,[Note 13](#i49844a90fdeb43fea99a5d523454fbaf_1197). Affordable Housing Program and Voluntary Contributions for assessments allocated from earnings for

the periods in this report.

• ***Other Mission — Related Activities.*** The FHLBNY offers four distinct Community Lending Programs (CLP) that support

our members' community-oriented lending, which were established under the Community Investment Cash Advance

Programs. The Bank provides reduced interest rate advances to members for lending activity that meets the CLP

requirements, under the following individual programs: Community Investment Program (CIP), Rural Development Advance

(RDA), Urban Development Advance (UDA) and Disaster Relief Funding (DRF). The CLP provides additional assistance to

members in their affordable housing and economic development lending activities within low- and moderate-income

neighborhoods as well as other activities which benefit low- and moderate-income households. The Bank also provides letters

of credit in support of projects that meet the CLP requirements and are offered at reduced fees. Economic development is

further supported by the FHLBNY's suite of offerings under the Zero Percent Development Advance (ZDA) Program. The

ZDA program provides members with subsidized funding in the form of interest rate credits to assist in originating loans or

purchasing loans/investments that meet one of the eligibility criteria under the Business Development Advance, Climate

Development Advance, Infrastructure Development Advance, Tribal Development Advance or Housing Development

Advance. In addition, the Small Business Recovery Grant (SBRG) Program provides flexible funds to benefit small-

businesses and non-profits located in FHLBNY members' communities. This program supports the financial security of

qualifying organizations that face economic challenges due to the rate environment, inflation, supply-chain constraints, and/

or rising energy costs. Lastly, we typically make charitable contributions to organizations deemed to be highly reputable and

who provide vital services. The ZDA, SBRG and charitable contributions are in excess of the required statutory annual

income contribution to the AHP offered under the Community Investment Cash Advance Programs.

**Investments**

We maintain portfolios of investments to provide additional earnings and for liquidity purposes. Investment income also bolsters our

capacity to fund Affordable Housing Program projects, and to cover operating expenditures. To help ensure the availability of funds to

meet member credit needs, we maintain interest-bearing deposits and portfolios of short-term investments issued by highly-rated, high

credit quality financial institutions. The investments may include overnight Federal funds, term Federal funds, securities purchased

under agreements to resell, and we are a major lender in this market, particularly in the overnight market. We further enhance our

interest income by holding long-term investments classified as either held-to-maturity or as available-for-sale. These portfolios

primarily consist of mortgage-backed securities issued by government-sponsored mortgage enterprises. Our long-term investments

also include a small portfolio of privately issued mortgage-backed and residential asset-backed securities that were primarily acquired

prior to 2006, bonds issued by housing finance agencies, and grantor trusts owned by the FHLBNY that invests in mutual funds to

help support the Bank's nonqualified plans. We have a liquidity trading portfolio invested primarily in highly-liquid U.S. Treasury

securities to enhance our short-term liquidity positions and is not used for speculative purposes.

For more information, see financial statements, <u>[Note 4](#i5b8e88c41008440591dc473ec7369109_3978)</u>. Interest-bearing Deposits, Federal Funds Sold and Securities Purchased Under

Agreements to Resell, <u>[Note 5](#i4dc808c95aa84c6db55b95657882041f_1035)</u>. Trading Securities, <u>[Note 6](#iaae1047a8db94b6f9b727171c05f4472_982)</u>. Equity Investments, <u>[Note 7](#i26fc669bef3b40ff97061e0db68440e1_3892)</u>. Available-for-Sale Securities and <u>[Note 8](#i7c74635ee9574069b4f7c8fbe8123160_5070)</u>. Held-

to-Maturity Securities. Also see <u>[Tables 4.1](#ib5ab21bd24ec4e99ba9ea43cc41c11be_12243)</u> through <u>[4.9](#i20fefc4b5b3f4d069a0812e14771fbf4_2549)</u> and accompanying discussions in this MD&A.

**Debt Financing — Consolidated Obligations**

Our primary source of funds is the sale of debt securities, known as Consolidated obligations, in the U.S. and global capital markets.

Consolidated obligations are the joint and several obligations of the FHLBanks, backed only by the financial resources of the 11

FHLBanks. Consolidated obligations are not obligations of the United States, and the United States does not guarantee them. The

issuance and servicing of Consolidated obligations debt are performed by the Office of Finance, a joint office of the FHLBanks

established by the Finance Agency. The Office of Finance has authority to issue joint and several debt obligations on behalf of the

FHLBanks. At December 31, 2025 and December 31, 2024, the par amounts of Consolidated obligations outstanding, bonds and

discount notes for all 11 FHLBanks was $1.2 trillion, including $144.9 billion and $149.5 billion issued for the FHLBNY and

outstanding at those dates. For more information, see financial statements,<u>[Note 12](#i388dd8c8bd2442b6a11b88733c31ac48_4449)</u>. Consolidated Obligations. Also see <u>[Tables 6.1](#ic18fee839f564804acaa29b9d6807a27_9976)</u> to

<u>[6.11](#i0a05e85daa0d47258096d22fb584b40a_765)</u> and accompanying discussions in this MD&A.

Finance Agency regulations state that the FHLBanks must maintain, free from any lien or pledge, qualifying assets at least equal to the

face amount of Consolidated obligations outstanding. Qualifying assets are defined as cash; secured advances; assets with an

assessment or rating at least equivalent to the current assessment or rating of the Consolidated obligations; obligations of or fully

guaranteed by the United States, obligations, participations, or other instruments of or issued by Federal National Mortgage

Association or the Government National Mortgage Association (Ginnie Mae); mortgages, obligations, or other securities which are or

ever have been sold by the Federal Home Loan Mortgage Corporation under the FHLBank Act; and such securities as fiduciary and

trust funds may invest in under the laws of the state in which the FHLBank is located. Any assets subject to a lien or pledge for the

benefit of holders of any issue of Consolidated obligations are treated as if they were free from lien or pledge for purposes of

compliance with these regulations.

Consolidated obligations are distributed through dealers selected by the Office of Finance using various methods including

competitive auction and negotiations with individual or syndicates of underwriters. Some debt issuance is in response to specific

inquiries from underwriters. Many Consolidated obligations are issued with the FHLBank concurrently entering into derivatives

agreements, such as interest rate swaps. To facilitate issuance, the Office of Finance may coordinate communication between

underwriters, individual FHLBanks, and financial institutions executing derivative agreements with the FHLBanks. Issuance volume

is not concentrated with any particular underwriter.

The Office of Finance is mandated by the Finance Agency to ensure that Consolidated obligations are issued efficiently and at the

lowest all-in cost of funds over time. If the Office of Finance determines that its action is consistent with its Finance Agency's

mandated policies, it may reject our issuance request, and the requests of other FHLBanks, to raise funds through the issuance of

Consolidated obligations on particular terms and conditions. We have never been denied access under this policy for all periods

reported. The Office of Finance serves as a source of information for the FHLBanks on capital market developments and manages the

FHLBanks' relationship with the rating agencies with respect to the Consolidated obligations.

***Consolidated Obligation Liabilities***

Each FHLBank independently determines its participation in each issuance of Consolidated obligations based on (among other factors)

its own funding and operating requirements, maturities, interest rates, and other terms available for Consolidated obligations in the

market. The FHLBanks have emphasized diversification of funding sources and channels as the need for funding from the capital

markets has grown.

***Consolidated Obligation Bonds.*** Consolidated bonds (COs or CO bonds) are issued primarily to raise intermediate- and long-term

funds for the FHLBanks. They can be issued and distributed through negotiated or competitive bidding transactions with approved

underwriters or bidding group members. Consolidated bonds generally carry fixed- or variable-rate payment terms and have maturities

ranging from one month to 30 years.

• *The Global Debt Program —* The FHLBanks issue global bullet Consolidated bonds. The FHLBanks and the Office of

Finance maintain a debt issuance process for scheduled issuance of global bullet Consolidated bonds. As part of this process,

management from each FHLBank will determine and communicate a firm commitment to the Office of Finance for an

amount of scheduled global bullet debt to be issued on its behalf. If the FHLBanks' orders do not meet the minimum debt

issue size, each FHLBank receives an allocation of proceeds equal to either the larger of the FHLBank's commitment or the

ratio of the individual FHLBank's regulatory capital to total regulatory capital of all of the FHLBanks. If the FHLBanks'

commitments exceed the minimum debt issue size, then the proceeds are allocated based on relative regulatory capital of the

FHLBanks, with the allocation limited to either the lesser of the allocation amount or the actual commitment amount. The

FHLBanks can, however, pass on any scheduled calendar slot and decline to issue any global bullet Consolidated bonds upon

agreement of at least eight of the FHLBanks.

• *TAP Issue Program —* The FHLBanks use the TAP Issue Program to issue fixed-rate, non-callable (bullet) bonds. This

program uses specific maturities that may be reopened daily through competitive auctions. The goal of the TAP Issue

Program is to aggregate frequent smaller fixed-rate funding needs into a larger bond issue that may have greater market

liquidity.

***Consolidated Obligation Discount Notes.*** Discount notes may be offered into the market through the "discount note window", or

through regularly scheduled competitive auctions. These CO discount notes have a maturity range of one day to one year, are

generally issued at or below par, and mature at par.

• Discount notes issued through the discount note window are priced daily and distributed through FHLBank authorized

dealers. FHLBanks may request that specific amounts of Consolidated discount notes (CO discount notes or discount notes)

with specific maturity dates be offered by the Office of Finance for sale through authorized securities dealers. The Office of

Finance commits to issue CO discount notes on behalf of the requesting FHLBanks after dealers submit orders for the

specific CO discount notes offered for sale. The FHLBanks receive funding based on the time of their request, the rate

requested for issuance, the trade date, the settlement date, and the maturity date. However, a FHLBank may receive less than

requested (or may not receive any funding) because of investor demand and competing FHLBank requests for the particular

funding that the FHLBank is requesting.

• Twice weekly, one or more of the FHLBanks may also request that specific amounts of CO discount notes with fixed

maturities of 4, 8, 13, and 26 weeks be offered by the Office of Finance through single-price (Dutch) auctions conducted with

securities dealers in the discount note selling group. Issuance is contingent on FHLBank demand for funding with these

terms. Auction sizes and maturity categories are announced to dealers during the auction process on Reuters and other major

wire services. The discount notes offered for sale through Dutch auctions are not subject to a limit on the maximum costs the

FHLBanks are willing to pay. Bids will be accepted from the lowest bid rate until the auction size is met, and all winning bids

will be awarded at the highest bid rate accepted, so that the FHLBanks receive funding based on their requests at the highest

bid rate accepted. If the bids submitted are less than the total of the FHLBanks' requests, the FHLBank receives funding

based on that FHLBank's regulatory capital relative to the regulatory capital of other FHLBanks offering CO discount notes.

**Deposits**

The FHLBank Act allows us to accept deposits from its members, other FHLBanks and government instrumentalities. For us, member

deposits are also a source of funding, but we do not rely on member deposits to meet our funding requirements. For members, deposits

are a low risk earning asset that may satisfy their regulatory liquidity requirements. We offer several types of deposit programs to our

members, including demand and term deposits.

**Capital**

From its enactment in 1932, the FHLBank Act provided for a subscription-based capital structure for the FHLBanks. The amount of

capital stock that each FHLBank issued was determined by a statutory formula establishing how much FHLBank capital stock each

member was required to purchase. With the enactment of the Gramm-Leach-Bliley Act of 1999, Congress replaced the statutory

subscription-based member capital stock purchase formula with requirements for total capital, leverage capital, and risk-based capital

for the FHLBanks and required the FHLBanks to develop new capital plans to replace the previous statutory structure.

The FHLBNY's capital plan bases the stock purchase requirement on the level of activity a member has with the Bank, subject to a

minimum membership requirement that is intended to reflect the value to the member of having access to the Bank as a funding

source. With the approval of the Board of Directors, we may adjust these requirements from time to time within the ranges established

in the capital plan. Any changes to our capital plan must be approved by our Board of Directors and the Finance Agency.

Bank capital stock cannot be publicly traded, and under the capital plan, may be issued, transferred, redeemed, and repurchased only at

its par value of $100 per share, subject to certain regulatory and statutory limits. Under the capital plan, a member's capital stock will

be redeemed by the Bank upon five years notice from the member, subject to certain conditions. In addition, we have the discretion to

repurchase excess capital stock from members. Our current practice is to acquire excess activity-based capital stock daily.

For more information, see <u>[Table 7.1](#i1c314f4ad0144f989f1cb201807d652b_4233)</u> Stockholders' Capital in this MD&A, and <u>[Note 14](#i6e44f55b55354254bf5e261e55212924_6668)</u>. Capital Stock, Mandatorily Redeemable

Capital Stock and Restricted Retained Earnings in the notes to the audited financial statements.

**Retained Earnings and Dividends**

The Bank's Retained Earnings and Dividends policy (the Policy) is a Board approved Policy, the objectives of which are to preserve

the value of our members' investment with us, and to provide members with a reasonable dividend. The Policy also states that we

want to provide returns on the investment in the Bank's stock that are sufficient to attract and retain members, and that do not

discourage member borrowing. The Bank's minimum level of retained earnings provides management with a high degree of

confidence that estimable losses under simulated stressful conditions and scenarios will not impair paid-in capital, thereby preserving

the par value of the stock. Additionally, Unrestricted Retained Earnings should be available to supplement dividends when earnings

are low, or losses occur. Our ability to pay dividends and any other distributions may be affected by standards under the Policy.

The Policy establishes (1) a minimum level of Retained Earnings equal to the Bank's "Retained Earnings Sufficiency", which is the

FHLBNY's measure of estimating the Bank's risk exposures; it is estimated under simulated stressful conditions and scenarios, within

a defined confidence interval, on market, credit and operational risks, as well as accounting exposures related to the fair values of

certain financial instruments; (2) the priority of contributions to retained earnings relative to other distributions of income; (3) the

target level of Retained Earnings, based on the Retained Earnings Sufficiency level; and (4) a timeline to achieve the targets and to

ensure maintenance of appropriate levels of Retained Earnings.

The Bank may pay dividends from Unrestricted Retained Earnings and current net income. Per Finance Agency regulations, our Board

of Directors may declare and pay dividends in either cash or capital stock; our practice has been to pay dividends in cash. Our

dividends and our dividend policy are subject to Federal Housing Finance Agency regulations and policies. Any dividend payments

declared by our Board are a function of these policies, and our financial condition and performance.

To achieve the Bank's strategic plans and business objectives within the Bank's risk appetite, the Board-approved Retained Earnings

target was $2,347 million for 2025 and $2,225 million for 2024. For more information about Restricted retained earnings, see<u>[Table](#i1c314f4ad0144f989f1cb201807d652b_4233)</u>

<u>[7.1](#i1c314f4ad0144f989f1cb201807d652b_4233)</u> Stockholder's Capital in this MD&A.

Unrestricted Retained Earnings was $1,286.4 million and $1,286.3 million at December 31, 2025 and 2024, respectively. Restricted

Retained Earnings was $1,328.7 million and $1,208.8 million at December 31, 2025 and 2024, respectively. The balance in

Accumulated Other Comprehensive Income (AOCI), a component of stockholder's equity, were losses of $11.1 million and losses of

$100.0 million at December 31, 2025 and 2024, respectively. At December 31, 2025 and 2024, our actual retained earning balances

exceeded the required Bank's Retained Earnings Sufficiency level and was in compliance with the Retained Earnings and Dividend

Policy.

The following table summarizes the impact of dividends on our retained earnings for the years ended December 31, 2025, 2024 and

2023 (in thousands):

---

| | | | |
|:---|:---|:---|:---|
|  | **December 31,** | **December 31,** | **December 31,** |
|  | **2025** | **2024** | **2023** |
| Retained earnings, beginning of year | $2495093 | $2337664 | $2095967 |
| Net Income for the year | 599758 | 738476 | 751131 |
|  | 3094851 | 3076140 | 2847098 |
| Dividends paid in the year <sup>(a)</sup> | (479706) | (581047) | (509434) |
| Retained earnings, end of year | $2615145 | $2495093 | $2337664 |

---

*(a)Dividends are paid quarterly in arrears in the second month after quarter-end. Dividends are accrued in the period they are* 

*declared and therefore not accrued at quarter-end.*

**Competition**

Demand for advances is affected by many factors including, but not exclusive to the availability and cost to members of alternate

sources of liquidity, including retail deposits and wholesale funding options such as brokered deposits, repurchase agreements, Federal

Funds lines of credit, Federal Reserve Bank liquidity facilities, wholesale CD programs, and deposits through listing services.

Historically, members have grown their assets at a faster pace than retail deposits and capital resulting in the creation of a funding gap.

We compete with both secured and unsecured suppliers of wholesale funding to fill these potential funding gaps. Such other suppliers

of funding may include Wall Street dealers, commercial banks, regional broker-dealers, and firms capitalizing on wholesale funding

platforms. Of these wholesale funding sources, the brokered CD market is our main threat as members continue to increase their usage

and as counterparties extend available maturities.

Demand for advances is also affected by Federal Reserve actions in managing interest rates and the size and composition of its balance

sheet, as those actions affect economic and capital markets conditions, the supply of liquidity in the financial system, the behavior of

depositors and other factors.

A significant competitor is deposits through listing services, which are financial institutions that charge a subscription fee to help

banks gather deposits. We have seen gradual growth in the use of these wholesale deposit vehicles. The Federal Reserve funding

programs have emerged as competition for our short-term advances. Repo and Federal Funds usage has been stable, though demand

for certain members will continue to vary as a result of the various changes in regulatory liquidity requirements. We expect that

brokered CDs will continue to pressure market share. Our larger members may also have access to the national and global credit

markets. The availability of alternative funding sources can vary as a result of market conditions, member creditworthiness,

availability of collateral and suppliers' appetite for the business, as well as other factors. However, we believe this competition will

continue and will be reflected in our balances and market share.

We compete for funds in the national and global debt markets. Competitors include corporations, sovereigns, the U.S. Treasury,

supranational entities, and Government Sponsored Enterprises including Fannie Mae, Freddie Mac, and the Federal Farm Credit

Banks (FFCB). Increases in the supply of competing debt products could, in the absence of increases in demand, result in higher debt

costs or lesser amounts of debt issued at the same cost than would otherwise be the case. In addition, the availability and cost of funds

can be adversely affected by regulatory initiatives that could reduce demand for Federal Home Loan Bank System debt. Although the

available supply of funds has historically kept pace with the liquidity needs of our members, there can be no assurance this will

continue to be the case.

In certain market conditions there is considerable competition among high credit quality issuers in the markets for callable debt. The

issuance of callable debt and the simultaneous execution of callable derivatives that mirror the debt have been a valuable source of

competitively priced funding for the FHLBNY. Since Money Market Fund Reform, the dominant System issuance has been in simple

floating-rate debt as money market funds migrated assets from Prime to Government Funds; thereby creating demand for eligible

assets such as FHLBank debt. Floaters have been one of the main determinants of our relative cost of funds. There can be no assurance

that the current breadth and depth of these markets will be sustained as it is heavily influenced by investor sentiment concerning rates

and yields and availability of alternative investments, particularly in the Repo sector.

Since 2018, the FHLBank System has been a major participant in the issuance of floaters using the Secured Overnight Financing Rate

(SOFR). SOFR floaters are a major source of funding for the System.

We compete for the purchase of mortgage loans in the secondary mortgage market. For single-family products, competition is

primarily with Fannie Mae and Freddie Mac, principally on the basis of price, products, structures, and services offered.

Competition for certain aspects of the FHLBank business model among the 11 FHLBanks is limited, although a bank holding

company with multiple banking charters may operate in more than one FHLBank's district. A limited number of our member

institutions are subsidiaries of financial holding companies with multiple charters and FHLBank memberships. The amount of

advances borrowed by these entities and the amount of capital stock held, could be material to the business. Certain large member

financial institutions operating in our district may borrow unsecured Federal funds or source deposits from other FHLBanks. We are

permitted by regulation to purchase short-term investments from our members, though we choose to not permit members to borrow

unsecured funds from us.

**Oversight, Audits, and Examinations**

Our business is subject to extensive regulation and supervision. The laws and regulations to which we are subject cover all key aspects

of our business, and directly and indirectly affect our product and service offerings, pricing, competitive position and strategic plan,

relationship with members and third parties, capital structure, cash needs and uses, and information security. As a result, such laws and

regulations have a significant effect on key drivers of our results of operations, including, for example, our capital and liquidity,

product and service offerings, risk management, and costs of compliance. An overview of our regulatory environment is discussed

below.

The Federal Housing Finance Agency, an independent agency in the executive branch of the U.S. government, supervises and

regulates the FHLBanks. The Housing Act created the FHFA with regulatory authority over FHLBank matters such as: Board of

Director composition, executive compensation, risk-based capital standards and prompt corrective action enforcement provisions,

membership eligibility, and low-income housing goals. The FHFA's mission, with respect to the FHLBanks, is to ensure that the

FHLBanks operate in a safe and sound manner so that the FHLBanks serve as a reliable source of liquidity and funding for housing

finance and community investment.

We carry out our statutory mission only through activities that comply with the rules, regulations, guidelines, and orders issued under

the Federal Housing Enterprises Financial Safety and Soundness Act, the Housing Act and the FHLBank Act.

Our shares of Class B stock are registered with the SEC under the Exchange Act, and we are subject to the information, disclosure,

insider trading restrictions and other requirements under the Exchange Act. We are not subject to the provisions of the Securities Act.

The Government Corporation Control Act provides that, before a government corporation may issue and offer obligations to the

public, the Secretary of the Treasury shall prescribe the form, denomination, maturity, interest rate and conditions of the obligations;

the way and time issued; and the selling price. The U.S. Department of the Treasury receives the Finance Agency's annual report to

Congress, monthly reports reflecting securities transactions of the FHLBanks, and other reports reflecting the operations of the

FHLBanks. The FHLBNY has an internal audit department, and our Board of Directors has an Audit Committee. An independent

registered public accounting firm audits our annual financial statements. The independent registered public accounting firm conducts

these audits following auditing standards established by the Public Company Accounting Oversight Board (PCAOB). The FHLBanks,

the Finance Agency, and Congress all receive the audit reports. We must also submit annual management reports to Congress, the

President, the Office of Management and Budget, and the Comptroller General. These reports include: statements of financial

condition, operations, and cash flows; a statement of internal accounting and administrative control systems; and the report of the

independent registered public accounting firm on the financial statements and internal controls over financial reporting.

The Comptroller General has authority under the FHLBank Act to audit or examine the Finance Agency and the FHLBanks, including

the FHLBNY, and to decide the extent to which they fairly and effectively fulfill the purpose of the FHLBank Act. Furthermore, the

Government Corporation Control Act provides that the Comptroller General may review any audit of our financial statements

conducted by a registered independent public accounting firm. If the Comptroller General conducts such a review, then he or she must

report the results and provide his or her recommendations to Congress, the Office of Management and Budget and the Bank. The

Comptroller General may also conduct his or her own audit of any of our financial statements.

For a discussion regarding the risks related to our regulatory environment, see the description of "Risk Factors — Legislative and

Regulatory Risks" in <u>[Part I](#i254f72b682ef4373a7f693751d2cd78f_16)</u>, Section 1A of this Form 10-K, and for a discussion of recent regulatory developments that may impact the

Bank, see "Management's Discussion and Analysis — Legislative and Regulatory Developments" in<u>[Part II](#i254f72b682ef4373a7f693751d2cd78f_34)</u>,<u>[Item 7](#i254f72b682ef4373a7f693751d2cd78f_43)</u> of this Form 10-

K. **Tax Status**

The FHLBanks, including the FHLBNY, are exempt from ordinary federal, state, and local taxation except for real property taxes.

**Assessments**

Affordable Housing Program Assessments. — Section 10(j) of the FHLBank Act requires each FHLBank to establish an Affordable

Housing Program. Each FHLBank provides subsidies in the form of direct grants and below-market interest rate advances to members

who use the funds to assist in the purchase, construction, or rehabilitation of housing for very low-, low-, and moderate-income

households. Annually, the FHLBanks must allocate for the AHP the greater of $100 million or 10% of regulatory net income.

Regulatory net income is defined as GAAP net income before interest expense related to mandatorily redeemable capital stock and the

assessment for Affordable Housing Program. The exclusion of interest expense related to mandatorily redeemable capital stock is a

regulatory interpretation of the Finance Agency. We accrue the AHP expense monthly.

We charge the amount allocated for the Affordable Housing Program to income and recognize the amounts allocated as a liability. We

relieve the AHP liability as subsidies are disbursed to members. In periods where our regulatory income before Affordable Housing

Program is zero or less, the amount of AHP liability is equal to zero. If the result of the aggregate 10% calculation described above is

less than $100 million for all 11 FHLBanks, then the Act requires the shortfall to be allocated among the FHLBanks based on the ratio

of each FHLBank's income before Affordable Housing Program to the sum of the income before Affordable Housing Program of the

11 FHLBanks. There were no shortfalls in 2025, 2024, and 2023.

**Human Capital Resources**

The Bank's human capital is a significant contributor to the success of the Bank's strategic business objectives. In managing the

Bank's human capital, the Bank focuses on its workforce profile and the various programs and philosophies described below.

<u>Workforce Profile</u>

The Bank's workforce is primarily comprised of corporate employees, with the Bank's principal operations in three locations. As of

December 31, 2025, the Bank had 378 full-time and no part-time employee. Given the size of assets under management, the Bank's

workforce is appropriate, and historically has included a number of longer-tenured employees. The Bank strives to both develop talent

from within the organization and supplement with external hires. The Bank believes that developing talent internally results in

institutional strength and continuity and promotes loyalty and commitment in the Bank's employee base, which furthers its success,

while adding new employees contributes to new ideas and continuous improvement. As of December 31, 2025, the average tenure of

the Bank's employees was 10 years. There are no collective bargaining agreements with the Bank's employees.

<u>Total Rewards</u>

The Bank seeks to attract, develop, engage and retain talented employees to achieve its strategic business initiatives, enhance business

performance and increase shareholder value. The Bank effects this objective through a combination of inclusion and development

programs, benefits and employee wellness programs and recognizing and rewarding performance. Specifically, the Bank's programs

include:

• Cash compensation (i.e., base salary, and "variable" or "at risk" short-term incentive compensation)

• Health Benefits – Healthcare insurance, Life and Accidental Death & Dismemberment insurance, Short-Term and Long-

Term Disability benefits

• Retirement Benefits – 401(k) retirement savings plans with employer match, and pension benefits

• Wellness program – Fitness Reimbursement, Health Management and Employee Assistance Programs

• Time away from work – including time off for vacation, personal, holiday, and volunteer opportunities

• Work/Life balance – parental leave, bereavement, jury duty and hybrid remote work

• Engagement and Development programs and training – Tuition Reimbursement Program, Corporate Toastmasters Club,

Online Training Platform, Employee Activity initiatives, Internal Educational and Development program, and Management

Development Program

• Management succession planning – the Bank's board and leadership actively engage in management succession planning

The Bank's Performance Management framework includes a mid-year checkpoint, as well as an annual performance review. Overall

annual ratings are calibrated, and merit payments are differentiated for the Bank's highest performers.

<u>Office of Minority and Women Inclusion</u>

The Bank is required by federal law (12 U.S.C. § 4520) and Finance Agency regulations to have an Office of Minority and Women

Inclusion (OMWI). The Bank's OMWI officer dually reports to Director of HR and the Chief Legal Officer, who then acts as a liaison

to the Board of Directors. As required by applicable law, the Bank operationalizes its commitment to the principles of equal

opportunity in employment and contracting through the development and execution of a three-year strategic plan, and it reports

regularly on its performance to management and the Board of Directors. The Bank offers a range of educational opportunities and

supports connection and belonging as well as personal and professional growth of the members of its workforce.

**Available Information**

The Federal Home Loan Bank of New York maintains a website located at www.fhlbny.com where we make available our annual

report on Form 10-K and quarterly reports on Form 10-Q as filed with the Securities and Exchange Commission (the SEC), and other

information regarding us and our products free of charge. We are required to file with the SEC an annual report on Form 10-K,

quarterly reports on Form 10-Q, and current reports on Form 8-K. The SEC maintains a website that contains these reports and other

information regarding our electronic filings located at www.sec.gov. Information on these websites, or that can be accessed through

these websites, does not constitute a part of this annual report.

**Item 1A. Risk Factors.**

The following discussion sets forth the material risk factors that could affect the FHLBNY's financial condition and results of

operations. Readers should not consider any descriptions of such factors to be a complete set of all potential risks that could affect the

FHLBNY.

**Market and Economic Risks**

***A prolonged downturn in the economy, including the U.S. housing market, and related U.S. government monetary and fiscal***

***policies, could adversely affect the FHLBNY's business activities and results of operations.***

The FHLBNY's business and results of operations are sensitive to the U.S. economy and the U.S. housing market. A prolonged period

of slow growth in the U.S. economy, deterioration in general economic conditions, or a downturn in the housing markets could

adversely affect our borrowers, particularly those whose businesses are concentrated in the mortgage industry. For example, if home

prices decline, the value of collateral securing member credit may decline, which could in turn increase the possibility of under-

collateralization and the risk of loss if a member defaults. Deterioration in the residential mortgage markets and potential changes in

governmental policy decisions could also affect the value of collateral supporting our mortgage loan portfolio, increasing the risk of

loss due to credit impairment.

Unfavorable economic and market conditions can be caused by many factors. Volatility and uncertainty in global economic and

political conditions can significantly affect U.S. economic conditions and financial markets. Negative trends in the global economy

and political climate could influence, among other business activities, member borrowing activity and the Bank's lending and

investment patterns. Additionally, investors' negative perceptions of the state of the U.S. economy could lead to a decline in investor

demand for consolidated obligations. Furthermore, natural disasters, pandemics or other widespread health emergencies, terrorist

attacks, cyberattacks, civil unrest, geopolitical instability or conflicts, trade disruptions, economic or other sanctions, or other

unanticipated or catastrophic events could create economic and financial disruptions and uncertainties, which may lead to an increased

risk of credit losses for the Bank and may adversely affect their cost of funding or access to funding. These events may also lead to

operational difficulties that could adversely affect the ability of the Bank to conduct and manage their businesses. Any of these factors

could adversely affect our business activities and results of operations.

In addition, the Banks businesses and results of operations could be significantly affected by the monetary and fiscal policies of the

U.S. government and its agencies, including the Federal Reserve and the U.S. Treasury. The Federal Reserve Board's policies directly

and indirectly influence interest rates on our assets and liabilities and could adversely affect the demand for advances and for

consolidated obligations as well as the financial condition and results of operations of the Bank. In addition, the Bank currently plays a

predominant role as a lender in the federal funds market; therefore, any disruption in the federal funds market or any related regulatory

or policy change may adversely affect our cash management activities, results of operations, and reputation. Fiscal policies of the U.S.

government could also indirectly affect the FHLBNY's cost of funding. For example, sudden or large increases in the supply of

Treasury securities could lead to a general increase in short-term market interest rates, including those for short-term GSE debt

securities. Also, increases in Treasury issuances could temporarily reduce the capacity of the dealers of consolidated obligations, many

of which are also primary dealers for the Federal Reserve Bank of New York, to participate in the issuances of consolidated

obligations, which could in turn increase the Banks' cost of funding. These factors could also cause temporary technical market

distortions that may diminish the relative value and pricing of certain consolidated obligations and the Bank's hedging strategies.

***Changes in interest rates or an inability to successfully manage interest-rate risk could have a material adverse effect on***

***FHLBNY's net interest income.***

The FHLBNY realizes net interest income primarily from the spread between interest earned on our outstanding advances and

investments less the interest paid on our consolidated obligations and other liabilities. Our business and results of operations are

significantly affected by the monetary policies of the U.S. government and our agencies. Our ability to prepare for changes regarding

the direction and speed of interest-rate changes or to use derivatives to hedge related exposures, such as basis risk, significantly affects

the success of our asset and liability management activities and level of net interest income. If we are unable to enter into derivative

instruments on acceptable terms, we may be unable to effectively manage our interest-rate and other risks, which could adversely

affect our financial condition and results of operations.

We use a number of measures to monitor and manage interest-rate risk, including income simulations, value at risk, and duration or

market value sensitivity analyses. Given the unpredictability of the financial markets, capturing all potential outcomes in these

analyses is extremely difficult. Key assumptions include, but are not limited to, loan volumes and pricing, market conditions for

consolidated obligations, interest-rate spreads and prepayment speeds, implied volatility of interest rates and options contracts, cash

flows on mortgage-related assets, and other model and model related assumptions. Actual results may differ from simulated results

due to the timing, magnitude, and frequency of interest-rate changes and changes in market conditions and management strategies,

among other factors. In addition, volatility and disruption in the capital markets may result in a higher level of volatility in our interest-

rate risk profile and could negatively affect our ability to manage interest-rate risk effectively.

Interest-rate changes can exacerbate prepayment and extension risks. Increases in interest rates may create extension risk, which is the

risk that the mortgage-related investments will remain outstanding longer than expected at below-market yields. Therefore, any

changes in interest rates could adversely affect our net interest income.

***Changes to the credit ratings of consolidated obligations could adversely affect the FHLBNY's ability to access the capital markets,***

***our primary source of funding, on acceptable terms, which could adversely affect the financial condition and results of operations***

***of the Bank.***

The FHLBanks' consolidated obligations are rated AA+/A-1+ with a stable outlook by S&P and Aa1/P-1 with a stable outlook by

Moody's. Rating agencies may from time to time change a rating or outlook or issue negative reports. Investors should not take the

FHLBanks' historical or current ratings as an indication of future ratings for the FHLBanks' consolidated obligations. Because the

FHLBanks are jointly and severally liable for consolidated obligations, negative developments at any FHLBank may affect these

credit ratings or result in the issuance of a negative report regardless of the financial condition and results of operations of the other

FHLBanks. In addition, because of the FHLBanks' GSE status, the credit ratings of the FHLBank System, the FHLBanks, and

consolidated obligations are directly influenced by the sovereign credit rating of the United States. For example, downgrades to the

U.S. sovereign credit rating or outlook have occurred and may occur again if the U.S. government fails to adequately address, based

on the credit rating agencies' criteria, its fiscal budget deficit or statutory debt limit. In August 2023, Fitch Ratings downgraded the

ratings of the United States and, in November 2023, Moody's changed the outlook on the ratings of the United States to negative from

stable, which also caused the respective rating agencies to take similar actions with respect to certain GSEs such as the FHLBanks. As

a result, if the U.S. sovereign credit ratings or outlook were further downgraded, similar downgrades in the credit ratings or outlook of

the FHLBanks and consolidated obligations would most likely occur, even though the consolidated obligations are not obligations of,

or guaranteed by, the United States.

Future downgrades in credit ratings or outlook may result in higher funding costs, higher volatilities, or other disruptions in the

FHLBanks' access to capital markets, including additional collateral posting requirements under certain derivative instrument

arrangements. Furthermore, member demand for certain FHLBank products could weaken. To the extent that we cannot access

funding when needed on acceptable terms to effectively manage our cost of funds, our financial condition and results of operations

and the FHLBanks on a combined basis and the value of our membership could be negatively affected.

**Legislative and Regulatory Risks**

***Changes in the legislative and regulatory environment could negatively affect the FHLBNY business operations, results of***

***operations, the reputation and the value of the Bank's membership.***

As a GSE, the FHLBNY is organized under the authority of the FHLBank Act and governed by U.S. federal laws and regulations as

adopted and applied by the FHFA. Congress could amend the FHLBank Act or other statutes and federal executive orders could be

issued in ways that significantly affect the rights and obligations of the FHLBanks or the manner in which the FHLBanks carry out

their mission and business operations. New or modified legislation enacted by Congress or changes in the statutory or regulatory

requirements applied or imposed by the FHFA or other financial services regulators or through federal executive orders could result in,

among other things: an increase in our cost of funding and regulatory compliance; a change in membership or permissible business

activities; additional capital and liquidity requirements; additional contributions under Affordable Housing Programs or Community

Investment Cash Advance Programs; reduced demand for advances or limitations on advances made to our members (including

whether a member meets required tangible capital levels to access advances); or a change in the size, scope, or nature of our lending,

investment, or mortgage financing activities. Changes in the legislative and regulatory environment for the FHLBanks, their members

and housing finance generally may involve additional complexities and uncertainties, including those relating to regulatory priorities

and areas of focus, as a result of recent or future executive orders, policy pronouncements, and other directives or actions under the

current administration.

We note continuing developments in areas of focus and regulatory priorities of FHFA, other financial regulators, and the current

federal executive administration that may result in potential changes in the Bank's regulatory environment, including without

limitation, as discussed in *Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations —*

*Legislative and Regulatory Developments*. We cannot predict changes in legislative or regulatory requirements or guidance, or any

new legislation or regulations, or how they might impact the Bank's business or operations. We also cannot predict the federal

executive administration's or FHFA's actions on U.S. housing finance and government-sponsored enterprises, including actions taken

relating to large institutional investor purchases of single family homes, actions regarding the revision or end of conservatorships of

Fannie Mae and Freddie Mac or potential reforms or enhancements to their capital structure, the imposition of new requirements or

limitations on their existing authorities or changes in the nature of their government backed guarantees, or any corresponding impacts

to the FHLBank System, the secondary mortgage and mortgage-backed securities market, or the mortgage industry. Any such

changes, as well as any resulting increased scrutiny of the Bank and the FHLBank System and its mission and activities, however,

could materially affect the Bank's business operations, results of operations and reputation, and the value of FHLBank membership.

Additionally, potential legislative and regulatory changes governing or affecting the Bank's members, investors, and dealers of

consolidated obligations could adversely affect the business activities, financial condition, and results of operations of the Bank.

***Changes in the perception, regulation, or status of the GSEs and the related effect on debt issuance could reduce demand for, or***

***increase the cost of, the FHLBNY's debt and adversely affect the Bank's financial condition and results of operations.***

The FHLBanks are GSEs organized under the authority of the FHLBank Act and are authorized to issue debt securities to finance

housing and community investments. Negative announcements by any of the housing GSEs, concerning topics such as accounting

problems, risk-management issues, or regulatory enforcement actions, have historically created, and may in the future create pressure

on debt pricing for all GSEs, as investors perceive such instruments as bearing increased risk.

Any such negative information or other factors could result in the Bank having to pay a higher rate of interest on consolidated

obligations to make them attractive to investors, which could negatively affect our results of operations, and our access to funding.

Given our shared status as GSEs, the scope, timing, and effect of any regulatory reform affecting the GSEs, including the ultimate

resolution to the conservatorship of Fannie Mae and Freddie Mac and resulting changes in the regulation or status of the GSEs, could

have a significant effect on the FHLBank System. While there are significant differences between the FHLBank System and Fannie

Mae and Freddie Mac, including the FHLBanks' focus on secured lending in the form of advances as opposed to guaranteeing

mortgages and their distinctive cooperative business model, legislation or other regulatory reform affecting the GSEs could

inadequately account for these differences, which could negatively change the perception of the risks associated with the GSEs and

their debt securities. This change in the perception of risk generally, or any actual or perceived competitive advantage to Fannie Mae

and Freddie Mac arising from the ultimate resolution to their conservatorship, could adversely affect the FHLBanks' funding costs,

access to funding, competitive position, and the financial condition and results of operations of an FHLBank and the FHLBanks on a

combined basis.

***A failure to meet minimum regulatory capital requirements could affect the FHLBNY's ability to pay dividends or repurchase or***

***redeem members' capital stock, which may cause a decrease in members' demand for advances or difficulties in retaining existing***

***members and attracting new members***.

The FHLBNY is subject to minimum capital requirements under the FHLBank Act and FHFA rules and regulations, including total

capital, leverage capital, and risk-based capital requirements. If we are unable to satisfy our minimum capital requirements, we would

be subject to capital restoration requirements. Until the minimum capital levels have been restored, we would also be prohibited from

paying dividends and redeeming or repurchasing capital stock without the prior approval of the FHFA, which could adversely affect

our members' investment in our capital stock. Furthermore, to the extent that current and prospective members determine that our

dividend is insufficient or our ability to pay future dividends or repurchase excess capital stock becomes limited, we may be unable to

expand our membership and may experience decreased member demand for advances or increased member requests for withdrawals.

These factors may cause a decline in the value of our membership and make it difficult to retain existing members or to attract new

members.

**Business Risks**

***Increased competition or reduced demand could adversely affect the FHLBNY's financial condition, results of operations, and***

***primary business activity, which is to provide financial products and services to members and housing associates.***

The FHLBNY's primary business is to provide our members and housing associates with financial products and services, including

but not limited to, secured loans known as advances. We compete with other suppliers of wholesale funding, including, but not limited

to, investment banks, commercial banks, the Federal Reserve, and, in certain circumstances, other FHLBanks. Changes to legislation

or regulations affecting our members, or the availability of alternative funding sources to members, could significantly decrease the

demand for advances, tighten net interest margin, and negatively affect our financial condition and results of operations.

We may be required by new legislation or regulations or other factors to change policies, programs, and agreements affecting

members' access to advances, mortgage purchase programs, affordable housing programs, and other credit programs that could cause

members to obtain financing from alternative sources. New or modified legislation or regulations could also create alternative funding

sources for our members. Some competitors may not be subject to the regulations that apply to us, which may enable those

competitors to offer products and terms that are more favorable than those we offer. Additionally, we compete with Fannie Mae and

Freddie Mac, as well as other FHLBanks, to purchase mortgage loans from members or affiliates of members. This competition may

reduce the amount of available mortgage loans that we can purchase.

We also compete with the U.S. Treasury, Fannie Mae, Freddie Mac, and other GSEs, as well as corporate, state, local, sovereign, sub-

sovereign, and supranational entities, for funds raised through the issuance of unsecured debt in the U.S. and global capital markets.

Increases in the supply of competing debt products, such as an increase in the supply of Treasury securities, or any actual or perceived

competitive advantage to Fannie Mae and Freddie Mac in the issuance of unsecured debt arising from the ultimate resolution to their

conservatorship, could negatively affect the demand for consolidated obligations and result in higher debt costs. Any of these factors

could adversely affect the financial condition and results of operations of the Bank, as well as the value of FHLBank membership.

***A loss or change of business activities with large members, consolidation of membership, or regulatory changes in membership***

***rules could adversely affect the FHLBNY's financial condition and results of operations.***

Due to the nature of the FHLBNY's charters, membership is generally limited to federally insured depository institutions, insurance

companies, and community development financial institutions in our district. Given this limitation in membership eligibility, a loss of

members or decreased business activities with large members due to withdrawal from membership, acquisition by a non-member, or

failure could result in a reduction of our total assets, capital, and net income. Additionally, regulatory changes in our membership

eligibility or requirements could affect the business activities, as well as our financial condition and results of operations.

We have a high concentration of advances and capital with large members. As the financial industry continues to consolidate into a

smaller number of institutions, this could lead to further concentration of large members in other districts and a related decrease in

membership and significant loss of business for us. If advances are concentrated in a smaller number of members, our risk of loss

resulting from a single event could become greater. Industry consolidation could also cause us to lose members whose business and

stock investments are substantial. Moreover, as nonbank financial institutions that are currently ineligible for our membership continue

to play an increasing role in mortgage origination, we could experience a decrease in demand for advances or a decrease in volume of

mortgage loans available for purchase from our members, which could negatively affect our financial condition and results of

operations.

***Natural disasters, including those resulting from significant climate change, could adversely affect the members and business of***

***the FHLBNY.***

Regions in which the FHLBNY operate are subject to natural disasters, including risks from hurricanes, tornadoes, floods, wildfires,

drought and other natural disasters. Climate change is increasing the frequency, intensity, and duration of these weather events. These

natural disasters, including those resulting from significant climate change, could destroy or damage our facilities or other properties,

such as collateral that members have pledged to secure advances or mortgages, disrupt the business of our members, increase the

probability of power or other outages, negatively affect the livelihood of borrowers of our members, or otherwise cause significant

economic dislocation in the affected regions. Any of these situations may adversely affect our financial condition and results of

operations.

**Credit Risks**

***An increase in credit risk exposure from advances, mortgage loans, or other credit products or FHLBank member failures could***

***adversely affect the FHLBNY's financial condition, results of operations, and reputation.***

The FHLBNY is exposed to credit risk as part of our normal business operations through funding advances, purchasing mortgage

loans, and extending other credit products, such as lines of credit, standby letters of credit, and other commitments. We require

advances and other extensions of credit to be fully secured with collateral and require borrowers to pledge additional collateral when

deemed necessary. We evaluate the types of collateral pledged by the member and assign a borrowing capacity to the collateral, based

on the risk associated with that type of collateral. If borrowers are unable to pledge additional collateral to fully secure their

obligations with us, whether due to significant financial stress, market volatilities, or otherwise, it could cause the advance levels to

decrease or credit risk to increase. If we have insufficient collateral before or after an event of default or failure of the member or are

unable to liquidate the collateral, or transfer the collateral to an acquirer or receiver, for the value assigned to it in the event of a

default or failure of a member, we could experience a credit loss.

During economic downturns or periods of significant economic and financial disruptions and uncertainties, the number of members

exhibiting significant financial stress may increase, which may expose us to additional member credit risk. Changes in market

perception of the financial strength of a financial institution can occur very rapidly and can be difficult to predict, as reflected in the

failures of several FHLBank members in March and May 2023. There are continued challenges associated with the commercial real

estate sector due to weak leasing demand, lower occupancy rates and higher interest rates, and policy or legal actions in certain

jurisdictions which may lead to continued declines in the value of commercial real estate loan related collateral held by the Bank and

could contribute to additional financial stress of our members, in particular smaller regional and community banks with significant

exposure to commercial real estate and high reliance on uninsured deposits may be more severely impacted. If a member defaults on

its obligations or, in the case of a failed institution, the Federal Deposit Insurance Corporation (FDIC), or other receiver, fails to either

promptly repay all of that failed institution's obligations or assume the outstanding advances, then we may be required to liquidate the

collateral pledged by the troubled or failed institution. If the proceeds realized from the liquidation of pledged collateral are not

sufficient to fully satisfy the amount of the troubled or failed institution's obligations and the operational cost of liquidating the

collateral, we could incur losses. In addition, a default by a member with significant unsecured obligations could result in significant

losses. We could also experience losses if a receiver were to be successful in claiming that the Bank did not liquidate its collateral in

an orderly and commercially reasonable manner.

We are also exposed to credit risk from our mortgage loans held in portfolios. While our mortgage loan assets are collateralized by the

underlying real estate and are generally credit-enhanced to further mitigate credit risk, natural disasters or a deterioration in economic

conditions could result in decline in residential real estate values or increase in unemployment rate. These factors could lead to an

escalation of borrower defaults and cause us to incur credit losses on our mortgage loans.

***Defaults by one or more institutional counterparties on their obligations to the FHLBNY could adversely affect our financial***

***condition and results of operations.***

The FHLBNY faces the risk that our institutional counterparties may fail to fulfill their contractual obligations. The primary exposures

to institutional counterparty credit risk are with:

• Unsecured money market transactions, including federal funds sold, or short-term investments with domestic and foreign

counterparties;

• Derivative counterparties, including Derivative Clearing Organizations and Futures Commission Merchants;

• Mortgage servicers that service loans purchased under the MAP and MPF Program.

A counterparty default could result in losses if our credit exposure to that counterparty was unsecured or under-collateralized, or if a

credit obligation associated with derivative positions were overcollateralized. The insolvency or other inability of a significant

counterparty to perform its obligations under these transactions or other agreements could have an adverse effect on our financial

condition and results of operations.

We have both direct and indirect exposure to foreign credit risk through our various counterparties. Adverse economic, political, or

other trends that may occur within, across, or among various regions or countries could have direct adverse effects on our institutional

counterparties and on the U.S. economy. In turn, we could also experience adverse effects on our ability to meet our obligations given

our relationship with these counterparties. In addition, our ability to engage in routine derivatives, funding, and other transactions

could be adversely affected by the actions and commercial soundness of other financial institutions. Financial services institutions are

inter-related as a result of trading, clearing, counterparty, and other relationships. As a result, actual and potential defaults of one or

more financial services institutions could lead to market-wide disruptions, making it difficult for us to source eligible counterparties

for transactions.

***Financial difficulties at one FHLBank could require the other FHLBanks to make payment of principal and interest on the***

***consolidated obligations issued on that FHLBank's behalf, which could adversely affect the FHLBNY's financial condition and***

***results of operations.***

Under the FHLBank Act and FHFA regulations, each FHLBank is jointly and severally liable with the other FHLBanks for the

consolidated obligations issued by the FHLBanks through the Office of Finance. As such, while each FHLBank is primarily liable for

its portion of consolidated obligations (i.e., those issued on its behalf), each FHLBank is also jointly and severally liable with the other

FHLBanks for the payment of principal and interest on all consolidated obligations issued by the FHLBanks. Although it has never

occurred, the FHFA, at its discretion, may require any FHLBank to make principal or interest payments due on any consolidated

obligation whether or not the consolidated obligation represents a primary liability of that FHLBank. Additionally, if a FHLBank were

to default on its obligation to pay principal or interest on any consolidated obligations, the FHFA may allocate the outstanding

liabilities of that FHLBank among the remaining FHLBanks on a pro rata basis or on any other basis determined by the FHFA.

Accordingly, we could incur significant liability beyond our primary obligations due to the failure of a FHLBank to meet its

obligations. This could adversely affect our financial condition and results of operations.

**Liquidity Risks**

***Disruptions in the short-term capital markets or changes to the regulatory environment could have an adverse effect on the***

***FHLBNY's ability to refinance our consolidated obligations or to manage our liquidity positions to meet members' needs on***

***acceptable terms.***

Our ability to operate our business, meet our obligations, and generate net interest income depends primarily on our ability to issue

debt continuously to meet member demand and to refinance existing outstanding debt at attractive rates, maturities, and call features

when needed. Our source of funds is the sale of consolidated obligations in the capital markets through the Office of Finance. Our

ability to obtain funds through the sale of consolidated obligations generally depends on prevailing conditions in the capital markets,

and, in particular, our ability to access the short-term capital markets due to our preference for short-term funding.

Access to short-term debt markets has been supported by continued demand as investors, driven by increased liquidity preferences and

risk aversion, have sought our short-term debt as an asset of choice. This has led to advantageous funding opportunities and significant

utilization of debt maturing in one year or less. There are inherent risks in utilizing short-term funding to support longer-dated assets

and we may be exposed to refinancing risk. Refinancing risk includes the risk that we could have difficulty rolling over short-term

obligations when market conditions change or investor demand for short-term consolidated obligations declines. In managing and

monitoring the amounts of financial assets that require refinancing, we consider our contractual maturities, as well as certain

assumptions regarding expected cash flows (i.e., estimated prepayments, embedded call optionality, and scheduled amortizations),

taking into account our liquidity position.

The Bank is also exposed to liquidity risk if there is any significant disruption in the short-term debt markets. Without access to the

short-term debt markets on acceptable terms, the alternative longer-term funding, if available, would increase funding costs and

interest-rate risk exposure and could cause us to increase advance rates, potentially affecting demand for advances. If this disruption is

prolonged, we may not be able to obtain funding on acceptable terms and this could adversely affect our ability to support and

continue our operations. As a result, our inability to manage our liquidity position or our contingency liquidity plan to meet our

obligations, as well as the credit and liquidity needs of our members, could adversely affect our financial condition and results of

operations as well as the value of our membership.

Additionally, changes to the regulatory environment that affect FHLBanks' investors and dealers of consolidated obligations,

particularly changes related to capital and liquidity requirements and money market fund reforms, have affected, and will continue to

affect, the FHLBanks' ability to access the capital markets on acceptable terms. For example, the SEC's implementation of money

market fund reforms over the years resulted in a significant increase in demand for U.S. government and agency debt, including the

FHLBanks' short-term consolidated obligations. The holding of the FHLBanks' consolidated obligations by money market funds, as a

percentage of the total outstanding consolidated obligations, generally increased as a result of these reforms as compared to the periods

before their implementation. While demand from this investor class benefited the FHLBanks' ability to access short-term funding at

attractive costs, this demand could change if money market investor risk and return preferences and money market regulatory

requirements shift over time. A decrease in this demand could, due to the FHLBanks' concentration of money market investors, lead

to significant investor outflows and unfavorable market conditions. Policymakers and regulators in the U.S. have been examining

potential policy measures intended to improve the resilience of money market funds and broader short-term funding markets in recent

years, including the SEC's adoption of money market fund reforms in July 2023, designed to improve the resilience and transparency

of, designed to improve the resilience and transparency of money market funds. As such, changes in regulatory requirements

governing money market funds, including any reversal of prior money market fund reforms, could have a negative effect on

FHLBanks' short term funding costs and adversely affect the financial condition and results of operations of the FHLBNY.

**Operational Risks**

***Failure, breach, or cyberattack of the information systems of the FHLBNY could disrupt the FHLBNY's business or result in***

***significant losses or reputational damage.***

The FHLBNY relies heavily on our information systems and technology to conduct and manage our business. A failure, breach, or

cyberattack of these systems or technologies could disrupt and prevent us from conducting and managing our business effectively.

Moreover, such failure or breach could result in significant losses, including a loss of data, intellectual property, or confidential

information, reputational damage, or other harm.

Like many financial institutions, the Bank has seen an increase in cyberattack attempts. These attempts have predominantly occurred

through phishing and social engineering scams. The Bank's operations rely on the availability and functioning of its main office and

off-site backup facilities. Cyberattacks, in particular those on financial institutions and financial market infrastructures, have also

become more frequent, sophisticated, and increasingly difficult to detect or prevent, including as a result of the increased capabilities

of artificial intelligence and other emerging technologies that may be used maliciously. The threat of cyberattacks may also increase as

a result of geopolitical conflicts. The Bank devotes substantial resources and deploys detective and preventative measures to secure the

Bank's systems, including firewalls, email security, and end-point solutions. These measures and other business continuity measures

may be ineffective or insufficient for all eventualities. A failure or interruption in our business continuity, disaster recovery or certain

information systems, or a cybersecurity event could significantly harm the Bank's reputation, its customer relations, risk management

and profitability, and could result in financial losses, legal and regulatory sanctions, increased costs, or other harm. As cyber threats

continue to evolve, the Bank may be required to expend significant additional resources to continue to modify or enhance its layers of

defense to investigate and remediate any information security vulnerabilities, or to comply with regulatory requirements.

***A failure of the FHLBNY's business and financial models to produce reliable results could adversely affect the Bank's business,***

***financial condition, results of operations, and risk management.***

The FHLBNY makes significant use of business and financial models for managing, measuring, and monitoring different risks,

including interest rate, prepayment, and other market risks, as well as credit risk. We also use models in determining the fair value of

financial instruments when independent price quotations are not available or reliable. The information provided by these models is

also used in making business decisions relating to strategies, initiatives, risk management, transactions and products, and for financial

reporting. Models use assumptions to project future trends and performance, including assumptions that historical data or experience

can be relied upon as a basis for forecasting future events, and are inherently imperfect predictors of actual results.

Changes in business or financial models or in our underlying assumptions, judgments, or estimates may cause the results generated by

the models to be materially different. If the models are not reliable, we could make deficient business decisions, including poor asset

and liability management decisions, which could result in an adverse financial effect on our business. Furthermore, strategies that we

employ to manage the risks associated with the use of models may not be effective. The models used by us to determine the fair values

of our assets and liabilities, including derivatives, may differ from the models used by the others. The use of different models or

assumptions, as well as changes in market conditions, could result in materially different valuation estimates or other estimates even

when similar or identical assets and liabilities are being measured, and could have materially different effects on our net income and

retained earnings.

***Failures of critical vendors and other third parties could disrupt the FHLBNY's ability to conduct and manage our business.***

The FHLBNY relies on vendors and other third parties, including cloud-based providers to perform certain critical services. The Bank

owns some of these systems and technology, and third parties own and provide to the Bank, either directly or through fourth-party

vendors, some of these systems and technology. A failure or interruption of one or more of those services, including as a result of

breaches, cyberattacks, system malfunctions or failures, or other technological risks, could negatively affect our business operations.

If one or more of these key external parties were not able to perform their functions for a period of time, at an acceptable service level,

or for increased volumes, we could be constrained, disrupted, or otherwise negatively affected.

The Bank further notes that it continues to monitor and assess the potential benefits and challenges associated with the use of artificial

intelligence by the Bank, its vendors, and other third-party actors.

***Failures at the Office of Finance could disrupt the FHLBNY's ability to conduct and manage their businesses.***

The Office of Finance is a joint office of the FHLBanks established to facilitate, among other things, the issuance and servicing of

consolidated obligations. Pursuant to FHFA regulations, the Office of Finance, in conjunction with the FHLBanks, has adopted

policies and procedures for the purposes of facilitating and approving the issuance and servicing of consolidated obligations. The

Office of Finance relies heavily on its information systems and technology for its operations. A failure or interruption of the Office of

Finance's services, including as a result of breaches, cyberattacks, natural disasters, system malfunctions, disruptions or failures, or

other technological risks, could negatively affect the business operations of the FHLBNY, including disruptions to our access to

funding through the sale of consolidated obligations. Although the Office of Finance has business continuity and security incident

response plans in place, our funding and business operations could be constrained, disrupted, or otherwise negatively affected if the

Office of Finance were not able to perform its functions for any period. Additionally, operational failures at the Office of Finance

could also expose the Bank to the risk of a loss of data or confidential information or other harm, including reputational damage.

***The inability to attract and retain skilled key personnel could adversely affect the business and operations of the FHLBNY.***

The FHLBNY relies on all its employees to manage our business and conduct our operations. Competition for employees from within

the financial services industry and from businesses outside the financial services industry, including the technology industry, continues

to be a recruiting and retention challenge for certain positions. FHFA executive compensation regulation and guidance influences the

Bank's compensation structures and practices. Another recruitment and retention challenge is the limited number of career paths

available due to the relatively low number of employee headcount and our flat organizational structure.

For succession planning purposes, the FHLBNY has designated certain limited positions as "Key Positions" – positions which, in the

judgment of senior management and the Board of Directors, have critical operational or strategic responsibilities. The FHLBNY's

Succession Plan is intended to help identify potential temporary replacements for employees who occupy Key Positions in the event of

an unplanned vacancy. The Plan is also intended to help identify potential permanent replacements for those employees who occupy

Key Positions and provide the Bank with long-term advance notice of their expected retirement. The failure to maintain an effective

Succession Plan could adversely affect our business and operations.

**Item 1B. Unresolved Staff Comments.**

None.

**Item 1C. Cybersecurity.**

***Cybersecurity Risk Management and Strategy***

The Bank is subject to ongoing cybersecurity incident and threat risk. A cybersecurity incident is an unauthorized occurrence, or a

series of related unauthorized occurrences, through the Bank's information systems that jeopardizes the confidentiality, integrity, or

availability of the Bank's information systems or any information residing therein. Cybersecurity threats are potential unauthorized

occurrences on or conducted through the Bank's information systems that may result in adverse effects on the confidentiality,

integrity, or availability of information systems or any information residing therein. Information systems are any electronic

information resources, owned or used by the Bank, including physical or virtual infrastructure controlled by such information

resources, or their components, organized for the collection, processing, maintenance, use, sharing, dissemination, or disposition of the

Bank's information to maintain or support the Bank's operations. Please refer to "Risk Factors — Failure, breach, or cyberattack of

the information systems of the FHLBNY could disrupt the FHLBNY's business or result in significant losses or reputational damage"

in <u>[Part I](#i254f72b682ef4373a7f693751d2cd78f_10)</u>, Section 1A of this Form 10-K for a description of cybersecurity incident and threat risk. The Bank has implemented

processes for assessing, identifying, and managing material risks from cybersecurity threats or incidents that may directly or indirectly

impact the Bank's business strategy, results of operations, or financial condition.

The Bank's cybersecurity risk management framework for assessing, identifying, and managing material risks from cybersecurity

threats is designed to protect the confidentiality, integrity, and availability of the Bank's information technology assets and data under

the Bank's control.

Cybersecurity risk management is part of the Bank's Enterprise Risk Management program, which includes specific controls for the

mitigation, monitoring and reporting associated with those risks. The program is supported by a robust set of policies and procedures,

skilled staff, layered technical defenses, employee training, and oversight of third parties.

The Bank's Information Security Policy establishes administrative, technical, and physical safeguards designed to protect the security,

confidentiality, and integrity of Bank information in accordance with the Gramm-Leach-Bliley Act, the interagency guidelines issued

thereunder, and other applicable laws and regulations. As of 2026, the Bank's Management Committee also annually reviews and

approves the Bank's Information Security Policy, and information security policy requirements have been incorporated into a new

Technology Risk Policy, which is overseen and approved by the Risk Committee of the Board of Directors.

The Bank's cyber incident response plan determines how cybersecurity threats and incidents are identified, classified, and escalated,

including for the purposes of reporting, and providing relevant information to the Board. The cyber incident response plan also

stipulates management assessment of the materiality of each identified threat or incident for the purposes of such reporting.

The Bank's business continuity program is designed to ensure that necessary resources are in place to protect the Bank from potential

loss during a disruption, which includes the unavailability of information technology assets due to unintentional occurrences like

weather-related events, fire, power loss, and technical incidents such as hardware failures. In 2025, the business continuity program

was overseen by the Technology Committee of the Board. Starting in January 2026, the business continuity program is overseen by

the Board's Risk Committee and includes, among other items, business impact analysis for developing effective plans, including

disaster recovery plans, to respond, recover, resume, and restore technology assets critical to the Bank's operations. Elements of this

plan may be leveraged in support of recovery from a cyber incident that disables critical infrastructure.

The Bank leverages audits and external reviews to strengthen its program. Those reviews include internal audits and reviews by the

Bank's Risk Management function, SOX audits, penetration tests, and external benchmarking reviews based on the National Institute

of Standards and Technology ("NIST") and the International Organization for Standardization ("ISO") standards. Those reviews assist

the Bank in assessing, identifying, and managing cybersecurity incident and threat risk.

The Bank's cyber incident response plan includes third-party cybersecurity incidents and threats. The Bank undertakes due diligence

of third-party systems with which the Bank will interact, in addition to requiring data protection covenants in its vendor agreements.

The Bank's vendor risk management program includes regular reviews and oversight of these service providers, including

performance and technological reviews and escalation of any unsatisfactory reviews.

During the period covered by this report, risks from cybersecurity threats did not have a material impact on the Bank's strategy, results

of operations, or financial condition. The Bank has experienced minor cybersecurity incidents in the past, though none that have had a

material effect on the Bank's financial condition or results of operations.

It is inevitable that additional cybersecurity incidents will occur in the future and any such cybersecurity incident could result in

significantly harmful consequences to the Bank, the Bank's members, and their customers. We assess the materiality of any such

cybersecurity incident from several perspectives including, but not limited to, the Bank's ability to continue to service the Bank's

members and protect the privacy of the data their customers have entrusted to us, lost revenue, disruption of business operation,

increased operating costs, litigation, and reputational harm.

***Cybersecurity Governance***

The Bank's Board devotes significant time and attention to data and systems protection, including protection from cybersecurity and

information security risk. The Board oversees the Bank's information security program through setting of policies and principles

including the Bank's Information Security Policy and Enterprise Risk Management program. The Board also oversees management's

approach to staffing, policies, processes, and practices to gauge and address cybersecurity and information security risk.

The Risk Committee of the Board has oversight of the Bank's information and cybersecurity program and the Bank's Risk

Management Program, which includes risks from cybersecurity threats within cybersecurity risk management.

The Bank's Information Security Department is led by the Bank's Chief Information Security Officer ("CISO"). The CISO reports to

the Chief Information Officer ("CIO"), with an open line of communication to the Bank President. The Bank also has an internal

cross-functional committee – the internal Business and Technology Operations Committee –which is responsible for, among other

activities, overseeing information and cybersecurity risks and the steps taken by management to understand and mitigate such risk.

This Committee reports to the Bank's Management Committee.

The Bank's Business and Technology Operations Committee is responsible for approving the Bank's cyber incident response plan and

other technical processes and standards to implement the policies and procedures defined in the cybersecurity risk management

program. The Risk Management function is responsible for management of operational risk and implementation of the cybersecurity

risk management framework within the Risk Management Program as approved by the Board.

The Bank's Business and Technology Operations Committee is made up of members of the Bank's leadership, including the Bank's

CIO, CISO, other information technology and information security leadership, and leadership representatives from the Bank's

operational risk, information security, information technology, operations, and other departments throughout the Bank.

The Bank has an Information Security Department comprised of specialized professionals that is responsible for the day-to-day,

hands-on management of cybersecurity risk and that handles the processes and procedures to mitigate and implement protective,

proactive and reactive measures to protect the Bank against those risks. The Bank's Information Security Department is responsible

for developing, documenting, and approving the Bank's technical information security control standards, guidelines, and procedures

designed to preserve the confidentiality, integrity, and availability of the Bank's information technology assets and data under the

Bank's control.

The Bank's CIO has over 35 years of experience in Financial IT and has overseen Information Security programs in large financial

institutions since 2003.

The Bank's CISO has held that position at the Bank since 2020 and has 30 years of experience in IT, including 18 years of experience

in building and overseeing Information Security and Cybersecurity programs.

The Business and Technology Operations Committee receives regular and prompt information from the Information Security

Department as reported by the CISO, who in turn provides periodic, regular and prompt reporting to the Management Committee on

topics such as threat intelligence, major cybersecurity risk areas, technologies and best practices, and any cybersecurity incidents that

may have impacted the Bank.

The Board receives prompt and timely information from the Bank's CISO on any cybersecurity or information security incident that

may pose significant risk to the Bank and continues to receive regular reports on each such incident until its conclusion. The Bank's

Board also receives regular presentations and reports throughout the year on cybersecurity and information security risk. These

presentations and reports address a broad range of topics, including updates on technology trends, regulatory developments, legal

issues, policies and practices, information security resources and organization, the threat environment and vulnerability assessments,

and specific and ongoing efforts to prevent, detect, and respond to internal and external incidents and critical threats. At least

quarterly, the Board discusses cybersecurity and information security risks with the Bank's CIO and CISO.

**Item 2. Properties.**

At December 31, 2025, we occupied approximately 73,294 square feet of leased office space at 101 Park Avenue, New York, New

York as the Bank's headquarters, 52,041 square feet of leased office space in Jersey City, New Jersey, principally as an operations

center, and 2,521 square feet of leased office space in Washington, D.C.

**Item 3. Legal Proceedings.**

The Bank is not aware of any legal proceedings that are expected to have a material effect on its financial condition or results of

operations or that are otherwise material to the Bank, and such risk factors are incorporated by reference herein.

**Item 4. Mine Safety Disclosures.**

Not applicable.

**PART II**

**Item 5. Market for Registrant's Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities.**

All of the capital stock of the FHLBNY, which is issued only at a par value of $100 per share, is owned by our members. Stock may

also be held by former members as a result of having been acquired by a non-member institution. We conduct our business in

advances and mortgages exclusively with stockholder members and housing associates <sup>(1)</sup>. There is no established marketplace for

FHLBNY stock as FHLBNY stock is not publicly traded. It may be redeemed at par value upon request, subject to regulatory limits.

These shares of stock in the FHLBNY are registered under the Securities Exchange Act of 1934, as amended. At February 28, 2026,

we had 329 members who held 64,034,006 shares of capital stock between them and former members held 66,408 shares. At

February 28, 2025, we had 329 members who held 57,698,936 shares of capital stock between them and former members held 43,399

shares. Capital stock held by former members is classified as a liability and deemed to be mandatorily redeemable under the

accounting guidance for certain financial instruments with characteristics of both liabilities and equity.

Our recent quarterly cash dividends are outlined in the table below. No dividends were paid in the form of stock. Dividend payments

and earnings retention are subject to be determined by our Board of Directors, at its discretion, and within the regulatory framework

promulgated by the Finance Agency. Our Retained Earnings and Dividends Policy outlined in the section titled Retained Earnings and

Dividends under<u>[Part I](#i254f72b682ef4373a7f693751d2cd78f_10)</u>, <u>[Item 1](#i254f72b682ef4373a7f693751d2cd78f_13)</u> of this Annual Report on Form 10-K provides additional information.

Dividends from a calendar quarter's earnings are paid <sup>(a)</sup>subsequent to the end of that calendar quarter as summarized below. Dividend

payments reported below are on Class B Stock, which includes payments to non-members on capital stock reported as mandatorily

redeemable capital stock in the Statements of Condition (dollars in thousands):

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **2025** | **2025** | **2024** | **2024** | **2023** | **2023** |
| **Month Paid** | **Amount** | **Dividend Rate** | **Amount** | **Dividend Rate** | **Amount** | **Dividend Rate** |
| November | $110877 | 7.60% | $145238 | 9.25% | $138544 | 9.50% |
| August | 115410 | 7.60 | 147287 | 9.50 | 143433 | 8.50 |
| May | 115469 | 8.00 | 145924 | 9.50 | 122225 | 7.75 |
| February | 138498 | 9.25 | 143229 | 9.75 | 105796 | 7.50 |
|  | $480254<br> <sup>(b)</sup> |  | $581678<br> <sup>(b)</sup> |  | $509999<br> <sup>(b)</sup> |  |

---

*(a)The table above reports dividends on a paid basis and includes payments to former members as well as members. Dividends paid* 

*to former members were $0.5 million, $0.6 million and $0.6 million for the years ended December 31, 2025, 2024 and 2023.*

*(b)Includes dividends paid to non-members; payments to non-members are classified as interest expense for accounting purposes.* 

*Dividends are accrued for former members and recorded as interest expense on mandatorily redeemable capital stock held by* 

*former members and is a charge to net income. Dividends on capital stock held by members are accrued in the period they are* 

*declared and therefore not accrued at quarter-end. Dividends are paid in arrears typically in the second month after the quarter* 

*end in which the dividend is earned and is a direct charge to retained earnings.*

**Issuer Purchases of Equity Securities**

We are exempt from disclosures of unregistered sales of common equity securities or securities issued through the Office of Finance

that otherwise would have been required under Item 701 of the SEC's Regulation S-K. By the same no-action letter, we are also

exempt from disclosure of securities repurchases by the issuer that otherwise would have been required under Item 703 of

Regulation S-K.

*(1)Housing associates are defined as non-stockholder entities that (i) are approved mortgagees under Title II of the National* 

*Housing Act, (ii) are chartered under law and have succession, (iii) are subject to inspection and supervision by a governmental* 

*agency, (iv) lend their own funds as their principal activity in the mortgage field, and (v) have a financial condition such that* 

*advances may be safely made to that entity. At December 31, 2025, we had 9 housing associates as customers. Advances made to* 

*housing associates totaled $4.1 million, and the mortgage loans acquired from housing associates were immaterial in any periods* 

*in this report.*

**Item 6. [Reserved]**

**Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations.**

**Forward-Looking Statements**

*Statements contained in this Annual Report on Form 10-K, including statements describing the objectives, projections, estimates, or* 

*predictions of the Federal Home Loan Bank of New York ("we" "us," "our," "the Bank" or the "FHLBNY") may be "forward-*

*looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of* 

*1934. These statements may use forward-looking terminology, such as "anticipates," "believes," "could," "estimates," "may,"* 

*"should," "will," or other variations on these terms or their negatives. The Bank cautions that, by their nature, forward-looking* 

*statements are subject to a number of risks or uncertainties, including the Risk Factors set forth in Part 1, Item 1A and the risks set* 

*forth below, and that actual results could differ materially from those expressed or implied in these forward-looking statements. As a* 

*result, you are cautioned not to place undue reliance on such statements. These forward-looking statements speak only as of the date* 

*they were made, and the Bank does not undertake to update any forward-looking statement herein. Forward-looking statements* 

*include, among others, the following:*

• *the Bank's projections regarding income, retained earnings, dividend payouts, and the repurchase of excess capital stock;*

• *the Bank's statements related to gains and losses on derivatives, future credit and impairment charges, and future* 

*classification of securities;*

• *the Bank's expectations relating to future balance sheet growth;*

• *the Bank's targets under the Bank's retained earnings plan;*

• *the Bank's expectations regarding the size of its mortgage loan portfolio, particularly as compared to prior periods;*

• *the Bank's statements related to reform legislation or executive actions, including, without limitation, housing or* 

*government-sponsored enterprise legislation or executive orders; and*

• *executive, legislative, regulatory, and judicial events and actions or other developments that affect the Bank, its members,* 

*counterparties, or investors in the consolidated obligations of the Federal Home Loan Banks (FHLBanks), such as any* 

*government-sponsored enterprise (GSE) reforms, any changes resulting from the Finance Agency's review and analysis of* 

*the FHLBank System, including recommendations published in its "FHLBank System at 100: Focusing on the Future"* 

*report, changes in the Federal Home Loan Bank Act of 1932, as amended (FHLBank Act), changes in applicable sections of* 

*the Federal Housing Enterprises Financial Safety and Soundness Act of 1992, or changes in other statutes or regulations* 

*applicable to the FHLBanks;*

*Actual results may differ from forward-looking statements for many reasons, including, but not limited to, the risk factors set forth in* 

*Part I, Item 1A - Risk Factors and the risks set forth below:*

• *changes in economic and market conditions, including the evolving risks relating to the March* 2023 *U.S. banking sector* 

*liquidity crisis;*

• *changes in demand for Bank advances and other products resulting from changes in members' and FDIC deposit flows and* 

*members' credit demands or otherwise;*

• *an increase in advance prepayments as a result of changes in interest rates (including negative interest rates) or other* 

*factors;*

• *the volatility of market prices, rates, and indices that could affect the value of collateral held by the Bank as security for* 

*obligations of Bank members and counterparties to interest rate exchange agreements and similar agreements;*

• *political events, including legislative developments and executive orders that affect the Bank, its members, counterparties,* 

*and/or investors in the Consolidated obligations (COs) of the FHLBanks;*

• *competitive forces including, without limitation, other sources of funding available to Bank members, other entities* 

*borrowing funds in the capital markets, and the ability to attract and retain skilled employees;*

• *the pace of technological change and the ability of the Bank to develop and support technology and information systems,* 

*including cybersecurity, sufficient to manage the risks of the Bank's business effectively;*

• *changes in investor demand for COs and/or the terms of interest rate exchange agreements and similar agreements;*

• *timing and volume of market activity;*

• *ability to introduce new or adequately adapt current Bank products and services and successfully manage the risks* 

*associated with those products and services, including new types of collateral used to secure advances;*

• *risk of loss arising from litigation filed against one or more of the FHLBanks;*

• *realization of losses arising from the Bank's joint and several liability on COs;*

• *risk of loss due to fluctuations in the housing market;*

*•inflation or deflation;*

• *issues and events within the FHLBank System and in the political arena that may lead to legislative, regulatory, judicial, or* 

*other developments or executive orders that may affect the marketability of the COs, the Bank's financial obligations with* 

*respect to COs, and the Bank's ability to access the capital markets;*

• *the availability of derivative financial instruments of the types and in the quantities needed for risk management purposes* 

*from acceptable counterparties;*

• *significant business disruptions resulting from natural or other disasters (including, but not limited to, health emergencies* 

*such as pandemics or epidemics), acts of war (including, but not limited to, the war between Ukraine and Russia or the* 

*conflicts in the Middle East), cyberattacks or terrorism;*

• *the effect of new accounting standards, including the development of supporting systems;*

• *membership changes, including changes resulting from mergers or changes in the principal place of business of Bank* 

*members;*

• *the soundness of other financial institutions, including Bank members, nonmember borrowers, other counterparties, and the* 

*other FHLBanks; and*

• *the willingness of the Bank's members to do business with the Bank whether or not the Bank is paying dividends or* 

*repurchasing excess capital stock.*

*Risks and other factors could cause actual results of the Bank to differ materially from those implied by any forward-looking* 

*statements. These risk factors are not exhaustive. The Bank operates in changing economic, legislative and regulatory environments,* 

*and new risk factors will emerge from time to time. Management cannot predict such new risk factors nor can it assess the impact, if* 

*any, of such new risk factors on the business of the Bank or the extent to which any factor, or combination of factors, may cause actual* 

*results to differ materially from those implied by any forward-looking statements.*

**Organization of Management's Discussion and Analysis (MD&A).**

This MD&A is designed to provide information that will assist the readers in better understanding the FHLBNY's financial

statements, the changes in key items in the Bank's financial statements from period to period and the primary factors driving those

changes as well as how accounting principles affect the FHLBNY's financial statements. The MD&A is organized as follows:

---

| | |
|:---|:---|
|  | **Page** |
| **[Executive Overview](#ie987638faa164506bbb9f23e5eeb76a5_10416)** | <u>[29](#i254f72b682ef4373a7f693751d2cd78f_46)</u> |
| **[Trends in the Financial Markets](fhlbny-20251231.htm#i254f72b682ef4373a7f693751d2cd78f_49-bookmark-4b77dec6956c4caa822381e206c2630d)** | <u>[33](#i254f72b682ef4373a7f693751d2cd78f_49)</u> |
| **[Recently Issued Accounting Standards and Interpretations and Critical Accounting Policies and Estimates](#ie643ee59eb694b639571a7f0c1a80bcc_8759)** | <u>[34](#i254f72b682ef4373a7f693751d2cd78f_52)</u> |
| **[Legislative and Regulatory Developments](#ib3290a627668408da2bc71aecc85ba0b_12701)** | <u>[35](#i254f72b682ef4373a7f693751d2cd78f_55)</u> |
| **[Financial Condition](#if7edc37cd8ff43e78517ef939a3f87fd_8766)** | <u>[38](#i254f72b682ef4373a7f693751d2cd78f_58)</u> |
| **[Advances](#i23427be897764b6bb37f066d9ec757f8_10240)** | <u>[41](#i254f72b682ef4373a7f693751d2cd78f_61)</u> |
| **[Investments](#ib5ab21bd24ec4e99ba9ea43cc41c11be_12235)** | <u>[46](#i254f72b682ef4373a7f693751d2cd78f_64)</u> |
| **[Mortgage Loans Held-for-Portfolio, Net](#i221aff0059b84ec7bdb6884b7b17ef41_3075)** | <u>[53](#i254f72b682ef4373a7f693751d2cd78f_67)</u> |
| **[Debt Financing Activity and Consolidated Obligations](#i9eb5d8bea05e4bf488b72660b5b9c4e6_12153)** | <u>[54](#i254f72b682ef4373a7f693751d2cd78f_70)</u> |
| **[Recent Rating Actions](#i0a05e85daa0d47258096d22fb584b40a_764)** | <u>[59](#i254f72b682ef4373a7f693751d2cd78f_73)</u> |
| **[Stockholders' Capital](#i1c314f4ad0144f989f1cb201807d652b_4232)** | <u>[60](#i254f72b682ef4373a7f693751d2cd78f_76)</u> |
| **[Derivative Instruments and Hedging Activities](#i05cd52d1cc9646bcb67a5e758757261b_5521)** | <u>[62](#i254f72b682ef4373a7f693751d2cd78f_79)</u> |
| **[Liquidity, Cash Flows, Short-Term Borrowings and Short-Term Debt](#i97aa5d6f0b7e43e4a3e55370d03912f5_15469)** | <u>[66](#i254f72b682ef4373a7f693751d2cd78f_82)</u> |
| **[Results of Operations](#i79a0beac90ad4173b0da082bfe316ef7_350)** | <u>[71](#i254f72b682ef4373a7f693751d2cd78f_85)</u> |
| **[Net Income](#ia37de5ef3b414b8e99a3c8867f0b35a9_7471)** | <u>[71](#i254f72b682ef4373a7f693751d2cd78f_88)</u> |
| **[Net Interest Income, Interest Rate Margin and Interest Rate Spread](#i9a10247afc344488b752ed7bdc531607_5278)** | <u>[74](#i254f72b682ef4373a7f693751d2cd78f_91)</u> |
| **[Interest Income](#id5df3bf89b58493ba8832b018e38816d_6468)** | <u>[78](#i254f72b682ef4373a7f693751d2cd78f_94)</u> |
| **[Interest Expense](#ie9bb585c37754a499a6a3449e0d91339_3241)** | <u>[81](#i254f72b682ef4373a7f693751d2cd78f_97)</u> |
| **[Analysis of Non-Interest Income (Loss)](#i351179cf6b5d443195afd09d9ea4578c_4008)** | <u>[82](#i254f72b682ef4373a7f693751d2cd78f_100)</u> |
| **[Operating Expenses, Compensation and Benefits, and Other Expenses](#i26b7c8c2cc7f43248d3c68d8bf2fd0c8_1080)** | <u>[84](#i254f72b682ef4373a7f693751d2cd78f_103)</u> |
| **[Assessments](#i9b91c6bc94f145d7962ec7241235ab55_559)** | <u>[84](#i254f72b682ef4373a7f693751d2cd78f_106)</u> |
| **[Voluntary Contributions](#i07a40f415fb84cbc9a890e9a9c02c2e4_2823)** | <u>[85](#i254f72b682ef4373a7f693751d2cd78f_109)</u> |

---

**MD&A TABLE & FIGURE REFERENCE**

---

| | | |
|:---|:---|:---|
| **Table(s) & Figure(s)** | **Description** | **Page(s)** |
|  | [Selected Financial Data](#ie987638faa164506bbb9f23e5eeb76a5_10425) | <u>[31](#ie987638faa164506bbb9f23e5eeb76a5_10425)</u> |
| 1.1 | [Market Interest Rates](#if522ab2d902b4fe287ad0c7d0e2bfcc0_3307) | <u>[33](#if522ab2d902b4fe287ad0c7d0e2bfcc0_3307)</u> |
| 2.1 | [Financial Condition](#if7edc37cd8ff43e78517ef939a3f87fd_8766) | <u>[38](#if7edc37cd8ff43e78517ef939a3f87fd_9615)</u> |
| 3.1 - 3.8 | [Advances](#i23427be897764b6bb37f066d9ec757f8_10240) | <u>[42](#i23427be897764b6bb37f066d9ec757f8_10237)</u>-<u>[46](#i428c1c5cc759445c835b797bc842c559_2996)</u> |
| 4.1 - 4.9 | [Investments](#ib5ab21bd24ec4e99ba9ea43cc41c11be_12235) | <u>[47](#ib5ab21bd24ec4e99ba9ea43cc41c11be_12243)</u>-<u>[52](#i20fefc4b5b3f4d069a0812e14771fbf4_2549)</u> |
| 5.1 - 5.3 | [Mortgage Loans Held-for-Portfolio](#i221aff0059b84ec7bdb6884b7b17ef41_3075) | <u>[53](#i221aff0059b84ec7bdb6884b7b17ef41_3070)</u>-<u>[54](#i221aff0059b84ec7bdb6884b7b17ef41_3073)</u> |
| 6.1 - 6.10 | [Consolidated Obligations](#i9eb5d8bea05e4bf488b72660b5b9c4e6_12153) | <u>[55](#ic18fee839f564804acaa29b9d6807a27_9976)</u>-<u>[59](#ic18fee839f564804acaa29b9d6807a27_12195)</u> |
| 6.11 | [FHLBNY Ratings](#i0a05e85daa0d47258096d22fb584b40a_764) | <u>[59](#i0a05e85daa0d47258096d22fb584b40a_765)</u> |
| 7.1 - 7.4 | [Capital](#i1c314f4ad0144f989f1cb201807d652b_4232) | <u>[60](#i1c314f4ad0144f989f1cb201807d652b_4233)</u>-<u>[62](#i1c314f4ad0144f989f1cb201807d652b_4425)</u> |
| 8.1 - 8.7 | [Derivatives Instruments and Hedging Activities](#i05cd52d1cc9646bcb67a5e758757261b_5521) | <u>[62](#i05cd52d1cc9646bcb67a5e758757261b_6988)</u>-<u>[65](#i05cd52d1cc9646bcb67a5e758757261b_6994)</u> |
| 9.1 - 9.3 | [Liquidity](#i2ebde2961499463b963dc0b4a351f72d_15408) | <u>[67](#i2ebde2961499463b963dc0b4a351f72d_15408)</u>-<u>[68](#i2ebde2961499463b963dc0b4a351f72d_22700)</u> |
| 9.4 - 9.5 | [FHFA MBS Limits and Core Mission Achievement](#i4e79b34f7a9d4f908caa3e4a8c11557b_4784) | <u>[70](#i4e79b34f7a9d4f908caa3e4a8c11557b_4784)</u> |
| 10.1 - 10.12 | [Results of Operations](#i79a0beac90ad4173b0da082bfe316ef7_350) | <u>[71](#ia37de5ef3b414b8e99a3c8867f0b35a9_9467)</u>-<u>[84](#i26b7c8c2cc7f43248d3c68d8bf2fd0c8_1081)</u> |
| 11.1 | [Assessments](#i9b91c6bc94f145d7962ec7241235ab55_559) | <u>[84](#i9b91c6bc94f145d7962ec7241235ab55_561)</u> |
| 12.1 - 12.5 | [Voluntary Contributions](#i07a40f415fb84cbc9a890e9a9c02c2e4_2823) | <u>[85](#i07a40f415fb84cbc9a890e9a9c02c2e4_3372)</u>-<u>[86](#i07a40f415fb84cbc9a890e9a9c02c2e4_3374)</u> |

---

**Executive Overview**

This overview of management's discussion and analysis highlights selected information and may not contain all of the information

that is important to readers of this Form 10-K. For a more complete understanding of events, trends and uncertainties, as well as the

liquidity, capital, credit and market risks, and critical accounting estimates, affecting the Federal Home Loan Bank of New York

(FHLBNY or Bank), this Form 10-K should be read in its entirety.

*Cooperative business model*. As a cooperative, we seek to maintain a balance between our public policy mission and our ability to

provide adequate returns on the capital supplied by our members. We achieve this balance by delivering low-cost financing to

members to help them meet the credit needs of their communities and by paying a dividend on members' capital stock. Our financial

strategies are designed to enable us to expand and contract in response to member credit needs. By investing capital in high-quality,

short- and medium-term financial instruments, we maintain sufficient liquidity to satisfy member demand for short- and long-term

funds, repay maturing Consolidated obligations (CO bonds and CO discount notes), and meet other obligations. The dividends we pay

are largely the result of earnings on invested member capital, net earnings on advances to members, mortgage loans and investments,

offset in part by operating expenses and assessments. Our Board of Directors and Management determine the pricing of member credit

and dividend policies based on the needs of our members and the cooperative as well as current and forecasted conditions in the

marketplace.

*Business segment.* We manage our operations as a single business segment. Advances to members are our primary focus and the

principal factor that impacts our operating results.

*Mission Fulfillment*. Throughout 2025, the Bank's continued focus on executing on our foundational liquidity mission in a safe and

sound manner and serving the needs of our members and community partners drove our strong performance, annual income and

record contributions to our housing and economic development programs and products.

**2025 Financial Results**

**Net income** — Net income for 2025 was $599.8 million, a decrease of $138.7 million, or 18.8%, from net income of $738.5 million

for 2024. Our net income is primarily driven by net interest income, which is the spread between yields earned on advances, mortgage-

backed securities, and other investments and the cost of debt.

**Net Interest Income** — Net interest income for 2025 was $851.8 million, a decrease of $135.0 million, or 13.7%, from $986.8

million in 2024. Earnings were lower versus the prior year due to lower market interest rates that reduced earnings from capital and

smaller earning asset balances. Yield on assets decreased to 4.49% for 2025 from 5.34% in 2024 while the funding cost decreased to

4.18% for 2025 from 5.04% in 2024. Net interest spread increased to 31 basis points in 2025 compared to 30 basis points in 2024.

Average earning assets balances decreased by $6.7 billion to $160.2 billion in 2025 compared with $166.9 billion in 2024. Average

advances balances decreased by $8.9 billion to $100.5 billion in 2025, down from $109.4 billion in 2024.

Return on average equity (ROE) for 2025 was 7.25%, compared to ROE of 8.49% for 2024.

**Other income (loss)** — Other income (loss) decreased by $9.5 million, or 8.51%, to $103.1 million in 2025 compared with the prior

year, mainly driven by a decrease in net unrealized fair value gains on derivatives and hedged items, including trading securities held

for liquidity purposes.

**Other expenses** were $288.3 million in 2025 compared to $279.0 million in 2024. Other expenses are primarily operating expenses,

compensation and benefits, voluntary contributions for the Bank's housing and community development support activities, and our

share of expenses of the Office of Finance and the Federal Housing Finance Agency. Other expenses have increased by $9.2 million,

driven by an increase in compensation and benefits.

**Affordable Housing Program Assessments (AHP)** allocated from net income were $66.7 million in 2025 compared to $82.1 million

in 2024. Assessments are calculated as a percentage of net income, and changes in allocations were proportional with changes in net

income.

**Dividend payments** — Four quarterly cash dividends were paid in 2025 for a total of $7.99 per share of capital, compared to total of

$9.50 per share of capital in 2024.

**Financial Condition — December 31, 2025 compared to December 31, 2024**

Our financial condition is characterized by a solid balance sheet and ample liquidity readily available for our member institutions.

Total assets decreased to $156.5 billion at December 31, 2025, from $160.3 billion at December 31, 2024, a decrease of $3.8 billion,

or 2.4%. As of December 31, 2025, advances were $92.3 billion, a decrease of $13.5 billion, or 12.8%, from $105.8 billion at

December 31, 2024.

Cash at banks was $38.2 million at December 31, 2025, compared to $26.1 million at December 31, 2024.

***Liquidity investments* —** Money market investments increased $7.4 billion at December 31, 2025 to $30.5 billion, as compared to

$23.1 billion at December 31, 2024. We continue to ensure an ample supply of funds to meet liquidity demands. Interest-bearing

deposits at highly rated financial institutions increased $0.2 billion to $3.0 billion as well as a $5.1 billion increase in overnight resale

agreements to $16.0 billion and a $2.1 billion increase in Federal funds to $11.5 billion.

For liquidity, we maintain a portfolio of U.S. Treasury securities designated as trading to meet short-term contingency liquidity needs.

Balances were $7.4 billion and $7.2 billion at December 31, 2025 and December 31, 2024, respectively.

Our liquidity position remains strong, and in compliance with all regulatory requirements, and we do not foresee any changes to that

position. In addition to the liquidity trading portfolio and assets discussed above, liquid assets included $10.1 billion at December 31,

2025 and $8.7 billion at December 31, 2024 of high credit quality GSE-issued available-for-sale (AFS) securities that are investment

grade and readily marketable.

For more information about our liquidity measures, see section Liquidity, Cash Flows, Short-Term Borrowings and Short-Term Debt,

and <u>[Table 9.1](#i2ebde2961499463b963dc0b4a351f72d_15408)</u> through <u>[Table 9.5](#i4e79b34f7a9d4f908caa3e4a8c11557b_4783)</u> in this MD&A.

***Advances —*** Par balances decreased at December 31, 2025 to $92.5 billion, compared to $106.5 billion at December 31, 2024. Given

that advances are always well collateralized, a provision for credit losses was not necessary. We have no history of credit losses on

advances.

***Long-term investment debt securities*** — Long-term investment debt securities are designated as AFS or held-to-maturity (HTM). Our

investment profile consists almost exclusively of GSE and Agency-issued (GSE-issued) securities.

In the AFS portfolio, GSE-issued mortgage-backed securities were carried on the balance sheet at fair value of $10.1 billion and $8.6

billion at December 31, 2025 and December 31, 2024, respectively. Our portfolio consists primarily of long term fixed-rate long-term

investments.

In the AFS portfolio, State and local housing finance agency obligations, primarily New York and New Jersey, were carried at $1.7

billion at December 31, 2025 and $1.3 billion at December 31, 2024.

In the HTM portfolio, long-term investments of predominantly GSE-issued fixed- and floating-rate mortgage-backed securities were

$10.3 billion and $10.7 billion at December 31, 2025 and December 31, 2024, respectively. No allowance for credit losses were

deemed necessary for GSE-issued investments.

In the HTM portfolio, State and local housing finance agency obligations were $0.2 billion at December 31, 2025 and December 31,

2024. Allowance for credit losses on State and local housing finance agency obligations in the HTM portfolio was $0.1 million at

December 31, 2025, slightly lower than the balance at December 31, 2024.

***Equity Investments*** — We own grantor trusts that invest in highly-liquid registered mutual funds. Funds are classified as Equity

Investments and were carried on the balance sheet at fair values of $103.7 million at December 31, 2025 and $95.4 million at

December 31, 2024.

***Mortgage loans held-for-portfolio*** — Mortgage loans are investments in MPF loans and MAP loans. As of March 31, 2021, the MAP

mortgage loan program became our only active mortgage loan purchase program as we ceased to acquire mortgage loans through

MPF.

Unpaid principal balance of MPF loans stood at $1.4 billion at December 31, 2025, a decrease of $137.0 million from the balance at

December 31, 2024. Unpaid principal balance of MAP loans stood at $1.2 billion at December 31, 2025 compared to $745.5 million at

December 31, 2024.

Historically, credit performance has been strong in the MPF and MAP portfolio and delinquencies have been low.

***Capital ratios*** — Our capital position remains strong. Actual risk-based capital was $8.0 billion at December 31, 2025 compared to

$8.5 billion at December 31, 2024. Required risk-based capital was $1.1 billion at December 31, 2025 compared to $1.0 billion at

December 31, 2024. To support $156.5 billion of total assets at December 31, 2025, the minimum required total capital was $6.3

billion, or 4.0% of assets. Our actual regulatory risk-based capital was $8.0 billion, exceeding required total capital by $1.8 billion.

These ratios have remained consistently above the required regulatory ratios through all periods in this report.

***Leverage*** — At December 31, 2025 balance sheet leverage (based on U.S. GAAP) was 19.5 times shareholders' equity compared to

19.1 times at December 31, 2024. Balance sheet leverage has generally remained steady over the last several years, although from time

to time we have maintained excess liquidity in highly liquid investments, or cash balances at the Federal Reserve Bank of New York

(FRBNY) to meet unexpected member demand for funds.

**Selected Financial Data.**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Statements of Condition** | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** |
| (dollars in millions) | **2025** | **2024** | **2023** | **2022** | **2021** |
| Investments <sup>(a)</sup> | $60787 | $51267 | $46359 | $39103 | $30898 |
| Advances | 92307 | 105838 | 108890 | 115293 | 71536 |
| Mortgage loans held-for-portfolio, net <sup>(b)</sup> | 2644 | 2345 | 2180 | 2107 | 2320 |
| Total assets | 156545 | 160300 | 158333 | 157391 | 105358 |
| Deposits and borrowings | 3090 | 2429 | 3482 | 1027 | 1321 |
| Consolidated obligations, net |  |  |  |  |  |
| Bonds | 68467 | 80552 | 97569 | 85498 | 54829 |
| Discount notes | 76020 | 67859 | 47907 | 61793 | 42197 |
| Total consolidated obligations | 144487 | 148411 | 145476 | 147291 | 97026 |
| Mandatorily redeemable capital stock | 8 | 5 | 7 | 5 | 2 |
| AHP liability | 248 | 231 | 187 | 131 | 138 |
| Capital |  |  |  |  |  |
| Capital stock | 5411 | 6014 | 6050 | 6387 | 4501 |
| Retained earnings |  |  |  |  |  |
| Unrestricted | 1286 | 1287 | 1277 | 1185 | 1104 |
| Restricted | 1329 | 1209 | 1061 | 911 | 827 |
| Total retained earnings | 2615 | 2496 | 2338 | 2096 | 1931 |
| Accumulated other comprehensive income (loss) | (11) | (100) | (143) | (136) | 14 |
| Total capital | 8015 | 8410 | 8245 | 8347 | 6446 |
| Equity to asset ratio <sup>(c)(j)</sup> | 5.12% | 5.25% | 5.21% | 5.30% | 6.12% |

---

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Statements of Condition** | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** |
| **Averages** (See note below; dollars in millions) | **2025** | **2024** | **2023** | **2022** | **2021** |
| Investments <sup>(a)</sup> | $57064 | $54725 | $49682 | $36531 | $35959 |
| Advances | 100499 | 108548 | 110230 | 82747 | 80795 |
| Mortgage loans held-for-portfolio, net | 2473 | 2251 | 2136 | 2188 | 2562 |
| Total assets | 161112 | 168029 | 164728 | 123207 | 120488 |
| Interest-bearing deposits and other borrowings | 2735 | 2485 | 3061 | 1038 | 1427 |
| Consolidated obligations, net |  |  |  |  |  |
| Bonds | 85310 | 94631 | 101180 | 64763 | 65402 |
| Discount notes | 63401 | 60383 | 49699 | 48685 | 45425 |
| Total consolidated obligations | 148711 | 155014 | 150879 | 113448 | 110827 |
| Mandatorily redeemable capital stock | 7 | 6 | 7 | 23 | 2 |
| AHP liability | 230 | 203 | 154 | 131 | 148 |
| Capital |  |  |  |  |  |
| Capital stock | 5772 | 6148 | 6185 | 4969 | 4896 |
| Retained earnings |  |  |  |  |  |
| Unrestricted | 1307 | 1323 | 1240 | 1113 | 1114 |
| Restricted | 1267 | 1135 | 985 | 858 | 801 |
| Total retained earnings | 2574 | 2458 | 2225 | 1971 | 1915 |
| Accumulated other comprehensive income (loss) | (69) | (117) | (162) | (118) | 20 |
| Total capital | 8277 | 8489 | 8248 | 6822 | 6831 |

---

*Note — Average balance calculation. For most components of the average balances, a daily weighted average balance is calculated* 

*for the period. When daily weighted average balance information is not available, a simple monthly average balance is calculated.*

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **Operating Results and Other Data** | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** |
| (dollars in millions, except earnings and dividends per share, and headcount) | **2025** | **2024** | **2023** | **2022** | **2021** |
| Net income | $600 | $738 | $751 | $417 | $266 |
| Net interest income <sup>(d)</sup> | 852 | 987 | 995 | 634 | 541 |
| Dividends paid in cash <sup>(e)</sup> | 480 | 581 | 509 | 252 | 244 |
| AHP expense | 67 | 82 | 83 | 46 | 29 |
| Return on average equity<sup>(f)(g)(j)</sup> | 7.25% | 8.49% | 9.11% | 6.12% | 3.89% |
| Return on average assets <sup>(g)(j)</sup> | 0.37% | 0.44% | 0.46% | 0.34% | 0.22% |
| Other non-interest income (loss) | 103 | 113 | 77 | 29 | (48) |
| Operating expenses <sup>(h)</sup> | 219 | 210 | 188 | 169 | 166 |
| Voluntary Contributions | 37 | 38 | 21 | 3 |  |
| Other expenses <sup>(k)</sup> | 32 | 31 | 27 | 28 | 38 |
| Total Operating and Other expenses | 288 | 279 | 236 | 200 | 204 |
| Operating expenses ratio <sup>(g)(i)(j)</sup> | 0.14% | 0.13% | 0.11% | 0.14% | 0.14% |
| Earnings per share | $10.39 | $12.01 | $12.15 | $8.40 | $5.42 |
| Dividends per share | $7.99 | $9.50 | $8.31 | $5.34 | $4.69 |
| Headcount (Full/part time) <sup>(l)</sup> | 378 | 382 | 345 | 327 | 340 |

---

*(a)Investments include trading securities, available-for-sale securities, held-to-maturity securities, grantor trusts owned by the* 

*FHLBNY, securities purchased under agreements to resell, federal funds, loans to other FHLBanks, and other interest-bearing* 

*deposits.*

*(b)Allowances for credit losses were $3.7 million, $3.1 million, $3.3 million, $1.9 million, and $2.1 million for the years ended* 

*December 31, 2025, 2024, 2023, 2022 and 2021, respectively.*

*(c)Equity to asset ratio is Capital stock plus Retained earnings and Accumulated other comprehensive income (loss) as a percentage* 

*of Total assets.*

*(d)Net interest income is before the provision for credit losses on mortgage loans.*

*(e)Excludes dividends accrued to non-members classified as interest expense under the accounting standards for certain financial* 

*instruments with characteristics of both liabilities and equity.*

*(f)Return on average equity is net income as a percentage of average Capital Stock plus average retained earnings and average* 

*Accumulated other comprehensive income (loss).*

*(g)Annualized.*

*(h)Operating expenses include Compensation and Benefits.*

*(i)Operating expenses as a percentage of Total average assets.*

*(j)All percentage calculations are performed using amounts in thousands and may not agree if calculations are performed using* 

*amounts in millions.*

*(k)Other expenses include Finance Agency and Office of Finance expenses.*

*(l)The Bank increased headcount in 2024 to enhance its infrastructure including credit underwriting, risk management and* 

*technology.*

**Trends on the Financial Markets** 

***Conditions in Financial Markets***. The primary external factors that affect net interest income are market interest rates and the general

state of the economy. The following table presents changes in key rates over the course of 2025 and 2024 (rates in percent):

**Table 1.1 Market Interest Rates**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **December 31,**  | **December 31,**  | **December 31,**  | **December 31,**  |
|  | **2025** <br>**Average**<br>| **2024** <br>**Average**<br>| **2025** <br>**Ending Rate**<br>| **2024** <br>**Ending Rate**<br>|
| Federal Funds Target Rate | 4.37% | 5.31% | 3.75% | 4.50% |
| Federal Funds Effective Rate <sup>(a)</sup> | 4.21 | 5.15 | 3.64 | 4.33 |
| SOFR<sup>(a)</sup> | 4.24 | 5.15 | 3.87 | 4.49 |
| 2-Year U.S. Treasury | 3.82 | 4.38 | 3.47 | 4.24 |
| 5-Year U.S. Treasury | 3.92 | 4.13 | 3.73 | 4.38 |
| 10-Year U.S. Treasury | 4.29 | 4.20 | 4.17 | 4.57 |
| 15-Year Residential Mortgage Note Rate | 6.01 | 6.55 | 5.66 | 6.60 |
| 30-Year Residential Mortgage Note Rate | 6.72 | 7.14 | 6.25 | 7.28 |

---

*(a)Source: Board of Governors Federal Reserve System; all other sources are Bloomberg L.P.*

During the year, the market rates continued to rise slightly as the Federal Reserve continued to combat inflation.

***Impact of general level of interest rates on the FHLBNY.*** The level of interest rates impacts our profitability, due primarily to the

relatively shorter-term structure of earning assets and the impact of interest rates on invested capital. We invest in Federal funds sold

and repurchase agreements that typically are overnight investments. We also use derivatives to effectively change the repricing

characteristics of a significant proportion of our advances and Consolidated obligation debt to match shorter-term benchmark interest

rates or overnight indices (SOFR and Federal funds effective rate) that reprice at intervals of three month or as frequently as daily.

Consequently, the current level of short-term interest rates, as represented by the overnight Federal funds target rate and the overnight

SOFR, has an impact on profitability.

The level of interest rates also directly affects our earnings on invested capital. Compared to other banking institutions, we operate at

comparatively low net spreads between the yield we earn on assets and the cost of our liabilities. Therefore, we generate a relatively

higher proportion of our income from the investment of member-supplied capital at the average asset yield. As a result, changes in

asset yields tend to have a greater effect on our profitability than they do on the profitability of other banking institutions.

In summary, our average asset yields and the returns on capital invested in these assets largely reflect the short-term interest rate

environment because the maturities of our assets are generally short-term in nature, have rate resets that reference short-term rates, or

have been hedged with derivatives in which a short-term or overnight rate is received. Changes in rates paid on Consolidated

obligations and the spread of these rates relative to SOFR and the Federal funds rate or to U.S. Treasury securities may also impact

profitability. The rates and prices at which we are able to issue Consolidated obligations, and their relationship to other products such

as Treasury securities, change frequently and are affected by a multitude of factors including: overall economic conditions, including

inflation; volatility of market prices, rates, and indices; the level of market interest rates and shape of yield curves; supply from other

issuers (including other GSEs, supra/sovereigns, and other highly-rated borrowers); yields and asset prices of other securities in the

market; investor preferences; the total volume, timing, and characteristics of issuance by the FHLBanks; the amount and type of

advance demand from our members; policy decisions, including legislation, monetary policy changes by the Federal Reserve, and

actions of financial regulators; and potentially adverse press about the FHLBank System.

**Recently Issued Accounting Standards and Interpretations and Critical Accounting Policies and Estimates**

For a discussion of recently issued accounting standards and interpretations, see financial statements, <u>[Note 2](#id20b4224aeb94b49aaa502dccacc063d_50)</u>. Financial Accounting

Standards Board (FASB) Standards Issued.

**Critical Accounting Policies and Estimates**

We have identified certain accounting policies that we believe are critical because they require management to make subjective

judgments about matters that are inherently uncertain and because of the likelihood that materially different amounts would be

reported under different conditions or by using different assumptions. These policies include estimating fair values of certain assets

and liabilities, and accounting for derivatives and hedging activities. We have discussed each of these critical accounting policies, the

related estimates, and its judgment with the Audit Committee of the Board of Directors. Refer to <u>[Note 1](#i86ab1c8027bf40078d433ee31a4fe86a_51966)</u>. Summary of Significant

Accounting Policies in this Form 10-K.

**Fair Value Measurements**

The accounting standards on fair value measurements discuss how entities should measure fair value based on whether the inputs to

those valuation techniques are observable or unobservable. Fair value is defined as the price that would be received to sell an asset or

paid to transfer a liability in an orderly transaction in the principal or most advantageous market for the asset or liability between

market participants at the measurement date. This definition is based on an exit price rather than transaction or entry price.

The FHLBNY complied with the accounting guidance on fair value measurements and has established a hierarchy for inputs used in

measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the

most observable inputs be used when available. Observable inputs are inputs that market participants would use in pricing the asset or

liability and would be based on market data obtained from independent sources. Unobservable inputs are inputs that reflect our

assumptions about the parameters market participants would use in pricing the asset or liability and would be based on the best

information available in the circumstances. Our pricing models are subject to periodic validations, and we periodically review and

refine, as appropriate, our assumptions and valuation methodologies to reflect market indications as closely as possible. We have the

appropriate personnel, technology, and policies and procedures in place to value financial instruments in a reasonable and consistent

manner and in accordance with established accounting policies.

**Valuation of Financial Instruments** — The following assets and liabilities, including those for which the FHLBNY has elected the

fair value option, were carried at fair value on the Statements of Condition as of December 31, 2025:

• *Fair values of derivative instruments —* Derivatives are valued using internal valuation techniques as no quoted market prices

exist for such instruments, and we employ industry standard option adjusted valuation models that generate fair values of

interest rate derivatives. We have classified derivatives as Level 2.

• *Fair values of instruments elected under the Fair Value Option —* When the FHLBNY elects the FVO, the election is made

on an instrument-by-instrument basis on Consolidated obligation debt and advances, which are fair valued using the Bank's

industry standard option adjusted models. We have classified instruments elected under the FVO as Level 2.

• *Fair values of available-for-sale mortgage-backed securities —* We request prices for all mortgage-backed securities from

third-party vendors. Typically, fair values are classified as Level 2.

• *Fair values of available-for-sale Housing finance agency bonds* — We request pricing information from pricing services.

Due to the current lack of significant market activity, their fair values are classified as Level 3.

• *Trading Securities —* The FHLBNY classifies trading securities as Level 1 of the fair value hierarchy when we use quoted

market prices in active markets to determine the fair value of trading securities, such as U.S. Government and GSE securities.

We classify trading securities as Level 2 of the fair value hierarchy when we use quoted market prices in less active markets

to determine the fair value of trading securities.

• *Equity Investments —* The FHLBNY has grantor trusts to support the Bank's retirement plans, which invests in money

market, equity and fixed income and bond funds. Daily net asset values (NAVs) are readily available, and investments are

redeemable at short notice. Because of the highly liquid nature of the investments at their NAVs, they are categorized as

Level 1 financial instruments under the valuation hierarchy.

**Derivatives and Hedging Activities**

Generally, we enter into derivatives primarily to manage our exposure to changes in interest rates. Through the use of derivatives, we

may adjust the effective maturity, repricing frequency, or option characteristics of financial instruments to achieve our risk

management objectives. The accounting guidance related to derivatives and hedging activities is complex and contains prescriptive

documentation requirements. At the inception of each hedge transaction, we formally document the hedge relationship, its risk

management objective, and strategy for undertaking the hedge.

In compliance with accounting standards, primarily ASC 815, the accounting for derivatives requires us to make the following

assumptions and estimates: (i) assessing whether the hedging relationship qualifies for hedge accounting, (ii) assessing whether an

embedded derivative should be bifurcated, (iii) calculating the effectiveness of the hedging relationship, (iv) evaluating exposure

associated with counterparty credit risk, and (v) estimating the fair value of the derivatives. Our assumptions and judgments include

subjective estimates based on information available as of the date of the financial statements and could be materially different based

on different assumptions, calculations, and estimates.

We record and report our hedging activities in accordance with ASC 815. All derivatives are recorded on the statements of condition

at their fair values. Changes in the fair value of all derivatives, excluding those designated as cash flow hedges, are recorded in current

period earnings, while changes in the fair value of derivatives that are designated and qualify as cash flow hedges are recorded in other

comprehensive income (OCI) until earnings are affected by the variability of the cash flows of the hedged transaction. If our hedges do

not qualify for hedge accounting, also known as economic hedges, then the changes in the fair value of the derivatives in the economic

hedge would be recorded in earnings, without an offsetting change in the fair value of the hedged item. As a result, economic hedges

have the potential to cause significant volatility on our results of operations. If hedges qualify under a qualifying ASC 815 hedge, we

may use two approaches to hedge accounting: short-cut hedge accounting and long-haul hedge accounting.

A short-cut hedging relationship assumes no ineffectiveness and implies that the hedge between an interest-rate swap and an interest-

bearing financial instrument is perfectly correlated. Therefore, it is assumed that changes in the fair value of the interest-rate swap and

the interest-bearing financial instrument will perfectly offset one another; therefore, no ineffectiveness is recorded in earnings or OCI.

To qualify for short-cut accounting treatment, a number of restrictive conditions must be met.

A long-haul hedging relationship requires us to assess, retrospectively and prospectively, on at least a quarterly basis, whether the

derivative and hedged item have been and are expected to be highly effective in offsetting changes in fair value or cash flows

attributable to the hedged risk. We perform a prospective analysis based on a quantitative method at the inception of the hedge, and

subsequently each quarter, we also perform retrospective hedge effectiveness analysis using regression to support our assertion that a

hedge was and will remain effective. If the hedge fails the effectiveness test any time during its life, the hedge relationship no longer

qualifies for hedge accounting and the derivative is marked to fair value through current period earnings without any offsetting

changes in fair value related to the hedged item.

For more information about policies for our derivatives and hedging activities, see financial statements, <u>[Note 1](#i86ab1c8027bf40078d433ee31a4fe86a_51966)</u>. Summary of

Significant Accounting Policies and <u>[Note 17](#i6c3430ab7878424294d082eb431c8f84_11139)</u>. Derivatives and Hedging Activities.

**Legislative and Regulatory Developments**

*Certain significant legislative and regulatory actions and developments are summarized below.*

**Regulatory Environment**. The Bank is subject to various legal and regulatory requirements and priorities. Certain actions, regulatory

priorities and areas of focus, such as deregulation, by the federal executive administration, FHFA, and other financial regulators have

changed and continue to impact the regulatory environment. For example, FHFA repealed the Fair Lending, Fair Housing, and

Equitable Housing Finance Plans regulation applicable to the FHLBanks, effective March 9, 2026, citing the federal executive

administration's deregulatory priorities. Furthermore, during 2025, withdrawals and rescissions of certain rules, proposed rules and

advisory, regulatory, or technical guidance, have affected, and likely will continue to affect, certain aspects of the Bank's business

operations. These changes could impact the Bank's financial condition, results of operations, and reputation.

*March 2026 Executive Orders:* On March 13, 2026, the federal executive administration issued two executive orders addressing

mortgage credit availability and housing affordability. One executive order directs FHFA and certain other financial regulators to

consider:

(1)revising capital regulations to tailor risk weights for all banks, including community banks, for portfolio mortgages, servicing

rights, and warehouse lines of credit;

(2)modernizing collateral valuation and transfer systems between Federal Reserve Banks and FHLBanks;

(3)expanding access to longer-dated FHLBank advances tied to residential mortgage assets;

(4)creating targeted FHLBank liquidity programs for entry-level housing, owner-occupied purchase loans, and small residential

builders;

(5)accelerating collateral boarding and valuation processes through standardized data and digital documentation; and

(6)refocusing FHLBanks' Affordable Housing Programs to facilitate faster-cycle execution and greater financial leverage for

small-scale and owner-occupied housing projects.

The executive order also instructs FHFA and the Vice Chairman for Supervision of the Federal Reserve to consider authorizing

FHLBanks' intermediate access to the Federal Reserve's discount window for FHLBanks' depository institution members.

Additionally, among other actions, the executive order directs FHFA and other relevant federal agencies to consider facilitating the

acceptance of e-notes and promoting digital mortgage standards. Under the executive order, FHFA, in consultation with other relevant

federal agencies, is required to submit a report on the efficiency of national housing finance markets, identifying recommendations for

regulatory or legislative changes necessary to address any regulatory or oversight gaps.

The second executive order, together with other actions, directs FHFA and certain other federal agencies to consider eliminating

unduly burdensome rules and reforming programs that constrain residential development and impede housing affordability, especially

the construction of affordable single-family homes as well as suburban and exurban neighborhoods.

While we note that the executive orders could potentially affect the Bank's liquidity products, collateral and operational requirements,

capital deployment, and housing-related initiatives, they do not, by themselves, change existing regulations or program requirements

applicable to the Bank or the FHLBank System. The nature, timing, and scope of any regulatory or programmatic changes resulting

from these executive orders remain uncertain and would be subject to further agency action, including rulemaking or guidance, as

applicable. We will continue to monitor developments related to these executive orders and assess their potential impact on the Bank,

the FHLBank System, and the Bank's members.

*January 2026 Executive Order:* On January 20, 2026, the federal executive administration issued an executive order that seeks to

restrict acquisitions by large institutional investors of single-family homes. Among other things, the executive order directs certain

agencies, including FHFA, to issue guidance to (i) prevent agencies and government-sponsored enterprises from providing for,

approving, insuring, guaranteeing, securitizing, or facilitating the acquisition by a large institutional investor of a single-family home

that could otherwise be purchased by an individual owner-occupant, or disposing of federal assets in a manner that transfers a single-

family home to a large institutional investor; and (ii) promote sales to individual owner-occupants, including through anti-

circumvention provisions, first-look policies, and disclosure requirements. The executive order also calls for legislative

recommendations to codify related policies and directs certain agencies to conduct reviews and consider additional measures to

combat speculation by large institutional investors in single-family housing markets. We are unable to predict the nature of the

guidance, measures, or recommendations, or how each may impact the Bank's business.

Considering the changes in the regulatory environment, there is uncertainty with respect to the ultimate result of future regulatory

actions and the impact they may have on the Bank and the FHLBank System. We also cannot predict the federal executive

administration's actions on U.S. housing finance and government-sponsored enterprises, including relating to the revision or end of

conservatorships of Fannie Mae and Freddie Mac or potential reforms or enhancements to their capital structure, or the imposition of

new requirements or limitations on their existing authorities or changes in the nature of their government backed guarantees, along

with any corresponding impacts to the FHLBank System, the secondary mortgage and mortgage-backed securities market, or the

mortgage industry. We continue to monitor these actions as they evolve and to evaluate their potential impact on us. For a discussion

of related risks, please refer to Item *1A Risk Factors*.

**Tax Exempt Municipal Bond Legislative Proposal**: In February 2026, bipartisan legislation was introduced in the U.S. House of

Representatives and Senate that would restore and make permanent prior authority, previously in effect from 2008 to 2010, permitting

FHLBanks to support tax-exempt municipal bonds used to finance certain housing-related and community infrastructure projects,

including water and sewer systems, hospitals, and schools. If enacted, the legislation would allow FHLBanks to provide standby letters

of credit in connection with such municipal bonds through their member institutions. The proposed legislation does not provide for a

federal guarantee or create taxpayer liability. The Bank will continue to monitor this legislative proposal and assess any potential

operational or financial impacts on the Bank if the legislation is enacted.

**SEC Treasury Clearing Rule**: In December 2023, the U.S. Securities and Exchange Commission adopted rules requiring the central

clearing of certain repurchase agreement transactions ("repos") in U.S. Treasury securities, subject to phased-in compliance dates and

applicable exemptions. Compliance for eligible repo transactions is required by June 30, 2027. The Bank is within scope of the rule

with respect to repos but is excluded from the requirement for outright purchases and sales. The Bank has elected to participate in

central clearing on a sponsored basis. The Bank continues to assess implementation requirements and currently is progressing with

onboarding arrangements in advance of the applicable compliance date.

**Amendments to New York UCC Addressing Digital Assets**: On December 5, 2025, New York Assembly Bill 3307/Senate Bill

1840 was signed into law amending New York's Uniform Commercial Code (UCC). The legislation modernizes the state's

commercial rules with respect to digital assets.

Among other things, the legislation (i) adopts a new Article 12 to the New York UCC, which governs the ownership, transfer, and

enforceability of certain digital assets called "controllable electronic records" (including cryptocurrency and non-fungible tokens

(NFTs); (ii) establishes, through amendments to Article 9 of the New York UCC, how parties may perfect a security interest in and

thereby establish 'control' of such controllable electronic records; and (iii) ensures the negotiability of digital assets by providing that

a good faith purchaser for value who obtains control (a "qualifying purchaser") takes its interest free of competing claims. In addition,

the legislation updates the New York UCC to recognize electronic records and signatures and to place electronic records on equal legal

footing with paper-based records for covered UCC transactions.

This legislation substantially incorporates the 2022 Amendments to the UCC approved by the Uniform Law Commission and

American Law Institute (the "2022 UCC Amendments"). New York joins the more than 30 states in adopting the 2022 UCC

Amendments. The amendments to New York's UCC law are effective June 3, 2026. We will continue to monitor and review this

legislation's impact on the Bank and its operations and financial condition.

**Financial Condition**

**Table 2.1 Statements of Condition — Period-Over-Period Comparison**

---

| | | | | |
|:---|:---|:---|:---|:---|
| **(Dollars in thousands)** | **December 31, 2025** | **December 31, 2024** | **Net change in dollar** <br>**amount**<br>| **Net change in** <br>**percentage**<br>|
| **Assets** |  |  |  |  |
| Cash and due from banks | $38192 | $26141 | $12051 | 46.10% |
| Interest-bearing deposits | 2960000 | 2770000 | 190000 | 6.86 |
| Securities purchased under agreements to resell | 15950000 | 10895000 | 5055000 | 46.40 |
| Federal funds sold | 11550000 | 9415000 | 2135000 | 22.68 |
| Trading securities | 7387187 | 7237940 | 149247 | 2.06 |
| Equity Investments | 103707 | 95422 | 8285 | 8.68 |
| Available-for-sale securities | 12345845 | 9987284 | 2358561 | 23.62 |
| Held-to-maturity securities | 10490167 | 10865935 | (375768) | (3.46) |
| Advances | 92306684 | 105838238 | (13531554) | (12.79) |
| Mortgage loans held-for-portfolio | 2644449 | 2345395 | 299054 | 12.75 |
| Accrued interest receivable | 523973 | 571199 | (47226) | (8.27) |
| Premises, software, and equipment | 84524 | 78966 | 5558 | 7.04 |
| Operating lease right-of-use assets | 44289 | 49550 | (5261) | (10.62) |
| Finance lease right-of-use assets | 1532 | 2003 | (471) | (23.51) |
| Derivative assets | 99548 | 97344 | 2204 | 2.26 |
| Other assets | 14896 | 24531 | (9635) | (39.28) |
| **Total assets** | $156544993 | $160299948 | $(3754955) | (2.34)% |
| **Liabilities** |  |  |  |  |
| Deposits |  |  |  |  |
| Interest-bearing demand | $3071958 | $2415356 | $656602 | 27.18% |
| Non-interest-bearing demand | 18003 | 14028 | 3975 | 28.34 |
| Total deposits | 3089961 | 2429384 | 660577 | 27.19 |
| Consolidated obligations |  |  |  |  |
| Bonds | 68466741 | 80552135 | (12085394) | (15.00) |
| Discount notes | 76019517 | 67858939 | 8160578 | 12.03 |
| Total consolidated obligations | 144486258 | 148411074 | (3924816) | (2.64) |
| Mandatorily redeemable capital stock | 7585 | 4509 | 3076 | 68.22 |
| Accrued interest payable | 470265 | 604267 | (134002) | (22.18) |
| Affordable Housing Program | 247824 | 231447 | 16377 | 7.08 |
| Derivative liabilities | 4097 | 13357 | (9260) | (69.33) |
| Other liabilities | 167633 | 133503 | 34130 | 25.56 |
| Operating lease liabilities | 54696 | 60853 | (6157) | (10.12) |
| Finance lease liabilities | 1571 | 2025 | (454) | (22.42) |
| **Total liabilities** | 148529890 | 151890419 | (3360529) | (2.21) |
| **Capital** | 8015103 | 8409529 | (394426) | (4.69) |
| **Total liabilities and capital** | $156544993 | $160299948 | $(3754955) | (2.34)% |

---

**Balance Sheet overview December 31, 2025 and December 31, 2024**

Total assets decreased to $156.5 billion at December 31, 2025, from $160.3 billion at December 31, 2024, a decrease of $3.8 billion,

or 2.4%.

Cash at banks was $38.2 million at December 31, 2025, compared to $26.1 million at December 31, 2024.

Money market investments increased $7.4 billion at December 31, 2025 to $30.5 billion, as compared to $23.1 billion at December 31,

2024. We continue to maintain an ample supply of funds to meet liquidity demands. Federal funds sold averaged $17.2 billion and

$19.4 billion in 2025 and 2024, respectively. Resale agreements averaged $7.5 billion and $4.8 billion in 2025 and 2024, respectively.

Money market investments also included interest-bearing deposits at highly-rated financial institutions. Balances were $3.0 billion and

$2.8 billion at December 31, 2025 and December 31, 2024, respectively.

***Advances —*** Par balances decreased at December 31, 2025 to $92.5 billion, compared to $106.5 billion at December 31, 2024. Short-

term fixed-rate advances increased by 7.6% to $17.0 billion at December 31, 2025, up from $15.8 billion at December 31, 2024. ARC

advances, which are adjustable-rate borrowings, decreased by 29.4% to $23.3 billion at December 31, 2025, compared to $33.0 billion

at December 31, 2024.

***Long-term investment debt securities*** — Long-term investment debt securities are designated as available-for-sale or held-to-

maturity. Our investment profile consists almost exclusively of GSE and Agency issued securities.

In the AFS portfolio, long-term investments of floating-rate GSE-issued mortgage-backed securities were carried on the balance sheet

at fair values of $292.8 million at December 31, 2025 and $343.0 million at December 31, 2024. Fixed-rate long-term investments in

the AFS portfolio, comprised of fixed-rate GSE-issued mortgage-backed securities, were carried on the balance sheet at fair values of

$9.8 billion at December 31, 2025 and $8.3 billion at December 31, 2024. We acquired $1.4 billion (par) of fixed-rate GSE-issued

MBS in 2025.

State and local housing finance agency obligations, primarily New York and New Jersey, were carried as AFS securities at $1.7 billion

at December 31, 2025 and $1.3 billion at December 31, 2024.

In the HTM portfolio, long-term investments were predominantly GSE-issued fixed- and floating-rate mortgage-backed securities and

a small portfolio of housing finance agency bonds. Fixed- and floating-rate mortgage-backed securities in the HTM portfolio were

$10.3 billion at December 31, 2025 and $10.7 billion at December 31, 2024. We acquired $1.6 billion (par) of floating-rate GSE-

issued MBS in 2025.

State and local housing finance agency obligations, primarily New York and New Jersey, were carried as HTM securities at $0.2

billion at December 31, 2025 and December 31, 2024.

***Trading securities (liquidity portfolio)*** — The objective of the trading portfolio is to meet short-term contingency liquidity needs.

During the current year period, we continued to invest in highly liquid U.S. Treasury securities. Trading investments are carried at fair

value, with changes recorded through earnings. At December 31, 2025 and December 31, 2024, trading investments were $7.4 billion

and $7.2 billion in U.S. Treasury securities.

We will periodically evaluate our liquidity needs and may add to or dispose these liquidity investments as deemed prudent based on

liquidity and market conditions. The Finance Agency prohibits speculative trading practices but allows permitted securities to be

deemed held for liquidity if invested in a trading portfolio.

***Equity Investments*** — We own grantor trusts that invest in highly-liquid registered mutual funds. Funds are classified as Equity

Investments and were carried on the balance sheet at fair values of $103.7 million at December 31, 2025 and $95.4 million at

December 31, 2024.

***Mortgage loans held-for-portfolio*** — Mortgage loans are investments in Mortgage Partnership Finance Program and Mortgage Asset

Program. Unpaid principal balance of MPF loans stood at $1.4 billion at December 31, 2025, a decrease of $137.0 million from the

balance at December 31, 2024. Unpaid principal balance of MAP loans stood at $1.2 billion at December 31, 2025, an increase of

$426.0 million from the balance at December 31, 2024. The total mortgage loans held-for-portfolio primarily consists of fixed-rate,

single-family mortgages. Paydowns for the total portfolio for twelve months ended December 31, 2025 were $210.1 million compared

to $187.4 million for the same period in 2024. Acquisitions for the twelve months ended December 31, 2025 were $513.8 million

compared to $356.9 million for the same period in 2024. Historically, credit performance has been strong and delinquency low. Loan

origination by members and acceptable pricing are key factors that drive acquisitions. Residential collateral values have remained

stable in the New York and New Jersey sectors, the primary geographic concentration for our mortgage loan portfolio, and historical

loss experience remains very low. Serious delinquencies (typically 90 days or more) at December 31, 2025 were higher than

December 31, 2024. Allowance for credit losses increased to $3.7 million at December 31, 2025 compared to $3.1 million at

December 31, 2024.

***Capital ratios*** — Our capital position remains strong. Actual risk-based capital was $8.0 billion at December 31, 2025 compared to

$8.5 billion at December 31, 2024. Required risk-based capital was $1.1 billion at December 31, 2025 compared to $1.0 billion at

December 31, 2024. To support $156.5 billion of total assets at December 31, 2025, the minimum required total capital was $6.3

billion or 4.0% of assets. Our actual regulatory risk-based capital was $8.0 billion, exceeding required total capital by $1.8 billion.

These ratios have remained consistently above the required regulatory ratios through all periods in this report. For more information,

see financial statements,<u>[Note 14](#i6e44f55b55354254bf5e261e55212924_6668)</u>. Capital Stock, Mandatorily Redeemable Capital Stock and Restricted Retained Earnings.

***Leverage*** — At December 31, 2025, balance sheet leverage (based on U.S. GAAP) was 19.5 times shareholders' equity compared to

19.1 times at December 31, 2024. Balance sheet leverage has generally remained steady over the last several years, although from time

to time we have maintained excess liquidity in highly liquid investments, or cash balances at the Federal Reserve Bank of New York

(FRBNY) to meet unexpected member demand for funds. Increases or decreases in investments have a direct impact on leverage, but

generally growth in or shrinkage of advances does not significantly impact balance sheet leverage under existing capital stock

management practices. Members are required to purchase activity-based capital stock to support their borrowings from us, and when

activity-based capital stock is in excess of the amount that is required to support advance borrowings, we redeem the excess capital

stock immediately. Therefore, stockholders' capital increases and decreases with members' advance borrowings, and the capital to

asset ratio remains relatively unchanged.

***Liquidity —*** Our liquidity position remains strong, and in compliance with all regulatory requirements, and we do not foresee any

changes to that position. In addition to the liquidity trading portfolio discussed previously, liquid assets at December 31, 2025

included $32.9 million as demand cash balances at the FRBNY, $27.5 billion in short-term and overnight investments in the federal

funds and resale agreements, and $10.1 billion of high credit quality GSE-issued available-for-sale securities that are investment grade

and readily marketable.

We also have other regulatory liquidity measures in place, including deposit liquidity and operational liquidity, and other liquidity

buffers.

For more information about the Advisory Bulletin and our liquidity measures, see section Liquidity, Cash Flows, Short-Term

Borrowings and Short-Term Debt, and <u>[Table 9.1](#i2ebde2961499463b963dc0b4a351f72d_15408)</u> through <u>[Table 9.5](#i4e79b34f7a9d4f908caa3e4a8c11557b_4783)</u> in this MD&A.

***Credit Risk Management Framework***

As part of an effort to evolve our Credit Risk Management Framework to better align it with the current regulatory environment, the

FHLBNY has enhanced its credit oversight and credit rating methodology to assess the financial condition of member institutions. The

Framework updates were initially implemented in the third quarter of 2025.

The FHLBNY utilizes a new Credit Risk Rating Framework to conduct a comprehensive assessment of the financial condition of each

member institution on a quarterly basis. The enhanced credit rating process employs a financial framework that assesses current

regulatory financial statements as baseline, and then considers supplementary qualitative and quantitative information (e.g., call report

ratios vs peers, regulatory exam results, changes in NRSRO ratings, media coverage, stock price, credit default swap spreads, deposit

trends, management vacancies). The Framework considers these various factors to arrive at a final credit risk rating score that is

representative of the credit risk profile of the member.

Our approach to credit risk underwriting is also in alignment with the Federal Housing Finance Agency's observations contained in its

November 2023 report entitled, "FHLBank System at 100: Focusing on the Future" (System at 100 Report) and feedback received

from periodic discussions with our regulator. Appendix 5 of the System at 100 Report suggests there be an enhanced focus on a

member's ability to repay its obligations in the ordinary course of business versus relying on collateral for supporting the extension of

credit. Federal Housing Finance Agency Advisory Bulletin AB 2024-03, published September 27, 2024, also provides guidance

concerning credit underwriting.

This Framework will continue to be refined, and we will continue to monitor for regulatory guidance that may impact this Framework

in the future.

**Advances**

Our primary business is making collateralized loans to members, referred to as advances. Generally, the growth or decline in advances

is reflective of demand by members for both short-term liquidity and term funding. This demand is driven by economic factors such as

availability of alternative funding sources that are more attractive, or by the interest rate environment and the outlook for the economy.

Members may choose to prepay advances (which may generate prepayment fees) based on their expectations of interest rate changes

and demand for liquidity.

Advance volume is also influenced by merger activity, where members are either acquired by non-members or acquired by members

of another FHLBank. When our members are acquired by members of another FHLBank or by non-members, these former members

no longer qualify for membership, and we may not offer renewals or additional advances to the former members. If maturing advances

are not replaced, it may have an impact on business volume.

Interest rate hedging and basis adjustments — A significant percentage of fixed-rate, longer-term advances and all putable advances

were designated under an ASC 815 fair value accounting hedge. From time to time, certain advances are hedged by interest rate swaps

in economic hedges and the fair value option (FVO) is elected on an instrument-by-instrument basis for advances.

Carrying values of advances outstanding were $92.3 billion at December 31, 2025 and $105.8 billion at December 31, 2024. Carrying

values included cumulative hedging basis adjustment losses of $0.1 billion at December 31, 2025 and $0.7 billion at December 31,

2024. 42

**Table 3.1 Advance Trends**

![1552](fhlbny-20251231_g1.gif)

**(in billions)**

**Member demand for advance products**

Future demand from our members for advances is difficult to forecast as it is uncertain what the impact will be on our members'

businesses from multiple uncertainties, including supply of deposits and other funding to members' businesses, risk of credit losses,

and other potential disruptions to our members' businesses.

The FHFA in its "FHLBank System at 100: Focusing on the Future" report (System at 100 Report) released in November 2023 stated

that the FHFA has communicated its expectation that the FHLBanks revisit their policies, procedures, and systems for evaluating the

financial condition of members. The System at 100 Report and the FHFA's Advisory Bulletin AB 2024-03, published September 27,

2024, stated that the FHLBanks must evaluate members' financial condition and ability to repay advances and noted that while

pledged collateral may protect an FHLBank against risk of loss, it only serves as a backup source of repayment if the member cannot

repay the advance. The FHFA is initiating multiple actions to strengthen member risk management by the FHLBanks. The System at

100 Report and Advisory Bulletin 2024-03 emphasize that the FHLBanks are not "lenders of last resort" and need to coordinate with

members' primary regulators and the Federal Reserve Banks to facilitate the transition of troubled members to the Federal Reserve's

discount window. These comments from the FHFA and potential related actions by policy makers or member regulators may cause

financially healthy members to reduce their advances or amount of excess collateral pledged to the Bank. This may make it more

difficult for the Bank to provide liquidity in support of members that are experiencing temporary liquidity difficulties.

***Advances — Product Types***

The following table summarizes par values of advances by product type (dollars in thousands):

**Table 3.2 Advances by Product Type**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2024** | **December 31, 2024** |
|  | **Amounts** | **Percentage** <br>**of Total**<br>| **Amounts** | **Percentage** <br>**of Total**<br>|
| Adjustable Rate Credit - ARCs | $23317000 | 25.22% | $33022000 | 30.99% |
| Fixed Rate Advances | 46988911 | 50.81 | 52283871 | 49.08 |
| Short-Term Advances | 16984886 | 18.37 | 15789348 | 14.82 |
| Mortgage Matched Advances | 319608 | 0.35 | 385448 | 0.36 |
| Overnight & Line of Credit (OLOC) Advances | 3036265 | 3.28 | 2657287 | 2.49 |
| All other categories | 1819734 | 1.97 | 2411645 | 2.26 |
| **Total par value** | 92466404 | 100.00% | 106549599 | 100.00% |
| Advance discounts | (10491) |  | (11117) |  |
| Hedge valuation basis adjustments | (149229) |  | (700244) |  |
| **Total** | $92306684 |  | $105838238 |  |

---

**Member Pledged Collateral**

Member borrowers are required to maintain an amount of eligible collateral that adequately secures their outstanding obligations with

the FHLBNY. Eligible collateral includes: (1) one-to-four-family mortgages; (2) multi-family & commercial real estate mortgages;

(3) Treasury and U.S. government agency securities; (4) private-label commercial mortgage-backed securities; and (5) certain other

collateral that is real estate-related, provided that such collateral has a readily ascertainable value, can be liquidated in due course, and

the Bank has the ability to perfect its security interest. The FHLBNY also has a statutory lien priority with respect to certain member

assets under the FHLBank Act as well as a claim on FHLBNY capital stock held by our members. The FHLBNY's loan and collateral

agreements give the Bank security interest in assets held by borrowers that is sufficient to cover their obligations to the FHLBNY.

FHLBNY may supplement this security interest by imposing additional collateral delivery requirements on our member borrowers

based on the overall financial strength of the member. To ensure that the FHLBNY has sufficient collateral to cover credit extensions,

the FHLBNY has established a Collateral Lendable Value methodology. This methodology ensures that the FHLBNY remains fully

collateralized by establishing risk-based lendable values for each pledged collateral type. These lendable values are periodically

reassessed to ensure that they are reflective of current market conditions.

The following table summarizes pledged collateral (in thousands):

**Table 3.3 Collateral Supporting Indebtedness to Members**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **Indebtedness** | **Indebtedness** | **Indebtedness** | **Collateral** <sup>(a)</sup> | **Collateral** <sup>(a)</sup> | **Collateral** <sup>(a)</sup> |
|  | **Advances** <sup>(b)</sup> | **Other** <br> **Obligations** <sup>(c)</sup><br>| **Total** <br> **Indebtedness**<br>| **Loans** <sup>(d)</sup> | **Securities and** <br>**Deposits** <sup>(d)</sup><br>| **Total** <sup>(d)</sup> |
| **December 31, 2025** | $92466404 | $24190019 | $116656423 | $379482484 | $66900291 | $446382775 |
| **December 31, 2024** | $106549599 | $20755380 | $127304979 | $363403141 | $70196673 | $433599814 |

---

*(a)The level of over-collateralization is on an aggregate basis and may not necessarily be indicative of a similar level of over-*

*collateralization on an individual member basis. At a minimum, each member pledged sufficient collateral to adequately secure* 

*the member's outstanding obligation with the FHLBNY. In addition, most members maintain an excess amount of pledged* 

*collateral with the FHLBNY to secure future liquidity needs.*

*(b)Par value.*

*(c)Standby financial letters of credit, derivatives, and members' credit enhancement guarantee amount (MPFCE).*

*(d)Estimated market value.*

The following table shows the breakdown of collateral pledged by members between those in the physical possession of the FHLBNY

or its safekeeping agent, and those that were specifically listed (in thousands):

**Table 3.4 Location of Collateral Held**

---

| | | | |
|:---|:---|:---|:---|
|  | **Estimated Market Values** | **Estimated Market Values** | **Estimated Market Values** |
|  | **Collateral in** <br>**Physical** <br>**Possession**<br>| **Collateral** <br>**Specifically Listed**<br>| **Total Collateral** <br>**Received**<br>|
| **December 31, 2025** | $68180070 | $378202705 | $446382775 |
| **December 31, 2024** | $71702496 | $361897318 | $433599814 |

---

***Advances — Interest Rate Terms***

The following table summarizes interest-rate payment terms for advances (dollars in thousands):

**Table 3.5 Advances by Interest-Rate Payment Terms**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2024** | **December 31, 2024** |
|  | **Amounts** | **Percentage** <br>**of Total**<br>| **Amounts** | **Percentage** <br>**of Total**<br>|
| Fixed-rate <sup>(a)</sup> | $68426404 | 74.00% | $72670599 | 68.20% |
| Variable-rate <sup>(b)</sup> | 24040000 | 26.00 | 33879000 | 31.80 |
| Total par value | 92466404 | 100.00% | 106549599 | 100.00% |
| Advance discounts | (10491) |  | (11117) |  |
| Hedge valuation basis adjustments | (149229) |  | (700244) |  |
| **Total** | $92306684 |  | $105838238 |  |

---

*(a)Fixed-rate borrowings remained the largest category of advances borrowed by members and includes long-term and short-term* 

*fixed-rate advances. Long-term advances remain a small segment of the portfolio at December 31, 2025, with only 2.1% of* 

*advances in the remaining maturity bucket of greater than 5 years (2.9% at December 31, 2024). For more information, see* 

*financial statements <u>[Note 9](#i677220ca7fae4928a646e5df0601ca60_8875)</u>. Advances.*

*(b)Variable-rate advances are ARC advances are indexed to SOFR-OIS, Federal Funds-OIS or other benchmark indices. The* 

*FHLBNY's larger members are generally borrowers of variable-rate advances.*

The following table summarizes Redemption Term of advances (dollars in thousands):

**Table 3.6 Advances by Redemption Term**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2024** | **December 31, 2024** | **Change** | **Change** |
| **Redemption Term (dollars in thousands)** | **Amount** | **Percentage** | **Amount** | **Percentage** | **Amount** | **Percentage** |
| Fixed-rate |  |  |  |  |  |  |
| Due in 1 year or less | $44984380 | 48.65% | $45365357 | 42.58% | $(380977) | (0.84)% |
| Due after 1 year through 3 years | 14772665 | 15.98 | 15485706 | 14.53 | (713041) | (4.60) |
| Due after 3 years through 5 years | 6131164 | 6.63 | 8074063 | 7.58 | (1942899) | (24.06) |
| Due after 5 years through 15 years | 687087 | 0.74 | 1782025 | 1.67 | (1094938) | (61.44) |
| Total principal amount | 66575296 | 72.00 | 70707151 | 66.36 | (4131855) | (5.84) |
| Fixed-rate, putable |  |  |  |  |  |  |
| Due in 1 year or less | 111000 | 0.12 |  |  | 111000 | NM |
| Due after 1 year through 3 years | 427500 | 0.46 | 738000 | 0.69 | (310500) | (42.07) |
| Due after 3 years through 5 years | 703500 | 0.76 | 507000 | 0.48 | 196500 | 38.76 |
| Due after 5 years through 15 years | 289500 | 0.31 | 333000 | 0.31 | (43500) | (13.06) |
| Total principal amount | 1531500 | 1.65 | 1578000 | 1.48 | (46500) | (2.95) |
| Variable-rate |  |  |  |  |  |  |
| Due in 1 year or less | 19862000 | 21.48 | 23139000 | 21.72 | (3277000) | (14.16) |
| Due after 1 year through 3 years | 2053000 | 2.22 | 7740000 | 7.26 | (5687000) | (73.48) |
| Due after 3 years through 5 years | 1125000 | 1.22 | 2000000 | 1.88 | (875000) | (43.75) |
| Due after 5 years through 15 years | 1000000 | 1.08 | 1000000 | 0.94 |  |  |
| Total principal amount | 24040000 | 26.00 | 33879000 | 31.80 | (9839000) | (29.04) |
| Other <sup>(a)</sup> |  |  |  |  |  |  |
| Due in 1 year or less | 76228 | 0.08 | 75840 | 0.07 | 388 | 0.51 |
| Due after 1 year through 3 years | 208261 | 0.23 | 150500 | 0.14 | 57761 | 38.38 |
| Due after 3 years through 5 years | 33116 | 0.04 | 156875 | 0.15 | (123759) | (78.89) |
| Due after 5 years through 15 years | 2003 |  | 2233 |  | (230) | (10.30) |
| Total principal amount | 319608 | 0.35 | 385448 | 0.36 | (65840) | (17.08) |
| Total principal amount advances | 92466404 | 100.00% | 106549599 | 100.00% | (14083195) | (13.22)% |
| Other adjustments, net <sup>(b)</sup> | (159720) |  | (711361) |  | 551641 |  |
| Total advances | $92306684 |  | $105838238 |  | $(13531554) |  |

---

*(a)Includes hybrid, fixed-rate amortizing/mortgage matched, convertible, fixed-rate callable or prepayable, and other advances.*

*(b)Consists of hedging and fair value option valuation adjustments and unamortized premiums, discounts, and commitment fees.*

*NM — Not meaningful.*

***Hedge volume*** — We hedge putable advances and certain "vanilla" fixed-rate advances under the hedge accounting provisions when

they qualify under those standards and as economic hedges when hedge effectiveness accounting provisions cannot be established.

The following table summarizes advances hedged under ASC 815 qualifying hedge by type of structure (in thousands):

**Table 3.7 Hedged Advances by Type**

---

| | | |
|:---|:---|:---|
| **Par Amount** | **December 31, 2025** | **December 31, 2024** |
| Qualifying hedges |  |  |
| Fixed-rate bullets <sup>(a)</sup> | $57231100 | $50683456 |
| Fixed-rate putable <sup>(b)</sup> | 1531500 | 1578000 |
| Fixed-rate with embedded cap | 80000 |  |
| Total qualifying hedges | $58842600 | $52261456 |
| Aggregate par amount of advances hedged <sup>(c)</sup> | $59309100 | $55474669 |
| Fair value basis (hedging adjustments) <sup>(d)</sup> | $(149229) | $(700244) |

---

*(a)Generally, fixed-rate medium- and longer-term advances are hedged to mitigate the risk in fixed-rate lending.*

*(b)Putable advances are hedged by cancellable swaps, and the paired long put option mitigate the put option risks; in the hedge,* 

*fixed-rate cash flows are also synthetically converted to benchmark floating-rate.*

*(c)Represents par values of advances in ASC 815 hedge relationships. Amounts include advances that were in ASC 815 hedges but* 

*have since been de-designated or advances that are in economic hedges (not qualifying as ASC 815 accounting hedge).*

*(d)Fair value basis hedging adjustments included immaterial balances of unamortized basis as a result of de-designation hedges.*

*Economic hedges of floating-rate advances* **—** From time to time, we issue floating-rate advances indexed to benchmark rates (Federal

Funds-OIS and SOFR-OIS) and may then execute interest rate basis swaps that would synthetically convert the cash flows to the

desired floating-rate cash flows indexed to another benchmark to meet our asset/liability funding strategies. At December 31, 2025 and

December 31, 2024, there was no basis swaps outstanding. The carrying value of the advances in the economic hedge would not

include fair value basis since the advance is recorded at amortized cost.

*Putable Advances* **—** The following table summarizes par amounts of advances that were still putable or callable, with one or more

pre-determined option exercise dates remaining (in thousands):

**Table 3.8 Putable and Callable Advances**

---

| | | |
|:---|:---|:---|
|  | **Advances** | **Advances** |
| **Par Amount** | **December 31, 2025** | **December 31, 2024** |
| Putable <sup>(a)</sup> | $1531500 | $1578000 |
| No-longer putable/callable | $221000 | $22000 |

---

*(a)Putable advances were typically long-term advances with one or more put options exercisable by the FHLBNY. Putable advances* 

*are hedged in an ASC 815 qualifying fair value hedge with mirror image terms, including mirror image put option terms.*

**Investments**

We maintain long-term investment portfolios of debt securities, which are principally mortgage-backed securities issued by GSEs and

U.S. Agency. Investments include a small portfolio of MBS issued by private enterprises, and bonds issued by state or local housing

finance agencies. We also maintain short-term investments for our liquidity resources, for funding daily stock repurchases and

redemptions, for ensuring the availability of funds to meet the credit needs of our members, and to provide additional earnings. We

also invest in a liquidity trading portfolio, the purpose of which is to augment our liquidity needs. Investments in the trading portfolio

are typically U.S. Treasury securities, and from time to time we have also invested in GSE-issued securities, all carried at their fair

values. The Finance Agency prohibits speculative investments but allows the designation of a trading portfolio for liquidity purposes.

We may dispose of such investments if we do not need them for liquidity purposes and market conditions deem the sale as

advantageous.

We are subject to credit risk on our investments, generally transacted with GSEs and large financial institutions that are considered to

be investment quality. The Finance Agency defines investment quality as a security with adequate financial backing so that full and

timely payment of principal and interest on such security is expected and there is minimal risk that the timely payment of principal and

interest would not occur because of adverse changes in economic and financial conditions during the projected life of the security.

The following table summarizes changes in investments by categories: Interest-bearing deposits, Money market investments, Trading

securities, Equity investments in Grantor trusts, Available-for-sale securities, and Held-to-maturity securities (Carrying values, dollars

in thousands):

**Table 4.1 Investments by Categories**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **December 31,** <br>**2025**<br>| **December 31,** <br>**2024**<br>| **Dollar** <br>**Variance**<br>| **Percentage** <br>**Variance**<br>|
| State and local housing finance agency obligations, net <sup>(a)</sup> |  |  |  |  |
| Available-for-sale securities, at fair value | $1664523 | $1297431 | $367092 | 28.29% |
| Held-to-maturity securities, at carrying value, net | 151604 | 159100 | (7496) | (4.71) |
| Total HFA securities | 1816127 | 1456531 | 359596 | 24.69 |
| U.S. Treasury notes, available-for-sale at fair value | 560272 |  | 560272 | 100.00 |
| Trading securities <sup>(b)</sup> | 7387187 | 7237940 | 149247 | 2.06 |
| Mortgage-backed securities |  |  |  |  |
| Available-for-sale securities, at fair value <sup>(c)</sup> | 10121050 | 8689853 | 1431197 | 16.47 |
| Held-to-maturity securities, at carrying value, net <sup>(c)</sup> | 10338563 | 10706835 | (368272) | (3.44) |
| Total MBS securities | 20459613 | 19396688 | 1062925 | 5.48 |
| Equity investments in Grantor trusts <sup>(d)</sup> | 103707 | 95422 | 8285 | 8.68 |
| Interest-bearing deposits | 2960000 | 2770000 | 190000 | 6.86 |
| Securities purchased under agreements to resell | 15950000 | 10895000 | 5055000 | 46.40 |
| Federal funds sold | 11550000 | 9415000 | 2135000 | 22.68 |
| Total Investments | $60786906 | $51266581 | $9520325 | 18.57% |

---

*(a)State and local housing finance agency bonds are designated as both AFS, carried at fair values and HTM, carried at carrying* 

*value. There were purchases of $375.0 million of AFS State and local housing finance agency bonds for the twelve months ending* 

*December 31, 2025. Payments from HTM portfolio were $7.5 million and payments from the AFS portfolio were $7.2 million.*

*(b)Trading securities comprised of U.S. Treasury securities at December 31, 2025 and are carried at fair value. Trading portfolio is* 

*for liquidity and not for speculative purposes. We acquired and sold $3.5 billion par of U.S. Treasury securities in 2025.*

*(c)AFS securities outstanding were GSE and U.S. Agency issued MBS and carried at fair values. MBS in the HTM portfolio were* 

*predominantly GSE-issued.*

*(d)Funds in the grantor trusts are designated as equity investments and are carried at fair value. Trust fund balances represent* 

*investments in registered fixed-income and equity mutual funds and money market funds. Funds are highly liquid and readily* 

*redeemable at their NAVs, which are the fair values of the investments. The funds are owned by the FHLBNY, and the intent is to* 

*utilize investments to fund current and potential future payment obligations of the non-qualified employee retirement plans.*

The following table summarizes our investment debt securities issuer concentration (dollars in thousands):

**Table 4.2 Investment Debt Securities Issuer Concentration**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
| <br>**Long Term Investment** <sup>(c)</sup> | **Carrying (a)** <br>**Value**<br>| **Fair value** | **Carrying value** <br>**as a Percentage** <br>**of Capital**<br>| **Carrying (a)** <br>**Value**<br>| **Fair Value** | **Carrying value** <br>**as a Percentage** <br>**of Capital**<br>|
| **MBS** |  |  |  |  |  |  |
| Fannie Mae | $2107351 | $2106342 | 26.29% | $1998068 | $1987125 | 23.76% |
| Freddie Mac | 18347280 | 18247320 | 228.91 | 17366261 | 17086112 | 206.51 |
| Ginnie Mae | 4982 | 4982 | 0.06 | 5796 | 5796 | 0.07 |
| All Others - PLMBS <sup>(d)</sup> |  |  |  | 26563 | 30293 | 0.32 |
| **Non-MBS, net** <sup>(b)</sup> | 2376399 | 2371581 | 29.65 | 1456531 | 1447232 | 17.32 |
| Total Investment Debt Securities | $22836012 | $22730225 | 284.91% | $20853219 | $20556558 | 247.98% |
| Categorized as: |  |  |  |  |  |  |
| Available-for-Sale Securities | $12345845 | $12345845 |  | $9987284 | $9987284 |  |
| Held-to-Maturity Securities, <br>net<br>| $10490167 | $10384380 |  | $10865935 | $10569274 |  |

---

*(a)Carrying values include fair values for AFS securities.*

*(b) Non-MBS* — *Includes Housing finance agency bonds.*

*(c)Excludes Trading portfolio.*

*(d) In the third quarter of 2025, the Bank sold all remaining securities in our PLMBS portfolio.*

The following tables summarize external rating information of the held-to-maturity portfolio (carrying values in thousands):

**Table 4.3 External Rating of the Held-to-Maturity Portfolio**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** |
|  | **AAA-rated** <sup>(a)</sup> | **AA-rated** <sup>(b)</sup> | **A-rated** | **BBB-rated** | **Below** <br>**Investment** <br>**Grade**<br>| **Total** |
| Mortgage-backed securities | $— | $10338563 | $— | $— | $— | $10338563 |
| State and local housing finance agency obligations |  | 151604 |  |  |  | 151604 |
| **Total Long-term securities** | $— | $10490167 | $— | $— | $— | $10490167 |

---

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
|  | **AAA-rated** <sup>(a)</sup> | **AA-rated** <sup>(b)</sup> | **A-rated** | **BBB-rated** | **Below** <br>**Investment** <br>**Grade**<br>| **Total** |
| Mortgage-backed securities | $114 | $10681180 | $16627 | $985 | $7929 | $10706835 |
| State and local housing finance agency obligations |  | 159100 |  |  |  | 159100 |
| **Total Long-term securities** | $114 | $10840280 | $16627 | $985 | $7929 | $10865935 |

---

*See footnotes (a) and (b) under <u>[Table 4.4](#ib5ab21bd24ec4e99ba9ea43cc41c11be_12244)</u>.*

The following tables summarize external rating information of the AFS portfolio (the carrying values of AFS investments are at fair

values; in thousands):

**Table 4.4 External Rating of the Available-for-Sale Portfolio**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** |
|  | **AAA-rated (a)** | **AA-rated (b)** | **A-rated** | **BBB-rated** | **Below** <br>**Investment** <br>**Grade**<br>| **Total** |
| Mortgage-backed securities | $— | $10121050 | $— | $— | $— | $10121050 |
| Housing and U.S. Obligations | 154129 | 2070666 |  |  |  | 2224795 |
| **Total Long-term securities** | $154129 | $12191716 | $— | $— | $— | $12345845 |

---

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
|  | **AAA-rated (a)** | **AA-rated (b)** | **A-rated** | **BBB-rated** | **Below** <br>**Investment** <br>**Grade**<br>| **Total** |
| Mortgage-backed securities | $— | $8689853 | $— | $— | $— | $8689853 |
| Housing and U.S. Obligations | 161979 | 1135452 |  |  |  | 1297431 |
| **Total Long-term securities** | $161979 | $9825305 | $— | $— | $— | $9987284 |

---

*Footnotes to <u>[Table 4.3](#ib5ab21bd24ec4e99ba9ea43cc41c11be_12236)</u> and <u>[Table 4.4](#ib5ab21bd24ec4e99ba9ea43cc41c11be_12244)</u>.*

*(a)Certain housing finance bonds have been assigned AAA, based on the ratings by S&P and Moody's. In the third quarter of 2025,* 

*the Bank sold all the remaining securities in our PLMBS portfolio.*

*(b)We have assigned GSE-issued MBS a rating of AA+ based on the credit rating assigned to long-term senior debt issued by Fannie* 

*Mae, Freddie Mac, and U.S. Agency. The debt ratings are based on S&P's rating of AA+ for the GSE Senior long-term debt and* 

*AA+ for the debt issued by the U.S. government; Moody's debt rating is Aaa for the GSE Senior long-term debt and the U.S.* 

*government.*

External credit rating information has been provided in <u>[Table 4.3](#ib5ab21bd24ec4e99ba9ea43cc41c11be_12236)</u> and <u>[Table 4.4](#ib5ab21bd24ec4e99ba9ea43cc41c11be_12244)</u> as the information is used as another data point to

supplement our credit quality indicators, and they serve as a useful indicator when analyzing the degree of credit risk to which we are

exposed. Significant changes in credit ratings classifications of our investment debt securities portfolio could indicate increased credit

risk for us that could be accompanied by a reduction in the fair values of our investment debt securities portfolio.

***Fair Value Levels of Investment Debt Securities***

To compute fair values, multiple vendor prices were received for substantially all of our MBS holdings, and substantially all of those

prices fell within specified thresholds. The relative proximity of the prices received from the multiple vendors supported our

conclusion that the final computed prices were reasonable estimates of fair values. GSE securities priced under such a valuation

technique using the market approach are typically classified within Level 2 of the valuation hierarchy.

The fair value of State and local housing finance agency obligations is estimated by management using information primarily from

pricing services. Due to the current lack of significant market activity, their fair values were categorized as Level 3 of the valuation

hierarchy. For a comparison of carrying values and fair values of investment debt securities, see financial statements, <u>[Note 5](#i4dc808c95aa84c6db55b95657882041f_1035)</u>. Trading

securities, <u>[Note 7](#i26fc669bef3b40ff97061e0db68440e1_3892)</u>. Available-for-Sale Securities and <u>[Note 8](#i7c74635ee9574069b4f7c8fbe8123160_5070)</u>. Held-to-Maturity Securities. For more information about the

corroboration and other analytical procedures performed, see <u>[Note 18](#if286cb63988f47f99e44155f9e480529_25007)</u>. Fair Values of Financial Instruments. Also see <u>[Note 7](#i26fc669bef3b40ff97061e0db68440e1_3892)</u>.

Available-for-sale securities for an explanation of amortized cost for securities hedged under ASC 815 fair value hedges.

***Weighted average rates — Mortgage-backed securities (HTM and AFS) —*** The following table summarizes weighted average rates

(yields) and amortized cost by contractual maturities (dollars in thousands):

**Table 4.5 Mortgage-Backed Securities Weighted Average Rates by Contractual Maturities**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2024** | **December 31, 2024** |
|  | **Amortized** <br>**Cost**<br>| **Weighted** <br>**Average Rate** <sup>(a)</sup><br>| **Amortized** <br>**Cost**<br>| **Weighted** <br>**Average Rate** <sup>(a)</sup><br>|
| Mortgage-backed securities |  |  |  |  |
| Due in one year or less | $1407215 | 3.04% | $707129 | 3.06% |
| Due after one year through five years | 6914188 | 3.21 | 7838114 | 3.43 |
| Due after five years through ten years | 8230958 | 3.69 | 7888662 | 3.59 |
| Due after ten years | 3940067 | 4.43 | 3129019 | 4.77 |
| Total Mortgage-backed securities | $20492428 | 3.62% | $19562924 | 3.70% |

---

*(a)Average yields are derived by dividing interest income by the average amortized cost balances of the related maturity bucket.*

A significant portion of the MBS portfolio consists of floating-rate securities and the weighted average rates will change in tandem

with changes in SOFR.

***Fair Value Hedges of Fixed-rate Available-for-sale Mortgage-backed Securities***

The Bank has adopted the partial-term hedging guidance within ASC 815, Derivatives and Hedging. This guidance allows the hedging

of only the benchmark interest rate component, rather than the entire coupon, for fixed-rate instruments in a fair value hedge. The

Bank has applied this guidance to hedge designated available-for-sale fixed-rate CMBS. The following table summarizes key data (in

thousands):

**Table 4.6 Fair Value Hedges of Fixed-Rate Prepayable CMBS**

---

| | | |
|:---|:---|:---|
|  | **Fair Value Hedges of Fixed-**<br>**Rate Prepayable CMBS** | **Fair Value Hedges of Fixed-**<br>**Rate Prepayable CMBS** |
|  | **December 31, 2025** | **December 31, 2024** |
| Current face value of hedged CMBS | $8800492 | $7742462 |
| Partial-term hedge face value of hedged CMBS | $7985000 | $6980000 |
| Cumulative basis adjustment gains (losses) <sup>(a)</sup> | $(363915) | $(634699) |
| Interest rate swap contracts (par) | $7985000 | $6980000 |

---

*(a)Cumulative basis adjustment gains (losses) at December 31, 2025 and December 31, 2024 included immaterial balances of* 

*unamortized basis as a result of de-designation hedges.*

**Short-term investments**

We typically maintain substantial investments in high quality short- and intermediate-term financial instruments such as secured

overnight transactions collateralized by securities, including unsecured overnight and term deposits and federal funds sold to highly-

rated financial institutions who also satisfy other credit quality factors. These investments provide the liquidity necessary to meet

members' credit needs. Short-term investments also provide a flexible means of implementing the asset/liability management

decisions to adjust liquidity. We also invest in a liquidity trading portfolio, consisting of U.S. Treasury securities, with the objective of

satisfying our liquidity requirements and expanding our choice of investing for liquidity.

*Monitoring —* We actively monitor our credit exposures and the credit quality of our counterparties, including an assessment of each

counterparty's financial performance, capital adequacy, and sovereign support as well as related market signals, and actively limit or

suspend existing exposures, as appropriate. In addition, we are required to manage our unsecured portfolio subject to regulatory limits

prescribed by our regulator, the Finance Agency. The Finance Agency regulations include limits on the amount of unsecured credit

that may be extended to a counterparty or a group of affiliated counterparties, based upon a percentage of eligible regulatory capital

and the counterparty's overall credit rating. Under these regulations, the level of eligible regulatory capital is determined as the lesser

of our regulatory capital or the eligible amount of regulatory capital of the counterparty determined in accordance with Finance

Agency regulations.

The Finance Agency regulations also permit us to extend additional unsecured credit, which could be comprised of overnight

extensions and sales of federal funds subject to continuing contract. Our total unsecured overnight exposure to a single counterparty

may not exceed twice the regulatory limit for term exposures. We are prohibited by Finance Agency regulation from investing in

financial instruments issued by non-U.S. entities other than those issued by U.S. branches and agency offices of foreign commercial

banks, and we did not own any financial instruments issued by foreign sovereign governments, including those countries that are

members of the European Union in any periods in this report.

*Securities purchased under agreements to resell* — As part of our banking activities with counterparties, we have entered into secured

financing transactions that mature overnight and can be extended only at our discretion. These transactions involve the lending of cash

against securities, which are accepted as collateral. The balance outstanding under such agreements were $16.0 billion at

December 31, 2025 and $10.9 billion at December 31, 2024. Resale agreements averaged $7.5 billion and $4.8 billion in 2025 and

2024, respectively. For more information, see financial statements, <u>[Note 4](#i5b8e88c41008440591dc473ec7369109_3978)</u>. Interest-bearing Deposits, Federal Funds Sold and

Securities Purchased under Agreements to Resell.

*Federal funds sold* — Federal funds sold was $11.6 billion at December 31, 2025 and $9.4 billion at December 31, 2024 and averaged

$17.2 billion and $19.4 billion in 2025 and 2024, respectively. Investments represent unsecured lending to major banks and financial

institutions. We are a major lender in this market, particularly in the overnight market. The amount of unsecured credit risk that may

be extended to individual counterparties is commensurate with the counterparty's credit quality as assessed by our management, and

the assessment would include reviews of credit ratings of counterparty's debt securities or deposits as reported by NRSROs. Overnight

and short-term federal funds allow us to warehouse funds and provide balance sheet liquidity to meet unexpected member borrowing

demands.

The table below presents federal funds sold, the counterparty credit ratings, and the domicile of the counterparty or the domicile of the

counterparty's parent for U.S. branches and agency offices of foreign commercial banks in the U.S. (in thousands):

**Table 4.7 Federal Funds Sold by Domicile of the Counterparty** <sup>(a</sup><sup>)</sup>

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **December 31, 2025** | **December 31, 2025** | **December 31, 2024** | **December 31, 2024** | **Year ended December 31, 2025** | **Year ended December 31, 2025** | **Year ended December 31, 2024** | **Year ended December 31, 2024** |
| <br>**Foreign** <br>**Counterparties**<br>| **S&P Rating** | **Moody's** <br>**Rating**<br>| **S&P Rating** | **Moody's** <br>**Rating**<br>| **Daily Average** <br>**Balance**<br>| **Balance at** <br>**period end**<br>| **Daily Average** <br>**Balance**<br>| **Balance at** <br>**period end**<br>|
| Australia | AA- | AA2 | AA- | AA2 | $2396849 | $2100000 | $2328743 | $2435000 |
| Austria | A+ | A1 | A+ | A1 | 1025206 |  | 1323975 |  |
| Canada | A+ to AA- | A2 to AA2 | A+ to AA- | A2 to AA2 | 4356241 | 6765000 | 5631434 | 3685000 |
| Finland | AA- | AA3 | AA- | AA3 | 1236699 | 615000 | 1594932 | 745000 |
| France | A to A+ | A1 | A to A+ | A1 | 1956767 | 1290000 | 2054593 | 1645000 |
| Germany | A | A1 | A | A1 | 88041 | 130000 | 20902 | 155000 |
| Netherlands | A+ | AA2 | A+ | AA2 | 1010871 | 650000 | 1022869 | 750000 |
| Norway | AA- | AA2 | AA- | AA2 | 1441137 |  | 1141612 |  |
| Sweden | A+ to AA- | AA3 to AA2 | A+ to AA- | AA3 to AA2 | 2421219 |  | 2432787 |  |
| UK | A+ | A1 | A+ | A1 | 512548 |  | 1267842 |  |
| Subtotal |  |  |  |  | 16445578 | 11550000 | 18819689 | 9415000 |
| USA | BBB+ to AA- | BAA1 to AA1 | BBB+ to AA- | BAA1 to AA1 | 730414 |  | 618579 |  |
| Total |  |  |  |  | $17175992 | $11550000 | $19438268 | $9415000 |

---

*(a)Average investment in federal funds sold has typically been greater than the period-end balance as counterparties have less* 

*demand at year-end than during the year.*

The following table summarizes par value, amortized cost and the carrying value (fair value) of the trading portfolio (in thousands):

**Table 4.8 Trading Securities**

---

| | | |
|:---|:---|:---|
|  | **Trading Securities** | **Trading Securities** |
|  | **December 31, 2025** | **December 31, 2024** |
| Par value | $7550925 | $7620925 |
| Amortized cost | $7483249 | $7475474 |
| Carrying/Fair value | $7387187 | $7237940 |

---

The Finance Agency prohibits speculative investments but allows permitted securities to be deemed held for liquidity if invested in a

trading portfolio. We may dispose of such investments if we do not need them for liquidity purposes and market conditions deem the

sale as advantageous. For more information about fair values of securities in the trading portfolio, see <u>[Note 5](#i4dc808c95aa84c6db55b95657882041f_1035)</u>. Trading Securities in the

Notes to the Financial Statements.

The following table summarizes economic hedges of fixed-rate trading securities held for liquidity (in thousands):

**Table 4.9 Economic Hedges of Fixed-rate Liquidity Trading Securities**

---

| | | |
|:---|:---|:---|
|  | **Economic Hedges of Fixed-Rate**  | **Economic Hedges of Fixed-Rate**  |
|  | **Trading Securities** | **Trading Securities** |
|  | **December 31, 2025** | **December 31, 2024** |
| Par/Face amounts of portfolio of U.S. Treasury fixed-rate securities <sup>(a)</sup> | $7550925 | $7620925 |
| Par amounts of interest rate swaps | $7523057 | $7577594 |

---

*(a)Balances represent outstanding amounts of U.S. Treasury securities.*

**Mortgage Loans Held-for-Portfolio, Net**

Mortgage loans are carried in the Statements of Condition at amortized cost, less allowance for credit losses. The outstanding unpaid

principal balance was $2.6 billion at December 31, 2025, an increase of $288.9 million (net of acquisitions and paydowns) from the

balance at December 31, 2024. Mortgage loan balances increased due to an increase in acquisitions. During 2025, the Bank purchased

$513.8 million of mortgage loans from members and paydowns were $210.1 million. Mortgage loans were investments in MPF and

MAP. Serious delinquencies at December 31, 2025 were lower than December 31, 2024. Allowance for credit losses was $3.7 million

at December 31, 2025 and $3.1 million at December 31, 2024.

*Mortgage Asset Program —* The MAP program is a residential housing finance program in which the FHLBNY funds or purchases

loans originated by members or affiliates. The FHLBNY offers the MAP as a secondary market outlet for its Participating Financial

Institution members to fund mortgages and be competitive in offering fixed-rate mortgage loan products.

*Mortgage Partnership Finance Program —* We invested in mortgage loans through the MPF Program, which is a secondary mortgage

market structure under which eligible mortgage loans are purchased or funded from or through members who are Participating

Financial Institution (PFI). We may also acquire MPF loans through participations with other FHLBanks. MPF loans are conforming,

conventional, and government insured i.e., insured or guaranteed by the FHA, the Department of Veterans Affairs (VA) or the Rural

Housing Service of the Department of Agriculture (RHS), fixed-rate mortgage loans secured primarily by single-family residential

properties with maturities ranging from five to 30 years or participations in such mortgage loans. The FHLBank of Chicago (MPF

Provider) developed the MPF Program in order to help fulfill the housing mission and to provide an additional source of liquidity to

FHLBank members that choose to sell mortgage loans into the secondary market rather than holding them in their own portfolios.

Finance Agency regulations define the acquisition of Acquired Member Assets (AMA) as a core mission activity of the FHLBanks. In

order for MPF loans to meet the AMA requirements, the purchase and funding are structured so that the credit risk associated with

MPF loans is shared with PFIs.

*Mortgage loans — Conventional and Insured Loans —* The following table classifies mortgage loans between conventional loans and

loans insured by FHA/VA (in thousands):

**Table 5.1 Mortgage Loans by Conventional and Insured Loans**

---

| | | |
|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2024** |
| Federal Housing Administration and Veteran Administration insured loans | $110327 | $117689 |
| Conventional loans | 2537813 | 2230760 |
| Allowance for credit losses on mortgage loans | (3691) | (3054) |
| **Total mortgage loans held-for-portfolio, net** | $2644449 | $2345395 |

---

Loan and PFI Concentration — Loan concentration was in New York State, which is to be expected since many of the largest PFIs are

located in New York. An overall decline in the economy, residential real estate market, or an occurrence of a natural disaster could

adversely affect the value of the mortgage loans in a concentrated region. The tables below summarize concentrations — Geographic

and PFI.

**Table 5.2 Geographic Concentration of Mortgage Loans**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2024** | **December 31, 2024** |
|  | **Number of loans %** | **Amounts outstanding %** | **Number of loans %** | **Amounts outstanding %** |
| New York State | 69.2% | 62.3% | 71.2% | 64.5% |
| New Jersey State | 20.3% | 25.4% | 18.8% | 23.7% |

---

**Table 5.3 Top Five Participating Financial Institutions — Concentration (par value, dollars in thousands):**

---

| | | |
|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** |
|  | **Mortgage** <br>**Loans**<br>| **Percent of Total** <br>**Mortgage Loans**<br>|
| OceanFirst Bank | $276575 | 10.64% |
| The Lyons National Bank | 205238 | 7.90 |
| Teachers Federal Credit Union | 160259 | 6.17 |
| Manasquan Bank | 125701 | 4.84 |
| FourLeaf Federal Credit Union<sup>(a)</sup> | 119448 | 4.60 |
| All Others | 1711936 | 65.85 |
| Total <sup>(b)</sup> | $2599157 | 100.00% |

---

---

| | | |
|:---|:---|:---|
|  | **December 31, 2024** | **December 31, 2024** |
|  | **Mortgage** <br>**Loans**<br>| **Percent of Total** <br>**Mortgage Loans**<br>|
| Bethpage Federal Credit Union | $190533 | 8.25% |
| Teachers Federal Credit Union | 157597 | 6.82 |
| OceanFirst Bank | 135235 | 5.85 |
| The Lyons National Bank | 128751 | 5.57 |
| Flagstar Bank, N.A. | 127288 | 5.51 |
| All Others | 1570830 | 68.00 |
| Total<sup>(b)</sup> | $2310234 | 100.00% |

---

*(a)Effective March 3, 2025, Bethpage Federal Credit Union was renamed to FourLeaf Federal Credit Union.*

*(b)Includes MPF unpaid principal balances of $1.4 billion as of December 31, 2025 and $1.6 billion as of December 31, 2024 and* 

*MAP unpaid principal balances of $1.2 billion as of December 31, 2025 and $0.7 billion as of December 31, 2024.*

**Debt Financing Activity and Consolidated Obligations**

Our primary source of funds continues to be the issuance of Consolidated obligation bonds and discount notes. In aggregate, carrying

balances of CO bonds and CO discount notes were $144.5 billion and $148.4 billion at December 31, 2025 and December 31, 2024,

respectively.

**CO bonds and CO discount notes** *—* The carrying value of Consolidated obligation bonds was $68.5 billion (par, $68.4 billion) at

December 31, 2025, compared to $80.6 billion (par, $81.1 billion) at December 31, 2024. The carrying value of Consolidated

obligation discount notes outstanding was $76.0 billion at December 31, 2025 and $67.9 billion at December 31, 2024.

***Interest rate hedging*** *—* Significant amounts of CO bonds have been designated under an ASC 815 fair value accounting hedge. From

time to time, certain CO bonds were hedged by interest rate swaps in economic hedges; additionally, we have also hedged the

anticipatory issuance of fixed-rate CO bonds in a cash flow hedge under ASC 815. Certain CO bonds were elected under the FVO. As

a result of hedging elections under ASC 815 and the elections under the FVO, carrying values of CO bonds included valuation basis

adjustments. For more information about valuation basis adjustments on CO bonds, see <u>[Table 6.1](#ic18fee839f564804acaa29b9d6807a27_9976)</u> CO Bonds by Type.

From time to time, we hedge CO discount notes under ASC 815 fair value accounting; additionally, certain discount notes are also

hedged under ASC 815 cash flow accounting hedge. Certain discount notes were elected under the FVO. As a result of accounting

elections, carrying values of discount notes may include valuation basis adjustments. For more information about valuation basis

adjustments on discount notes, see <u>[Table 6.7](#ic18fee839f564804acaa29b9d6807a27_9978)</u> Discount Notes Outstanding. Also, see financial statements, <u>[Note 17](#i6c3430ab7878424294d082eb431c8f84_11139)</u>. Derivatives and

Hedging Activities.

***Debt Ratings*** *—* A FHLBank's ability to access the capital markets to issue debt, as well as our cost of funds, is dependent on credit

ratings from Nationally Recognized Statistical Rating Organizations. Consolidated obligations of FHLBanks are rated Aa1/P-1 by

Moody's, and AA+/A-1+ by S&P. Any rating actions on the U.S. Government would likely result in all individual FHLBanks' long-

term deposit ratings and the FHLBank System long-term bond rating moving in lockstep with any U.S. sovereign rating action.

***Joint and Several Liability*** *—* Although we are primarily liable for our portion of Consolidated obligations (i.e. those issued on our

behalf), we are also jointly and severally liable with the other FHLBanks for the payment of principal and interest on the Consolidated

obligations of all the FHLBanks. For more information, see financial statements, [Note 19](#i1fd785705c0e47de899f16d33e3eb10f_5786). Commitments and Contingencies.

**SOFR CO Bonds** — The FHLBNY is an active participant in the issuance of SOFR-linked CO bonds. Outstanding balances were

$29.2 billion at December 31, 2025 and $32.2 billion at December 31, 2024.

**Consolidated obligation bonds**

The following table summarizes types of Consolidated obligation bonds (CO Bonds) issued and outstanding (dollars in thousands):

**Table 6.1 CO Bonds by Type**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2024** | **December 31, 2024** |
|  | **Amount** | **Percentage** <br>**of Total**<br>| **Amount** | **Percentage** <br>**of Total**<br>|
| Fixed-rate, non-callable | $22142355 | 32.37% | $24815835 | 30.61% |
| Fixed-rate, callable | 15927800 | 23.28 | 21611130 | 26.66 |
| Step Up, callable | 1132000 | 1.65 | 2357000 | 2.91 |
| Step Down, callable | 52000 | 0.08 | 52000 | 0.06 |
| Floating rate, callable | 25000 | 0.04 | 25000 | 0.03 |
| Single-index floating rate | 29129500 | 42.58 | 32209000 | 39.73 |
| Total par value | 68408655 | 100.00% | 81069965 | 100.00% |
| Bond premiums | 42461 |  | 61455 |  |
| Bond discounts | (18008) |  | (21289) |  |
| Hedge valuation basis adjustments <sup>(a)</sup> | (51438) |  | (605481) |  |
| Hedge basis adjustments on de-designated hedges <sup>(b)</sup> | 92610 |  | 100019 |  |
| FVO <sup>(c)</sup> - valuation adjustments and accrued interest | (7539) |  | (52535) |  |
| **Total Consolidated obligation bonds** | $68466741 |  | $80552135 |  |

---

***Fair value basis and valuation adjustments*** — Key determinants are factors such as run-offs and new transactions designated under

an ASC 815 hedge or elected under the FVO, the forward swap curve, the volatility of the swap rates, the remaining duration to

maturity, and for CO bonds elected under the FVO, the changes in the spread between the swap rate and the Consolidated obligation

debt yields, and changes in interest payable, which is a component of the entire fair value of FVO bonds.

*(a)Hedging valuation basis adjustments — The reported carrying values of hedged CO bonds are adjusted for changes in their fair* 

*values (fair value basis adjustments or fair value) that are attributable to changes in the benchmark risk being hedged. Our* 

*primary benchmarks are SOFR-OIS and Federal Funds-OIS. In the hedging relationships, a benchmark is elected on an* 

*instrument-by-instrument basis and becomes the discounting basis under ASC 815 for computing changes in fair values for* 

*hedged CO bonds. <u>[Table 6.2](#ic18fee839f564804acaa29b9d6807a27_9977)</u> CO Bonds Hedged under Qualifying Fair Value Hedges discloses notional amounts of CO bonds* 

*hedged. The application of ASC 815 accounting methodology resulted in the recognition of net cumulative hedge valuation basis* 

gains *of $0.1 billion at December 31, 2025 and $0.6 billion at December 31, 2024. Generally, hedge valuation basis gains and* 

*losses are unrealized and are expected to reverse to zero if the CO bonds are held to maturity or are called on the early option* 

*exercise dates.*

*(b)Valuation basis of terminated hedges — Represents unamortized cumulative valuation basis of certain CO bonds that were no* 

*longer in fair value hedge relationships. When hedging relationships for the debt were de-designated, the net unrealized* 

*cumulative losses at the hedge termination dates were no longer adjusted for changes in the benchmark rate. Instead, the* 

*valuation basis is being amortized on a level yield method, and the net amortization is recorded as a reduction of Interest* 

*expense. If the CO bonds are held to maturity, the basis losses will be fully amortized through interest expense.*

*(c)FVO valuation adjustments* — *Valuation basis adjustments and accrued interest payable are recorded to recognize changes in* 

*the entire fair value (the full fair value) of CO bonds elected under the FVO. Table 6.3 CO Bonds Elected under the Fair Value* 

*Option (FVO) discloses par amounts of CO bonds elected under the FVO.*

*We have elected the FVO on an instrument-by-instrument basis. For CO bonds elected under the FVO, it was not necessary to* 

*estimate changes attributable to instrument-specific credit risk, as we consider the credit worthiness of the FHLBanks to be* 

*secure and credit related adjustments unnecessary. More information about debt elected under the FVO is provided in financial* 

*statements,<u>[Note 18](#if286cb63988f47f99e44155f9e480529_25007)</u>. Fair Values of Financial Instruments (See Fair Value Option Disclosures).*

***Hedge volume* —** [Tables 6.2](#ic18fee839f564804acaa29b9d6807a27_9977) – [6.4](#ic18fee839f564804acaa29b9d6807a27_9975) provide information with respect to par amounts of CO bonds based on accounting designation:

(1) under hedge qualifying rules; (2) under the FVO; and (3) as an economic hedge.

*Qualifying hedges* **—** Generally, fixed-rate (bullet and callable) medium and long-term Consolidated obligation bonds are hedged in a

Fair value ASC 815 qualifying hedge.

The following table provides information on CO bonds in an ASC 815 qualifying hedge relationship (in thousands):

**Table 6.2 CO Bonds Hedged under Qualifying Fair Value Hedges**

---

| | | |
|:---|:---|:---|
|  | **Consolidated Obligation Bonds** | **Consolidated Obligation Bonds** |
| **Par Amount** | **December 31, 2025** | **December 31, 2024** |
| Qualifying hedges |  |  |
| Fixed-rate bullet bonds | $14739580 | $15580510 |
| Fixed-rate callable bonds | 15509800 | 23483130 |
|  | $30249380 | $39063640 |

---

*CO bonds elected under the FVO* **—** If at inception of a hedge we do not believe that a hedge would be highly effective in offsetting

fair value changes between the derivative and the debt (hedged item), we may designate the debt under the FVO. We would record fair

value changes of the FVO debt through earnings, and to the extent the debt is economically hedged, record changes in the fair values

of the interest rate swap through earnings. The recorded balance sheet value of debt under the FVO would include the fair value basis

adjustments, so that the debt's balance sheet carrying values would be its full fair value.

The following table provides information on CO bonds elected under the fair value option (in thousands):

**Table 6.3 CO Bonds Elected under the Fair Value Option (FVO)**

---

| | | |
|:---|:---|:---|
|  | **Consolidated Obligation Bonds** | **Consolidated Obligation Bonds** |
| **Par Amount** | **December 31, 2025** | **December 31, 2024** |
| Bonds designated under FVO | $564405 | $1756650 |

---

CO bonds elected under the FVO were generally in economic hedges by the execution of interest rate swaps that converted the fixed-

rate CO bonds to a variable-rate instrument. We elected to account for the CO bonds under the FVO when we were generally unable to

assert with confidence that the short- and intermediate-term bonds, or callable bonds, with short lock-out periods to the exercise of call

options, would remain effective hedges as required under hedge accounting rules. We may also elect the FVO to achieve asset liability

objectives. Designation of CO bonds under the FVO is an asset-liability management decision. For more information, see financial

statements, Fair Value Option Disclosures in <u>[Note 18](#if286cb63988f47f99e44155f9e480529_25007)</u>. Fair Values of Financial Instruments.

*Economic hedges of CO bonds* **—** From time to time, we issue floating-rate debt indexed to a benchmark rate (Federal Funds-OIS or

SOFR-OIS) and may then execute interest rate swaps that would synthetically convert the cash flows to the desired floating-rate

funding indexed to another benchmark to meet our asset/liability funding strategies. The carrying value of the debt would not include

fair value basis since the debt is recorded at amortized cost.

The following table provides information on CO bonds in an economic hedge relationship (in thousands):

**Table 6.4 Economic Hedges of CO Bonds (data in table excludes CO bonds elected under the FVO)**

---

| | | |
|:---|:---|:---|
|  | **Consolidated Obligation Bonds** | **Consolidated Obligation Bonds** |
| **Par Amount** | **December 31, 2025** | **December 31, 2024** |
| Bonds designated as economically hedged <sup>(a)</sup> |  |  |
| Fixed-rate bonds <sup>(b)</sup> | $200000 | $335000 |

---

*(a)At December 31, 2025 and December 31, 2024, there were no basis swaps outstanding.*

*(b)Fixed-rate debt — CO Bonds that were previously hedged and have fallen out of effectiveness.*

**CO Bonds — Maturity or Next Call Date**

Callable bonds contain an exercise date or a series of exercise dates that may result in a shorter redemption period. The following table

summarizes par amounts of Consolidated bonds outstanding by years to maturity or next call date (dollars in thousands):

**Table 6.5 CO Bonds — Maturity or Next Call Date**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2024** | **December 31, 2024** |
|  | **Amount** | **Percentage of** <br>**Total**<br>| **Amount** | **Percentage of** <br>**Total**<br>|
| **Year of maturity or next call date** <sup>(a)</sup> |  |  |  |  |
| Due or callable in one year or less | $49083920 | 71.75% | $53491890 | 65.98% |
| Due or callable after one year through two years | 12350470 | 18.05 | 16630140 | 20.51 |
| Due or callable after two years through three years | 3870565 | 5.66 | 4866470 | 6.00 |
| Due or callable after three years through four years | 1115850 | 1.63 | 3113065 | 3.84 |
| Due or callable after four years through five years | 292450 | 0.43 | 1099550 | 1.36 |
| Thereafter | 1695400 | 2.48 | 1868850 | 2.31 |
| Total par value | $68408655 | 100.00% | $81069965 | 100.00% |

---

*(a)Contrasting Consolidated obligation bonds by contractual maturity dates (see financial statements,<u>[Note 12](#i388dd8c8bd2442b6a11b88733c31ac48_4449)</u>. Consolidated* 

*Obligations — Redemption Terms of Consolidated Obligation Bonds) with potential call dates (as reported in table above)* 

*illustrates the impact of hedging on the effective duration of the bond. With a callable bond, we have purchased the option to* 

*terminate debt at agreed upon dates from investors. The call options are exercisable as either a one-time option or quarterly. Our* 

*current practice is to exercise our option to call a bond when the swap counterparty exercises its option to call the cancellable* 

*swap hedging the callable bond. Thus, issuance of a callable bond with an associated callable swap significantly alters the* 

*contractual maturity characteristics of the original bond and introduces the possibility of an exercise call date that is significantly* 

*shorter than the contractual maturity.*

The following table summarizes callable bonds versus non-callable CO bonds outstanding (par amounts, in thousands):

**Table 6.6 Outstanding Callable CO Bonds versus Non-callable CO bonds**

---

| | | |
|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2024** |
| Callable | $17136800 | $24045130 |
| Non-Callable | $51271855 | $57024835 |

---

**CO Discount Notes**

The following table summarizes discount notes issued and outstanding (dollars in thousands):

**Table 6.7 Discount Notes Outstanding**

---

| | | |
|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2024** |
| Par value | $76476004 | $68467860 |
| Amortized cost | $76011550 | $67856014 |
| Hedge value basis adjustments <sup>(a)</sup> | (7377) | 2987 |
| Hedge basis adjustments on de-designated hedges <sup>(b)</sup> | (107) | (62) |
| FVO <sup>(c)</sup> - valuation adjustments and remaining accretion | 15451 |  |
| **Total Consolidated obligation discount notes** | $76019517 | $67858939 |
| **Weighted average interest rate** | 3.76% | 4.45% |

---

*(a)Hedge value basis adjustments — The reported carrying values of hedged CO discount notes are adjusted for changes in their* 

*fair values (fair value basis adjustments or fair value) that are attributable to changes in the benchmark risk being hedged. In the* 

*hedging relationships, a specific benchmark is elected on an instrument-by-instrument basis and becomes the discounting basis* 

*under ASC 815 for computing changes in fair values for the hedged CO discount notes. Notional amounts of $69.8 billion and* 

*$56.3 billion were hedged under ASC 815 qualifying fair value hedges at December 31, 2025 and December 31, 2024,* 

*respectively. The application of ASC 815 accounting methodology resulted in immaterial amounts of net cumulative hedge* 

*valuation adjustments as noted in the table above. Generally, hedge valuation basis gains and losses are unrealized and are* 

*expected to reverse to zero if the CO discount notes are held to maturity.*

*(b)Hedge basis adjustments on de-designated hedges — Represents the unamortized balances of valuation basis of CO discount* 

*notes that were previously in a fair value hedging relationship. Generally, when a hedging relationship is de-designated, the* 

*valuation basis is no longer adjusted for changes in the valuation of the debt for changes in the benchmark rate; instead, the basis* 

*is amortized over the debt's remaining life, so that at maturity of the debt the unamortized basis is reversed to zero.*

*(c)FVO valuation adjustments — Valuation basis adjustments are recorded to recognize changes in the entire or full fair values* 

*including unaccreted discounts on CO discount notes elected under the FVO. Changes in benchmark interest rates, notional* 

*amounts of CO discount notes elected under FVO and remaining terms to maturity are factors that impact hedge valuation* 

*adjustments. No CO discount notes were elected under the FVO at December 31, 2024.*

The following table summarizes Fair Value hedges of discount notes (in thousands):

**Table 6.8 Fair Value Hedges of Discount Notes**

---

| | | |
|:---|:---|:---|
|  | **Consolidated Obligation Discount Notes** | **Consolidated Obligation Discount Notes** |
| **Principal Amount** | **December 31, 2025** | **December 31, 2024** |
| Discount notes hedged under qualifying hedge | $69840769 | $56322043 |

---

The following table summarizes economic hedges of discount notes (in thousands):

**Table 6.9 Economic Hedges of Discount Notes**

---

| | | |
|:---|:---|:---|
|  | **Consolidated Obligation Discount Notes** | **Consolidated Obligation Discount Notes** |
| **Par Amount** | **December 31, 2025** | **December 31, 2024** |
| Discount notes designated as economic hedges <sup>(a)</sup> | $1581960 | $1175790 |

---

*(a)Represents CO discount notes that were previously hedged and have fallen out of effectiveness.*

The following table summarizes discount notes elected and outstanding under the FVO (in thousands):

**Table 6.10 Discount Notes under the Fair Value Option (FVO)**

---

| | |
|:---|:---|
|  | **Consolidated Obligation Discount Notes** |
| Par Amount | **December 31, 2025** |
| Discount notes designated under FVO | $562507 |

---

*No CO discount notes were elected under the FVO at December 31, 2024.*

CO discount notes elected under the FVO were generally in economic hedges with the execution of interest rate swaps that converted

the fixed-rate notes to variable-rate instruments. We elected to account for the CO discount notes under the FVO when we were

generally unable to assert with confidence that the CO discount notes would remain effective hedges as required under hedge

accounting rules. Management may also elect the FVO of certain other CO discount notes to achieve asset liability objectives. See Fair

Value Option Disclosures in <u>[Note 18](#if286cb63988f47f99e44155f9e480529_25007)</u>. Fair Values of Financial Instruments.

The following table summarizes Cash flow hedges of discount notes (in thousands):

**Table 6.11 Cash Flow Hedges of Discount Notes**

---

| | | |
|:---|:---|:---|
|  | **Consolidated Obligation Discount Notes** | **Consolidated Obligation Discount Notes** |
| **Principal Amount** | **December 31, 2025** | **December 31, 2024** |
| Discount notes hedged under qualifying hedge <sup>(a)</sup> | $1367000 | $1518000 |

---

*(a)Amounts represent discounts notes issued in cash flow "rollover" hedge strategies that hedged the variability of 91-day discount* 

*notes issued in sequence. The maximum length of time over which we are hedging this exposure is 7 years. In this strategy, the* 

*discount note expense, which resets every 91 days, is synthetically converted to fixed cash flows over the hedge periods, thereby* 

*achieving hedge objectives. For more information, see financial statements, Cash flow hedge gains and losses in <u>[Note 17](#i6c3430ab7878424294d082eb431c8f84_11139)</u>.* 

*Derivatives and Hedging Activities.*

**Recent Rating Actions**

Table 6.12 below presents FHLBank's long-term credit rating, short-term credit rating and outlook at February 28, 2026.

**Table 6.12 FHLBNY Ratings**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| |  | **S&P** | **S&P** |  | **Moody's** | **Moody's** |
| |  | **Long-Term/ Short-Term** | **Long-Term/ Short-Term** |  | **Long-Term/ Short-Term** | **Long-Term/ Short-Term** |
| <br>**Year** |  | **Rating** | **Outlook** |  | **Rating** | **Outlook** |
| 2025 | February 28, 2026 | AA+/A-1+ | Stable/Affirmed | February 28, 2026 | Aa1/P-1 | Stable/Affirmed |
| 2024 | February 28, 2025 | AA+/A-1+ | Stable/Affirmed | February 28, 2025 | AAA/P-1 | Negative/Affirmed |
| 2023 | February 29, 2024 | AA+/A-1+ | Stable/Affirmed | February 29, 2024 | AAA/P-1 | Negative/Affirmed |

---

**Accrued interest payable**

*Accrued interest payable* **—** Amounts outstanding were $470.3 million at December 31, 2025 and $604.3 million at December 31,

2024. Accrued interest payable was comprised primarily of interest due and unpaid on CO bonds, which are generally payable on a

semi-annual basis. Fluctuations in unpaid interest balances on bonds are due to the timing of semi-annual coupon accruals and

payments at the balance sheet dates.

**Other Liabilities**

*Other liabilities* — Amounts outstanding were $167.6 million at December 31, 2025 and $133.5 million at December 31, 2024. Other

liabilities comprised of unfunded pension liabilities, Federal Reserve pass-through reserves held on behalf of members, and

miscellaneous payables.

**Stockholders' Capital**

The following table summarizes the components of Stockholders' capital (in thousands):

**Table 7.1 Stockholders' Capital**

---

| | | |
|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2024** |
| Capital Stock <sup>(a)</sup> | $5411075 | $6014414 |
| Unrestricted retained earnings <sup>(b)</sup> | 1286417 | 1286317 |
| Restricted retained earnings <sup>(c)</sup> | 1328728 | 1208776 |
| Total accumulated other comprehensive income (loss) | (11117) | (99978) |
| Total Capital | $8015103 | $8409529 |

---

*(a)Stockholders' Capital — Capital stock decreased in line with the decrease in advances borrowed. When an advance matures or is* 

*prepaid, the excess capital stock is repurchased by the FHLBNY. When an advance is borrowed or a member joins the FHLBNY's* 

*membership, the member is required to purchase capital stock.*

*(b)Unrestricted retained earnings* **—** *Net income is added to this balance. Dividends are paid out of this balance. Funds are* 

*transferred to Restricted retained earnings balances as mandated by the FHLBank Joint Capital Enhancement Agreement* 

*(Capital Agreement).*

*(c)Restricted retained earnings — Restricted retained earnings balance at December 31, 2025 has grown to $1.3 billion from the* 

*time the provisions were implemented in 2011 when the FHLBanks, including the FHLBNY, agreed to set up a restricted retained* 

*earnings account. The FHLBNY will allocate at least 20% of its net income to the FHLBNY's Restricted retained earnings* 

*account until the balance of the account equals at least 1% of FHLBNY's average balance of outstanding Consolidated* 

*obligations for the current calendar quarter. By way of reference, the Restricted retained earnings target calculated at* 

*December 31, 2025 was $1.4 billion based on the FHLBNY's average consolidated obligations outstanding during the current* 

*calendar quarter, as compared to actual Restricted retained earnings of $1.3 billion at December 31, 2025. Also see Note 14.* 

*Capital Stock, Mandatorily Redeemable Capital Stock and Restricted Retained Earnings.*

The following table summarizes the components of AOCI (in thousands):

**Table 7.2 Accumulated Other Comprehensive Income (Loss) (AOCI)**

---

| | | |
|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2024** |
| **Accumulated other comprehensive income (loss)** |  |  |
| Non-credit portion on held-to-maturity securities, net <sup>(a)</sup> | $— | $(569) |
| Net market value unrealized gains (losses) on available-for-sale securities <sup>(b)</sup> | (395395) | (800336) |
| Net Fair value hedging gains (losses) on available-for-sale securities <sup>(b)</sup> | 363915 | 634699 |
| Net Cash flow hedging gains (losses) <sup>(c)</sup> | 29734 | 68579 |
| Employee supplemental retirement plans <sup>(d)</sup> | (9371) | (2351) |
| Total Accumulated other comprehensive income (loss) | $(11117) | $(99978) |

---

*(a)Represents cumulative unamortized non-credit losses. Balances in AOCI have declined due to accretion recorded as a reduction* 

*in AOCI and a corresponding increase in the balance sheet carrying values of the impaired securities.*

*(b)Net market value unrealized losses of $395.4 million at December 31, 2025 and net unrealized losses of $800.3 million at* 

*December 31, 2024, represented third-party pricing vendors' market-based unrealized gains/losses of securities designated as* 

*AFS. Net unrealized* gains *of $363.9 million and $634.7 million included immaterial balances of unamortized basis as a result of* 

*de-designation hedges at December 31, 2025 and December 31, 2024, represented changes in the benchmark rate (the risk being* 

*hedged) calculated by the Bank's internal models for AFS designated in ASC 815 hedging relationships. Hedging gains and* 

*losses are recorded through earnings with an offset to the carrying values of hedged AFS securities. Hedging basis will reverse to* 

*zero as hedges mature.*

*(c)Cash flow hedging gains (losses) recorded in AOCI were primarily the result of cash flow hedges of sequential issuance of* 

*discount notes; also included immaterial valuation basis of cash flow hedges of anticipatory issuance of CO bonds. See Table 7.3* 

*AOCI Roll forward due to ASC 815 Hedging Programs.*

*(d)Employee supplemental plans — Balances represent actuarially determined supplemental pension and postretirement health* 

*benefit liabilities that were not recognized through earnings.*

The following table presents amounts recognized in and reclassified out of AOCI due to cash flow and fair value hedges (in

thousands):

**Table 7.3 AOCI Roll forward due to ASC 815 Hedging Programs**

---

| | | | |
|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** |
|  | **Cash Flow Hedges** | **Cash Flow Hedges** | **Fair Value Hedges** |
|  | **Rollover Hedge** <br>**Program**<br>| **Anticipatory Hedge** <br>**Program**<br>| **AFS Securities** |
| **Beginning balance** | $68440 | $139 | $634699 |
| Changes in fair values <sup>(a)</sup> | (40765) |  | (270784) |
| Amount reclassified |  | 103 |  |
| Fair Value - closed contract |  | 1817 |  |
| **Ending balance** | $27675 | $2059 | $363915 |
| **Notional amount of swaps outstanding** | $1367000 | $— | $7985000 |

---

---

| | | | |
|:---|:---|:---|:---|
|  | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
|  | **Cash Flow Hedges** | **Cash Flow Hedges** | **Fair Value Hedges** |
|  | **Rollover Hedge** <br>**Program**<br>| **Anticipatory Hedge** <br>**Program**<br>| **AFS Securities** |
| **Beginning balance** | $76473 | $(1272) | $505344 |
| Changes in fair values <sup>(a)</sup> | (8033) |  | 129355 |
| Amount reclassified |  | 1170 |  |
| Fair Value - closed contract |  | 241 |  |
| **Ending balance** | $68440 | $139 | $634699 |
| **Notional amount of swaps outstanding** | $1518000 | $— | $6980000 |

---

---

| | | | |
|:---|:---|:---|:---|
|  | **December 31, 2023** | **December 31, 2023** | **December 31, 2023** |
|  | **Cash Flow Hedges** | **Cash Flow Hedges** | **Fair Value Hedges** |
|  | **Rollover Hedge** <br>**Program**<br>| **Anticipatory Hedge** <br>**Program**<br>| **AFS Securities** |
| **Beginning balance** | $103468 | $(1268) | $575104 |
| Changes in fair values <sup>(a)</sup> | (26995) | 805 | (69760) |
| Amount reclassified |  | 1248 |  |
| Fair Value - closed contract |  | (2057) |  |
| **Ending balance** | $76473 | $(1272) | $505344 |
| **Notional amount of swaps outstanding** | $1608000 | $— | $6040000 |

---

*(a)Represents fair value changes of open swap contracts in cash flow hedges. For more information, see Financial Statements,* 

*[Note](#i6c3430ab7878424294d082eb431c8f84_11139)<u>[17](#i6c3430ab7878424294d082eb431c8f84_11139)</u>. Derivatives and Hedging Activities.*

**Dividends** — By Finance Agency regulation, dividends may be paid out of current earnings or if certain conditions are met, may be

paid out of previous retained earnings. We may be restricted from paying dividends if we do not comply with any of the Finance

Agency's minimum capital requirements or if payment would cause us to fail to meet any of the minimum capital requirements,

including our Retained earnings target as established by the Board of Directors of the FHLBNY. In addition, we may not pay

dividends if any principal or interest due on any Consolidated obligations has not been paid in full, or if we fail to satisfy certain

liquidity requirements under applicable Finance Agency regulations. None of these restrictions applied for any period presented.

The following table summarizes dividends paid and payout ratios:

**Table 7.4 Dividends Paid and Payout Ratios**

---

| | | |
|:---|:---|:---|
|  | **Twelve months ended** | **Twelve months ended** |
|  | **December 31,** <br>**2025**<br>| **December 31,** <br>**2024**<br>|
| Cash dividends paid per share | $7.99 | $9.50 |
| Dividends paid <sup>(a)(c)</sup> | $479706 | $581047 |
| Pay-out ratio <sup>(b)</sup> | 79.98% | 78.68% |

---

*(a)In thousands.*

*(b)Dividend paid during the period divided by net income for the period.*

*(c)Does not include dividends paid to non-members; for accounting purposes, such dividends are recorded as interest expense.*

**Derivative Instruments and Hedging Activities**

Interest rate swaps, swaptions, cap and floor agreements (collectively, derivatives) enable us to manage our exposure to changes in

interest rates by adjusting the effective maturity, repricing frequency, or option characteristics of financial instruments. To a limited

extent, we also use interest rate swaps to hedge changes in interest rates prior to debt issuance and essentially lock in funding costs.

Finance Agency regulations prohibit the speculative use of derivatives. For additional information about the methodologies adopted

for the fair value measurement of derivatives, see financial statements, [Note 18](#if286cb63988f47f99e44155f9e480529_25007). Fair Values of Financial Instruments.

The following tables summarize the principal derivatives hedging strategies outstanding as of December 31, 2025 and December 31,

2024:

**Table 8.1 Derivative Hedging Strategies — Advances**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  |  |  | **December 31, 2025** | **December 31, 2024** |
| **Hedged Item / Hedging Instrument** | **Hedging Objective** | **Hedge** <br>**Designation**<br>| **Notional Amount** <br>**(in millions)**<br>| **Notional Amount** <br>**(in millions)**<br>|
| Pay-fixed, receive float interest rate swap <br>(without options)<br>| Converts the advance's fixed rate to a variable-rate index. | Fair Value | $57231 | $50683 |
|  |  | Economic | $466 | $3213 |
| Pay-fixed, receive float interest rate swap (with <br>options)<br>| Converts the advance's fixed rate to a variable-rate index and <br>offsets option risk in the advance.<br>| Fair Value | $1532 | $1578 |
| Pay-fixed with embedded features, receive-<br>float interest-rate swap (non-callable)<br>| Reduces interest-rate sensitivity and repricing gaps by <br>converting the advance's fixed rate to a variable-rate index and/<br>or offsets embedded option risk in the advance.<br>| Fair Value | $80 | $— |

---

**Table 8.2 Derivative Hedging Strategies — Investments**

---

| | | | | |
|:---|:---|:---|:---|:---|
| <br>**Hedged Item / Hedging Instrument** | <br>**Hedging Objective** | <br>**Hedge** <br>**Designation**<br>| **December 31, 2025**<br>**Notional Amount** <br>**(in millions)**<br>| **December 31, 2024**<br>**Notional Amount** <br>**(in millions)**<br>|
| Pay-fixed, receive float interest-rate swap | Converts the investment's fixed rate to a variable-rate index. | Fair Value | $7985 | $6980 |
|  |  | Economic | $7533 | $7578 |

---

**Table 8.3 Derivative Hedging Strategies — Consolidated Obligation Bonds**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  |  |  | **December 31, 2025** | **December 31, 2024** |
| **Hedged Item / Hedging Instrument** | **Hedging Objective** | **Hedge** <br>**Designation**<br>| **Notional Amount** <br>**(in millions)**<br>| **Notional Amount** <br>**(in millions)**<br>|
| Receive-fixed or - structured, pay float interest <br>rate swap (without options)<br>| Converts the bond's fixed or structured rate to a variable-rate <br>index.<br>| Fair Value | $14740 | $15581 |
|  |  | Economic | $564 | $1757 |
| Receive-fixed or - structured, pay float interest <br>rate swap (with options)<br>| Converts the bond's fixed- or structured-rate to a variable-rate <br>index and offsets option risk in the bond.<br>| Fair Value | $15510 | $23483 |
|  |  | Economic | $200 | $335 |

---

**Table 8.4 Derivative Hedging Strategies — Consolidated Obligation Discount Notes**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  |  |  | **December 31, 2025** | **December 31, 2024** |
| **Hedged Item / Hedging Instrument** | **Hedging Objective** | **Hedge** <br>**Designation**<br>| **Notional Amount**<br>**(in millions)**<br>| **Notional Amount**<br>**(in millions)**<br>|
| Receive-fixed, pay float interest-rate swap | Converts the discount note's fixed rate to a variable-rate index. | Fair Value | $69841 | $56322 |
|  |  | Economic | $2144 | $1176 |
| Pay-fixed, receive float interest-rate swap | Hedging sequential issuance of discount notes to reduce interest-<br>rate sensitivity.<br>| Cash Flow | $1367 | $1518 |

---

**Table 8.5 Derivative Hedging Strategies — Balance Sheet**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  |  |  | **December 31, 2025** | **December 31, 2024** |
| **Hedged Item / Hedging Instrument** | **Hedging Objective** | **Hedge** <br>**Designation**<br>| **Notional Amount**<br>**(in millions)**<br>| **Notional Amount**<br>**(in millions)**<br>|
| Pay-float, receive-fixed interest-rate swap | Interest-rate swap not linked to specific assets, liabilities or <br>forecasted transactions.<br>| Economic | $6902 | $5810 |
| Pay-fixed, receive-float interest-rate swap | Interest-rate swap not linked to specific assets, liabilities or <br>forecasted transactions.<br>| Economic | $11724 | $5815 |
| Interest-rate cap or floor | Protects against changes in income of certain assets due to <br>changes in interest rates.<br>| Economic | $1000 | $150 |

---

**Table 8.6 Derivative Hedging Strategies — Stand-Alone**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  |  |  | **December 31, 2025** | **December 31, 2024** |
| **Hedged Item / Hedging Instrument** | **Hedging Objective** | **Hedge** <br>**Designation**<br>| **Notional Amount**<br>**(in millions)**<br>| **Notional Amount**<br>**(in millions)**<br>|
| Mortgage delivery commitment | Exposed to fair-value risk associated with fixed-rate mortgage <br>purchase commitments.<br>| Economic | $36 | $29 |

---

**Derivative Credit Risk Exposure and Concentration**

In addition to market risk, we are subject to credit risk in derivative transactions because of the potential for non-performance by the

counterparties, which could result in the FHLBNY having to acquire a replacement derivative from a different counterparty at a cost

that may exceed its recorded fair values. We are also subject to operational risks in the execution and servicing of derivative

transactions. The degree of counterparty credit risk may depend on, among other factors, the extent to which netting procedures and/or

the provision of collateral are used to mitigate the risk. Summarized below are our risk measurement and mitigation processes:

**Risk measurement** — We estimate exposure to credit loss on derivative instruments by calculating the replacement cost, on a present

value basis, to settle at current market prices all outstanding derivative contracts in a gain position, net of collateral pledged by the

counterparty. All derivative contracts with non-members are also subject to master netting agreements or other right of offset

arrangements.

**Exposure** — In determining credit risk, we consider accrued interest receivable and payable, and the legal right to offset assets and

liabilities by counterparty. We attempt to mitigate exposure by requiring derivative counterparties to pledge cash collateral if the

amount of exposure is above the collateral threshold agreements. When we post excess cash collateral, we consider the excess

collateral as our derivative exposure.

Our credit exposures (derivatives in a net gain position) were to highly rated counterparties and Derivative Clearing Organizations

(DCO) that met our credit quality standards. Our exposures also included open derivative contracts executed on behalf of member

institutions, and the exposures were collateralized under standard advance collateral agreements with our members. For such

transactions, acting as an intermediary, we offset the transaction by purchasing equivalent notional amounts of derivatives from

unrelated derivative counterparties.

**Risk mitigation** — We attempt to mitigate derivative counterparty credit risk by contracting only with experienced counterparties

with investment-quality credit ratings that meet our credit quality standards. Annually, our management and Board of Directors review

and approve all non-member derivative counterparties. We monitor counterparties on an ongoing basis for significant business events,

including ratings actions taken by a Nationally Recognized Statistical Rating Organization (NRSRO). All approved derivatives

counterparties must enter into a master ISDA agreement with us before we execute a trade through that counterparty. In addition, for

all bilateral OTC derivatives, we have executed the Credit Support Annex to the ISDA agreement that provides for collateral support

at predetermined thresholds. For Cleared-OTC derivatives, margin requirements are mandated under the Dodd-Frank Act. We believe

that such arrangements — margin requirements, the selection of experienced, highly-rated counterparties and ongoing monitoring —

have sufficiently mitigated our exposures, and we do not anticipate any credit losses on derivative contracts.

**Derivatives Counterparty Credit Ratings**

For information, and an analysis of our exposure due to non-performance of swap counterparties, see Table "Offsetting of Derivative

Assets and Derivative Liabilities — Net Presentation" in <u>[Note 17](#i6c3430ab7878424294d082eb431c8f84_11139)</u>. Derivatives and Hedging Activities to financial statements. For

information about the methodologies adopted for the fair value measurement of derivatives, see financial statements, <u>[Note 18](#if286cb63988f47f99e44155f9e480529_25007)</u>. Fair

Values of Financial Instruments.

The following tables summarize notional amounts and fair values for the FHLBNY's derivative exposures as represented by

derivatives in fair value gain positions (in thousands):

**Table 8.7 Derivatives Counterparty Credit Ratings**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** |
| **Credit Rating** | **Notional Amount** | **Net Derivatives** <br>**Fair Value** <br>**Before** <br>**Collateral**<br>| **Cash Collateral** <br>**Pledged To (From)** <br>**Counterparties** <sup>(a)</sup><br>| **Balance Sheet Net** <br>**Credit Exposure**<br>| **Non-**<br>**Cash Collateral** <br>**Pledged To (From)** <br>**Counterparties** <sup>(b)</sup><br>| **Net Credit** <br>**Exposure to** <br>**Counterparties**<br>|
| **Non-member counterparties** |  |  |  |  |  |  |
| Asset positions with credit <br>exposure <br>|  |  |  |  |  |  |
| Uncleared derivatives |  |  |  |  |  |  |
| Single A asset <sup>(c)</sup> | $9437250 | $53873 | $12620 | $66493 | $(55758) | $10735 |
| Cleared derivatives assets <sup>(d)</sup> | 159123222 | 31982 |  | 31982 | 813135 | 845117 |
|  | 168560472 | 85855 | 12620 | 98475 | 757377 | 855852 |
| Liability positions with credit <br>exposure<br>|  |  |  |  |  |  |
| Uncleared derivatives |  |  |  |  |  |  |
| Single A liability <sup>(c)</sup> | 4530550 | (24300) | 25300 | 1000 |  | 1000 |
| Cleared derivatives liability <sup>(d)</sup> | 414657 |  |  |  | 32443 | 32443 |
|  | 4945207 | (24300) | 25300 | 1000 | 32443 | 33443 |
| Total derivative positions with <br>non-member counterparties <br>to which the Bank had <br>credit exposure<br>| 173505679 | 61555 | 37920 | 99475 | 789820 | 889295 |
| **Delivery commitments** |  |  |  |  |  |  |
| Derivative position with <br>delivery commitments<br>| 36458 | 73 |  | 73 | (73) |  |
| Total derivative position with <br>members<br>| 36458 | 73 |  | 73 | (73) |  |
| Total | $173542137 | $61628 | $37920 | $99548 | $789747 | $889295 |
| Derivative positions without <br>credit exposure<br>| 25349958 |  |  |  |  |  |
| **Total notional** | $198855637 |  |  |  |  |  |

---

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
| **Credit Rating** | **Notional Amount** | **Net Derivatives** <br>**Fair Value** <br>**Before** <br>**Collateral**<br>| **Cash Collateral** <br>**Pledged To (From)** <br>**Counterparties** <sup>(a)</sup><br>| **Balance Sheet Net** <br>**Credit Exposure**<br>| **Non-**<br>**Cash Collateral** <br>**Pledged To (From)** <br>**Counterparties** <sup>(b)</sup><br>| **Net Credit** <br>**Exposure to** <br>**Counterparties**<br>|
| **Non-member counterparties** |  |  |  |  |  |  |
| Asset positions with credit <br>exposure <br>|  |  |  |  |  |  |
| Uncleared derivatives |  |  |  |  |  |  |
| Double A asset <sup>(c)</sup> | $252000 | $1485 | $(1450) | $35 | $— | $35 |
| Single A asset <sup>(c)</sup> | 3461437 | 3941 | 75200 | 79141 | (69065) | 10076 |
| Cleared derivatives assets <sup>(d)</sup> | 141305161 | 14362 |  | 14362 | 771684 | 786046 |
|  | 145018598 | 19788 | 73750 | 93538 | 702619 | 796157 |
| Liability positions with credit <br>exposure<br>|  |  |  |  |  |  |
| Uncleared derivatives |  |  |  |  |  |  |
| Single A liability <sup>(c)</sup> | 6171500 | (80993) | 81990 | 997 |  | 997 |
| Triple B liability <sup>(c)</sup>  | 4115000 | (32571) | 35380 | 2809 |  | 2809 |
| Cleared derivatives liability <sup>(d)</sup> | 811657 |  |  |  | 31285 | 31285 |
|  | 11098157 | (113564) | 117370 | 3806 | 31285 | 35091 |
| Total derivative positions with <br>non-member counterparties to <br>which the Bank had credit <br>exposure<br>| 156116755 | (93776) | 191120 | 97344 | 733904 | 831248 |
| **Delivery commitments** |  |  |  |  |  |  |
| Derivative position with <br>delivery commitments<br>| 28672 |  |  |  |  |  |
| Total derivative position with <br>members<br>| 28672 |  |  |  |  |  |
| Total | $156145427 | $(93776) | $191120 | $97344 | $733904 | $831248 |
| Derivative positions without <br>credit exposure<br>| 25861630 |  |  |  |  |  |
| Total notional | $182007057 |  |  |  |  |  |

---

*(a)When collateral is posted to counterparties in excess of fair value liabilities that are due to counterparties, the excess collateral is* 

*classified as a component of derivative assets, as the excess represents a receivable and an exposure for the FHLBNY.*

*(b)Non-cash collateral securities. Non-cash collateral was not deducted from net derivative assets on the balance sheet as control* 

*over the securities was not transferred.*

*(c)NRSRO Ratings.*

*(d)On cleared derivatives, we are required to pledge initial margin (considered as collateral) to Derivative Clearing Organizations* 

*(DCOs) in cash or securities. We had pledged $845.6 million and $803.0 million in marketable securities as collateral at* 

*December 31, 2025 and December 31, 2024, respectively. At December 31, 2025 and December 31, 2024, we did not pledge cash* 

*as collateral.*

**Liquidity, Cash Flows, Short-Term Borrowings and Short-Term Debt**

Our primary source of liquidity is the issuance of Consolidated obligation bonds and discount notes. To refinance maturing

Consolidated obligations, we rely on the willingness of our investors to purchase new issuances. We have access to the discount note

market, and the efficiency of issuing discount notes is an important source of liquidity, since discount notes can be issued any time and

in a variety of amounts and maturities. Member deposits and capital stock purchased by members are also sources of funds. Short-term

unsecured borrowings from other FHLBanks and in the federal funds market, as well as secured borrowings in the repo market

provide additional sources of liquidity. In addition, the Secretary of the Treasury is authorized to purchase up to $4.0 billion of

Consolidated obligations from the FHLBanks. Our liquidity position remains in compliance with all regulatory requirements and

management does not foresee any changes to that position.

**Finance Agency Regulations — Liquidity**

Regulatory requirements are specified in 12 CFR Parts 1239, 1270 and 1277 of the Finance Agency regulations and Advisory Bulletin

2018-07. Each FHLBank shall at all times have at least an amount of liquidity equal to the current deposits received from its members

that may be invested in: (1) Obligations of the United States; (2) Deposits in banks or trust companies; and (3) Advances with a

remaining maturity not to exceed five years that are made to members in conformity with Part 1266. We are required to hold positive

cash flow assuming no access to capital markets and assuming renewal of all maturing advances for a period of between ten to thirty

calendar days and to maintain liquidity limits to reduce the risks associated with a mismatch in asset and liability maturities, including

an undue reliance on short-term debt funding.

In addition, the Bank provides for Contingency Liquidity, which is defined as the sources of cash the Bank may use to meet its

operational requirements when its access to the capital markets is impeded. We met our Contingency Liquidity requirements during all

periods in this report. Liquidity in excess of requirements is summarized in the table titled Contingency Liquidity.

**Liquidity Management**

We actively manage our liquidity position to maintain stable, reliable, and cost-effective sources of funds while taking into account

market conditions, member demand and the maturity profile of our assets and liabilities. We recognize that managing liquidity is

critical to achieving our statutory mission of providing low-cost ready liquidity to our members. In managing liquidity risk, we are

required to maintain certain liquidity measures in accordance with the FHLBank Act, an Advisory Bulletin and policies developed by

management and approved by our Board of Directors. Our policies are designed to support the Bank's ability to provide prompt, on-

demand liquidity to our members without the immediate need to access the Consolidated obligation debt markets.

The applicable liquidity requirements are described in the next four sections.

***Deposit Liquidity***. We are required to invest an aggregate amount at least equal to the amount of current deposits received from

members in: (1) Obligations of the United States; (2) Deposits in banks or trust companies; or (3) Advances with a remaining maturity

not to exceed five years that are made to members in conformity with 12 CFR Part 1266. In addition to accepting deposits from our

members, we may accept deposits from other FHLBanks or from any other governmental instrumentality. We met these requirements

at all times. Quarterly average reserves and actual reserves are summarized below (in millions):

**Table 9.1 Deposit Liquidity**

---

| | | | |
|:---|:---|:---|:---|
| **For the Quarters Ended** | **Average Deposit** <br>**Reserve Required**<br>| **Average Actual** <br>**Deposit Liquidity**<br>| **Excess** |
| December 31, 2025 | $2886 | $89905 | $87019 |
| September 30, 2025 | 2819 | 98841 | 96022 |
| June 30, 2025 | 2661 | 105318 | 102657 |
| March 31, 2025 | 2638 | 100058 | 97420 |
| December 31, 2024 | 2495 | 101743 | 99248 |

---

***Operational Liquidity*.** We must be able to fund our activities as our balance sheet changes from day-to-day. We maintain the capacity

to fund balance sheet growth through regular money market and capital market funding and investment activities. We monitor our

operational liquidity needs by regularly comparing our demonstrated funding capacity with potential balance sheet growth. We take

such actions as may be necessary to maintain adequate sources of funding for such growth. Operational liquidity is measured daily.

We met these requirements at all times.

The following table summarizes excess operational liquidity (in millions):

**Table 9.2 Operational Liquidity**

---

| | | | |
|:---|:---|:---|:---|
| **For the Quarters Ended** | **Average Balance Sheet** <br>**Liquidity Requirement**<br>| **Average Actual** <br>**Operational Liquidity**<br>| **Excess** |
| December 31, 2025 | $24437 | $48370 | $23933 |
| September 30, 2025 | 16396 | 47214 | 30818 |
| June 30, 2025 | 15776 | 49044 | 33268 |
| March 31, 2025 | 14590 | 50205 | 35615 |
| December 31, 2024 | 13283 | 46165 | 32882 |

---

***Contingency Liquidity*.** The Bank holds "contingency liquidity" in an amount sufficient to meet our liquidity needs if we are unable to

access the Consolidated obligation debt markets for at least five business days. Contingency liquidity includes: (1) marketable assets

with a maturity of one year or less; (2) self-liquidating assets with a maturity of one year or less; (3) assets that are generally

acceptable as collateral in the repurchase market; and (4) irrevocable lines of credit from financial institutions receiving not less than

the second-highest credit rating from a NRSRO. We consistently exceed the minimum requirements for contingency liquidity.

Contingency liquidity is measured daily. We met these requirements at all times.

The following table summarizes excess contingency liquidity (in millions):

**Table 9.3 Contingency Liquidity**

---

| | | | |
|:---|:---|:---|:---|
| **For the Quarters Ended** | **Average Five Day** <br>**Requirement**<br>| **Average Actual** <br>**Contingency Liquidity**<br>| **Excess** |
| December 31, 2025 | $3279 | $44267 | $40988 |
| September 30, 2025 | 3634 | 44259 | 40625 |
| June 30, 2025 | 3503 | 46748 | 43245 |
| March 31, 2025 | 3367 | 46088 | 42721 |
| December 31, 2024 | 3107 | 41186 | 38079 |

---

The Liquidity standards in our risk management policy address our day-to-day operational and contingency liquidity needs. These

standards enumerate the specific types of investments to be held to satisfy such liquidity needs and are outlined above. These

standards also establish the methodology to be used in determining our operational and contingency needs. We continually monitor

and project our cash needs, daily debt issuance capacity, and the amount and value of investments available for use in the market for

repurchase agreements. We use this information to determine our liquidity needs and to develop appropriate liquidity plans.

The Finance Agency's Liquidity Advisory Bulletin 2018-07 requires the Bank to maintain between 10 and 30 calendar days ("the

Range") of positive cash flow assuming all advances renew and to hold liquidity in a specified range of the notional of our outstanding

standby financial letters of credit. The FHFA has periodically issued non-public supervisory letters that establish base case guidance

within the Range. For three days during March 2023, we were in the lower part of the Range, temporarily below the FHFA's base case

guidance, in order to meet significant member demand for advances resulting from the banking crisis, as permitted by the Advisory

Bulletin. The Advisory Bulletin also provides guidance on maintaining appropriate funding gaps for three-month and one-year

maturity horizons. We remained in compliance with the funding gaps provision and all Liquidity regulations.

***Other Liquidity Contingencies*.** As discussed more fully under the section Debt Financing Activity and Consolidated Obligations, we

are primarily liable for Consolidated obligations issued on our behalf. We are also jointly and severally liable with the other

FHLBanks for the payment of principal and interest on the Consolidated obligations of all the FHLBanks. If the principal or interest

on any Consolidated obligation issued on our behalf is not paid in full when due, we may not pay dividends, redeem or repurchase

shares of stock of any member or non-member stockholder until the Finance Agency approves our Consolidated obligation payment

plan or other remedy and until we pay all the interest or principal currently due on all our Consolidated obligations. The Finance

Agency, at its discretion, may require any FHLBank to make principal or interest payments due on any Consolidated obligations.

Finance Agency regulations also state that the FHLBanks must maintain, free from any lien or pledge, the following types of assets in

an amount at least equal to the amount of Consolidated obligations outstanding: Cash; Obligations of, or fully guaranteed by, the

United States; Secured advances; Mortgages that have any guaranty, insurance, or commitment from the United States or any agency

of the United States; and investments described in section 16(a) of the FHLBank Act, including securities that a fiduciary or trust fund

may purchase under the laws of the state in which the FHLBank is located.

**Cash flows**

Cash and due from banks was $38.2 million at December 31, 2025 and $26.1 million at December 31, 2024. Cash and cash

equivalents exclude short-term interest-bearing deposits, federal funds sold, and securities purchased under agreements to resell. The

following discussion highlights the major activities and transactions that affected our cash flows.

***Cash flows provided by/(used in) operating activities*** — Operating assets and liabilities support our lending activities to members,

and can vary significantly in the normal course of business due to the amount and timing of cash flows, which are affected by

member-driven borrowing, our investment strategies, and market conditions. Management believes cash flows from operations,

available cash balances and our ability to generate cash through the issuance of Consolidated obligation bonds and discount notes are

sufficient to fund our operating liquidity needs.

Operating activities resulted in $0.7 billion in net cash outflows in the twelve months ended December 31, 2025, compared to net cash

inflows of $1.1 billion in 2024. Period changes in cash flows provided by or used in operating activities were largely driven by: (a)

Net income was $599.8 million in the twelve months ended December 31, 2025 and $738.5 million in 2024; (b) Net cash outflows

from Derivatives and hedging activities were $631.0 million in the twelve months ended December 31, 2025, compared to net cash

inflows of $39.5 million in 2024; and (c) Negative adjustments to operating cash flows of $137.9 million to recognize unrealized

valuation gains on U.S. Treasury securities at December 31, 2025, compared to negative adjustments of $26.0 million to recognize

unrealized valuation gains on U.S. Treasury securities in 2024.

***Cash flows provided by/(used in) investing activities*** — Investing activities resulted in $5.2 billion in net cash inflows in the twelve

months ended December 31, 2025 compared to $1.5 billion in net cash outflows in 2024. In the twelve months ended December 31,

2025, we acquired $3.4 billion in Treasury securities compared to $2.0 billion in 2024. We did not make any repayments from

Treasury securities in twelve months ended December 31, 2025 and in 2024. Net cash outflows from Securities purchased under

agreements to resell were $5.1 billion in the twelve months ended December 31, 2025 compared to net cash outflows of $3.1 billion in

2024. ***Cash flows provided by/(used in) financing activities*** — Our primary source of funding is the issuance of Consolidated obligation

debt. Issuance of capital stock is another source. Financing activities reported net cash outflows of $$4.5 billion in the twelve months

ended December 31, 2025 compared to net cash inflows of $0.3 billion in 2024.

For more information, see Statements of Cash Flows in the financial statements.

**Short-term Borrowings and Short-term Debt**

Our primary source of funds is the issuance of FHLBank debt. Consolidated obligation discount notes are issued with maturities up to

one year and provide us with short-term funds. Discount notes are principally used in funding short-term advances, some long-term

advances, as well as money market instruments. We also issue short-term Consolidated obligation bonds as part of our asset-liability

management strategy. We may also borrow from another FHLBank, generally for a period of one day. Such borrowings have been

historically insignificant.

***Off-Balance Sheet Arrangements, Guarantees, and Other Commitments*** *—* In accordance with regulations governing the operations

of the FHLBanks, each FHLBank, including the FHLBNY, is jointly and severally liable for the FHLBank System's Consolidated

obligations issued under sections 11(a) and 11(c) of the FHLBank Act. The joint and several liability regulations authorizes the

Finance Agency to require any FHLBank to repay all or a portion of the principal or interest on Consolidated obligations for which

another FHLBank is the primary obligor.

In addition, in the ordinary course of business, the FHLBNY engages in financial transactions that, in accordance with U.S. GAAP,

are not recorded on the FHLBNY's balance sheet or may be recorded on the FHLBNY's balance sheet in amounts that are different

from the full contract or notional amount of the transactions. For example, the Bank routinely enters into commitments to purchase

mortgage loans from PFIs, and issues standby letters of credit.

These commitments may represent future cash requirements of the Bank, although the standby letters of credit usually expire without

being drawn upon. For more information about contractual obligations and commitments, see financial statements, <u>[Note 19](#i1fd785705c0e47de899f16d33e3eb10f_5786)</u>.

Commitments and Contingencies.

***Purchases of MBS****.* Finance Agency investment regulations limit the purchase of mortgage-backed securities to 300% of capital. We

were in compliance with the regulation at all times.

**Table 9.4 FHFA MBS Limits**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2024** | **December 31, 2024** |
|  | **Actual** | **Limits** | **Actual** | **Limits** |
| Mortgage securities investment authority | 260% | 300% | 237% | 300% |

---

The Finance Agency has established a ratio by which the Finance Agency will assess each FHLBank's core mission achievement.

Core mission achievement is determined using a ratio of primary mission assets, which include advances and acquired member assets

(mortgage loans acquired from members), to Consolidated obligations. The ratio will be determined at each year-end and will be

calculated using annual average par values.

**Table 9.5 Core Mission Achievement**

---

| | | |
|:---|:---|:---|
| **Par Values (dollars in thousands)** | **December 31, 2025** <br>**Annual Average**<br>| **December 31, 2024** <br>**Annual Average**<br>|
| Advances | $100846453 | $110300605 |
| Mortgage Loans | 2433946 | 2218785 |
| Total Primary Mission Assets | $103280399 | $112519390 |
| Total Consolidated Obligations | $149410976 | $156808355 |
| U.S. Treasury obligations qualifying as HQLA under AB 2018-07 <sup>(a)</sup> | $6878120 | $5861144 |
| Core Mission Achievement Ratio | 72% | 75% |
| Target Ratio | 70% | 70% |

---

*(a)The annual average par value of the U.S. Treasury Securities that are held as Trading securities is deducted from the* 

*denominator of the Primary Core Mission Asset ratio, as allowed under the FHFA guidelines.*

**Operational Risk Management**

Operational risk is the risk of loss resulting from inadequate or failed internal processes, systems, or human factors, or from external

events. Operational risk is inherent in our business activities and, as with other risk types, is managed through an overall framework

designed to balance strong management oversight with well-defined independent risk management. This framework includes: policies

and procedures for managing operational risks; recognized ownership of the risk by the business; a compliance group that evaluates

compliance with board and regulatory policies, including the evaluation and reporting of operational risk incidents, which are

regularly reported directly to the Audit Committee of the Bank's Board of Directors regarding compliance with policies and

procedures, including those related to managing operational risks.

*Information Security and Business Continuity*. The Bank has an Information Security Department that is responsible for the policy,

procedures, reviews, education, and management of the information security program. The Bank also has a department that is

responsible for the overall business continuity program, which includes training, testing, coordination, and continual updates.

Information security and the protection of confidential customer data, and business continuity are priorities for the FHLBNY, and we

have implemented processes that will help secure confidential data and continuity of operations. The information security program is

reviewed and enhanced periodically to address emerging threats to data integrity and cyberattacks. The business continuity program

includes annual testing of our capabilities. Results of business continuity testing and information security are routinely presented to

senior management of the FHLBNY and its Board of Directors.

The FHLBNY's Information Technology group maintains and regularly reviews controls to ensure that technology assets are well

managed and secure from unauthorized access and in accordance with approved policies and procedures.

**Results of Operations**

The following section provides a comparative discussion of the FHLBNY's results of operations for the three years ended

December 31, 2025, 2024 and 2023. For a discussion of the critical accounting estimates used by the FHLBNY that affect the results

of operations, see financial statements, <u>[Note 1. Summary of Significant Accounting Policies](#i86ab1c8027bf40078d433ee31a4fe86a_51966)</u>.

**Net Income**

Interest income from advances is the principal source of revenue. Other sources of revenue are interest income from investment debt

securities, liquidity trading securities, mortgage loans in the MPF and MAP portfolio, securities purchased under agreements to resell

and federal funds sold. Fair value gains and losses on liquidity trading securities and equity investments also impact net income. The

primary expense is interest paid on Consolidated obligation debt. Other expenses are primarily compensation and benefits, operating

expenses, our share of operating expenses of the Office of Finance and the FHFA, voluntary contributions, and affordable housing

program assessments on net income. Other significant factors affecting our net income include the volume and timing of investments

in mortgage-backed securities, prepayments of advances, charges due to debt repurchased, gains and losses from derivatives and

hedging activities, and earnings from investing our shareholders' capital.

Summarized below are the principal components of net income (in thousands):

**Table 10.1 Principal Components of Net Income**

---

| | | | |
|:---|:---|:---|:---|
|  | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** |
|  | **2025** | **2024** | **2023** |
| Total interest income | $7189506 | $8918611 | $8400387 |
| Total interest expense | 6337743 | 7931830 | 7405050 |
| **Net interest income before provision for credit losses** | 851763 | 986781 | 995337 |
| Provision (Reversal) for credit losses | 70 | (212) | 1695 |
| **Net interest income after provision for credit losses** | 851693 | 986993 | 993642 |
| Total other income (loss) | 103055 | 112645 | 77079 |
| Total other expenses | 288288 | 279043 | 236059 |
| **Income before assessments** | 666460 | 820595 | 834662 |
| Affordable Housing Program Assessments | 66702 | 82119 | 83531 |
| **Net income** | $599758 | $738476 | $751131 |

---

**Net Income — 2025 Compared to 2024**

**Net income** — For the FHLBNY, net income is net interest income, minus Provision (Reversal) for credit losses, plus other income

(loss), less other expenses and assessments set aside for the FHLBNY's Affordable Housing Program.

Net income for 2025 was $599.8 million, a decrease of $138.7 million, or 18.8% compared to 2024. Summarized below are the

primary components of our net income:

Net interest income — The 2025 net interest income was $851.8 million, a decrease of $135.0 million, or 13.7% compared to 2024.

Net interest spread was 31 basis points for 2025 compared to 30 basis points in 2024. For more information, see <u>[Table 9.2](#i2ebde2961499463b963dc0b4a351f72d_15407)</u>Net Interest

Income and accompanying discussions in this MD&A.

• Provision (Reversal) for credit losses for 2025 was a provision of $0.1 million and compared to a reversal of $0.2 million for

2024. **Other income (loss)** — Other income (loss) reported a gain of $103.1 million in the 2025 compared to a gain of $112.6 million in the

2024. •**Service fees and other** were $22.2 million in the 2025 compared to $21.5 million reported in 2024. Service fees and other

are primarily fee revenues from financial letters of credit.

• **Financial instruments carried at fair values** reported net valuation losses of $47.3 million in 2025 compared to net losses

of $72.3 million in 2024. For more information, see financial statements, Fair Value Option Disclosures in <u>[Note 18](#if286cb63988f47f99e44155f9e480529_25007)</u>. Fair

Values of Financial Instruments. Also see <u>[Table 10.9](#i351179cf6b5d443195afd09d9ea4578c_4003)</u> Other Income (Loss) and accompanying discussions in this MD&A.

• **Derivative activities** reported net losses of $21.7 million in Other income in 2025, compared to net gains of $127.6 million

in 2024. For more information, see <u>[Table 10.11](#i351179cf6b5d443195afd09d9ea4578c_4013)</u> Other Income (Loss) — Impact of Derivative Gains and Losses and

accompanying discussions in this MD&A.

• **U.S. Treasury Securities held for liquidity** (classified as trading) reported net fair value gains of $137.9 million in 2025

compared to net fair value gains of $26.0 million in 2024.

• **Equity Investments** held to finance payments to retirees in a non-qualified pension plan, reported net fair value gains of

$11.9 million in 2025 compared to net gains of $9.6 million in 2024.

**Other expenses** were $288.3 million in 2025 compared to $279.0 million in 2024. Other expenses are primarily operating expenses,

compensation and benefits, our share of expenses of the Office of Finance and the Federal Housing Finance Agency, and voluntary

contributions.

• Operating expenses were $95.5 million in 2025, down slightly from $95.6 million in 2024.

• Compensation and benefits expenses were $123.9 million in 2025 compared to $114.7 million in 2024.

• Voluntary contributions were $37.3 million in 2025 compared to $38.0 million in 2024 for various housing programs, grants,

charitable contributions, and a voluntary contribution to AHP. These voluntary contributions are in excess of the Bank's

statutory requirement. The slight decrease was driven by lower net income in 2024 compared to 2023. The FHLBNY

committed to contribute an additional 5% of 2024 pre-assessment net income as voluntary contributions during 2025.

• The expenses allocated for our share of the costs to operate the Office of Finance and the Federal Housing Finance Agency

were $23.4 million in 2025 compared to $22.5 million in 2024.

• Other expenses were $8.1 million in the 2025, slightly down from $8.2 million in 2024.

**Affordable Housing Program Assessments (AHP)** allocated from net income were $66.7 million in 2025 compared to $82.1 million

in 2024. Assessments are calculated as a percentage of net income, and changes in allocations were in tandem with changes in net

income.

**Net Income — 2024 Compared to 2023**

**Net income** — For the FHLBNY, net income is net interest income, minus Provision (Reversal) for credit losses, plus other income

(loss), less other expenses and assessments set aside for the FHLBNY's Affordable Housing Program.

Net income for 2024 was $738.5 million, a decrease of $12.6 million, or 1.7% compared to 2023. Summarized below are the primary

components of our net income:

Net interest income — The 2024 interest income was $986.8 million, a decrease of $8.5 million, or 0.9% compared to 2023. Net

interest spread was 30 basis points for 2024 compared to 33 basis points for 2023. For more information, see<u>[Table 10.2](#i9a10247afc344488b752ed7bdc531607_5273)</u> Net Interest

Income and accompanying discussions in this MD&A.

• Provision (Reversal) for credit losses for 2024 was a reversal of $0.2 million compared to a provision of $1.7 million for

2023. **Other income (loss)** — Other income (loss) reported a gain of $112.6 million in 2024 compared to a gain of $77.1 million in 2023.

• **Service fees and other** were $21.5 million in 2024 compared to $21.2 million reported in 2023. Service fees and other are

primarily fee revenues from financial letters of credit.

• **Financial instruments carried at fair values** reported net valuation losses of $72.3 million in 2024 compared to net losses

of $99.2 million in 2023. For more information, see financial statements, Fair Value Option Disclosures in <u>[Note 18](#if286cb63988f47f99e44155f9e480529_25007)</u>. Fair

Values of Financial Instruments. Also see <u>[Table 10.9](#i351179cf6b5d443195afd09d9ea4578c_4003)</u> Other Income (Loss) and accompanying discussions in this MD&A.

• **Derivative activities** reported net gains of $127.6 million in Other income in 2024, compared to net gains of $30.9 million in

2023. For more information, see <u>[Table 10.11](#i351179cf6b5d443195afd09d9ea4578c_4013)</u> Other Income (Loss) — Impact of Derivative Gains and Losses and

accompanying discussions in this MD&A.

• **U.S. Treasury Securities held for liquidity** (classified as trading) reported net fair value gains of $26.0 million in 2024

compared to net fair value gains of $110.5 million in 2023.

• **Equity Investments** held to finance payments to retirees in a non-qualified pension plan, reported net fair value gains of $9.6

million in 2024 compared to net gains of $12.1 million in 2023.

• **Gains (losses) from extinguishment of debt** reported de minimis gains from debt transfers (par amount $5.8 billion) to other

FHLB in 2024.

**Other expenses** were $279.0 million in 2024 compared to $236.1 million in 2023. Other expenses are primarily operating expenses,

compensation and benefits, and our share of expenses of the Office of Finance and the Federal Housing Finance Agency, and

voluntary contributions.

• Operating expenses were $95.6 million in 2024, up from $85.1 million in 2023 primarily due to investment in technology.

• Compensation and benefits expenses were $114.7 million in 2024 compared to $102.6 million in 2023 due to increase in

headcount.

• Voluntary contributions were $38.0 million in 2024 compared to $20.9 million in 2023 for various housing programs, grants,

charitable contributions, and a voluntary contribution to AHP. These voluntary contributions are in excess of the Bank's

statutory requirement. The increase was primarily driven by an increase in voluntary contributions of $17.2 million in 2024.

The FHLBNY committed to contribute an additional 5% of 2023 pre-assessment net income as voluntary contributions

during 2024.

• The expenses allocated for our share of the costs to operate the Office of Finance and the Federal Housing Finance Agency

were $22.5 million in 2024 compared to $20.4 million in 2023.

• Other expenses were $8.2 million in 2024, slightly up from $7.2 million in 2023.

**Affordable Housing Program Assessments (AHP)** allocated from net income were $82.1 million in 2024 compared to $83.5 million

in 2023. Assessments are calculated as a percentage of net income, and changes in allocations were in tandem with changes in net

income.

**Net Interest Income, Interest Rate Margin and Interest Rate Spread**

Net interest income is our principal source of net income. It represents the difference between income on interest-earning assets and

expense on interest-bearing liabilities.

Changes in net interest income are typically driven by changes in the volume of earning assets, as measured by average balances of

earning assets, and the impact of market interest rates on earnings assets and funding costs. Interest income and expense accruals on

interest rate swaps that qualified under the ASC 815 hedge accounting rules may impact year-over-year changes. Shareholders' capital

stock and retained earnings are also factors that impact net interest income as they provide interest free funding. Earnings on capital

typically move directly with changes in short-term market interest rates. In a period when members prepay advances, the prepayment

fees, which we receive may cause fluctuations in net interest income. For more information about factors that impact Interest income

and Interest expense, see<u>[Table 10.3](#i9a10247afc344488b752ed7bdc531607_5276)</u> Net Interest Adjustments from Qualifying Hedge Interest Rate Swaps and discussions thereto.

Also, see <u>[Table 10.4](#i9a10247afc344488b752ed7bdc531607_5271)</u> Spread and Yield Analysis, and <u>[Table 10.5](#i9a10247afc344488b752ed7bdc531607_5277)</u> Rate and Volume Analysis.

The following table summarizes net interest income (dollars in thousands):

**Table 10.2 Net Interest Income**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  |  |  |  | **Percentage** | **Percentage** |
|  | **Years Ended December 31,** | **Years Ended December 31,** | **Years Ended December 31,** | **Change** | **Change** |
|  | **2025** | **2024** | **2023** | **2025** | **2024** |
| Total interest income <sup>(a)</sup> | $7189506 | $8918611 | $8400387 | (19.39)% | 6.17% |
| Total interest expense <sup>(a)</sup> | 6337743 | 7931830 | 7405050 | (20.10) | 7.11 |
| **Net interest income before provision for credit losses** | $851763 | $986781 | $995337 | (13.68)% | (0.86)% |

---

*(a)Total Interest Income and Total Interest Expense — See <u>[Tables 10.6](#id5df3bf89b58493ba8832b018e38816d_6462)</u> and <u>[Table 10.8](#ie9bb585c37754a499a6a3449e0d91339_3242)</u> and accompanying discussions*

2025 Net interest income, before loan loss provisions, was $851.8 million, a decrease of $135.0 million, or 13.7% from 2024. Yield on

assets decreased to 4.49% for 2025 from 5.34% in 2024 while the funding cost decreased to 4.18% for 2025 from 5.04% in 2024. Net

interest spread increased to 31 basis points in 2025 compared to 30 basis points in 2024. Net interest margin, a measure of margin

efficiency, which is calculated as net interest income divided by average earning assets, was 53 basis points in 2025, compared to 59

basis points in 2024. Prepayment fees of $11.9 million were recorded in net interest income in 2025 compared to $4.2 million in 2024.

Members' demand for advances continued to remain stable throughout 2025 as they experienced heightened deposit volatility, strong

loan growth, and the need to enhance liquidity positions.

Stockholders' capital (as measured by average outstanding balance in the period), which is typically deployed to fund short-term

interest-earning assets, decreased to $8.3 billion in 2025, down from $8.6 billion in 2024.

Swap interest settlement designated in ASC 815 hedging of assets and liabilities recorded net income of $34.9 million in 2025

compared to net income of $25.2 million in 2024. Interest settlements are impacted by the net differential between fixed-rates

associated with hedging swaps and the benchmark variable-rates associated with the swap's floating-leg. Net interest settlements on

swaps hedging assets and liabilities under ASC 815 fluctuated as expected in line with changes in the benchmark rates; the hedging

transactions achieved our interest rate risk management objectives.

**Impact of Qualifying Hedges on Net Interest Income**

The following table summarizes the impact of net interest adjustments from qualifying hedge interest - rate swaps (in thousands):

**Table 10.3 Net Interest Adjustments from Qualifying Hedge Interest Rate Swaps**

---

| | | | |
|:---|:---|:---|:---|
|  | **Years Ended December 31,** | **Years Ended December 31,** | **Years Ended December 31,** |
|  | **2025** | **2024** | **2023** |
| **Interest income** | $6719925 | $7893389 | $7185271 |
| Fair value hedging effects | (2054) | 4468 | (1915) |
| Amortization of basis adjustment | 114 | 110 | (21) |
| Interest rate swap accruals | 507570 | 1101463 | 1327587 |
| Price alignment amount <sup>(a)</sup> | (36049) | (80819) | (110535) |
| **Reported interest income** | 7189506 | 8918611 | 8400387 |
| **Interest expense** | 5909768 | 6941141 | 6257159 |
| Fair value hedging effects | (5196) | (3847) | (6196) |
| Amortization of basis adjustment | (3426) | (919) | (2245) |
| Interest rate swap accruals | 434167 | 998307 | 1166750 |
| Price alignment amount <sup>(b)</sup> | 2430 | (2852) | (10418) |
| **Reported interest expense** | 6337743 | 7931830 | 7405050 |
| **Net interest income** | $851763 | $986781 | $995337 |
| **Net interest adjustment - interest rate swaps** | $41606 | $34533 | $67225 |

---

*(a) Relates to derivatives for which variation margin payments are characterized as daily settled contracts. Price alignment amount* 

*in Interest income for advances hedged were $16.8 million expense, $50.4 million expense and $78.9 million expense at December 31,* 

*2025, 2024 and 2023, respectively. Price alignment amount in Interest income for AFS debt securities hedged were $19.2 million* 

*expense, $30.4 million expense and $31.6 million expense at December 31, 2025, 2024 and 2023, respectively.*

*(b) Relates to derivatives for which variation margin payments are characterized as daily settled contracts. Price alignment amount* 

*in Interest expense for consolidated obligation bonds hedged were $2.8 million expense at December 31, 2025, $0.5 million income* 

*and $9.9 million income at December 31, 2024 and 2023. Price alignment amount in Interest expense for consolidated obligation* 

*discount notes hedged were $0.4 million income, $2.4 million income and $0.5 million income at December 31, 2025, 2024 and 2023.*

**Spread and Yield Analysis — 2025, 2024 and 2023**

**Table 10.4 Spread and Yield Analysis**

---

| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** |
|  | **2025** | **2025** | **2025** | **2024** | **2024** | **2024** | **2023** | **2023** | **2023** |
| **(Dollars in thousands)** | **Average** <br>**Balance**<br>| **Interest** <br>**Income/**<br>**Expense**<br>| **Yield/**<br>**Rate** <sup>(a)</sup><br>| **Average** <br>**Balance**<br>| **Interest** <br>**Income/**<br>**Expense**<br>| **Yield/**<br>**Rate** <sup>(a)</sup><br>| **Average** <br>**Balance**<br>| **Interest** <br>**Income/**<br>**Expense**<br>| **Yield/**<br>**Rate** <sup>(a)</sup><br>|
| **Earning Assets:** |  |  |  |  |  |  |  |  |  |
| Advances | $100498999 | $4696546 | 4.67% | $109419454 | $6165285 | 5.63% | $110230082 | $5988659 | 5.43% |
| Interest bearing deposits and others | 3218088 | 139040 | 4.32 | 3449617 | 182832 | 5.30 | 3926579 | 202359 | 5.15 |
| Securities purchased under agreements <br>to resell<br>| 7472123 | 314367 | 4.21 | 4776724 | 250479 | 5.24 | 4935400 | 248042 | 5.03 |
| Federal funds sold | 17175992 | 741308 | 4.32 | 19438268 | 1016419 | 5.23 | 17282978 | 883122 | 5.11 |
| Investments |  |  |  |  |  |  |  |  |  |
| Trading securities | 7521446 | 238010 | 3.16 | 6308712 | 195660 | 3.10 | 5538693 | 134753 | 2.43 |
| Mortgage-backed securities |  |  |  |  |  |  |  |  |  |
| Fixed | 15098022 | 619852 | 4.11 | 14739325 | 635084 | 4.31 | 14010157 | 574067 | 4.10 |
| Floating | 5012551 | 256176 | 5.11 | 5091713 | 306984 | 6.03 | 3920919 | 224383 | 5.72 |
| Available-for-sale Treasuries | 197189 | 7549 | 3.83 |  |  | NM |  |  | NM |
| State and local housing finance <br>agency obligations<br>| 1540541 | 77889 | 5.06 | 1405557 | 84366 | 6.00 | 1302094 | 75022 | 5.76 |
| Mortgage loans held-for-portfolio | 2473050 | 98402 | 3.98 | 2251218 | 81502 | 3.62 | 2136356 | 69908 | 3.27 |
| Loans to other FHLBanks | 8356 | 367 | 4.39 |  |  | NM | 1397 | 72 | 5.15 |
| **Total interest-earning assets** | $160216357 | $7189506 | 4.49% | $166880588 | $8918611 | 5.34% | $163284655 | $8400387 | 5.14% |
| **Funded By:** |  |  |  |  |  |  |  |  |  |
| Consolidated obligation bonds |  |  |  |  |  |  |  |  |  |
| Fixed | $52682881 | $2130279 | 4.04% | $58429239 | $2801974 | 4.80% | $61981421 | $2861730 | 4.62% |
| Floating | 32626652 | 1432337 | 4.39 | 36201267 | 1926358 | 5.32 | 39198805 | 1997282 | 5.10 |
| Consolidated obligation discount notes | 63401067 | 2660677 | 4.20 | 60382598 | 3076599 | 5.10 | 49698715 | 2414738 | 4.86 |
| Interest-bearing deposits and other <br>borrowings<br>| 2779847 | 113888 | 4.10 | 2501674 | 126304 | 5.05 | 3059900 | 130647 | 4.27 |
| Mandatorily redeemable capital stock | 7333 | 562 | 7.66 | 6262 | 595 | 9.50 | 7210 | 653 | 9.06 |
| **Total interest-bearing liabilities** | 151497780 | 6337743 | 4.18% | 157521040 | 7931830 | 5.04% | 153946051 | 7405050 | 4.81% |
| Other non-interest-bearing funds | 373547 |  |  | 753922 |  |  | 928803 |  |  |
| Capital | 8345030 |  |  | 8605626 |  |  | 8409801 |  |  |
| **Total Funding** | $160216357 | $6337743 |  | $166880588 | $7931830 |  | $163284655 | $7405050 |  |
| **Net Interest Income/Spread** |  | $851763 | 0.31% |  | $986781 | 0.30% |  | $995337 | 0.33<br>**%** |
| **Net Interest Margin** |  |  |  |  |  |  |  |  |  |
| **(Net interest income/Earning** <br>**Assets)**<br>|  |  | 0.53% |  |  | 0.59% |  |  | 0.61<br>**%** |

---

*NM — Not meaningful.*

*(a)Reported yields with respect to advances and Consolidated obligations may not necessarily equal the coupons on the instruments* 

*as derivatives are extensively used to change the yield and optionality characteristics of the underlying hedged items. When we* 

*issue fixed-rate debt that is hedged with an interest rate swap, the hedge effectively converts the debt into a simple floating-rate* 

*bond. Similarly, we make fixed-rate advances to members and hedge the advances with a pay-fixed and receive-variable interest* 

*rate swap that effectively converts the fixed-rate asset to one that floats with the designated benchmark rate (Federal Funds-OIS* 

*or SOFR-OIS) in the hedging relationship. Average balance sheet information is presented, as it is more representative of activity* 

*throughout the periods presented. For most components of the average balances, a daily weighted average balance is calculated* 

*for the period. When daily weighted average balance information is not available, a simple monthly average balance is* 

*calculated. Average yields are derived by dividing income by the average balances of the related assets, and average costs are* 

*derived by dividing expenses by the average balances of the related liabilities. Yields and spreads are annualized.*

**Rate and Volume Analysis — 2025, 2024 and 2023**

The Rate and Volume Analysis presents changes in interest income, interest expense and net interest income that are due to changes in

both interest rates and the volume of interest-earning assets and interest-bearing liabilities, and their impact on interest income and

interest expense. Changes in interest income and interest expense that are not identifiable as either volume-related or rate-related, but

rather attributable to both volume and rate changes, are allocated to the volume and rate categories based on the proportion of the

absolute value of the volume and the rate change (in thousands):

**Table 10.5 Rate and Volume Analysis**

---

| | | | |
|:---|:---|:---|:---|
|  | **For the years ended** | **For the years ended** | **For the years ended** |
|  | **December 31, 2025 vs. December 31, 2024** | **December 31, 2025 vs. December 31, 2024** | **December 31, 2025 vs. December 31, 2024** |
|  | **Increase (Decrease)** | **Increase (Decrease)** | **Increase (Decrease)** |
|  | **Volume** | **Rate** | **Total** |
| **Interest Income** |  |  |  |
| Advances | $(474899) | $(993840) | $(1468739) |
| Interest bearing deposits and others | (11667) | (32125) | (43792) |
| Securities purchased under agreements to resell | 120648 | (56760) | 63888 |
| Federal funds sold | (110032) | (165079) | (275111) |
| Investments |  |  |  |
| Trading securities | 38303 | 4047 | 42350 |
| Mortgage-backed securities |  |  |  |
| Fixed | 15207 | (30439) | (15232) |
| Floating | (4705) | (46103) | (50808) |
| Available-for-sale Treasuries | 7549 |  | 7549 |
| State and local housing finance agency obligations | 7619 | (14096) | (6477) |
| Mortgage loans held-for-portfolio | 8428 | 8472 | 16900 |
| Loans to other FHLBanks | 367 |  | 367 |
| Total interest income | (403182) | (1325923) | (1729105) |
| **Interest Expense** |  |  |  |
| Consolidated obligation bonds |  |  |  |
| Fixed | (258912) | (412783) | (671695) |
| Floating | (178207) | (315814) | (494021) |
| Consolidated obligation discount notes | 147806 | (563728) | (415922) |
| Deposits and borrowings | 13076 | (25492) | (12416) |
| Mandatorily redeemable capital stock | 93 | (126) | (33) |
| Total interest expense | (276144) | (1317943) | (1594087) |
| **Changes in Net Interest Income** | $(127038) | $(7980) | $(135018) |

---

---

| | | | |
|:---|:---|:---|:---|
|  | **For the years ended** | **For the years ended** | **For the years ended** |
|  | **December 31, 2024 vs. December 31, 2023** | **December 31, 2024 vs. December 31, 2023** | **December 31, 2024 vs. December 31, 2023** |
|  | **Increase (Decrease)** | **Increase (Decrease)** | **Increase (Decrease)** |
|  | **Volume** | **Rate** | **Total** |
| **Interest Income** |  |  |  |
| Advances | $(44311) | $220937 | $176626 |
| Interest bearing deposits and others | (25147) | 5620 | (19527) |
| Securities purchased under agreements to resell | (8122) | 10559 | 2437 |
| Federal funds sold | 112294 | 21003 | 133297 |
| Investments |  |  |  |
| Trading securities | 20463 | 40444 | 60907 |
| Mortgage-backed securities |  |  |  |
| Fixed | 30652 | 30365 | 61017 |
| Floating | 70043 | 12558 | 82601 |
| State and local housing finance agency obligations | 6124 | 3220 | 9344 |
| Mortgage loans held-for-portfolio | 3893 | 7701 | 11594 |
| Loans to other FHLBanks | (36) | (36) | (72) |
| Total interest income | 165853 | 352371 | 518224 |
| **Interest Expense** |  |  |  |
| Consolidated obligation bonds |  |  |  |
| Fixed | (167792) | 108036 | (59756) |
| Floating | (157020) | 86096 | (70924) |
| Consolidated obligation discount notes | 539701 | 122160 | 661861 |
| Deposits and borrowings | (26728) | 22385 | (4343) |
| Mandatorily redeemable capital stock | (89) | 31 | (58) |
| Total interest expense | 188072 | 338708 | 526780 |
| **Changes in Net Interest Income** | $(22219) | $13663 | $(8556) |

---

**Interest Income**

Interest income from advances is our principal source of interest income. We also earn interest income from an asset mix of long-term

assets, such as fixed-rate advances, long-term fixed- and floating-rate investments, long-term 15-year and 30-year mortgage loans, and

revenues generated from portfolios of overnight and short-term assets and U.S. Treasury securities held for liquidity.

Reported interest income also includes prepayments fees, primarily fees recorded when advances are prepaid ahead of their contractual

maturities.

The principal categories of Interest Income are summarized below (dollars in thousands):

**Table 10.6 Interest Income — Principal Sources**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Years Ended December 31,** | **Years Ended December 31,** | **Years Ended December 31,** | **Percentage** <br>**Change** <br>| **Percentage** <br>**Change** <br>|
|  | **2025** | **2024** | **2023** | **2025** | **2024** |
| **Interest Income** |  |  |  |  |  |
| Advances | $4696546 | $6165285 | $5988659 | (23.82)% | 2.95% |
| Interest-bearing deposits | 139040 | 182832 | 202359 | (23.95) | (9.65) |
| Securities purchased under agreements to resell | 314367 | 250479 | 248042 | 25.51 | 0.98 |
| Federal funds sold | 741308 | 1016419 | 883122 | (27.07) | 15.09 |
| Trading securities | 238010 | 195660 | 134753 | 21.64 | 45.20 |
| Mortgage-backed securities |  |  |  |  |  |
| Fixed | 619852 | 635084 | 574067 | (2.40) | 10.63 |
| Floating | 256176 | 306984 | 224383 | (16.55) | 36.81 |
| Available-for-sale Treasuries | 7549 |  |  | NM | NM |
| State and local housing finance agency obligations | 77889 | 84366 | 75022 | (7.68) | 12.46 |
| Mortgage loans held-for-portfolio | 98402 | 81502 | 69908 | 20.74 | 16.58 |
| Loans to other FHLBanks | 367 |  | 72 | NM | (100.00) |
| **Total interest income** | $7189506 | $8918611 | $8400387 | (19.39)% | 6.17% |

---

*NM — Not meaningful.*

**Interest Income**

Interest income in 2025 was $7.2 billion, a decrease of $1.7 billion, or 19.4% compared to 2024. To provide context, interest expense

decreased by 20.1% compared to 2024.

For 2025 compared to 2024, the decrease in interest revenue was due to a volume-related decrease of $0.4 billion and a rate-related

decrease of $1.3 billion. In successive 2025 quarters, we have reported $1.8 billion for first quarter revenue, $1.9 billion for second

quarter revenue, $1.9 billion for third quarter revenue and $1.6 billion for fourth quarter revenue.

Aggregate yield on earning assets in 2025 was 449 basis points, compared to 534 basis points in 2024.

The more significant revenue categories are discussed below. For information about the effects of changes in rates and business

volume, see <u>[Table 9.4](#i4e79b34f7a9d4f908caa3e4a8c11557b_4784)</u> Spread and Yield Analysis and <u>[Table 9.5](#i4e79b34f7a9d4f908caa3e4a8c11557b_4783)</u> Rate and Volume analysis.

***Advance*** — Interest income from advances decreased by $1.5 billion or 23.8% in 2025. Advances average balances were $100.5

billion in 2025 compared to $109.4 billion in 2024. Total advances to members decreased by $13.5 billion or 12.8% to $92.3 billion at

December 31, 2025. We ended the year 2025 with par advances at $92.5 billion.

As compared to 2024, lower market interest rates and lower advances average balances resulted in a $1.5 billion decrease on interest

income from advances. In summary, decreasing market interest rates negatively impacted yields from advances, primarily on

overnight and short-term advances and variable-rate advances that reset to lower rates. Advances yielded 467 basis points in 2025,

down from 563 basis points in 2024. Prepayment fees recorded in Interest income from advances were $11.9 million in 2025, up from

$4.2 million in 2024.

**Table 10.7 Advances Prepayment Fees (in thousands)**

---

| | | | |
|:---|:---|:---|:---|
|  | **Years Ended December 31,** | **Years Ended December 31,** | **Years Ended December 31,** |
|  | **2025** | **2024** | **2023** |
| Gross amount of prepayment fees received from advance borrowers | $17577 | $16888 | $2450 |
| Gross amount of prepayment credits paid to advance borrowers | (186) | (4160) | (3285) |
| Hedging fair value adjustments | (42) | 515 | 3693 |
| Other<sup>(a)</sup> | (6996) | (4064) | (655) |
| Total advance prepayment fees, net | $10353 | $9179 | $2203 |

---

*(a) Recognition of deferred prepayment fees.*

***Money Market Investments and U.S. Treasury Securities*** — We derive interest income from maintaining highly-liquid portfolios of

investments to meet liquidity regulatory requirements. Lower interest income from overnight invested funds, specifically federal funds

sold and interest bearing deposits was due to decrease in market yields in 2025 compared to 2024. Interest income from federal funds

sold was $0.7 billion, down from $1.0 billion. Federal funds sold yielded 432 basis points in aggregate in 2025, compared to 523 basis

points in 2024. Interest income from securities purchased under agreement to resell was $314.4 million, up from $250.5 million.

Average balances were $7.5 billion in 2025, compared to $4.8 billion in 2024. Securities purchased under agreement to resell yielded

421 basis points in aggregate in 2025, compared to 524 basis points in 2024. Interest income from fixed-rate U.S. Treasury securities

was $238.0 million in 2025, up from $195.7 million in 2024 due to an increase in average balances and increased interest rates; yields

increased to 316 basis points, compared to 310 basis points in 2024. The liquidity trading portfolio is comprised primarily of medium-

term, highly liquid fixed-rate U.S. Treasury securities that are available to enhance and meet our liquidity objectives. Securities are not

acquired for speculative purposes.

The earnings impact due to changes in market values of the securities outstanding (unrealized gains and losses) and realized gains and

losses on securities sold are recorded in Other income (below the margin) and are noted in <u>[Table 10.10](#i351179cf6b5d443195afd09d9ea4578c_4011)</u> Net Gains (Losses) on Trading

Securities Recorded in the Statements of Income, and discussions thereto. Fixed-rate treasury securities are hedged under economic

hedges utilizing swap contracts to synthetically convert fixed cash flows to variable cash flows. The interest settlements on the swaps

and changes in the fair values of the swap contracts are recorded in Other income (below the margin); our accounting policies require

us to record in Other income the cash flows and fair values on hedging that do not qualify under ASC 815 hedging (economic hedges).

***Mortgage-backed-securities***

Interest income from floating-rate MBS decreased by $50.8 million or 16.6% in 2025 compared to 2024 due primarily to lower yield.

We will seek to purchase GSE-issued floating-rate SOFR-indexed MBS at appropriate risk-return levels.

Interest income from fixed-rate MBS decreased by $15.2 million or 2.4% in 2025 compared to 2024 due to lower yield, which was

411 basis points in 2025, down from 431 basis points in 2024, partially offset by an increase in invested balances. Transaction volume

of fixed-rate MBS, as measured by average outstanding balance was $15.1 billion in 2025, compared to $14.7 billion in 2024.

***Mortgage loans held-for-portfolio*** — Interest income from mortgage loans was $98.4 million in 2025, compared to $81.5 million in

2024. Investment volume has increased, with acquisitions exceeding paydowns. MPF loans are primarily 15- and 30-year conventional

loans. The portfolio averaged $2.5 billion, yielding 398 basis points in 2025, compared to 362 basis points in 2024. We continue to see

prepayments although the pace of which has slowed, causing accelerated amortization of premiums, specifically on 20-year and 30-

year high-balance mortgage loans. Net amortization expense was $4.8 million in 2025, compared to net amortization of $4.1 million in

2024. The Bank's portfolio is largely at a premium price and amortization is sensitive to changes in prepayment speeds particularly in

a volatile interest rate environment. The Bank does not hedge mortgage loans in an ASC 815 hedge or an economic hedge.

As noted in the audited financial statements under <u>[Note 1](#i86ab1c8027bf40078d433ee31a4fe86a_51966)</u>. Summary of Significant Accounting Policies, we implemented a new

mortgage program, the Mortgage Asset Program in late March 2021. At December 31, 2025, mortgage loans under MAP were $1.2

billion (par amounts). Effective March 31, 2021, we ceased to accept mortgage commitments to purchase loans under the MPF

program; the MAP became our alternative to MPF. The outstanding MPF portfolio will continue to be serviced and managed under its

existing contractual agreements.

**Interest Expense**

Our primary source of funding is the issuance of Consolidated obligation bonds and discount notes to investors in the global debt

markets issued through the Office of Finance, the FHLBank's fiscal agent. Consolidated obligation bonds are generally medium- and

long-term bonds, while Consolidated obligation discount notes are short-term instruments. To fund our assets, our management

considers our interest rate risk and liquidity requirements in conjunction with consolidated obligation buyers' preferences and capital

market conditions when determining the characteristics of debt to be issued. Typically, we have used fixed-rate callable and non-

callable CO bonds to fund mortgage-related assets and advances. CO discount notes are generally issued to fund advances and

investments with shorter interest rate reset characteristics.

Changes in bond market rates, changes in intermediation volume (average interest-costing liabilities and interest-earning assets), the

mix of debt issuances between CO bonds and CO discount notes, and the impact of hedging strategies are the primary factors that

drive period-over-period changes in interest expense.

Derivative strategies are used to manage the interest rate risk inherent in fixed-rate debt. We execute our strategies by converting the

fixed-rate funding to floating-rate debt using swap contracts indexed to a risk-free benchmark interest rate. Our adopted hedging

benchmarks are SOFR-OIS and Federal Funds-OIS. For ASC 815 qualifying hedges of debt, swap interest settlements and fair value

gains and losses are recorded in interest expense together with the interest expense accrued on the hedged CO debt.

The principal categories of Interest expense are summarized below (dollars in thousands):

**Table 10.8 Interest Expense — Principal Categories**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Years Ended December 31,** | **Years Ended December 31,** | **Years Ended December 31,** | **Percentage** <br>**Change**<br>| **Percentage** <br>**Change**<br>|
|  | **2025** | **2024** | **2023** | **2025** | **2024** |
| **Interest Expense** |  |  |  |  |  |
| Consolidated obligations bonds |  |  |  |  |  |
| Fixed | $2130279 | $2801974 | $2861730 | (23.97)% | (2.09)% |
| Floating | 1432337 | 1926358 | 1997282 | (25.65) | (3.55) |
| Consolidated obligations discount notes | 2660677 | 3076599 | 2414738 | (13.52) | 27.41 |
| Deposits | 111816 | 125362 | 128252 | (10.81) | (2.25) |
| Mandatorily redeemable capital stock | 562 | 595 | 653 | (5.55) | (8.88) |
| Cash collateral held and other borrowings | 2060 | 942 | 2395 | 118.68 | (60.67) |
| Securities sold under agreement to repurchase | 12 |  |  | NM | NM |
| **Total interest expense** | $6337743 | $7931830 | $7405050 | (20.10)% | 7.11% |

---

Interest expense for 2025 was $6.3 billion, a decrease of 20.1% compared to 2024. (As noted elsewhere in this document, interest

income decreased by 19.4% compared to 2024).

The decrease in interest expense was driven by lower average balances in short-term Consolidated obligations outstanding and lower

market interest rates in 2025.

Rate-related decrease in funding expense was $1.3 billion and volume-related decrease in funding expense was $0.3 billion in 2025

compared to 2024. Aggregate yield paid on total funding in 2025 was 418 basis points, compared to 504 basis points in 2024.

We continue to make changes to our liability composition as compared to 2024. In 2025, 32.9% of average total interest-earning assets

were funded by fixed-rate CO bonds and 20.4% were funded by floating-rate CO bonds. In 2024, fixed-rate CO bonds funded 35.0%

of average total interest-earning assets and floating-rate CO bonds funded 21.7% of average total interest-earning assets. The usage of

CO discount notes has increased to 39.6% in 2025 from 36.2% in 2024.

Hedging strategies under ASC 815 have remained effective and are operating as designed. For more information, see <u>[Table 10.3](#i9a10247afc344488b752ed7bdc531607_5276)</u> Net

Interest Adjustments from Qualifying Hedge Interest Rate Swaps.

**Allowance for Credit Losses — 2025, 2024 and 2023**

Allowance for credit losses recorded on mortgage loans in the Statement of Condition was $3.7 million at December 31, 2025, $3.1

million at December 31, 2024, and $3.3 million at December 31, 2023. Allowance for credit losses recorded on investments was $0.1

million at December 31, 2025, $0.1 million at December 31, 2024, and $0.6 million at December 31, 2023. No allowance was

necessary on advances, other assets, and commitments.

**Analysis of Non-Interest Income (Loss) — 2025, 2024 and 2023**

The principal components of Non-interest income (loss) are summarized below (in thousands):

**Table 10.9 Other Income (Loss)**

---

| | | | |
|:---|:---|:---|:---|
|  | **Years Ended December 31,** | **Years Ended December 31,** | **Years Ended December 31,** |
|  | **2025** | **2024** | **2023** |
| **Other income (loss)** |  |  |  |
| Service fees and other <sup>(a)</sup> | $22184 | $21512 | $21182 |
| Instruments held under the fair value option gains (losses) <sup>(b)</sup> | (47325) | (72258) | (99223) |
| Derivative gains (losses) <sup>(c)</sup> | (21733) | 127644 | 30852 |
| Securities gains (losses) <sup>(d)</sup> | 137925 | 26049 | 110501 |
| Equity investments gains (losses) <sup>(e)</sup> | 11932 | 9644 | 12143 |
| Litigation settlement | 72 |  | 1624 |
| Gains (losses) from extinguishment of debt |  | 54 |  |
| **Total other income (loss)** | $103055 | $112645 | $77079 |

---

*(a)Service fees and other, net — Service fees are from providing correspondent banking services to members, primarily fees earned* 

*on standby financial letters of credit. Letters of credit are generally issued on behalf of members to units of state and local* 

*governments to collateralize their deposits at member banks. Fee income earned on financial letters of credit were $18.9 million* 

*in 2025 compared to $18.8 million in 2024 and $17.3 million in 2023. Immaterial amounts of fees paid, and other expenses were* 

*included in reported revenues.*

*(b)FVO Instruments — Net fair value gains and losses represented changes in fair values of CO bonds and CO discount notes* 

*elected under the FVO. For more information, see Fair Value Option Disclosures in <u>[Note 18.](#if286cb63988f47f99e44155f9e480529_25007)</u> Fair Values of Financial* 

*Instruments in this Form 10-K.*

*(c)See Table <u>[10.11](#i351179cf6b5d443195afd09d9ea4578c_4013)</u> Other Income (Loss) — Impact of Derivative Gains and Losses.*

*(d)Included in this amount is the gain from the sale of the PLMBS portfolio. See Table <u>[10.10](#i351179cf6b5d443195afd09d9ea4578c_4011)</u> Net Gains (Losses) on Trading* 

*Securities Recorded in the Statements of Income.*

*(e)Fair value gains (losses) on Equity investments — The grantor trusts invest in money market, equity and fixed income and bond* 

*funds, and funds are classified as equity investments. Daily net asset values (NAVs) are readily available and investments are* 

*redeemable at short notice. NAVs are the fair values of the funds in the grantor trusts. Gains and losses are typically unrealized,* 

*and primarily represent changes in portfolio valuations. The grantor trusts are owned by the FHLBNY with the objective of* 

*providing liquidity to pay for pension benefits to retirees vested in retirement plans.*

The following table summarizes unrealized and realized gains (losses) in the trading portfolio (in thousands):

**Table 10.10 Net Gains (Losses) on Trading Securities Recorded in the Statements of Income**

---

| | | | |
|:---|:---|:---|:---|
|  | **Years Ended December 31,** | **Years Ended December 31,** | **Years Ended December 31,** |
|  | **2025** | **2024** | **2023** |
| Net unrealized gains (losses) on trading securities held at period-end | $141472 | $24470 | $110974 |
| Net gains (losses) on trading securities sold/matured during the period | (4199) | 1579 | (473) |
| **Net gains (losses) on trading securities** | $137273 | $26049 | $110501 |

---

We have invested in short- and medium-term fixed-rate U.S. Treasury securities. The securities are not held for speculative trading,

rather held to satisfy liquidity requirements. Fluctuations in valuations are a factor of market demand and market yields of fixed-rate

U.S. Treasury securities. Securities classified as trading are carried at fair values. Changes in unrealized fair values and realized gains

(losses) are recorded in the Statements of Income as Other income. FHFA regulations prohibit trading in or the speculative use of

financial instruments. Par amounts of securities outstanding was $7.6 billion at December 31, 2025 and December 31, 2024.

**Other income (loss) — Derivatives and Hedging Activities — 2025, 2024 and 2023**

For derivatives that are not designated in qualifying hedge relationship (i.e. in an economic hedge), the derivatives are considered as a

"standalone" instrument and fair value changes are recorded in Other income (loss), without the offset of valuation of a hedged item.

Gains and losses recorded in Other income (loss) on standalone derivatives include net interest accruals.

The table presents fair value changes of derivatives in economic hedges (i.e. not in an ASC 815 qualifying hedge) in Other income

(loss):

**Table 10.11 Other Income (Loss) — Impact of Derivative Gains and Losses (in thousands)**

---

| | | | |
|:---|:---|:---|:---|
|  | **Impact on Other Income (Loss)**  | **Impact on Other Income (Loss)**  | **Impact on Other Income (Loss)**  |
|  | **Years Ended December 31,** | **Years Ended December 31,** | **Years Ended December 31,** |
|  | **2025** | **2024** | **2023** |
| **Derivatives not designated as hedging instruments** |  |  |  |
| Interest rate swaps <sup>(a)</sup> | $(130786) | $(13589) | $(109594) |
| Caps or floors | 850 | (147) | (804) |
| Mortgage delivery commitments | 1079 | (257) | (1552) |
| Swaps economically hedging instruments designated under FVO <sup>(b)</sup> | 47601 | 69876 | 94311 |
| Accrued interest on derivatives in economic hedging relationships <sup>(c)</sup> | 63630 | 71076 | 43475 |
| **Net gains (losses) related to derivatives not designated as hedging instruments** | $(17626) | $126959 | $25836 |
| **Price alignment amount** <sup>(d)</sup> | (4107) | 685 | 5016 |
| **Net gains (losses) on derivatives and hedging activities** | $(21733) | $127644 | $30852 |

---

Derivative gains and losses in the table above include both realized and unrealized fair value net gains and losses. Also includes swap

interest settlements on derivatives designated as standalone hedging instruments.

*(a)Represents fair value changes recorded in Other income, primarily interest rate swaps in economic hedges of U.S. Treasury fixed-*

*rate securities recorded fair value losses of $131.3 million, $17.1 million and $116.3 million in 2025, 2024 and 2023. The swaps* 

*are structured to mitigate the volatility of price changes of the liquidity portfolio of fixed-rate U.S. Treasury notes.*

*(b)Represents fair value changes recorded in Other income on interest rate swaps hedging CO debt elected under the FVO.*

*(c)Represents impact to Other income due to net interest settlements on standalone swap contracts. Net interest settlements are the* 

*interest accruals on swaps primarily in economic hedges of U.S. Treasury securities, debt and advances, and economic hedges of* 

*instruments elected under the FVO.*

*(d)Relates to derivatives for which variation margin payments are characterized as daily settled contracts.*

**Operating Expenses, Compensation and Benefits, and Other Expenses — 2025, 2024 and 2023**

The following table sets forth the major categories of operating expenses (dollars in thousands):

**Table 10.12 Operating Expenses, and Compensation and Benefits**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **Years Ended December 31,** | **Years Ended December 31,** | **Years Ended December 31,** | **Years Ended December 31,** | **Years Ended December 31,** | **Years Ended December 31,** |
|  | **2025** | **Percentage** <br>**of Total**<br>| **2024** | **Percentage** <br>**of Total**<br>| **2023** | **Percentage** <br>**of Total**<br>|
| Operating Expenses <sup>(a)</sup> |  |  |  |  |  |  |
| Compensation & Benefits | $123916 | 42.99% | $114708 | 41.11% | $102578 | 43.45% |
| Occupancy | 12283 | 4.26 | 12064 | 4.33 | 11905 | 5.04 |
| Depreciation | 16812 | 5.83 | 14548 | 5.21 | 15643 | 6.63 |
| Contractual and Computer Service Agreement | 54256 | 18.82 | 52184 | 18.70 | 41653 | 17.65 |
| Other Operating Expenses <sup>(b)</sup> | 12114 | 4.20 | 16768 | 6.00 | 15889 | 6.73 |
| Total Operating Expenses | 219381 | 76.10 | 210272 | 75.35 | 187668 | 79.50 |
| Voluntary Contributions | 37332 | 12.95 | 38027 | 13.63 | 20850 | 8.83 |
| Finance Agency and Office of Finance <sup>(c)</sup> | 23443 | 8.13 | 22502 | 8.06 | 20352 | 8.62 |
| Other Expenses <sup>(d)</sup> | 8132 | 2.82 | 8242 | 2.96 | 7189 | 3.05 |
| Total Operating Expenses and Others | $288288 | 100.00% | $279043 | 100.00% | $236059 | 100.00% |

---

*(a)Operating expenses included the administrative and overhead costs of operating the FHLBNY, as well as the operating costs of* 

*providing advances and managing collateral associated with the advances, managing the investment portfolios, and providing* 

*correspondent banking services to members.*

*(b)The category "Other Operating Expenses" included temporary workers, contractual services, professional and legal fees, audit* 

*fees, director fees and expenses, insurance, and telecommunications.*

*(c)We are assessed for our share of the operating expenses for the Finance Agency and the Office of Finance. The FHLBanks and* 

*two other GSEs share the entire cost of the Finance Agency. Expenses are allocated by the Finance Agency and the Office of* 

*Finance.*

*(d)The category "Other Expense" included non-service elements of net periodic pension benefit costs, MPF transaction fees and* 

*derivative clearing fees.*

**Assessments — 2025, 2024 and 2023**

For more information about assessments, see Affordable Housing Program and Other Mission Related Programs and Assessments

under Part I Item 1 Business in this Form 10-K.

The following table provides roll forward information with respect to changes in Affordable Housing Program liabilities (in

thousands):

**Table 11.1 Affordable Housing Program Liabilities**

---

| | | | |
|:---|:---|:---|:---|
|  | **Years Ended December 31,** | **Years Ended December 31,** | **Years Ended December 31,** |
|  | **2025** | **2024** | **2023** |
| **Beginning balance** | $231447 | $187027 | $131394 |
| Additions from current period's assessments | 66702 | 82119 | 83531 |
| Voluntary Contribution | 11300 | 18100 | 12663 |
| Supplemental Contribution | 4779 | 4770 |  |
| Net disbursements for grants and programs | (66404) | (60569) | (40561) |
| **Ending balance** | $247824 | $231447 | $187027 |

---

AHP assessments allocated from net income totaled $66.7 million in 2025, $82.1 million in 2024 and $83.5 million in 2023.

Assessments are calculated as a percentage of net income, and the changes in allocations were in tandem with changes in net income.

**Voluntary Contributions**

The Bank is statutorily required to set aside 10% of its profits to support affordable housing each year. These funds assist members in

serving very low-, low- or moderate-income households. In addition to statutory AHP assessments, the Bank stated in a March 2023

public comment letter to the FHFA that we had targeted making voluntary contributions of approximately 5% of our earnings in

support of affordable housing and community investment initiatives, collectively referred to as voluntary contributions, and committed

to making voluntary contributions representing 5% or more of our prior year earnings beginning in 2024. For the year ended

December 31, 2025, the Bank contributed $43.5 million to voluntary housing and community development programs. The $43.4

million commitment represents 5.0% in voluntary contributions as a percentage of 2024 pre-assessment income. In addition, we also

contributed $4.8 million in a supplemental voluntary contribution to AHP for a total amount of $48.3 million in voluntary

contributions.

The following tables provide a summary of the Banks voluntary contribution results for the years ended December 31, 2025 and 2024

(in thousands):

**Table 12.1 Voluntary Contribution Commitment and Fulfillment**

---

| | | |
|:---|:---|:---|
|  | **Years ended December 31,** | **Years ended December 31,** |
|  | **2025** | **2024** |
| Voluntary contribution commitment | $43444 | $42926 |
| Voluntary contribution fulfillment | 43504 | 42928 |
| **Excess over commitment** | $60 | $2 |
| **Fulfillment, as a % of prior year net income subject to assessment, as adjusted** | 5.01% | 5.14% |
| Voluntary contribution fulfillment | $43504 | $42928 |
| Supplemental voluntary contributions to AHP <sup>(a)</sup> | 4779 | 4770 |
| **Total voluntary contributions, including supplemental contributions to AHP assessment** | $48283 | $47698 |

---

*(a)Because voluntary contributions are recorded as expenses in the income statement, the contributions reduce the Bank's net* 

*income before assessments. This, in turn, would reduce the statutory AHP assessment. As such, the Bank has committed to a "do* 

*no harm" provision by making a supplemental voluntary contribution to AHP in an amount that would restore the statutory AHP* 

*assessment to the amount it would have been if the Bank had not made the voluntary contributions.*

For the year ended December 31, 2025, the total of statutory AHP assessment expense and voluntary contribution fulfillment,

including the supplemental voluntary contributions to AHP, was $115.0 million.

**Table 12.2 Voluntary Housing and Community Investment Expenses**

---

| | | |
|:---|:---|:---|
|  | **Years ended December 31,** | **Years ended December 31,** |
|  | **2025** | **2024** |
| Voluntary AHP expenses | $11300 | $18100 |
| Voluntary supplemental AHP expenses | 4779 | 4770 |
| Affordable Housing | 9363 | 5468 |
| Small Business Recovery Grant | 7608 | 5000 |
| Charitable Contributions | 3592 | 4457 |
| Other | 690 | 232 |
| **Total voluntary housing & community investment expense** | $37332 | $38027 |

---

For the years ended December 31, 2025 and 2024, the Bank expensed $37.3 million and $38.0 million, which consisted of voluntary

AHP contribution expenses, supplemental voluntary AHP contribution expenses, voluntary grants and donations and other community

investment and housing expenses.

**Table 12.3 Voluntary Contribution Fulfillment**

---

| | | |
|:---|:---|:---|
|  | **Years ended December 31,** | **Years ended December 31,** |
|  | **2025** | **2024** |
| **Voluntary contributions** |  |  |
| Interest income | $10951 | $9671 |
| Non-interest expense <sup>(a)</sup> | 32553 | 33257 |
| **Voluntary contribution fulfillment** | $43504 | $42928 |

---

*(a)Excludes $4.8 million of supplemental voluntary contributions to AHP in 2025. Because voluntary contributions are recorded as* 

*expenses in the income statement, the contributions reduce the Bank's net income before assessments. This, in turn, would reduce* 

*the statutory AHP assessment. As such, the Bank has committed to a "do no harm" provision by making a supplemental voluntary* 

*contribution to AHP in an amount that would restore the statutory AHP assessment to the amount it would have been if the Bank* 

*had not made the voluntary contributions.*

Figures 12.4 and 12.5 present the composition of the Banks fulfillment of voluntary contributions, by attribute, for the years ended

December 31, 2025 and 2024.

![2818](fhlbny-20251231_g2.gif)

![2819](fhlbny-20251231_g3.gif)

**Item 7A. Quantitative and Qualitative Disclosures about Market Risk.**

***Market Risk Management****.* Market risk or interest rate risk (IRR) is the risk of change to market value or future earnings due to a

change in the interest rate environment. IRR arises from the Banks operation due to maturity mismatches between interest rate

sensitive cash-flows of assets and liabilities. As the maturity mismatch increases so does the level of IRR. The Bank has opted to

retain a modest level of IRR which allows for the preservation of capital value while generating steady and predictable income.

Accordingly, the balance sheet consists of predominantly short-term instruments and assets and liabilities synthetically swapped to

floating-rate indices. A conservative and limited maturity gap profile of asset and liability positions protect our capital from changes in

value arising from a volatile interest rate environment.

The desired risk profile is primarily affected by the use of interest rate exchange agreements (Swaps) which the Bank uses to match

asset and liability index exposure. SOFR is the dominant index utilized by the Bank. Index matching allows for a relatively steady

income that changes in concert with prevailing interest rate changes to maintain a spread to short-term rates.

Although the Bank maintains a conservative IRR profile, income variability does arise from structural aspects in our portfolio

including embedded prepayment rights, basis risk on asset and liability positions, yield curve risk, liquidity risk and funding risk.

These varied risks are controlled by monitoring IRR measures including repricing gaps, duration of equity (DOE), value at risk (VaR),

net interest income (NII) at risk, key rate durations (KRD) and forecasted dividend rate sensitivities.

***Risk Measurements.*** Our Risk Management Policy assigns comprehensive risk limits which we calculate on a regular basis. The

below limits were established in 2024 based on an anticipated market conditions and business strategy for 2025. The current risk limits

are as follows:

• The option-adjusted DOE is limited to a range of +4.0 years to -5.0 years in the rates unchanged case, and to a range of

+/-5.0 years in the +/-200bps shock cases.

• The one-year cumulative repricing gap is limited to 10 percent of total assets.

• The sensitivity of expected net interest income over a one-year period is limited to a -17.5 percent change under the +200bps

shock compared to the rates in the forward rate scenario. The sensitivity of expected net interest income over a one-year

period is limited to a -30 percent change under the -200bps shock compared to the rates in the forward rate scenario. This

metric measures the Bank's sensitivity of earnings to changes in the level of rates along the yield curve and allowed for

negative rates.

• The potential decline in the market value of equity (MVE) is limited to a 10 percent change under the +/-200bps shocks.

• KRD exposure at any of six term points 3-year and under (1-month, 3-month, 6-month, 1-year, 2-year and 3-year) is limited

to between +/-20 months through the 3-year term point and a cumulative limit of +/-30 months from the 5-year through 30-

year term points specific to the investment portfolio. Both of these quarterly observations are well within their limits.

Our portfolio, including derivatives, is tracked and the overall mismatch net of derivatives between assets and liabilities is summarized

by using a DOE measure. Our last five quarterly DOE results are shown in years in the table below:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Base Case DOE** | **-200bps DOE** | **-100bps DOE** | **+200bps DOE** |
| December 31, 2025 | 1.63 | 1.25 | 1.33 | 2.17 |
| September 30, 2025 | 1.34 | 1.00 | 1.08 | 1.90 |
| June 30, 2025 | 0.56 | 0.47 | 0.56 | 1.07 |
| March 31, 2025 | 0.67 | 0.51 | 0.62 | 1.09 |
| December 31, 2024 | 0.50 | 0.28 | 0.39 | 1.04 |

---

Duration indicates any cumulative repricing/maturity imbalance in the portfolio's financial assets and liabilities. Duration of Equity

(DOE) is the Market Value of Equity's (MVE) sensitivity to a change in the level of interest rates expressed in years. MVE is

calculated as market value of assets minus market value of liabilities. A positive DOE indicates a decrease to MVE if interest rates go

higher, a negative DOE indicates a decrease to MVE if interest rates go lower. We measure DOE using software that generates a full

revaluation incorporating optionality within our portfolio using well-known and tested financial pricing theoretical models. The DOE

calculation also incorporates non-interest-bearing financial assets and liabilities.

We do not solely rely on the DOE measure as a mismatch measure between assets and liabilities. We analyze open key rate duration

exposure across maturity buckets while also performing a more traditional gap measure that subtracts repricing/maturing liabilities

from repricing/maturing assets over time. We observe the differences over various horizons and have set a 10 percent limit on asset on

cumulative repricing at the one-year point. This quarterly observation of the one-year cumulative repricing gap is provided in the table

below and all values are below 10 percent of assets, well within the limit:

---

| | |
|:---|:---|
|  | **One Year Re-pricing Gap** |
| December 31, 2025 | 6.740 Billion |
| September 30, 2025 | 7.206 Billion |
| June 30, 2025 | 8.685 Billion |
| March 31, 2025 | 8.093 Billion |
| December 31, 2024 | 8.990 Billion |

---

Our review of potential interest rate risk issues also includes the effect of changes in interest rates on expected net income. We project

asset and liability volumes and spreads over a one-year horizon and then simulate expected income and expenses from those volumes

and other inputs. The effects of changes in interest rates are generated to measure the Bank's net interest income sensitivity over the

coming 12-month period. To measure the effect, a parallel shift of +200bps is calculated and compared against the forward rate

scenario and subjected to a -17.5 percent limit. The sensitivity of expected net interest income over a one-year period is limited to a

-30 percent change under the -200bps shock compared to the rates in the forward rate scenario. Given the higher rate environment, the

Bank will be generating income sensitivity to larger down rate scenarios.

---

| | | | |
|:---|:---|:---|:---|
|  | **Sensitivity in the** <br>**-200bps Shock**<br>| **Sensitivity in the** <br>**-100bps Shock**<br>| **Sensitivity in the** <br>**+200bps Shock**<br>|
| December 31, 2025 | 5.53% | 2.82% | (7.82)% |
| September 30, 2025 | 5.15% | 2.73% | (6.96)% |
| June 30, 2025 | —% | (0.16)% | (0.57)% |
| March 31, 2025 | 0.35% | 0.32% | 1.56% |
| December 31, 2024 | 1.28% | 0.96% | (1.84)% |

---

Aside from net interest income, the other significant impact on changes in the interest rate environment is the potential impact on the

value of the portfolio. These calculated and quoted market values are estimated based upon their financial attributes (including

optionality) and then re-estimated under the assumption that interest rates suddenly rise or fall by 200bps. The worst effect, whether it

is the up or the down shock, is compared to the internal limit of 10 percent. The quarterly potential maximum decline in the MVE

under these 200bps shocks is provided below:

---

| | | | |
|:---|:---|:---|:---|
|  | **-200bps Change** <br>**in MVE**<br>| **-100bps Change** <br>**in MVE**<br>| **+200bps Change** <br>**in MVE**<br>|
| December 31, 2025 | 2.79% | 1.51% | (3.73)% |
| September 30, 2025 | 2.28% | 1.24% | (3.10)% |
| June 30, 2025 | 1.11% | 0.59% | (1.51)% |
| March 31, 2025 | 1.24% | 0.68% | (1.65)% |
| December 31, 2024 | 0.80% | 0.46% | (1.46)% |

---

As noted, the potential declines under these shocks are within our limits of a maximum 10 percent.

The following tables display the portfolio's maturity/repricing gaps (in millions):

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Interest Rate Sensitivity December 31, 2025** | **Interest Rate Sensitivity December 31, 2025** | **Interest Rate Sensitivity December 31, 2025** | **Interest Rate Sensitivity December 31, 2025** | **Interest Rate Sensitivity December 31, 2025** |
|  | **Six Months** <br>**or Less**<br>| **More Than** <br>**Six Months to** <br>**One Year**<br>| **More Than** <br>**One Year to** <br>**Three Years**<br>| **More Than** <br>**Three Years to** <br>**Five Years**<br>| **More Than** <br>**Five Years**<br>|
| Interest-earning assets: |  |  |  |  |  |
| Non-MBS investments | $32418 | $138 | $1550 | $547 | $1746 |
| Swaps hedging Non-MBS Investments | 900 |  | (900) |  |  |
| MBS investments | 5328 | 1233 | 3684 | 3024 | 7589 |
| Swaps hedging MBS | 7945 |  | (610) | (1234) | (6101) |
| Adjustable-rate loans and advances | 32701 | 1 |  |  |  |
| Net investments, adjustable rate loans and advances | 79292 | 1372 | 3724 | 2337 | 3234 |
| Liquidity trading portfolio | 1188 | 1119 | 4051 | 243 |  |
| Swaps hedging investments | 5434 | (1130) | (4054) | (250) |  |
| Net liquidity trading portfolio | 6622 | (11) | (3) | (7) |  |
| Fixed-rate loans and advances | 27297 | 9537 | 15795 | 6445 | 689 |
| Swaps hedging fixed-rate advances | 32100 | (9563) | (15467) | (6383) | (687) |
| Net fixed-rate loans and advances | 59397 | (26) | 328 | 62 | 2 |
| **Total interest-earning assets** | $145311 | $1335 | $4049 | $2392 | $3236 |
| Interest-bearing liabilities: |  |  |  |  |  |
| Deposits | $3072 | $— | $— | $— | $— |
| Discount notes | 72919 | 3108 |  |  |  |
| Swaps hedging discount notes | 1824 | (2792) | 801 | 70 | 97 |
| Net discount notes | 74743 | 316 | 801 | 70 | 97 |
| Consolidated Obligation Bonds |  |  |  |  |  |
| FHLBank bonds | 44767 | 6571 | 11524 | 2737 | 2933 |
| Swaps hedging bonds | 15920 | (5483) | (7720) | (1055) | (1662) |
| Net FHLBank bonds | 60687 | 1088 | 3804 | 1682 | 1271 |
| **Total interest-bearing liabilities** | $138502 | $1404 | $4605 | $1752 | $1368 |
| Post hedge gaps <sup>(a)</sup>: |  |  |  |  |  |
| Periodic gap | $6809 | $(69) | $(556) | $640 | $1868 |
| Cumulative gaps | $6809 | $6740 | $6184 | $6824 | $8692 |

---

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Interest Rate Sensitivity December 31, 2024** | **Interest Rate Sensitivity December 31, 2024** | **Interest Rate Sensitivity December 31, 2024** | **Interest Rate Sensitivity December 31, 2024** | **Interest Rate Sensitivity December 31, 2024** |
|  | **Six Months** <br>**or Less**<br>| **More Than** <br>**Six Months to** <br>**One Year**<br>| **More Than** <br>**One Year to** <br>**Three Years**<br>| **More Than** <br>**Three Years to** <br>**Five Years**<br>| **More Than** <br>**Five Years**<br>|
| Interest-earning assets: |  |  |  |  |  |
| Non-MBS investments | $24685 | $128 | $424 | $347 | $1331 |
| MBS investments | 5228 | 652 | 2858 | 4044 | 7410 |
| Swaps hedging MBS | 6985 |  | (50) | (1033) | (5902) |
| Adjustable-rate loans and advances | 49826 | 120 |  |  |  |
| Net investments, adjustable rate loans and advances | 86724 | 900 | 3232 | 3359 | 2839 |
| Liquidity trading portfolio |  | 2364 | 2780 | 2332 |  |
| Swaps hedging investments | 7578 | (2352) | (2851) | (2375) |  |
| Net liquidity trading portfolio | 7578 | 13 | (71) | (43) |  |
| Fixed-rate loans and advances | 25743 | 4215 | 16526 | 8336 | 1784 |
| Swaps hedging fixed-rate advances | 30076 | (3983) | (16187) | (8129) | (1778) |
| Net fixed-rate loans and advances | 55819 | 232 | 339 | 207 | 7 |
| **Total interest-earning assets** | $150120 | $1145 | $3500 | $3522 | $2846 |
| Interest-bearing liabilities: |  |  |  |  |  |
| Deposits | $2415 | $— | $— | $— | $— |
| Discount notes | 64535 | 3321 |  |  |  |
| Swaps hedging discount notes | 1684 | (3051) | 782 | 418 | 167 |
| Net discount notes | 66219 | 270 | 782 | 418 | 167 |
| Consolidated Obligation Bonds |  |  |  |  |  |
| FHLBank bonds | 46598 | 4562 | 20229 | 6373 | 3454 |
| Swaps hedging bonds | 26366 | (4156) | (17764) | (2724) | (1722) |
| Net FHLBank bonds | 72964 | 407 | 2465 | 3650 | 1732 |
| **Total interest-bearing liabilities** | $141598 | $677 | $3247 | $4068 | $1899 |
| Post hedge gaps <sup>(a)</sup>: |  |  |  |  |  |
| Periodic gap | $8522 | $468 | $253 | $(545) | $947 |
| Cumulative gaps | $8522 | $8990 | $9243 | $8698 | $9645 |

---

*(a)Repricing gaps are estimated at the scheduled rate reset dates for floating rate instruments, and at maturity for fixed rate* 

*instruments. For callable instruments, the repricing period is estimated by the earlier of the estimated call date under the current* 

*interest rate environment or the instrument's contractual maturity.*

**Item 8. Financial Statements.**

---

| | |
|:---|:---|
|  | **PAGE** |
| Financial Statements |  |
| [Management's Report on Internal Control over Financial Reporting](#i254f72b682ef4373a7f693751d2cd78f_118) | [92](#i254f72b682ef4373a7f693751d2cd78f_118) |
| [Report of Independent Registered Public Accounting Firm](#i254f72b682ef4373a7f693751d2cd78f_121) (PCAOB ID 238) | [93](#i254f72b682ef4373a7f693751d2cd78f_121) |
| [Statements of Condition as of December 31, 2025 and 2024](#i254f72b682ef4373a7f693751d2cd78f_124) | [95](#i254f72b682ef4373a7f693751d2cd78f_124) |
| [Statements of Income for the Years Ended December 31, 2025, 2024 and 202](#i254f72b682ef4373a7f693751d2cd78f_127)3 | [96](#i254f72b682ef4373a7f693751d2cd78f_127) |
| [Statements of Comprehensive Income for the Years Ended December 31, 2025, 2024 and 202](#i254f72b682ef4373a7f693751d2cd78f_130)3 | [97](#i254f72b682ef4373a7f693751d2cd78f_130) |
| [Statements of Capital for the Years Ended December 31, 2025, 2024 and 202](#i254f72b682ef4373a7f693751d2cd78f_130)3 | [98](#i254f72b682ef4373a7f693751d2cd78f_133) |
| [Statements of Cash Flows for the Years Ended December 31, 2025, 2024 and 202](#i254f72b682ef4373a7f693751d2cd78f_136)3 | [99](#i254f72b682ef4373a7f693751d2cd78f_136) |
| [Notes to Financial Statements](#i254f72b682ef4373a7f693751d2cd78f_2951) | [101](#i254f72b682ef4373a7f693751d2cd78f_2951) |

---

**Federal Home Loan Bank of New York**

**Management's Report on Internal Control over Financial Reporting**

The management of the Federal Home Loan Bank of New York (the "Bank") is responsible for establishing and maintaining adequate

internal control over financial reporting. The Bank's internal control over financial reporting is designed by, or under the supervision

of, the Principal Executive Officer and the Principal Financial Officer to provide reasonable assurance regarding the reliability of

financial reporting and the preparation of financial statements for external reporting purposes in accordance with accounting principles

generally accepted in the United States of America.

Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections

of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in

conditions or that the degree of compliance with the policies or procedures may deteriorate. The Bank's management assessed the

effectiveness of the Bank's internal control over financial reporting as of December 31, 2025. In making this assessment, it used the

criteria set forth by the Committee of Sponsoring Organizations of the Treadway Commission (COSO) in *Internal Control-Integrated* 

*Framework (2013)*. Based on its assessment, management of the Bank determined that as of December 31, 2025, the Bank's internal

control over financial reporting was effective based on those criteria.

PricewaterhouseCoopers LLP, the Bank's independent registered public accounting firm that audited the accompanying Financial

Statements has also issued an audit report on the effectiveness of internal control over financial reporting. Their report appears on the

following page.

![PwC Logo image.jpg](fhlbny-20251231_g4.jpg)

**Report of Independent Registered Public Accounting Firm**

To the Board of Directors and Shareholders of the Federal Home Loan Bank of New York

***Opinions on the Financial Statements and Internal Control over Financial Reporting***

We have audited the accompanying statements of condition of the Federal Home Loan Bank of New York (the "Company") as of

December 31, 2025 and 2024, and the related statements of income, of comprehensive income, of capital and of cash flows for each of

the three years in the period ended December 31, 2025, including the related notes (collectively referred to as the "financial

statements"). We also have audited the Company's internal control over financial reporting as of December 31, 2025, based on criteria

established in *Internal Control - Integrated Framework* (2013) issued by the Committee of Sponsoring Organizations of the Treadway

Commission (COSO).

In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of the Company

as of December 31, 2025 and 2024, and the results of its operations and its cash flows for each of the three years in the period ended

December 31, 2025 in conformity with accounting principles generally accepted in the United States of America. Also in our opinion,

the Company maintained, in all material respects, effective internal control over financial reporting as of December 31, 2025, based on

criteria established in *Internal Control - Integrated Framework* (2013) issued by the COSO.

***Basis for Opinions***

The Company's management is responsible for these financial statements, for maintaining effective internal control over financial

reporting, and for its assessment of the effectiveness of internal control over financial reporting, included in the accompanying

Management's Report on Internal Control over Financial Reporting. Our responsibility is to express opinions on the Company's

financial statements and on the Company's internal control over financial reporting based on our audits. We are a public accounting

firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent

with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the

Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audits

to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud,

and whether effective internal control over financial reporting was maintained in all material respects.

Our audits of the financial statements included performing procedures to assess the risks of material misstatement of the financial

statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining,

on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the

accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the

financial statements. Our audit of internal control over financial reporting included obtaining an understanding of internal control over

financial reporting, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness

of internal control based on the assessed risk. Our audits also included performing such other procedures as we considered necessary

in the circumstances. We believe that our audits provide a reasonable basis for our opinions.

PricewaterhouseCoopers LLP,

300 Madison Avenue,

New York, New York 10017

**www.pwc.com/us**(646) 471 3000,

![PwC Logo image.jpg](fhlbny-20251231_g4.jpg)

***Definition and Limitations of Internal Control over Financial Reporting***

A company's internal control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of

financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting

principles. A company's internal control over financial reporting includes those policies and procedures that (i) pertain to the

maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the

company; (ii) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in

accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in

accordance with authorizations of management and directors of the company; and (iii) provide reasonable assurance regarding

prevention or timely detection of unauthorized acquisition, use, or disposition of the company's assets that could have a material effect

on the financial statements.

Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections

of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in

conditions, or that the degree of compliance with the policies or procedures may deteriorate.

***Critical Audit Matters***

The critical audit matter communicated below is a matter arising from the current period audit of the financial statements that was

communicated or required to be communicated to the audit committee and that (i) relates to accounts or disclosures that are material to

the financial statements and (ii) involved our especially challenging, subjective, or complex judgments. The communication of critical

audit matters does not alter in any way our opinion on the financial statements, taken as a whole, and we are not, by communicating

the critical audit matter below, providing a separate opinion on the critical audit matter or on the accounts or disclosures to which it

relates.

*Valuation of Interest-Rate Swap Derivatives*

As described in <u>[Notes 17](#i6c3430ab7878424294d082eb431c8f84_11139)</u> and <u>[Note 18](#if286cb63988f47f99e44155f9e480529_25007)</u> to the financial statements, as of December 31, 2025, the fair value of the Bank's derivative

assets and liabilities was $99.5 million and $4.1 million, respectively, the majority of which related to interest-rate swap derivatives.

Discounted cash flow analysis is the primary methodology employed by management's valuation model to measure the fair value of

interest-rate swap derivatives. Management's valuation model employs industry standard market-observable inputs, including the

discount rate, forward interest rate, and volatility assumptions.

The principal considerations for our determination that performing procedures relating to the valuation of interest-rate swap

derivatives is a critical audit matter are (i) the high degree of audit effort in performing procedures related to the valuation of interest-

rate swap derivatives; and (ii) the audit effort involved the use of professionals with specialized skill and knowledge.

Addressing the matter involved performing procedures and evaluating audit evidence in connection with forming our overall opinion

on the financial statements. These procedures included testing the effectiveness of controls relating to the valuation of interest-rate

swap derivatives. These procedures also included, among others, (i) testing the completeness and accuracy of certain data provided by

management and (ii) the involvement of professionals with specialized skill and knowledge to assist in evaluating the reasonableness

of management's estimate by (a) developing an independent estimate of fair value for a sample of interest-rate swap derivatives using

independent market-observable inputs, including the discount rate, forward interest rate, and volatility assumptions and (b) comparing

the independently developed estimate of fair value to management's estimate.

/s/ PricewaterhouseCoopers LLP

New York, New York

March 20, 2026

We have served as the Company's auditor since 1990.

**Federal Home Loan Bank of New York**

**Statements of Condition — (In Thousands, Except Par Value of Capital Stock)**

**As of December 31, 2025 and December 31, 2024**

---

| | | |
|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2024** |
| **Assets** |  |  |
| Cash and due from banks (Note 3) | $38192 | $26141 |
| Interest-bearing deposits (Note 4) | 2960000 | 2770000 |
| Securities purchased under agreements to resell (Note 4) | 15950000 | 10895000 |
| Federal funds sold (Note 4) | 11550000 | 9415000 |
| Trading securities (Note 5) (Includes $845,578 pledged as collateral at December 31, 2025 and $802,969 at December 31, 2024) | 7387187 | 7237940 |
| Equity Investments (Note 6) | 103707 | 95422 |
| Available-for-sale securities, amortized cost of $12,377,325 at December 31, 2025 and $10,152,921 at December 31, 2024 (Note 7) | 12345845 | 9987284 |
| Held-to-maturity securities, net of allowance for credit losses of $76 at December 31, 2025 and $649 at December 31, 2024 (Note 8) <br>(Includes $0 pledged as collateral at December 31, 2025 and $2,144 at December 31, 2024)<br>| 10490167 | 10865935 |
| Advances (Note 9) (Includes $0 at December 31, 2025 and December 31, 2024 at fair value under the fair value option) | 92306684 | 105838238 |
| Mortgage loans held-for-portfolio, net of allowance for credit losses of $3,691 at December 31, 2025 and $3,054 at December 31, 2024 <br>(Note 10)<br>| 2644449 | 2345395 |
| Accrued interest receivable | 523973 | 571199 |
| Premises, software, and equipment | 84524 | 78966 |
| Operating lease right-of-use assets (Note 19) | 44289 | 49550 |
| Finance lease right-of-use asset (Note 19) | 1532 | 2003 |
| Derivative assets (Note 17) | 99548 | 97344 |
| Other assets | 14896 | 24531 |
| **Total assets** | $156544993 | $160299948 |
| **Liabilities and capital** |  |  |
| **Liabilities** |  |  |
| Deposits (Note 11) |  |  |
| Interest-bearing demand | 3071958 | 2415356 |
| Non-interest-bearing demand | 18003 | 14028 |
| Total deposits | 3089961 | 2429384 |
| Consolidated obligations, net (Note 12) |  |  |
| Bonds (Includes $556,866 at December 31, 2025 and $1,704,115 at December 31, 2024 at fair value under the fair value option) | 68466741 | 80552135 |
| Discount notes (Includes $577,958 at December 31, 2025 and $0 at December 31, 2024 at fair value under the fair value option) | 76019517 | 67858939 |
| Total consolidated obligations | 144486258 | 148411074 |
| Mandatorily redeemable capital stock (Note 14) | 7585 | 4509 |
| Accrued interest payable | 470265 | 604267 |
| Affordable Housing Program (Note 13) | 247824 | 231447 |
| Derivative liabilities (Note 17) | 4097 | 13357 |
| Other liabilities | 167633 | 133503 |
| Operating lease liabilities (Note 19) | 54696 | 60853 |
| Finance lease liabilities (Note 19) | 1571 | 2025 |
| **Total liabilities** | 148529890 | 151890419 |
| **Commitments and Contingencies (Notes 14, 17 and 19)** |  |  |
| **Capital** (Note 14) |  |  |
| Capital stock ($100 par value), putable, issued and outstanding shares: |  |  |
| 54,111 at December 31, 2025 and 60,496 at December 31, 2024 | 5411075 | 6014414 |
| Retained earnings |  |  |
| Unrestricted | 1286417 | 1286317 |
| Restricted (Note 14) | 1328728 | 1208776 |
| Total retained earnings | 2615145 | 2495093 |
| Total accumulated other comprehensive income (loss) | (11117) | (99978) |
| **Total capital** | 8015103 | 8409529 |
| **Total liabilities and capital** | $156544993 | $160299948 |

---

The accompanying notes are an integral part of these financial statements.

**Federal Home Loan Bank of New York**

**Statements of Income — (In Thousands, Except Per Share Data)**

**Years Ended December 31, 2025, 2024 and 2023**

---

| | | | |
|:---|:---|:---|:---|
|  | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** |
|  | **2025** | **2024** | **2023** |
| Interest income |  |  |  |
| Advances, net (Note 9) | $4696546 | $6165285 | $5988659 |
| Interest-bearing deposits (Note 4) | 139040 | 182832 | 202359 |
| Securities purchased under agreements to resell (Note 4) | 314367 | 250479 | 248042 |
| Federal funds sold (Note 4) | 741308 | 1016419 | 883122 |
| Trading securities (Note 5) | 238010 | 195660 | 134753 |
| Available-for-sale securities (Note 7) | 524443 | 518508 | 438091 |
| Held-to-maturity securities (Note 8) | 437023 | 507926 | 435381 |
| Mortgage loans held-for-portfolio (Note 10) | 98402 | 81502 | 69908 |
| Loans to other FHLBanks (Note 20) | 367 |  | 72 |
| **Total interest income** | 7189506 | 8918611 | 8400387 |
| Interest expense |  |  |  |
| Consolidated obligation bonds (Note 12) | 3562616 | 4728332 | 4859012 |
| Consolidated obligation discount notes (Note 12) | 2660677 | 3076599 | 2414738 |
| Deposits (Note 11) | 111816 | 125362 | 128252 |
| Mandatorily redeemable capital stock (Note 14) | 562 | 595 | 653 |
| Cash collateral held and other borrowings | 2060 | 942 | 2395 |
| Securities sold under agreement to repurchase | 12 |  |  |
| **Total interest expense** | 6337743 | 7931830 | 7405050 |
| **Net interest income before provision for credit losses** | 851763 | 986781 | 995337 |
| Provision (Reversal) for credit losses | 70 | (212) | 1695 |
| **Net interest income after provision for credit losses** | 851693 | 986993 | 993642 |
| Other income (loss) |  |  |  |
| Service fees and other | 22184 | 21512 | 21182 |
| Instruments held under the fair value option gains (losses) (Note 18) | (47325) | (72258) | (99223) |
| Derivative gains (losses) (Note 17) | (21733) | 127644 | 30852 |
| Securities gains (losses) (Note 5 & Note 8) | 137925 | 26049 | 110501 |
| Equity investments gains (losses) (Note 6) | 11932 | 9644 | 12143 |
| Litigation settlement | 72 |  | 1624 |
| Gains (losses) from extinguishment of debt |  | 54 |  |
| **Total other income (loss)** | 103055 | 112645 | 77079 |
| Other expenses |  |  |  |
| Operating | 95465 | 95564 | 85090 |
| Compensation and benefits | 123916 | 114708 | 102578 |
| Voluntary Contributions (Note 13) | 37332 | 38027 | 20850 |
| Finance Agency and Office of Finance | 23443 | 22502 | 20352 |
| Other expenses | 8132 | 8242 | 7189 |
| **Total other expenses** | 288288 | 279043 | 236059 |
| **Income before assessments** | 666460 | 820595 | 834662 |
| Affordable Housing Program Assessments (Note 13) | 66702 | 82119 | 83531 |
| **Net income** | $599758 | $738476 | $751131 |
| **Basic earnings per share (Note 15)** | $10.39 | $12.01 | $12.15 |

---

The accompanying notes are an integral part of these financial statements.

**Federal Home Loan Bank of New York**

**Statements of Comprehensive Income — (In Thousands)**

**Years Ended December 31, 2025, 2024 and 2023**

---

| | | | |
|:---|:---|:---|:---|
|  | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** |
|  | **2025** | **2024** | **2023** |
| Net Income | $599758 | $738476 | $751131 |
| Other Comprehensive income (loss) |  |  |  |
| Net change in unrealized gains (losses) on available-for-sale securities | 404941 | (87052) | 95488 |
| Net change in non-credit portion on held-to-maturity securities | 569 | 194 | 235 |
| Net change due to hedging activities |  |  |  |
| Cash flow hedges <sup>(a)</sup> | (38845) | (6622) | (26999) |
| Fair value hedges <sup>(b)</sup> | (270784) | 129355 | (69760) |
| Total net change due to hedging activities | (309629) | 122733 | (96759) |
| Net change in pension and postretirement benefits | (7020) | 6680 | (5212) |
| Total other comprehensive income (loss) | 88861 | 42555 | (6248) |
| Total comprehensive income (loss) | $688619 | $781031 | $744883 |

---

*(a)Represents changes in the fair values of derivatives in cash flow hedging programs, primarily from open contracts in the* 

*hedging of rolling issuance of CO discount notes, and any open contracts in cash flow hedges of anticipatory issuance of CO* 

*bonds. Also includes unamortized gains and losses related to closed cash flow hedges that will be amortized in future periods* 

*from AOCI to Interest expense. For more information, see table "Cash flow hedge gains and losses" in <u>[Note 17](#i6c3430ab7878424294d082eb431c8f84_11139)</u>. Derivatives* 

*and Hedging Activities.*

*(b)Represents cumulative hedge valuation basis adjustments on fair value hedges of AFS securities under the partial-term* 

*hedging provisions of ASU 2017-12. Amounts represent change in the benchmark rate of the hedged securities. Changes in* 

*the benchmark rate on ASC 815 qualifying fair value hedges are recorded through earnings with an offset to the carrying* 

*values of the hedged AFS securities. Changes in marked-to-market values of AFS securities are recorded to adjust the* 

*amortized cost of AFS securities with an offset in AOCI. In AOCI, the marked-to-market gains and losses are reported* 

*separately from ASC 815 valuation changes due to changes in the benchmark rate.*

The accompanying notes are an integral part of these financial statements.

**Federal Home Loan Bank of New York**

**Statements of Capital — (In Thousands, Except Per Share Data)**

**Years Ended December 31, 2025, 2024 and 2023**

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Capital Stock**<sup>(a)</sup><br>**Class B** | **Capital Stock**<sup>(a)</sup><br>**Class B** | **Retained Earnings** | **Retained Earnings** | **Retained Earnings** | **Accumulated** <br>**Other** <br>**Comprehensive** <br>**Income (Loss)** |  |
|  | **Shares** | **Par Value** | **Unrestricted** | **Restricted** | **Total** | **Accumulated** <br>**Other** <br>**Comprehensive** <br>**Income (Loss)** | **Total** <br>**Capital**<br>|
| **Balance, December 31, 2022** | 63877 | $6387701 | $1185112 | $910855 | $2095967 | $(136285) | $8347383 |
| Proceeds from issuance of capital stock  | 100163 | 10016311 |  |  |  |  | 10016311 |
| Repurchase/redemption of capital stock | (102997) | (10299783) |  |  |  |  | (10299783) |
| Shares reclassified to mandatorily redeemable <br>capital stock<br>| (547) | (54659) |  |  |  |  | (54659) |
| Cash dividends ($8.31 per share) on capital stock |  |  | (509434) |  | (509434) |  | (509434) |
| Comprehensive income (loss) |  |  | 600905 | 150226 | 751131 | (6248) | 744883 |
| **Balance, December 31, 2023** | 60496 | $6049570 | $1276583 | $1061081 | $2337664 | $(142533) | $8244701 |
| Proceeds from issuance of capital stock | 49846 | 4984625 |  |  |  |  | 4984625 |
| Repurchase/redemption of capital stock | (50198) | (5019781) |  |  |  |  | (5019781) |
| Shares reclassified to mandatorily redeemable <br>capital stock<br>|  |  |  |  |  |  |  |
| Cash dividends ($9.50 per share) on capital stock |  |  | (581047) |  | (581047) |  | (581047) |
| Comprehensive income (loss) |  |  | 590781 | 147695 | 738476 | 42555 | 781031 |
| **Balance, December 31, 2024** | 60144 | $6014414 | $1286317 | $1208776 | $2495093 | $(99978) | $8409529 |
| Proceeds from issuance of capital stock | 55228 | 5522799 |  |  |  |  | 5522799 |
| Repurchase/redemption of capital stock | (61184) | (6118428) |  |  |  |  | (6118428) |
| Shares reclassified to mandatorily redeemable <br>capital stock<br>| (77) | (7710) |  |  |  |  | (7710) |
| Cash dividends ($7.99 per share) on capital stock |  |  | (479706) |  | (479706) |  | (479706) |
| Comprehensive income (loss) |  |  | 479806 | 119952 | 599758 | 88861 | 688619 |
| **Balance, December 31, 2025** | 54111 | $5411075 | $1286417 | $1328728 | $2615145 | $(11117) | $8015103 |

---

*(a)Putable stock. Cash dividends paid — Dividends per share and aggregate dividends were paid on a single class of shares of* 

*capital stock. For more information, see <u>[Note 14](#i6e44f55b55354254bf5e261e55212924_6668)</u>. Capital Stock, Mandatorily Redeemable Capital Stock and Restricted* 

*Retained Earnings.* 

The accompanying notes are an integral part of these financial statements.

**Federal Home Loan Bank of New York**

**Statements of Cash Flows — (In Thousands)**

**Years Ended December 31, 2025, 2024, and 2023**

---

| | | | |
|:---|:---|:---|:---|
|  | **Twelve months ended December 31,** | **Twelve months ended December 31,** | **Twelve months ended December 31,** |
|  | **2025** | **2024** | **2023** |
| **Operating activities** |  |  |  |
| Net Income | $599758 | $738476 | $751131 |
| Adjustments to reconcile net income to net cash provided by operating activities: |  |  |  |
| Depreciation and amortization: |  |  |  |
| Net premiums and discounts on consolidated obligations, investments, mortgage loans and other adjustments | (524569) | 260618 | 145929 |
| Concessions on consolidated obligations | 3126 | 3026 | 3012 |
| Premises, software, and equipment | 17283 | 10310 | 18301 |
| Provision (Reversal) for credit losses | 70 | (212) | 1695 |
| Change in net fair value adjustments on derivatives and hedging activities | (631000) | 39549 | (425851) |
| Net realized and unrealized (gains) losses on trading securities | (137925) | (26049) | (110501) |
| Change in fair value on Equity Investments | (5200) | (1098) | (9863) |
| Change in fair value adjustments on financial instruments held at fair value | 47325 | 72258 | 99223 |
| Losses (gains) from extinguishment of debt |  | (54) |  |
| Net change in: |  |  |  |
| Accrued interest receivable  | 47159 | 10024 | (141139) |
| Derivative assets due to accrued interest | 459741 | (124242) | (791958) |
| Derivative liabilities due to accrued interest | (478188) | 248801 | 633114 |
| Other assets | 9523 | (6829) | 1085 |
| Affordable Housing Program liability | 16377 | 44979 | 55633 |
| Accrued interest payable | (134002) | (111754) | 345565 |
| Other liabilities | 29589 | (9541) | 2319 |
| Total adjustments | (1280691) | 409786 | (173436) |
| **Net cash provided by (used in) operating activities** | $(680933) | $1148262 | $577695 |
| **Investing activities** |  |  |  |
| Net change in: |  |  |  |
| Interest-bearing deposits  | $157850 | $(495420) | $541450 |
| Securities purchased under agreements to resell | (5055000) | (3075000) | (3575000) |
| Federal funds sold | (2135000) | 225000 | (170000) |
| Deposits with other FHLBanks | (75) | (176) | (6) |
| Equity Investments | (3084) | (2446) | (262) |
| Premises, software, and equipment | (22370) | (14918) | (14595) |
| Trading securities: |  |  |  |
| Purchased | (3417557) | (1983617) | (1531743) |
| Repayments |  |  | 2625000 |
| Proceeds from sales | 3484640 | 731375 | 399516 |
| Available-for-sale securities: |  |  |  |
| Purchased | (2267592) | (1104380) | (2023145) |
| Repayments | 315621 | 137169 | 99041 |
| Held-to-maturity securities: |  |  |  |
| Purchased | (1559004) | (319053) | (3339372) |
| Repayments | 1918432 | 1326709 | 829432 |
| Proceeds from sales | 25999 |  |  |
| Advances: |  |  |  |
| Principal collected | 755362995 | 732184717 | 1540021679 |
| Made | (741279800) | (728939164) | (1532886977) |
| Mortgage loans held-for-portfolio: |  |  |  |
| Principal collected | 210139 | 187445 | 165742 |
| Purchased  | (513758) | (356926) | (245817) |
| Proceeds from sales of REO | 587 | 316 | 589 |
| **Net cash provided by (used in) investing activities** | $5223023 | $(1498369) | $895532 |

---

The accompanying notes are an integral part of these financial statements.

**Federal Home Loan Bank of New York**

**Statements of Cash Flows — (In Thousands)**

**Years Ended December 31, 2025, 2024 and 2023**

---

| | | | |
|:---|:---|:---|:---|
|  | **Twelve months ended December 31,** | **Twelve months ended December 31,** | **Twelve months ended December 31,** |
|  | **2025** | **2024** | **2023** |
| **Financing activities** |  |  |  |
| Net change in: |  |  |  |
| Deposits and other borrowings  | $672398 | $(1054079) | $2451856 |
| Derivative contracts with financing element | 1817 | 280 | (1972) |
| Payments on principal portion of finance lease obligation | (454) | (295) | (36) |
| Consolidated obligation bonds: |  |  |  |
| Proceeds from issuance | 70869554 | 71059743 | 111134018 |
| Payments for maturing and early retirement | (83526282) | (82815303) | (99993479) |
| Payments on bonds transferred to other FHLBanks <sup>(a)</sup> |  | (5804946) |  |
| Consolidated obligation discount notes: |  |  |  |
| Proceeds from issuance | 872107311 | 1152913509 | 301997013 |
| Payments for maturing | (863574562) | (1133351946) | (322137875) |
| Proceeds on Discount Notes assumed from other FHLBanks <sup>(a)</sup> | 996 |  | 5942950 |
| Payments on Discount Notes transferred to other FHLBanks<sup>(a)</sup> | (848) |  |  |
| Capital stock: |  |  |  |
| Proceeds from issuance of capital stock | 5522799 | 4984625 | 10016311 |
| Payments for repurchase/redemption of capital stock | (6118428) | (5019781) | (10299783) |
| Redemption of mandatorily redeemable capital stock | (4634) | (2710) | (52018) |
| Cash dividends paid <sup>(b)</sup> | (479706) | (581047) | (509434) |
| **Net cash provided by (used in) financing activities** | $(4530039) | $328050 | $(1452449) |
| Net increase (decrease) in cash and due from banks | 12051 | (22057) | 20778 |
| Cash and due from banks at beginning of the period <sup>(c)</sup> | 26141 | 48198 | 27420 |
| **Cash and due from banks at end of the period** <sup>(c)</sup> | $38192 | $26141 | $48198 |
| **Supplemental disclosures:**  |  |  |  |
| Interest paid | $4301259 | $4776480 | $4048813 |
| Interest paid for Discount Notes <sup>(d)</sup> | $3034426 | $2669410 | $2150776 |
| Affordable Housing Program payments <sup>(e)</sup> | $66404 | $60569 | $40561 |
| Transfers of mortgage loans to real estate owned | $55 | $178 | $575 |
| Capital stock subject to mandatory redemption reclassified from equity | $7710 | $— | $54659 |
| Interest paid for finance lease | $54 | $28 | $6 |
| Noncash recognition of new lease | $— | $— | $2357 |

---

*(a)For information about bonds transferred to other FHLBanks, discount notes assumed from other FHLBanks and other related* 

*party transactions, see <u>[Note 20](#i32de807412974739bb39d7e35e639198_4768)</u>. Related Party Transactions.*

*(b)Does not include payments to holders of mandatorily redeemable capital stock. Such payments are considered as interest expense* 

*and reported within operating cash flows.* 

*(c)Cash and due from Banks includes pass-thru reserves at the Federal Reserve Bank of New York. See <u>[Note 3](#i83d60c5edc4a4845bfb146f0e1d168ed_976)</u>. Cash and Due from* 

*Banks for further information. Interest-bearing deposits are considered investments and are not included in cash or cash* 

*equivalent.*

*(d)Interest paid for Discount Notes is the portion of the cash payments at settlement of zero-coupon Consolidated obligation* 

*discount notes.*

*(e)AHP payments equals beginning accrual minus ending accrual plus AHP assessment for the period; payments represent funds* 

*released to the Affordable Housing Program.* 

The accompanying notes are an integral part of these financial statements.

**FEDERAL HOME LOAN BANK OF NEW YORK**

**NOTES TO FINANCIAL STATEMENTS**

---

| | | |
|:---|:---|:---|
|  |  | **Page** |
| **<u>[Note 1](#i254f72b682ef4373a7f693751d2cd78f_142)</u>** | **<u>[Summary of Significant Accounting Policies](#i254f72b682ef4373a7f693751d2cd78f_142)</u>** | **<u>[102](#i254f72b682ef4373a7f693751d2cd78f_142)</u>** |
| **<u>[Note 2](#i254f72b682ef4373a7f693751d2cd78f_145)</u>** | **<u>[Financial Accounting Standards Board (FASB) Standards Issued](#i254f72b682ef4373a7f693751d2cd78f_145)</u>** | **<u>[114](#i254f72b682ef4373a7f693751d2cd78f_145)</u>** |
| **<u>[Note 3](#i254f72b682ef4373a7f693751d2cd78f_148)</u>** | **<u>[Cash and Due from Banks](#i254f72b682ef4373a7f693751d2cd78f_148)</u>** | **<u>[115](#i254f72b682ef4373a7f693751d2cd78f_148)</u>** |
| **<u>[Note 4](#i254f72b682ef4373a7f693751d2cd78f_151)</u>** | **<u>[Interest-bearing Deposits, Federal Funds Sold and Securities Purchased Under Agreements to Resell](#i254f72b682ef4373a7f693751d2cd78f_151)</u>** | **<u>[115](#i254f72b682ef4373a7f693751d2cd78f_151)</u>** |
| **<u>[Note 5](#i254f72b682ef4373a7f693751d2cd78f_154)</u>** | **<u>[Trading Securities](#i254f72b682ef4373a7f693751d2cd78f_154)</u>** | **<u>[116](#i254f72b682ef4373a7f693751d2cd78f_154)</u>** |
| **<u>[Note 6](#i254f72b682ef4373a7f693751d2cd78f_157)</u>** | **<u>[Equity Investments](#i254f72b682ef4373a7f693751d2cd78f_157)</u>** | **<u>[117](#i254f72b682ef4373a7f693751d2cd78f_157)</u>** |
| **<u>[Note 7](#i254f72b682ef4373a7f693751d2cd78f_160)</u>** | **<u>[Available-for-Sale Securities](#i254f72b682ef4373a7f693751d2cd78f_160)</u>** | **<u>[118](#i254f72b682ef4373a7f693751d2cd78f_160)</u>** |
| **<u>[Note 8](#i254f72b682ef4373a7f693751d2cd78f_163)</u>** | **<u>[Held-to-Maturity Securities](#i254f72b682ef4373a7f693751d2cd78f_163)</u>** | **<u>[122](#i254f72b682ef4373a7f693751d2cd78f_163)</u>** |
| **<u>[Note 9](#i254f72b682ef4373a7f693751d2cd78f_166)</u>** | **<u>[Advances](#i254f72b682ef4373a7f693751d2cd78f_166)</u>** | **<u>[125](#i254f72b682ef4373a7f693751d2cd78f_166)</u>** |
| **<u>[Note 10](#i254f72b682ef4373a7f693751d2cd78f_169)</u>** | **<u>[Mortgage Loans Held-for-Portfolio](#i254f72b682ef4373a7f693751d2cd78f_169)</u>** | **<u>[127](#i254f72b682ef4373a7f693751d2cd78f_169)</u>** |
| **<u>[Note 11](#i254f72b682ef4373a7f693751d2cd78f_172)</u>** | **<u>[Deposits](#i254f72b682ef4373a7f693751d2cd78f_172)</u>** | **<u>[133](#i254f72b682ef4373a7f693751d2cd78f_172)</u>** |
| **<u>[Note 12](#i254f72b682ef4373a7f693751d2cd78f_175)</u>** | **<u>[Consolidated Obligations](#i254f72b682ef4373a7f693751d2cd78f_175)</u>** | **<u>[134](#i254f72b682ef4373a7f693751d2cd78f_175)</u>** |
| **<u>[Note 13](#i254f72b682ef4373a7f693751d2cd78f_178)</u>** | **<u>[Affordable Housing Program and Voluntary Contributions](#i254f72b682ef4373a7f693751d2cd78f_178)</u>** | **<u>[137](#i254f72b682ef4373a7f693751d2cd78f_178)</u>** |
| **<u>[Note 14](#i254f72b682ef4373a7f693751d2cd78f_181)</u>** | **<u>[Capital Stock, Mandatorily Redeemable Capital Stock and Restricted Retained Earnings](#i254f72b682ef4373a7f693751d2cd78f_181)</u>** | **<u>[137](#i254f72b682ef4373a7f693751d2cd78f_181)</u>** |
| **<u>[Note 15](#i254f72b682ef4373a7f693751d2cd78f_184)</u>** | **<u>[Earnings Per Share of Capital](#i254f72b682ef4373a7f693751d2cd78f_184)</u>** | **<u>[140](#i254f72b682ef4373a7f693751d2cd78f_184)</u>** |
| **<u>[Note 16](#i254f72b682ef4373a7f693751d2cd78f_187)</u>** | **<u>[Employee Retirement Plans](#i254f72b682ef4373a7f693751d2cd78f_187)</u>** | **<u>[140](#i254f72b682ef4373a7f693751d2cd78f_187)</u>** |
| **<u>[Note 17](#i254f72b682ef4373a7f693751d2cd78f_190)</u>** | **<u>[Derivatives and Hedging Activities](#i254f72b682ef4373a7f693751d2cd78f_190)</u>** | **<u>[147](#i254f72b682ef4373a7f693751d2cd78f_190)</u>** |
| **<u>[Note 18](#i254f72b682ef4373a7f693751d2cd78f_193)</u>** | **<u>[Fair Values of Financial Instruments](#i254f72b682ef4373a7f693751d2cd78f_193)</u>** | **<u>[154](#i254f72b682ef4373a7f693751d2cd78f_193)</u>** |
| **<u>[Note 19](#i254f72b682ef4373a7f693751d2cd78f_196)</u>** | **<u>[Commitments and Contingencies](#i254f72b682ef4373a7f693751d2cd78f_196)</u>** | **<u>[165](#i254f72b682ef4373a7f693751d2cd78f_196)</u>** |
| **<u>[Note 20](#i254f72b682ef4373a7f693751d2cd78f_199)</u>** | **<u>[Related Party Transactions](#i254f72b682ef4373a7f693751d2cd78f_199)</u>** | **<u>[168](#i254f72b682ef4373a7f693751d2cd78f_199)</u>** |
| **<u>[Note 21](#i254f72b682ef4373a7f693751d2cd78f_202)</u>** | **<u>[Segment Information and Concentration](#i254f72b682ef4373a7f693751d2cd78f_202)</u>** | **<u>[170](#i254f72b682ef4373a7f693751d2cd78f_202)</u>** |

---

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

**Background**

The Federal Home Loan Bank of New York is a federally chartered corporation and is one of 11 district Federal Home Loan Banks

(FHLBanks). The FHLBanks are U.S. government-sponsored enterprises, organized under the authority of the Federal Home Loan

Bank Act of 1932, as amended. Each FHLBank is a cooperative owned by member institutions located within a defined geographic

district. The FHLBNY's defined geographic district is New Jersey, New York, Puerto Rico, and the U.S. Virgin Islands.

**Tax Status.** The FHLBanks, including the FHLBNY, are exempt from ordinary federal, state, and local taxation except for real

property taxes.

**Assessments.** Affordable Housing Program Assessments — Each FHLBank, including the FHLBNY, provides subsidies in the form

of direct grants and below-market interest rate advances to members, who use the funds to assist in the purchase, construction or

rehabilitation of housing for very low-, low- and moderate-income households. Annually, the 11 FHLBanks must allocate the greater

of $100 million or 10% of their regulatory defined net income for the Affordable Housing Program. Additionally, the FHLBanks are

permitted to make an additional contribution into the AHP to supplement their 10% regulatory requirement as noted previously.

**Note 1. Summary of Significant Accounting Policies.**

**Basis of Presentation**

The accompanying financial statements of the FHLBNY have been prepared in accordance with Generally Accepted Accounting

Principles in the United States (GAAP) and with the instructions provided by the Securities and Exchange Commission.

The FHLBNY has identified certain accounting policies that it believes are critical because they require management to make

subjective judgments about matters that are inherently uncertain and because of the likelihood that materially different amounts

would be reported under different conditions or by using different assumptions. The most significant of these critical policies include

derivatives and hedging relationships, estimating the fair values of assets and liabilities, estimating the allowance for credit losses on

the advances, mortgage loan portfolios and our portfolios of investment securities.

**Financial Instruments with Legal Right of Offset**

The FHLBNY has derivative instruments, and securities purchased under agreements to resell that are subject to enforceable master

netting agreements. The FHLBNY has elected to offset its derivative asset and liability positions, as well as cash collateral received

or pledged, when it has the legal right of offset under these master agreements. The FHLBNY did not have any offsetting liabilities

related to its securities purchased under agreements to resell for the periods presented.

The net exposure for these financial instruments can change on a daily basis; therefore, there may be a delay between the time this

exposure change is identified, and additional collateral is requested, and the time when this collateral is received or pledged.

Likewise, there may be a delay for excess collateral to be returned. For derivative instruments, any excess cash collateral received or

pledged is recognized as a derivative liability or as a derivative asset based on the terms of the individual master agreement between

the FHLBNY and its derivative counterparty. For securities purchased under agreements to resell, the FHLBNY did not have any

unsecured amounts based on the fair value of the related collateral held at the end of the periods presented. Additional information

about the FHLBNY's investments in securities purchased under agreements to resell is disclosed in <u>[Note 4](#i5b8e88c41008440591dc473ec7369109_3978)</u>. Interest-bearing Deposits,

Federal Funds Sold and Securities Purchased Under Agreements to Resell.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

**Fair Value Measurements** 

The accounting standards on fair value measurements discuss how entities should measure fair value based on whether the inputs to

those valuation techniques are observable or unobservable. Fair value is defined as the price that would be received to sell an asset or

paid to transfer a liability in an orderly transaction in the principal or most advantageous market for the asset or liability between

market participants at the measurement date. This definition is based on an exit price rather than transaction or entry price.

The FHLBNY complied with the accounting guidance on fair value measurements and has established a hierarchy for inputs used in

measuring fair value that maximizes the use of observable inputs and minimizes the use of unobservable inputs by requiring that the

most observable inputs be used when available. Observable inputs are inputs that market participants would use in pricing the asset or

liability and would be based on market data obtained from independent sources. Unobservable inputs are inputs that reflect our

assumptions about the parameters market participants would use in pricing the asset or liability and would be based on the best

information available in the circumstances. Our pricing models are subject to periodic validations, and we periodically review and

refine, as appropriate, our assumptions and valuation methodologies to reflect market indications as closely as possible. We have the

appropriate personnel, technology, and policies and procedures in place to value financial instruments in a reasonable and consistent

manner and in accordance with established accounting policies.

**Valuation Techniques** — Three valuation techniques are prescribed under the fair value measurement standards — Market

approach, Income approach and Cost approach. Valuation techniques for which sufficient data is available and that are appropriate

under the circumstances should be used.

In determining fair value, the FHLBNY uses various valuation methods, including both the market and income approaches.

• Market approach — This technique uses prices and other relevant information generated by market transactions involving

identical or comparable assets or liabilities.

• Income approach — This technique uses valuation techniques to convert future amounts (for example, cash flows or

earnings) to a single present amount (discounted), based on assumptions used by market participants. When the income

approach is used, the fair value measurement reflects current market expectations about those future amounts. The present

value technique used to measure fair value depends on the facts and circumstances specific to the asset or liability being

measured and the availability of data.

• Cost approach — This approach is based on the amount that currently would be required to replace the service capacity of

an asset (often referred to as current replacement cost).

The FHLBNY has complied with the accounting standards under Fair Value Measurement that defines fair value, establishes a

consistent framework for measuring fair value, and requires disclosure about fair value measurement on assets and liabilities recorded

at fair value on the balance sheet.

For more information about the fair value hierarchy, and the hierarchy levels of the FHLBNY's financial instruments, see <u>[Note 18](#if286cb63988f47f99e44155f9e480529_25007)</u>.

Fair Values of Financial Instruments.

On a recurring basis, fair values were measured and recorded in the Statements of Condition for derivatives, available-for-sale

securities (AFS or AFS securities), securities designated as trading, equity investments, and financial instruments elected under the

Fair Value Option (FVO).

On a non-recurring basis, credit impaired (formerly OTTI) held-to-maturity securities were measured and recorded at their fair values

in the Statements of Condition. When credit impaired mortgage loans held-for-portfolio were partially charged off, the loans were

written down to their collateral values on a non-recurring basis.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

*Fair values of derivative positions* **—** The FHLBNY is an end-user of over-the-counter (OTC) derivatives to hedge assets, liabilities,

and certain firm commitments to mitigate fair value risks. Valuations of derivative assets and liabilities reflect the value of the

instrument including the value associated with counterparty risk. Derivative values also take into account the FHLBNY's own credit

standing. The computed fair values of the FHLBNY's OTC derivatives take into consideration the effects of legally enforceable

master netting agreements that allow the FHLBNY to settle positive and negative positions and offset cash collateral with the same

counterparty on a net basis. The agreements include collateral thresholds that reflect the net credit differential between the FHLBNY

and its derivative counterparties. On a contract-by-contract basis, the collateral and netting arrangements sufficiently mitigated the

impact of the credit differential between the FHLBNY and its derivative counterparties to an immaterial level such that an adjustment

for nonperformance risk was not deemed necessary.

*Fair values of investments classified as AFS securities* **—** The FHLBNY's investments classified as AFS are primarily GSE-issued

mortgage-backed securities (MBS), which are recorded at fair values. The MBS fair values are estimated by management using

specialized pricing services that employ pricing models or quoted prices of securities with similar characteristics. The FHLBNY has

established that the pricing vendors use methods that generally employ, but are not limited to, benchmark yields, recent trades, dealer

estimates, valuation models, benchmarking of like securities, sector groupings, and/or matrix pricing.

For more information about methodologies used by the FHLBNY to validate vendor pricing, and fair value "Levels" associated with

assets and liabilities recorded on the FHLBNY's Statements of Condition at December 31, 2025 and 2024, see financial statements,

<u>[Note 18](#if286cb63988f47f99e44155f9e480529_25007)</u>. Fair Values of Financial Instruments.

**Derivatives and Hedging Activities**

Generally, we enter into derivatives primarily to manage our exposure to changes in interest rates. Through the use of derivatives, we

may adjust the effective maturity, repricing frequency, or option characteristics of financial instruments to achieve our risk

management objectives. The accounting guidance related to derivatives and hedging activities is complex and contains prescriptive

documentation requirements. At the inception of each hedge transaction, we formally document the hedge relationship, its risk

management objective, and strategy for undertaking the hedge.

To qualify as an accounting hedge under the hedge accounting rules (versus an economic hedge where hedge accounting is not

sought), a derivative must be highly effective in offsetting the risk designated as being hedged. The hedge relationship must be

formally documented at inception, detailing the particular risk management objective and strategy for the hedge, which includes the

item and risk that is being hedged and the derivative that is being used, as well as how effectiveness will be assessed and measured.

The effectiveness of these hedging relationships is evaluated on a retrospective and prospective basis, typically using quantitative

measures of correlation. For hedges that are highly effective, changes in the fair values of the hedging instrument and the offsetting

changes in the fair values of the hedged item are recorded in current earnings. If a hedge relationship is found to be not highly

effective, it will no longer qualify as an accounting hedge and hedge accounting would be prospectively withdrawn. When hedge

accounting is discontinued, the offsetting changes of fair values of the hedged item are also no longer recorded.

The FHLBNY records derivatives on trade date, and hedge accounting commences on trade date, at which time subsequent changes

to the derivative's fair value are recorded along with the offsetting changes in the fair value of the hedged item attributable to the risk

being hedged. On settlement date, the basis adjustments to the hedged item's carrying amount are combined with the principal

amounts and the basis becomes part of the total carrying amount of the hedged item. The FHLBNY has defined its market settlement

conventions for hedged items to be five business days or less for advances and thirty calendar days or less, using a next business day

convention, for Consolidated obligations bonds and discount notes. These market settlement conventions are the shortest period

possible for each type of advance and Consolidated obligations from the time the instruments are committed to the time they settle.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

The FHLBNY reports derivative assets and derivative liabilities in its Statements of Condition after giving effect to legally

enforceable master netting, or when an agreement is not available as with OTC cleared derivatives, enforceability is based on a legal

analysis or legal opinion. Reported Derivative assets and liabilities include interest receivable and payable on derivative contracts and

the fair values of the derivative contracts. The Bank records cash collateral received and posted in the Statements of Condition as an

adjustment to Derivative assets and liabilities in the following manner - Cash collateral posted by the FHLBNY is reported as a

deduction to Derivative liabilities; cash collateral received from derivative counterparties is reported as a deduction to Derivative

assets. Cash posted by the FHLBNY in excess of margin requirements is recorded as a receivable in Derivative assets. Variation

margin exchanged with Derivative Clearing Organizations on cleared derivatives is treated as a settlement of the derivative itself, a

reduction of the fair value of the derivative, and not as collateral.

When derivative counterparties pledge marketable securities, they typically retain title and the securities are treated as non-cash

collateral. When the FHLBNY pledges securities to counterparties, we also retain title to the securities and treat the securities as

collateral. Securities pledged or received are not netted against the derivative exposures on the Statements of Condition.

The FHLBNY routinely issues debt to investors and makes advances to members. In certain such instruments, the FHLBNY may

embed a derivative. Typically, such derivatives are call and put options to early terminate the instruments at par on pre-determined

dates. The FHLBNY may also embed interest rate caps and floors, or step-up or step-down interest rate features within the

instruments. The FHLBNY also routinely structures interest rate swaps to hedge the FHLBank debt and advances, and the FHLBNY

may also embed derivative instruments, such as those identified in the previous discussion, in the swaps. When such instruments are

conceived, designed and structured, our control procedures require the identification and evaluation of embedded derivatives, as

defined under accounting standards for derivatives and hedging activities. This evaluation will consider whether the economic

characteristics of the embedded derivative are clearly and closely related to the economic characteristics of the remaining component

of the advance or debt (the host contract) and whether a separate, non-embedded instrument with the same terms as the embedded

instrument would meet the definition of a derivative instrument.

Typically, we execute derivatives under three strategies — by designating them as a fair value or cash flow hedge of an underlying

financial instrument or a forecasted transaction that qualifies for hedge accounting treatment; by acting as an intermediary; or by

designating the derivative as an asset-liability management hedge (i.e. an "economic hedge"). Derivative contracts hedging the risks

associated with changes in fair value are referred to as fair value hedges, while contracts hedging the variability of expected future

cash flows are cash flow hedges. Other than to elect the amendments under ASU 2017-12, which expanded the strategies that qualify

for hedge accounting and simplified the application of hedge accounting, no other changes were made to hedge accounting strategies.

**Fair Value Hedges**

Hedging of Benchmark interest Rate Risk — The FHLBNY's fair value hedges are primarily hedges of fixed-rate Consolidated

obligation bonds, fixed-rate advances, and available-for-sale securities. For qualifying fair value hedges of interest rate risk, the

changes in the fair value of the derivative and the changes in the fair value of the hedged item attributable to the hedged risk, either

total cash flows or benchmark only cash flows, are presented within Interest income or Interest expense based on whether the hedged

item is an asset or a liability. Prior to the adoption of ASU 2017-12, changes to the fair value of the derivative and the qualifying

hedged item were presented in Other income (loss), a line item below the net interest income line in the Statements of income.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

The two principal fair value hedging activities are summarized below:

Consolidated Obligations — The FHLBNY may manage the risk arising from changing market prices and volatility of a

Consolidated obligation debt by matching the cash inflows on the derivative with the cash outflow on the Consolidated obligation

debt and may include early termination features or options. In general, whenever we issue a longer-term fixed-rate debt, or a fixed-

rate debt with call or put or other embedded options, we will simultaneously execute a derivative transaction, generally an interest

rate swap, with terms that offset the terms of the fixed-rate debt, or terms of the debt with embedded put or call options or other

options. When a fixed-rate debt is hedged, the combination of the fixed-rate debt and the derivative transaction effectively creates a

variable rate liability, indexed to a benchmark interest rate.

Advances — We offer a wide array of advances structures to meet members' funding needs. These advances may have maturities up

to 30 years with fixed or adjustable rates and may include early termination features or options. We may use derivatives to adjust the

repricing and/or options characteristics of advances to more closely match the characteristics of its funding liabilities. In general,

whenever a member executes a longer term fixed-rate advance, or a fixed-rate advance with call or put or other embedded options,

we will simultaneously execute a derivative transaction, generally an interest rate swap, with terms that offset the terms of the fixed-

rate advance, or terms of the advance with embedded put or call options or other options. When a fixed-rate advance is hedged, the

combination of the fixed-rate advance and the derivative transaction effectively creates a variable rate asset, indexed to a benchmark

interest rate.

The partial-term hedging strategy makes it possible to hedge selected fixed-rate payments in a fair value hedge of interest rate risk.

While U.S. GAAP has long permitted entities to designate one or more contractual cash flows in a financial instrument, the hedge

strategy could result in hedge ineffectiveness. This is because the fair value of the hedging instrument and the hedged item would

react differently to changes in interest rates because the principal repayment of the debt occurs on a different date than the swap's

maturity. ASU 2017-12 addressed this issue by allowing entities to calculate the change in the fair value of the hedged item in a

partial-term hedge of a fixed-rate financial instrument using an assumed term that begins when the first hedged cash flow begins to

accrue and ends when the last hedged cash flow is due and payable. Similar to other fair value hedges, where the hedged item is an

asset, the fair value of the hedged item attributable to interest rate risk is recorded in P&L and presented in Interest income from

investments along with the change in the fair value of the hedging instrument. This strategy is utilized by the FHLBNY for hedging

certain AFS designated mortgage-backed securities.

Benchmark rate component hedging is permitted under the ASU, which addressed the issue that measuring changes in the fair value

of the hedged item using the total coupon cash flows misrepresents the true effectiveness of these hedging relationships.

Additionally, these hedging relationships are not meant to manage credit risk, and that using the total contractual cash flows to

determine the change in the fair value of the hedged item attributable to the change in the benchmark interest rate creates an earnings

mismatch that reflects the portion of the financial instrument that the entity does not intend to hedge. The guidance addresses these

issues by allowing entities to use either (1) the full contractual coupon cash flows or (2) the benchmark rate component of the

contractual coupon cash flows to calculate the change in the fair value of the hedged item attributable to changes in the benchmark

interest rate in a fair value hedge of interest rate risk.

**Discontinuation of Hedge Accounting.** When hedge accounting is discontinued because the FHLBNY determines that the

derivative no longer qualifies as an effective Fair value hedge of an existing hedged item, the FHLBNY continues to carry the

derivative on the balance sheet at its fair value, ceases to adjust the hedged asset or liability for changes in fair value, and amortizes

the cumulative basis adjustment on the hedged item into earnings over the remaining life of the hedged item (for callable as well as

non-callable previously hedged debt and advances) using the level-yield methodology. When the hedged item is a firm commitment,

and hedge accounting is discontinued because the hedged item no longer meets the definition of a firm commitment, the FHLBNY

would continue to carry the derivative on the balance sheet at its fair value, removing from the balance sheet any asset or liability that

was recorded to recognize the firm commitment and recording it as a gain or loss in current period earnings.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

When hedge accounting is discontinued because the FHLBNY determines that the derivative no longer qualifies as an effective Cash

flow hedge of an existing hedged item, the FHLBNY continues to carry the derivative on the balance sheet at its fair value; fair value

marks previously recorded as basis adjustment in AOCI are reclassified to earnings when earnings are affected by the existing hedge

item, which is the original forecasted transaction. Fair value changes on derivatives that are no longer in a hedge relationship are

charged directly to earnings. Under limited circumstances, when the FHLBNY discontinues cash flow hedge accounting because it is

no longer probable that the forecasted transaction will occur in the originally expected period plus the following two months, but it is

probable the transaction will still occur in the future, the gain or loss on the derivative remains in AOCI and is recognized into

earnings when the forecasted transaction affects earnings. However, if it is probable that a forecasted transaction will not occur by the

end of the originally specified time period or within two months after that, the gains and losses that were included in AOCI are

recognized immediately in earnings.

The FHLBNY treats modifications of hedged items (e.g. reduction in par amounts, change in maturity date, and change in strike

rates) that are other than minor as a termination of a hedge relationship, and previously recorded hedge basis adjustments of the

hedged items are amortized over the life of the hedged item.

**Allowance for Expected Credit Losses (ASC 326)**

The FASB issued ASU 2016-13, *Financial Instruments* — *Credit Losses (Topic 326*), which became effective for the Bank as of

January 1, 2020. The adoption of this guidance established a single allowance framework for all financial assets carried at amortized

cost, including advances, loans, held-to-maturity securities, other receivables and certain off-balance sheet credit exposures. We have

elected to evaluate expected credit losses on interest receivable separately. For available-for-sale securities where fair value is less

than cost, credit-related impairment, if any, will be recognized in an allowance for credit losses and adjusted each period for changes

in expected credit risk. This framework requires that management's estimate reflects credit losses over the full remaining expected

life and considers expected future changes in macroeconomic conditions.

Summarized information of expected losses are provided in notes to financial statements:

<u>[Note 4](#i5b8e88c41008440591dc473ec7369109_3978)</u>. Interest-bearing Deposits, Federal Funds Sold and Securities Purchased Under Agreements to Resell.

<u>[Note 7](#i26fc669bef3b40ff97061e0db68440e1_3892)</u>. Available-for-Sale Securities.

<u>[Note 8](#i7c74635ee9574069b4f7c8fbe8123160_5070)</u>. Held-to-Maturity Securities.

<u>[Note 9](#i677220ca7fae4928a646e5df0601ca60_8875)</u>. Advances.

<u>[Note 10](#i4cc2771be69544ff88bfce949ed2c6fe_13236)</u>. Mortgage Loans Held-for-Portfolio.

<u>[Note 19](#i1fd785705c0e47de899f16d33e3eb10f_5786)</u>. Commitments and Contingencies (for off-balance sheet).

**Classification of Investment Securities**

The FHLBNY classifies a debt security at the date of acquisition as trading, held-to-maturity or available-for-sale. Investments

designated as held-to-maturity and available-for-sale are primarily GSE-issued mortgage-backed securities, and a small portfolio of

bonds issued by housing finance agencies. Investments designated as trading are primarily U.S. Treasury securities. Purchases and

sales of securities are recorded on a trade date basis. Prepayments are estimated for purposes of amortizing premiums and accreting

discounts on investment securities in accordance with accounting standards for investments in debt securities, which requires

premiums and discounts to be recognized in income at a constant effective yield over the life of the instrument. Because actual

prepayments often deviate from the estimates, the effective yield is recalculated periodically to reflect actual prepayments to date.

Adjustments of the effective yields for mortgage-backed securities are recorded on a retrospective basis, as if the new estimated life

of the security had been known at its original acquisition date.

The Bank's trading portfolio is to enhance the FHLBNY's liquidity position and is invested typically in U.S. Treasury securities and

GSE-issued bonds. The securities are carried at fair value with changes in the fair value of these investments recorded in Other

income. The Bank does not participate in speculative trading practices and holds these investments indefinitely as the FHLBNY

periodically evaluates its liquidity needs.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

***Held-to-Maturity Securities*** — The FHLBNY classifies debt securities as held-to-maturity investments when it has both the ability

and intent to hold them to maturity, in accordance with ASC 320, Investments—Debt Securities. These investments are recorded at

amortized cost, which includes adjustments for accretion and amortization of discounts and premiums, cash collections, and fair

value hedge accounting adjustments.

If a held-to-maturity security is determined to be credit impaired, the amortized cost basis of the security is adjusted for credit losses.

For securities with both credit and noncredit losses, the amortized cost basis is adjusted for credit losses. The noncredit losses are

recognized in Accumulated Other Comprehensive Income (AOCI), and the adjusted amortized cost basis becomes the carrying value

of the impaired security as reported in the Statements of Condition. The carrying value of a held-to-maturity security that is not credit

impaired is its amortized cost basis. Interest earned on such securities is included in interest income.

In accordance with ASC 320, sales of debt securities may be considered maturities for classification purposes under the following

conditions: (1) the sale occurs sufficiently close to its maturity date (or call date, if exercise of the call is probable) such that interest

rate risk is substantially eliminated as a pricing factor, and changes in market interest rates would not have a significant effect on the

security's fair value, or (2) the sale of a security occurs after the FHLBNY has collected a substantial portion (at least 85%) of the

principal outstanding at acquisition. The FHLBNY has internal policies defining "sufficiently close" and "substantial portion.

***Available-for-Sale Securities*** — The FHLBNY classifies debt securities that it may sell before maturity as AFS and carries them at

fair value. Until AFS securities are sold, changes in fair values are recorded in AOCI as Net unrealized gain or (loss) on AFS

securities. The FHLBNY computes gains and losses on sales of debt securities using the specific identification method and includes

these gains and losses in Other income (loss).

***Trading Securities*** — Debt securities classified as trading are held for liquidity purposes and carried at fair value. We record changes

in the fair value of these investments through Other income as net realized and unrealized gains or losses on trading securities. The

Finance Agency prohibits speculative trading practices but allows permitted securities to be deemed held for liquidity if invested in a

trading portfolio. We periodically evaluate our liquidity needs and may dispose these investments as deemed prudent by liquidity and

market conditions.

***Equity Securities*** — The FHLBNY measures its equity investments at fair value with changes in fair value recognized in net income,

thus eliminating eligibility for the available-for-sale category. The FHLBNY's equity investments comprise of mutual fund assets in

grantor trusts owned by the FHLBNY. The intent of the grantor trusts is to set aside cash to meet current and future payments for

supplemental unfunded retirement plans.

***Federal Funds Sold.*** Federal funds sold are recorded at cost on settlement date and interest is accrued using contractual rates.

***Securities Purchased under Agreements to Resell.*** As part of the FHLBNY's banking activities with counterparties, the FHLBNY

may enter into secured financing transactions that mature overnight and can be extended only at the discretion of the FHLBNY.

These transactions involve the lending of cash, against which securities are taken as collateral. The FHLBNY does not have the right

to repledge the securities received. Securities purchased under agreements to resell generally do not constitute a transfer of the

underlying securities. The FHLBNY treats securities purchased under agreements to resell as collateralized financings because the

counterparty retains control of the securities. Interest from such securities is included in Interest income. The FHLBNY did not have

any offsetting liabilities related to its securities purchased under agreements to resell for the periods presented.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

**Advances**

***Accounting for Advances.*** The FHLBNY reports advances at amortized cost, net of any discounts and premiums (discounts are

generally associated with advances for the Affordable Housing Program). If the advance is hedged in an ASC 815 qualifying hedge,

its carrying value will include hedging valuation adjustments, which will typically be the result of changes in designated benchmark

index. If an advance is accounted under the Fair Value Option, the carrying value of the advances elected will be its full fair value.

The FHLBNY records interest on advances to income as earned and amortizes the premium and accretes the discounts on a

contractual basis to interest income using a level-yield methodology. Typically, advances are issued at par.

***Impairment Analysis of Advances***. An advance will be considered impaired when, based on current information and events, it is

probable that the FHLBNY will be unable to collect all amounts due according to the contractual terms of the advance agreement.

The FHLBNY has established asset classification and reserve policies for adversely classified assets. All adversely classified assets

of the FHLBNY will have a reserve established for probable losses. Following the requirements of the Federal Home Loan Bank Act

of 1932 (FHLBank Act), as amended, the FHLBNY obtains sufficient collateral on advances to protect it from losses. The FHLBank

Act limits eligible collateral to certain investment securities, residential mortgage loans, cash or deposits with the FHLBNY, and

other eligible real estate related assets. Borrowing members pledge their capital stock of the FHLBNY as additional collateral for

advances.

The FHLBNY has not incurred any credit losses on advances since its inception. Based upon the financial condition of its borrowers,

the collateral held as security on the advances and repayment history, management of the FHLBNY believes that an allowance for

credit losses on advances is unnecessary.

***Advance Modifications.*** From time to time, the FHLBNY will enter into an agreement with a member to modify the terms of an

existing advance. The FHLBNY evaluates whether the modified advance meets the accounting criteria under ASC 310-20 to qualify

as a modification of an existing advance or as a new advance in accordance with provisions under creditor's accounting for a

modification or exchange of debt instruments. The evaluation includes analysis of (i) whether the effective yield on the new advance

is at least equal to the effective yield for a comparable advance to a similar member that is not refinancing or restructuring, and (ii)

whether the modification of the original advance is more than minor. If the FHLBNY determines that the modification is more than

minor, the transaction is treated as an advance termination and the subsequent funding of a new advance, with gains or losses

recognized in earnings for the period. If the advance is in a hedging relationship, and the modification is more than minor, the

FHLBNY will consider the hedge relationship as terminated and previously recorded hedge basis adjustments are amortized over the

life of the hedged advance through interest income as a yield adjustment. If the modification of the hedged item and the derivative

instrument is considered minor, and if the hedge relationship is de-designated and contemporaneously re-designated, the FHLBNY

would not require amortization of previously recorded hedge basis adjustments, although the assumption of no ineffectiveness is

removed if the hedge was previously designated as a short-cut hedge.

The FHLBNY performs a "test of a modification" under the guidance provided in ASC 310-20-35-11 each time a new advance is

borrowed within a short-period of time, typically 5 business days after a prepayment. If a prepayment fee is received on an advance

that is determined to be a modification of the original advance, the fee would be deferred, recorded in the basis of the modified

advance, and amortized over the life of the modified advance using the level-yield method. This amortization would be recorded as a

component of interest income from advances.

***Prepayment Fees on Advances*.** Generally, advances are prepaid by members at their fair values. The FHLBNY also charges the

member a prepayment fee to make the FHLBNY financially indifferent to the early termination of the advance.

For a prepaid advance that had been hedged under a qualifying fair value hedge, the FHLBNY would terminate the hedging

relationship. Typically, the FHLBNY would terminate the interest rate swap, and would record the fair value exchanged with the

swap counterparty as its settlement value. Prepayment fees received from the prepaying member to make the FHLBNY financially

indifferent is recognized in earnings as interest income from advances.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

For prepaid advances that are not hedged or that are economically hedged, the FHLBNY would also charge the member the fair value

of the advance, in addition to a prepayment fee that would make the FHLBNY financially indifferent to the early termination.

The FHLBNY offers a rebate, which is typically a portion of the prepayment fee. The rebate is contingent upon the prepaying

member borrowing new advances within a 30-day period following prepayment, also satisfying conditions to qualify for the rebate,

and complying with the then prevailing terms and conditions for borrowing new advances. At the time a prepayment fee is received

from the borrowing member, a portion of the fee, deemed to be potentially rebatable, is not recognized in earnings. The rebatable

amount is deferred as a liability as the FHLBNY considers the rebate opportunity for the member a contingency for the FHLBNY.

Until no likelihood exists, such that the member has a potential claim to a rebate within the 30-day rebate period, the potential

rebatable amount will be considered to be contingently payable. That amount will be deferred, based on the supposition that the

rebatable portion of the prepayment fee may not be recognized as a revenue in its entirety because it may be subject to a claim

payable to a third party, the borrowing member. Amounts would be recorded once the contingency has been resolved, i.e. when any

future potential claims to rebatable funds have expired (30-day rebate period has expired) or has been otherwise settled and resolved

(member enters into new qualifying advances within the 30-day period). Only after the member has no further claims on the funds,

and the FHLBNY has no obligations to rebate funds, the deferred amounts may only then be released to earnings. The actual rebate

would depend on the amount and the maturity duration of the new advance.

**Mortgage Loans Held-for-Portfolio**

The FHLBNY purchases and originates conventional mortgage loans from our participating members (Participating Financial

Institutions or PFIs) through MAP and, prior to March 31, 2021, through our legacy MPF program.

***Accounting for Mortgage Loans.*** The FHLBNY has the intent and ability to hold these mortgage loans for the foreseeable future or

until maturity or payoff and classifies mortgage loans as held-for-portfolio. Loans are reported at their principal amount outstanding,

net of premiums and discounts, which is the fair value of the mortgage loan on settlement date. The FHLBNY defers premiums and

discounts and uses the contractual method to amortize premiums and accrete discounts on mortgage loans. The contractual method

recognizes the income effects of premiums and discounts in a manner that is reflective of the actual behavior of the mortgage loans

during the period in which the behavior occurs while also reflecting the contractual terms of the assets without regard to changes in

estimated prepayments based upon assumptions about future borrower behavior.

Mortgage loans are written down to their fair values either at foreclosure or to their collateral values when collectability is doubtful,

typically when delinquent 180 days or greater and the loan is not well collateralized. When a loan is partially charged off, the

remaining loan balance is typically written down and recorded at its collateral value on a non-recurring basis (see Note 18. Fair

Values of Financial Instruments).

The FHLBNY records credit enhancement fees as a reduction to mortgage loan interest income. Other non-origination fees, such as

delivery commitment extension fees and pair-off fees, are considered as derivative income and recorded over the life of the

commitment; all such fees were insignificant for all periods reported.

***Non-Accrual Mortgage Loans.*** The FHLBNY places a mortgage loan on non-accrual status when the collection of the contractual

principal or interest is doubtful, which for the FHLBNY is typically 90 days or more past due. When a mortgage loan is placed on

non-accrual status, accrued but uncollected interest is reversed against interest income. A loan on non-accrual status may be restored

to accrual when (1) principal and interest is no longer delinquent, (2) the FHLBNY expects to collect the remaining interest and

principal, and (3) the collection is not under legal proceedings. For mortgage loans on non-accrual status, impairment calculations

would consider if the collection of the remaining principal and interest due is determined to be doubtful, and any cash received would

be applied first to principal until the remaining principal amount due is collected, and then as a recovery of any charge-offs. Any

remaining cash flows would be recorded as interest income. If the FHLBNY determines that the loan servicer on a non-accrual loan

has paid the accrued interest receivable as an advance, which is likely to be subject to recovery by the borrower, the FHLBNY would

consider the cash received as a liability until the impaired loan returns to a performing status. The cumulative amounts of cash

received and recorded as a liability was $0.4 million at December 31, 2025 and $0.5 million at December 31, 2024. The FHLBNY is

continuing to apply its existing non-accrual standards, which is to consider a loan to be in a non-accrual status if the loan is seriously

delinquent (90 days plus delinquent) on loans impacted by forbearance and deferral programs.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

***Impairment Methodology and Portfolio Segmentation and Disaggregation* —** Except for VA and FHA insured mortgage loans, all

mortgage loans are measured for impairment and analyzed for credit losses. Measurement of credit losses is based on current

information and events and when it is probable that the FHLBNY will be unable to collect all amounts due according to the

contractual terms of the loan agreement. Credit losses are measured for impairment based on the fair value of the underlying property

less estimated selling costs. It is assumed that repayment is expected to be provided solely by the sale of the underlying property, that

is, there is no other available and reliable source of repayment. To the extent that the net fair value of the property (collateral) is less

than the amortized cost in the loan, a loan loss allowance is recorded. FHA and VA are insured loans and are excluded from the loan-

by-loan analysis. FHA and VA insured mortgage loans have minimal inherent credit risk; risk generally arises mainly from the

servicers defaulting on their obligations. FHA and VA insured mortgage loans, if adversely classified, would have reserves

established only in the event of a default of a PFI, and reserves would be based on aging, collateral value and estimated costs to

recover any uninsured portion of the mortgage loan.

Aside from separating conventional mortgage loans from FHA and VA insured loans, the FHLBNY has determined that no further

disaggregation or portfolio segmentation is needed as the credit risk is measured at the individual loan level.

***Charge-Off Policy* —** The FHLBNY complies with the guidance provided by the FHFA to perform a charge-off analysis when a

loan is on non-accrual status for 180 days or more and the loan is not well collateralized. The charge-off is calculated as the amount

of the shortfall of the fair value of the underlying collateral, less estimated selling costs, compared to the amortized cost in the loan.

***Real Estate Owned (REO)*** — REO includes assets that have been received in satisfaction of mortgage loans through foreclosure.

REO is recorded at the lower of cost or fair value less estimated selling costs of the REO. At the date of transfer, from mortgage loan

to REO, the FHLBNY recognizes a charge-off to allowance for credit losses if the fair value of the REO is less than the amortized

cost in the loan. Any subsequent realized gains, realized or unrealized losses and carrying costs are included in Other income (non-

interest) in the Statements of Income. REO is recorded in Other assets, in the Statements of Condition.

**Mandatorily Redeemable Capital Stock**

Generally, the FHLBNY's capital stock is redeemable at the option of both the member and the FHLBNY, subject to certain

conditions. The FHLBNY's capital stock is accounted for under the guidance for financial instruments with characteristics of both

liabilities and equity. Dividends paid on capital stock classified as mandatorily redeemable stock are accrued at an estimated dividend

rate and reported as interest expense in the Statements of Income.

Mandatorily redeemable capital stock at December 31, 2025 and 2024 represented capital stocks held by former members.

***Accounting Considerations under the Capital Plan*** — There are three triggering events that could cause the FHLBNY in its sole

discretion to repurchase capital stock.

• a member requests redemption of excess membership stock;

• a member delivers notice of its intent to withdraw from membership; or

• a member attains non-member status (through merger into or acquisition by a non-member, charter termination, or

involuntary termination from membership).

The member's request to redeem excess Membership Stock will be considered to be revocable until the stock is repurchased. Since

the member's request to redeem excess Membership Stock can be withdrawn by the member without penalty, the FHLBNY

considers the member's intent regarding such request to not be substantive in nature; therefore, no reclassification to a liability will

be made at the time the request is delivered.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

Under the Capital Plan, when a member delivers a notification of its intent to withdraw from membership, the reclassification from

equity to a liability will become effective upon receipt of the notification. The FHLBNY considers the member's intent regarding

such notification to be substantive in nature; therefore, reclassification to a liability will be made at the time the notification of the

intent to withdraw is delivered. When a member is acquired by a non-member, the FHLBNY reclassifies stock of former members to

a liability on the day the member's charter is dissolved. Unpaid dividends related to capital stock reclassified as a liability are accrued

at an estimated dividend rate and reported as interest expense in the Statements of Income. The repurchase of these mandatorily

redeemable financial instruments is reflected as a cash outflow in the financing activities section of the Statements of Cash Flows.

The FHLBNY's capital stock can only be acquired and redeemed at par value; and are not traded and no market mechanism exists for

the exchange of stock outside the cooperative structure.

**Affordable Housing Program**

The FHLBank Act requires each FHLBank to establish and fund an AHP (see <u>[Note 13](#i49844a90fdeb43fea99a5d523454fbaf_1197)</u>. Affordable Housing Program and Voluntary

Contributions). The FHLBNY charges the required funding for AHP to earnings and establishes a liability. The AHP funds provide

subsidies to members to assist in the purchase, construction, or rehabilitation of housing for very low-, low-, and moderate-income

households. The AHP assessment is based on a fixed percentage of income before adjustment for dividends associated with

mandatorily redeemable capital stock. Dividend payments are reported as interest expense in accordance with the accounting

guidance for certain financial instruments with characteristics of both liabilities and equity. If the FHLBNY incurs a loss for the

entire year, no AHP assessment or assessment credit is due or accrued, as explained more fully in <u>[Note 13](#i49844a90fdeb43fea99a5d523454fbaf_1197)</u>. Affordable Housing

Program and Voluntary Contributions.

The FHLBNY has the authority to make the AHP subsidy available to members as a grant. From time to time, the FHLBNY may

also issue AHP advances at interest rates below the customary interest rates for non-subsidized advances. When the FHLBNY makes

an AHP advance, the present value of the variation in the cash flow caused by the difference between the AHP advance interest rate

and the FHLBNY's related cost of funds for comparable maturity funding is charged against the AHP liability. The amounts are then

recorded as a discount on the AHP advance.

**Commitment Fees**

The FHLBNY records the present value of fees receivable from standby letters of credit as an asset and an offsetting liability for the

obligation. Fees, which are generally received for one year in advance, are recorded as unrecognized standby commitment fees

(deferred credit) and amortized monthly over the commitment period. The FHLBNY amortizes fees received to income using the

straight-line method.

**Premises, Software and Equipment**

The Bank computes depreciation using the straight-line method over the estimated useful lives of assets ranging from four to five

years. Leasehold improvements are amortized on a straight-line basis over the lesser of the useful life of the asset or the remaining

term of the lease. The FHLBNY capitalizes improvements and major renewals but expenses ordinary maintenance and repairs when

incurred and would include gains and losses on disposal of premises and equipment in Other income (loss).

**Lease Accounting**

Leases are recognized on the balance sheet as a lease liability with a right-of-use asset as an offset. See Operating and Finance lease

commitment disclosures in <u>[Note 19.](#i1fd785705c0e47de899f16d33e3eb10f_5786)</u> Commitments and Contingencies.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

**Consolidated Obligations**

***Accounting for Consolidated obligation debt*.** The FHLBNY reports Consolidated obligation bonds and discount notes at amortized

cost, net of discounts and premiums. If the consolidated obligation debt is hedged in a benchmark hedge, its carrying value will

include hedging valuation adjustments, which will typically be the changes in the SOFR or Federal funds effective index. The

carrying value of Consolidated obligation debt elected under the FVO will be its fair value. The FHLBNY records interest paid on

Consolidated obligation bonds in interest expense. The FHLBNY expenses the discounts on Consolidated obligation discount notes,

using the level-yield method, over the term of the related notes and amortizes the discounts and premiums on callable and non-

callable Consolidated bonds, also using the contractual level-yield method, over the term to maturity of the Consolidated obligation

bonds.

***Concessions on Consolidated Obligations.*** Concessions are paid to dealers in connection with the issuance of certain Consolidated

obligation bonds. The Office of Finance prorates the amount of the concession to the FHLBNY based upon the percentage of the debt

issued that is assumed by the FHLBNY. Concessions paid on Consolidated obligation bonds elected under the FVO are expensed as

incurred. Concessions paid on Consolidated obligation bonds not designated under the FVO are deferred and amortized, using the

contractual level-yield method, over the term to maturity of the Consolidated obligation bond. Unamortized debt issuance costs are

recorded in Consolidated obligation bond liabilities in the Statements of Condition. The FHLBNY charges to expense, as incurred,

the concessions applicable to the sale of Consolidated obligation discount notes because of their short maturities; amounts are

recorded in Consolidated obligations interest expense.

**Finance Agency and Office of Finance Expenses**

The FHLBNY is assessed for its proportionate share of the costs of operating the Finance Agency and the Office of Finance. The

Finance Agency is authorized to impose assessments on the FHLBanks and two other GSEs, in amounts sufficient to pay the Finance

Agency's annual operating expenses.

The Office of Finance is also authorized to impose assessments on the FHLBanks, including the FHLBNY, in amounts sufficient to

pay the Office of Finance's annual operating and capital expenditures. Each FHLBank is assessed a prorated **—** (1) two-thirds based

upon each FHLBank's share of total Consolidated obligations outstanding (calculated as an average of the prior twelve month-end

consolidated obligation balances) and (2) one-third based upon an equal pro-rata allocation.

**Earnings per Share of Capital**

Basic earnings per share is computed by dividing income available to stockholders by the weighted average number of shares

outstanding for the period. Capital stock classified as mandatorily redeemable capital stock is excluded from this calculation. Basic

and diluted earnings per share are the same, as the FHLBNY has no additional potential shares that may be dilutive.

**Cash Flows**

In the Statements of Cash Flows, the FHLBNY considers Cash and due from banks to be cash. Interest-bearing deposits, Federal

funds sold, and securities purchased under agreements to resell are reported in the Statements of Cash Flows as investing activities.

Federal funds sold, securities purchased under agreements to resell, and deposits with other FHLBanks are deemed short-term under

ASC 320 and therefore, net presentation is appropriate.

*Derivative instruments* — Cash flows from a derivative instrument that is accounted for as a fair value or cash flow hedge, including

those designated as economic hedges, are reflected as cash flows from operating activities if the derivative instrument did not include

"an other-than-insignificant" financing element at inception. When the FHLBNY executes an off-market derivative, which would

typically require an up-front cash exchange, the FHLBNY will analyze the transaction and would deem it to contain a financing

element if the cash exchange is more than insignificant. Financing elements are recorded as a financing activity in the Statements of

Cash Flows.

*Losses on debt extinguishment* — Losses from debt retirement and transfers (debt retirement) are considered financing activities in

the Statements of Cash Flows. Losses are added back as an adjustment to Net cash provided by operating activities, with an offsetting

increase in payments on maturing Consolidated obligation bonds as a financing activity.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

**Note 2. Financial Accounting Standards Board (FASB) Standards Issued.**

Recently Issued Accounting Standards

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| | | | |
|:---|:---|:---|:---|
| **Standard** | **Summary of Guidance** | **Effective Date** | **Effects on the Financial Statements** |
| **Interim** <br>**Reporting** <br>ASU 2025-11, <br>Issued December <br>2025.<br>| The ASU reorganizes and modernizes <br>interim reporting guidance in Topic <br>270. It consolidates all interim <br>disclosure requirements from across <br>GAAP into a single comprehensive <br>list, clarifies the applicability of <br>interim reporting guidance, and <br>introduces a disclosure principle <br>requiring entities to disclose material <br>events occurring after year-end. The <br>amendments do not expand or reduce <br>existing interim disclosure <br>requirements but improve clarity and <br>consistency.<br>| Effective for annual <br>reporting periods <br>beginning after December <br>15, 2027, including interim <br>periods within those annual <br>periods. Early adoption <br>permitted.<br>| FHLBNY is currently evaluating the <br>new guidance and its potential impact <br>on the Bank's financial statements.<br>|
| **Hedge** <br>**Accounting** <br>**Improvements**<br>ASU 2025-09, <br>Issued December <br>2025.<br>| The ASU updates hedge accounting <br>guidance to better align with current <br>risk-management practices. Key <br>changes include expanding the ability <br>to group forecasted transactions using <br>a "similar risk exposure" criterion; <br>establishing a model for hedging <br>choose-your-rate variable-rate debt; <br>expanding component hedging for <br>nonfinancial forecasted transactions; <br>eliminating the net written option test <br>for certain compound derivatives; and <br>improving accounting for dual hedges <br>involving <br>foreign-currency-denominated debt.<br>| Effective for annual <br>reporting periods <br>beginning after December <br>15, 2026, including interim <br>periods within those annual <br>periods. Early adoption <br>permitted.<br>| FHLBNY is currently evaluating the <br>new guidance and its potential impact <br>on the Bank's financial statements.<br>|
| **Allowance for** <br>**Credit Losses on** <br>**Purchased** <br>**Seasoned Loans**<br>ASU 2025-08, <br>Issued November <br>2025.<br>| The ASU expands the use of the <br>gross-up approach to a new category <br>of acquired financial assets called <br>"purchased seasoned loans." <br>Non-PCD loans that meet seasoning <br>criteria (including all non-PCD loans <br>acquired in a business combination) <br>must be accounted for using the <br>gross-up approach rather than <br>recording a Day 1 credit loss expense. <br>The amendments reduce complexity, <br>eliminate double counting of expected <br>losses, and improve comparability <br>across acquisitions.<br>| Effective for annual <br>reporting periods <br>beginning after December <br>15, 2026, including interim <br>periods within those annual <br>periods. Applied <br>prospectively. Early <br>adoption permitted.<br>| FHLBNY is currently evaluating the <br>new guidance and its potential impact <br>on the Bank's financial statements.<br>|

---

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

---

| | | | |
|:---|:---|:---|:---|
| **Internal-Use** <br>**Software** <br>**Capitalization**<br>ASU 2025-06, <br>Issued September <br>2025.<br>| The standards in this ASU eliminate <br>references to prescriptive software <br>development stages in Subtopic <br>350-40. Under the amended guidance, <br>capitalization of internal-use software <br>costs begins when (1) management <br>has authorized and committed funding <br>to the project and (2) it is probable <br>that the project will be completed and <br>the software will be used as intended. <br>The amendments are intended to <br>provide a more principles-based <br>framework that better reflects modern <br>software development practices and <br>reduces diversity in practice. <br>| The requirement is <br>effective for annual <br>reporting periods <br>beginning after December <br>15, 2027, and interim <br>reporting periods within <br>those annual reporting <br>periods. Early adoption is <br>permitted.<br>| FHLBNY is currently evaluating the <br>new guidance and its potential impact <br>on the Bank's financial statements.<br>|
| **Expense** <br>**Disaggregation** <br>**Disclosures**<br>ASU 2024-03, <br>Issued November <br>2024.<br>| The standards require disaggregated <br>disclosure of income statement <br>expenses in the notes to the financial <br>statements. Among other things, <br>entities must disclose, at each <br>reporting period, the amounts of <br>purchases of inventory, employee <br>compensation, depreciation, and <br>intangible asset amortization, along <br>with other required categories. The <br>objective is to provide users with <br>more transparent and decision-useful <br>information about the nature and <br>behavior of operating expenses.<br>| The requirement is <br>effective for fiscal years <br>beginning after December <br>15, 2026, and interim <br>reporting periods <br>beginning after December <br>15, 2027. Early adoption is <br>permitted. <br>| The adoption of this guidance is not <br>expected to have any effect on the <br>Bank's financial condition, results of <br>operations, cash flows, or disclosures <br>due to the existing level of <br>disaggregation. <br>|

---

**Note 3. Cash and Due from Banks.**

Cash on hand, cash items in the process of collection, and amounts due from correspondent banks and the Federal Reserve Banks are

recorded as cash and cash equivalent in the Statements of Cash Flows. The FHLBNY is exempt from maintaining any required

clearing balance at the Federal Reserve Bank of New York.

**Compensating Balances**

The FHLBNY has arrangements with Citibank (a member/stockholder of the FHLBNY) to maintain compensating collected cash

balances. There are no restrictions on the withdrawal of funds in this arrangement. The compensating balances were $5 million at

December 31, 2025 and $15.0 million at December 31, 2024. There were no restricted cash balances at December 31, 2025 and

December 31, 2024.

**Pass-through Deposit Reserves**

The FHLBNY acts as a pass-through correspondent for member institutions who are required by banking regulations to deposit

reserves with the Federal Reserve Banks. There were no pass-through reserves deposited with Federal Reserve Banks on behalf of

the members by the FHLBNY at December 31, 2025 and December 31, 2024, respectively.

**Note 4. Interest-bearing Deposits, Federal Funds Sold and Securities Purchased Under Agreements to Resell.**

The Bank invests in interest-bearing deposits, securities purchased under agreements to resell, and federal funds sold to provide

short-term liquidity. These investments are generally transacted with counterparties that have received a credit rating of triple-B or

higher (investment grade) by a nationally recognized statistical rating organization.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

*Interest-bearing deposits* — Investments are typically short-term deposits placed with highly-rated large financial institutions and are

recorded at amortized cost. Deposits placed were $3.0 billion at December 31, 2025 and $2.8 billion at December 31, 2024 and were

uncollateralized. Deposits are evaluated quarterly for expected credit losses based on the probability of default of the borrowing

counterparty and the terms to maturity of the outstanding investments at the measurement dates. Based on the analysis performed, no

allowance for credit losses was recorded at December 31, 2025 and December 31, 2024. Accrued interest receivables were $0.3

million at December 31, 2025 and $0.3 million at December 31, 2024, and no allowance for credit losses was recorded as interest due

was collected.

*Federal funds sold* — Federal funds sold are unsecured advances to highly-rated large financial institutions. Federal funds sold are

unsecured loans that are generally transacted on an overnight term and recorded at amortized cost. FHFA regulations include a limit

on the amount of unsecured credit an individual Bank may extend to a counterparty. Federal funds sold were $11.6 billion at

December 31, 2025 and $9.4 billion at December 31, 2024 and were repaid according to their contractual terms. Investments are

evaluated quarterly for expected credit losses based on the probability of default of the borrowing counterparty and the terms to

maturity of the outstanding investments at the measurement dates. Generally, Federal funds are short-term and typically overnight.

Counterparties are highly-rated. Based on analysis performed, no allowance for credit losses was recorded for Federal funds sold at

December 31, 2025 and December 31, 2024. Accrued interest receivables were $1.2 million at December 31, 2025 and $1.1 million

at December 31, 2024, and no allowance for credit losses was recorded as interest due was collected.

*Securities purchased under agreements to resell —* The outstanding balances of Securities purchased under agreements to resell were

recorded on an amortized cost basis of $16.0 billion at December 31, 2025 and $10.9 billion at December 31, 2024. The investments

typically matured overnight and were executed through a tri-party arrangement that involved transfer of overnight funds to a

segregated safekeeping account at the Bank of New York (BONY). BONY (which became a member of the FHLBNY during the

second quarter 2024), acting as an independent agent on behalf of the FHLBNY and the counterparty to the transactions, assumes the

responsibility of receiving eligible securities as collateral and releasing funds to the counterparty. The amount of cash loaned against

the collateral is a function of the liquidity and quality of the collateral. The collateral is typically in the form of securities that meet

the FHLBNY's credit quality standards, are highly-rated and readily marketable. The FHLBNY has the ability to call for additional

collateral if the value of the securities falls below a pre-defined haircut. The FHLBNY can terminate the transaction and liquidate the

collateral if the counterparty fails to post the additional margin. Agreements generally allow the FHLBNY to repledge securities

under certain conditions. No adjustments for instrument-specific credit risk were deemed necessary as market values of collateral

were in excess of principal amounts loaned. Accrued interest receivables were $1.7 million at December 31, 2025 and $1.3 million at

December 31, 2024, and no allowance for credit losses was recorded as interest due was collected.

U.S. Treasury securities at market values of $16.3 billion at December 31, 2025 and $11.0 billion at December 31, 2024 were

received at BONY to collateralize the overnight investments. Interest income from securities purchased under agreements to resell

was $0.3 billion for 2025 and $0.3 billion for 2024. Transactions recorded as Securities purchased under agreements to resell were

accounted as collateralized financing transactions.

**Note 5. Trading Securities.**

The carrying value of a trading security equals its fair value. The following table provides major security types at December 31, 2025

and December 31, 2024 (in thousands):

---

| | | |
|:---|:---|:---|
| **Fair value** | **December 31, 2025** | **December 31, 2024** |
| U.S. Treasury notes | $7387187 | $6222347 |
| U.S. Treasury bills |  | 1015593 |
| **Total trading securities** | $7387187 | $7237940 |

---

The carrying values of trading securities included net unrealized fair value losses of $96.1 million at December 31, 2025 and losses

of $237.5 million at December 31, 2024. We have classified investments acquired for purposes of meeting short-term contingency

and other liquidity needs as trading securities. In accordance with Finance Agency guidance, we do not participate in speculative

trading practices.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

**Trading Securities Pledged**

The FHLBNY had pledged marketable securities at fair values of $845.6 million at December 31, 2025 and $803.0 million at

December 31, 2024 to derivative clearing organizations to fulfill the FHLBNY's initial margin requirements as mandated under

margin rules of the Commodity Futures Trading Commission (CFTC). The clearing organizations have rights to sell or repledge the

collateral securities under certain conditions.

The following tables present redemption terms of the major types of trading securities (dollars in thousands):

**Redemption Terms**

---

| | | | |
|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** |
|  | **Due in one year** <br>**or less**<br>| **Due after one year** <br>**through five years**<br>| **Total Fair Value** |
| U.S. Treasury notes | $2305878 | $5081309 | $7387187 |
| U.S. Treasury bills |  |  |  |
| **Total trading securities** | $2305878 | $5081309 | $7387187 |
| Yield on trading securities | 1.41% | 2.53% |  |

---

---

| | | | |
|:---|:---|:---|:---|
|  | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
|  | **Due in one year** <br>**or less**<br>| **Due after one year** <br>**through five years**<br>| **Total Fair Value** |
| U.S. Treasury notes | $1344273 | $4878074 | $6222347 |
| U.S. Treasury bills | 1015593 |  | 1015593 |
| **Total trading securities** | $2359866 | $4878074 | $7237940 |
| Yield on trading securities | 3.97% | 1.72% |  |

---

**Note 6. Equity Investments.**

The FHLBNY has classified its grantor trusts as equity investments. The carrying value of equity investments in the Statements of

Condition, and the types of assets in the grantor trusts were as follows (in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** |
|  | **Amortized** <br>**Cost**<br>| **Gross**<br>**Unrealized** <br>**Gains** <sup>(b)</sup><br>| **Gross**<br>**Unrealized** <br>**Losses** <sup>(b)</sup><br>| **Fair Value** <br><sup>(c)</sup><br>|
| Cash equivalents | $5804 | $— | $— | $5804 |
| Equity funds | 41336 | 30824 | (13897) | 58263 |
| Fixed income funds | 39351 | 6505 | (6216) | 39640 |
| **Total Equity Investments** <sup>(a)</sup> | $86491 | $37329 | $(20113) | $103707 |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
|  | **Amortized** <br>**Cost**<br>| **Gross**<br>**Unrealized** <br>**Gains** <sup>(b)</sup><br>| **Gross**<br>**Unrealized** <br>**Losses** <sup>(b)</sup><br>| **Fair Value** <br><sup>(c)</sup><br>|
| Cash equivalents | $5516 | $— | $— | $5516 |
| Equity funds | 35050 | 21521 | (5991) | 50580 |
| Fixed income funds | 42840 | 209 | (3723) | 39326 |
| **Total Equity Investments** <sup>(a)</sup> | $83406 | $21730 | $(9714) | $95422 |

---

*(a)The intent of the grantor trusts are to set aside cash to meet current and future payments for a supplemental unfunded pension* 

*plan. Neither the pension plans nor the employees of the FHLBNY own the trusts.*

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

*(b)Changes in unrealized gains and losses are recorded through earnings, specifically in Other income in the Statements of Income.*

*(c)The grantor trusts invest in money market, equity and fixed income and bond funds. Daily net asset values (NAVs) are readily* 

*available and investments are redeemable at short notice. NAVs are the fair values of the funds in the grantor trusts. The grantor* 

*trusts are owned by the FHLBNY.*

In the Statements of Income, gains and losses related to outstanding Equity Investments were as follows (in thousands):

---

| | | |
|:---|:---|:---|
|  | **Year Ended December 31,** | **Year Ended December 31,** |
|  | **2025** | **2024** |
| Unrealized gains (losses) recognized during the reporting period on equity investments still held at <br>the reporting date<br>| $5200 | $1098 |
| Net gains (losses) recognized during the period on equity investments sold during the period | 897 | 4334 |
| Net dividend and other | 5835 | 4212 |
| Net gains (losses) recognized during the period | $11932 | $9644 |

---

**Note 7. Available-for-Sale Securities.**

The following tables provide major security types (in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** |
|  | **Amortized** <br>**Cost**<br>| **Gross** <br>**Unrealized** <br>**Gains**<br>| **Gross** <br>**Unrealized** <br>**Losses**<br>| **Fair** <br>**Value**<br>|
| Housing and U.S. Obligations | $2223460 | $2599 | $(1264) | $2224795 |
| Mortgage-backed securities |  |  |  |  |
| Floating |  |  |  |  |
| CMO | 291061 | 509 | (1402) | 290168 |
| Pass Thru | 2552 | 84 |  | 2636 |
| Total Floating | 293613 | 593 | (1402) | 292804 |
| Fixed |  |  |  |  |
| CMBS | 10224167 | 55871 | (451792) | 9828246 |
| Total Fixed | 10224167 | 55871 | (451792) | 9828246 |
| MBS AFS Before Hedging Adjustments  | 10517780 | 56464<br> <sup>(a)</sup> | (453194)<br> <sup>(a)</sup> | 10121050 |
| Hedging Basis Adjustments <sup>(b)</sup> | (363915) | 363915 |  |  |
| Total Available-for-sale securities (MBS) | 10153865 | 420379 | (453194) | 10121050 |
| **Total Available-for-sale securities** | $12377325 | $422978 | $(454458) | $12345845 |

---

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
|  | **Amortized** <br>**Cost**<br>| **Gross** <br>**Unrealized** <br>**Gains**<br>| **Gross** <br>**Unrealized** <br>**Losses**<br>| **Fair** <br>**Value**<br>|
| Housing and U.S. Obligations | $1297970 | $509 | $(1048) | $1297431 |
| Mortgage-backed securities |  |  |  |  |
| Floating |  |  |  |  |
| CMO | 341381 | 520 | (1987) | 339914 |
| Pass Thru | 2999 | 69 |  | 3068 |
| Total Floating | 344380 | 589 | (1987) | 342982 |
| Fixed |  |  |  |  |
| CMBS | 9145270 | 3116 | (801515) | 8346871 |
| Total Fixed | 9145270 | 3116 | (801515) | 8346871 |
| MBS AFS Before Hedging Adjustments  | 9489650 | 3705<br> <sup>(a)</sup> | (803502)<br> <sup>(a)</sup> | 8689853 |
| Hedging Basis Adjustments <sup>(b)</sup> | (634699) | 634699 |  |  |
| Total Available-for-sale securities (MBS) | 8854951 | 638404 | (803502) | 8689853 |
| **Total Available-for-sale securities** | $10152921 | $638913 | $(804550) | $9987284 |

---

*(a)Amounts represent specialized third-party pricing vendors' estimates of gains/losses of AFS securities; market pricing is based* 

*on historical amortized cost adjusted for pay downs and amortization of premiums and discounts; fair value unrealized gains* 

*and losses are before adjusting book values for hedge basis adjustments and will equal market values of AFS securities recorded* 

*in AOCI. Fair value hedges were executed to mitigate the interest rate risk of the hedged fixed-rate securities due to changes in* 

*the designated benchmark rate.* 

*(b)Amounts represent fair value hedging basis due to changes in the benchmark rate and were recorded as an adjustment to the* 

*carrying values of hedged securities; the adjustments impacted the unrealized market value gains and losses. In the table above,* 

*the benchmark hedging basis adjustments were reported separately from the market-based prices of ASC 815 qualifying hedges* 

*to provide greater clarity to market-based pricing of the securities.*

The Bank did not sell any available-for-sale securities during the years ended December 31, 2025 or December 31, 2024.

**Credit Loss Analysis of AFS Securities**

The FHLBNY's portfolio of MBS classified as AFS is comprised primarily of GSE-issued collateralized mortgage obligations and

CMBS. A portfolio of State and local housing finance agency obligations is also classified as AFS. The FHLBNY evaluates its GSE-

issued securities by considering the creditworthiness and performance of the debt securities and the strength of the government-

sponsored enterprises' guarantees of the securities.

Based on credit and performance analysis, GSE-issued securities are performing in accordance with their contractual agreements. The

FHLBNY believes that it will recover its investments in GSE-issued securities given the current levels of collateral, credit

enhancements and guarantees that exist to protect the investments. At December 31, 2025 and December 31, 2024, unrealized fair

value losses have been aggregated in the table below by the length of time a security was in a continuous unrealized loss position

based on market-based pricing and excluding the effects of hedge basis adjustments.

The Bank evaluates its individual AFS securities for impairment by comparing the security's fair value to its amortized cost.

Impairment may exist when the fair value of the investment is less than its amortized cost (i.e. in an unrealized loss position). We

have not experienced any payment defaults on the instruments. As noted previously, substantially all of these securities are GSE-

issued and carry an implicit or explicit U.S. government guarantee. Based on the analysis, no allowance for credit losses was

recorded on these AFS securities at December 31, 2025 and December 31, 2024.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

The following table summarizes available-for-sale securities with estimated fair values below their amortized cost basis (in

thousands):

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** |
|  | **Less than 12 months** | **Less than 12 months** | **12 months or more** | **12 months or more** | **Total** | **Total** |
|  | **Estimated** <br>**Fair Value**<br>| **Unrealized** <br>**Losses**<br>| **Estimated** <br>**Fair Value**<br>| **Unrealized** <br>**Losses**<br>| **Estimated** <br>**Fair Value**<br>| **Unrealized** <br>**Losses**<br>|
| **MBS Investment Securities and State and** <br>**local housing finance agency obligations**<br>|  |  |  |  |  |  |
| MBS-Other US Obligations | $— | $— | $2481 | $(19) | $2481 | $(19) |
| MBS-GSE | 493323 | (2353) | 6300383 | (450822) | 6793706 | (453175) |
| **Total MBS Temporarily Impaired** | 493323 | (2353) | 6302864 | (450841) | 6796187 | (453194) |
| State and local housing finance agency <br>obligations<br>| 1214511 | (1264) |  |  | 1214511 | (1264) |
| **Total Temporarily Impaired** | $1707834 | $(3617) | $6302864 | $(450841) | $8010698 | $(454458) |

---

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
|  | **Less than 12 months** | **Less than 12 months** | **12 months or more** | **12 months or more** | **Total** | **Total** |
|  | **Estimated** <br>**Fair Value**<br>| **Unrealized** <br>**Losses**<br>| **Estimated** <br>**Fair Value**<br>| **Unrealized** <br>**Losses**<br>| **Estimated** <br>**Fair Value**<br>| **Unrealized** <br>**Losses**<br>|
| **MBS Investment Securities and State and** <br>**local housing finance agency obligations**<br>|  |  |  |  |  |  |
| MBS-Other US Obligations | $— | $— | $2792 | $(29) | $2792 | $(29) |
| MBS-GSE | 1952588 | (51358) | 6449935 | (752115) | 8402523 | (803473) |
| **Total MBS Temporarily Impaired** | 1952588 | (51358) | 6452727 | (752144) | 8405315 | (803502) |
| State and local housing finance agency <br>obligations<br>| 74999 | (1) | 790493 | (1047) | 865492 | (1048) |
| **Total Temporarily Impaired** | $2027587 | $(51359) | $7243220 | $(753191) | $9270807 | $(804550) |

---

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

**Redemption Term**

Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or

without call or prepayment fees. The amortized cost and estimated fair value <sup>(a)</sup> of investments classified as AFS, by contractual

maturity, were as follows (in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2024** | **December 31, 2024** |
|  | **Amortized** <br>**Cost** <sup>(b)</sup><br>| **Estimated Fair** <br>**Value**<br>| **Amortized** <br>**Cost** <sup>(b)</sup><br>| **Estimated Fair** <br>**Value**<br>|
| Housing and U.S. Obligations |  |  |  |  |
| Due in one year or less | $— | $— | $5200 | $5164 |
| Due after one year through five years | 458799 | 461229 |  |  |
| Due after five years through ten years | 98886 | 99043 |  |  |
| Due after ten years | 1665775 | 1664523 | 1292770 | 1292267 |
| Housing and U.S. Obligations | $2223460 | $2224795 | $1297970 | $1297431 |
| Mortgage-backed securities |  |  |  |  |
| Due in one year or less | $492677 | $488360 | $223769 | $222398 |
| Due after one year through five years | 2348575 | 2338486 | 1999007 | 1953918 |
| Due after five year through ten years | 6464250 | 6456546 | 5769258 | 5685628 |
| Due after ten years | 848363 | 837658 | 862917 | 827909 |
| Mortgage-backed securities | $10153865 | $10121050 | $8854951 | $8689853 |
| **Total Available-for-Sale securities** | $12377325 | $12345845 | $10152921 | $9987284 |

---

*(a)The carrying value of AFS securities equals fair value.*

*(b)Amortized cost is UPB after adjusting for net unamortized discounts of $44.7 million at December 31, 2025 and net* 

*unamortized discounts of $24.0 million at December 31, 2024. Additionally, historical amortized cost in the table above is after* 

*adjustment for hedging basis.* 

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

**Interest Rate Payment Terms**

The following table summarizes interest rate payment terms of investments in Mortgage-backed securities and State and local

housing finance agency obligations classified as AFS securities (in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2024** | **December 31, 2024** |
|  | **Amortized Cost** | **Fair Value** | **Amortized Cost** | **Fair Value** |
| Mortgage-backed securities |  |  |  |  |
| Floating |  |  |  |  |
| CMO | $291061 | $290168 | $341381 | $339914 |
| Pass Thru | 2552 | 2636 | 2999 | 3068 |
| Total Floating | 293613 | 292804 | 344380 | 342982 |
| Fixed |  |  |  |  |
| CMBS | 9860252 | 9828246 | 8510571 | 8346871 |
| Total Fixed | 9860252 | 9828246 | 8510571 | 8346871 |
| **Total Mortgage-backed securities** | 10153865 | 10121050 | 8854951 | 8689853 |
| Housing and U.S. Obligations |  |  |  |  |
| Floating | 1665775 | 1664523 | 1297970 | 1297431 |
| Fixed | 557685 | 560272 |  |  |
| **Total Available-for-Sale securities** | $12377325 | $12345845 | $10152921 | $9987284 |

---

**Note 8. Held-to-Maturity Securities.**

The following tables provide major security types (in thousands):

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** |
| <br>Issued, guaranteed or insured: | **Amortized** <br>**Cost** <sup>(d)</sup><br>| **Allowance** <br>**for Credit** <br>**Loss (ACL)**<br>| **OTTI** <br>**Recognized** <br>**in AOCI**<br>| **Carrying** <br>**Value**<br>| **Gross** <br>**Unrecognized** <br>**Holding** <br>**Gains**<sup>(a)</sup><br>| **Gross** <br>**Unrecognized** <br>**Holding** <br>**Losses**<sup>(a)</sup><br>| **Fair Value** |
| Pools of Mortgages | $17557 | $— | $— | $17557 | $334 | $— | $17891 |
| Collateralized Mortgage <br>Obligations/Real Estate <br>Mortgage Investment <br>Conduits <br>| 2914512 |  |  | 2914512 | 9966 | (6924) | 2917554 |
| Commercial Mortgage-Backed <br>Securities <sup>(b)</sup><br>| 7406494 |  |  | 7406494 | 7420 | (111764) | 7302150 |
| **Total MBS** | 10338563 |  |  | 10338563 | 17720 | (118688) | 10237595 |
| **Other** |  |  |  |  |  |  |  |
| State and local housing <br>finance agency obligations<br>| 151680 | (76) |  | 151604 |  | (4819) | 146785 |
| **Total Held-to-Maturity** <br>**securities**<br>| $10490243 | $(76) | $— | $10490167 | $17720 | $(123507) | $10384380 |

---

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
| <br>Issued, guaranteed or insured: | **Amortized** <br>**Cost** <sup>(d)</sup><br>| **Allowance** <br>**for Credit** <br>**Loss (ACL)**<br>| **OTTI** <br>**Recognized** <br>**in AOCI**<br>| **Carrying** <br>**Value**<br>| **Gross** <br>**Unrecognized** <br>**Holding Gains**<sup>(a)</sup><br>| **Gross** <br>**Unrecognized** <br>**Holding Losses**<sup>(a)</sup><br>| **Fair Value** |
| Pools of Mortgages | $21649 | $— | $— | $21649 | $69 | $(67) | $21651 |
| Collateralized Mortgage <br>Obligations/Real Estate <br>Mortgage Investment <br>Conduits <br>| 2086564 |  |  | 2086564 | 6969 | (10029) | 2083504 |
| Commercial Mortgage- <br>Backed Securities <sup>(b)</sup><br>| 8572059 |  |  | 8572059 | 2167 | (290201) | 8284025 |
| Non-GSE MBS <sup>(c)</sup> | 27701 | (569) | (569) | 26563 | 3968 | (237) | 30294 |
| **Total MBS** | 10707973 | (569) | (569) | 10706835 | 13173 | (300534) | 10419474 |
| **Other** |  |  |  |  |  |  |  |
| State and local housing <br>finance agency obligations <br>| 159180 | (80) |  | 159100 |  | (9300) | 149800 |
| **Total Held-to-Maturity** <br>**securities**<br>| $10867153 | $(649) | $(569) | $10865935 | $13173 | $(309834) | $10569274 |

---

*(a)Unrecognized gross holding gains and losses represent the difference between fair value and carrying value.* 

*(b)Commercial mortgage-backed securities (CMBS) are Agency issued securities, collateralized by income-producing "multi-*

*family properties". Eligible property types include standard conventional multi-family apartments, affordable multi-family* 

*housing, seniors housing, student housing, military housing, and rural rent housing.* 

*(c)The amounts represent non-agency private-label mortgage- and asset-backed securities.*

*(d)Amortized cost — For securities that were deemed impaired, amortized cost represents unamortized cost less credit losses, net of* 

*credit recoveries (reversals) due to improvements in cash flows.* 

**Securities Pledged**

There were no pledged MBS at December 31, 2025. The FHLBNY had pledged MBS, with an amortized cost basis of $2.1 million

at December 31, 2024, to the FDIC in connection with deposits maintained by the FDIC at the FHLBNY. The FDIC does not have

rights to sell or repledge the collateral unless the FHLBNY defaults under the terms of its deposit arrangements with the FDIC.

**Credit Loss Allowances on Held-to-Maturity Securities**

*GSE-issued securities —* The FHLBNY evaluates its individual securities issued by Fannie Mae, Freddie Mac and U.S. government

agency, (collectively GSE-issued securities), by considering the creditworthiness and performance of the debt securities and the

strength of the GSEs' guarantees of the securities. Based on the analysis, GSE-issued securities are performing in accordance with

their contractual agreements, and we will recover our investments in GSE-issued securities given the current levels of collateral,

credit enhancements and guarantees that exist to protect the investments. The number of investment positions that were in an

unrealized loss position was 153 and 190 at December 31, 2025 and December 31, 2024, respectively.

*Housing finance agency bonds —* The FHLBNY's investments in Held-to-Maturity (HTM) Housing finance agency (HFA) bonds

reported gross unrecognized losses of $4.8 million at December 31, 2025 and $9.3 million at December 31, 2024. Investments are

evaluated quarterly for expected credit losses based on the probability of default of the borrowing counterparty and the terms to

maturity of the outstanding investments at the measurement dates. A credit loss would also be recognized if there is a collateral

shortfall if the FHLBNY believes the counterparty will not replenish in accordance with its contractual terms. The credit loss would

be limited to the difference between the fair value of the collateral and the investment's amortized cost. Our analysis identified no

collateral shortfall. There were three investment positions that were in an unrealized loss position in the HTM portfolio at

December 31, 2025 and December 31, 2024. Probability default analysis recorded allowance for credit losses of $0.1 million at

December 31, 2025 and December 31, 2024. No allowance for credit losses was recorded for accrued interest receivable as interest

due is expected to be collected.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

Our investments are performing to their contractual terms, and management has concluded that the gross unrealized losses on its

housing finance agency bonds are temporary because the underlying collateral and credit enhancements are sufficient to protect the

FHLBNY from losses based on current expectations. The credit enhancements may include additional support from monoline

insurance companies, reserve and investment funds allocated to the securities that may be used to make principal and interest

payments in the event that the underlying loans pledged for these securities are not sufficient to make the necessary payments and the

general obligation of the State issuing the bond.

*Private-label mortgage-backed securities —* In the third quarter of 2025, the Bank sold all remaining securities in the Private-Label

Mortgage-Backed Securities (PLMBS) portfolio, totaling $26.0 million in current face value. On average, only 1% of the original

principal remained outstanding at the time of sale and is deemed to be equivalent to holding the security to maturity. As such, the sale

did not affect the classification of other securities in the held-to-maturity portfolio. The net gain recognized on the sale was

immaterial.

**Redemption Terms**

Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or

without call or prepayment features. The amortized cost and estimated fair value of held-to-maturity securities, arranged by

contractual maturity, were as follows (in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2024** | **December 31, 2024** |
|  | **Amortized** <br>**Cost** <sup>(a)</sup><br>| **Estimated** <br>**Fair Value**<br>| **Amortized** <br>**Cost** <sup>(a)</sup><br>| **Estimated** <br>**Fair Value**<br>|
| State and local housing finance agency obligations |  |  |  |  |
| Due after one year through five years | $100 | $100 | $— | $— |
| Due after five years through ten years | 25920 | 25648 | 28130 | 27581 |
| Due after ten years | 125660 | 121037 | 131050 | 122219 |
| State and local housing finance agency obligations | $151680 | $146785 | $159180 | $149800 |
| Mortgage-backed securities |  |  |  |  |
| Due in one year or less | $914538 | $907705 | $483360 | $478865 |
| Due after one year through five years | 4565613 | 4490399 | 5839107 | 5624621 |
| Due after five years through ten years | 1766708 | 1749324 | 2119404 | 2066685 |
| Due after ten years | 3091704 | 3090167 | 2266102 | 2249303 |
| Mortgage-backed securities | $10338563 | $10237595 | $10707973 | $10419474 |
| **Total Held-to-Maturity Securities** | $10490243 | $10384380 | $10867153 | $10569274 |

---

*(a)Amortized cost is UPB after adjusting for net unamortized discounts of $22.1 million at December 31, 2025 and $25.0 million at* 

*December 31, 2024 and before adjustments for allowance for credit losses.* 

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

**Note 9. Advances.**

The FHLBNY offers its members a wide range of fixed- and adjustable-rate advance loan products with different maturities, interest

rates, payment characteristics, and optionality.

**Redemption Terms**

Contractual redemption terms and yields of advances were as follows (dollars in thousands):

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
|  | **Amount** | **Weighted**<sup>(a)</sup><br>**Average** <br>**Yield**<br>| **Percentage** <br>**of Total**<br>| **Amount** | **Weighted**<sup>(a)</sup> <br>**Average** <br>**Yield**<br>| **Percentage** <br>**of Total**<br>|
| Due in one year or less | $65033608 | 2.75% | 70.33% | $68580198 | 2.91% | 64.36% |
| Due after one year through two years | 10852557 | 3.80 | 11.74 | 14025819 | 2.56 | 13.16 |
| Due after two years through three years | 6608869 | 2.89 | 7.15 | 10088386 | 2.79 | 9.47 |
| Due after three years through four years | 4771783 | 3.83 | 5.16 | 6009222 | 2.83 | 5.64 |
| Due after four years through five years | 3220997 | 1.87 | 3.48 | 4728716 | 3.83 | 4.44 |
| Thereafter | 1978590 | 1.70 | 2.14 | 3117258 | 1.85 | 2.93 |
| Total par value | 92466404 | 2.88% | 100.00% | 106549599 | 2.86% | 100.00% |
| Advance discounts | (10491) |  |  | (11117) |  |  |
| Hedge valuation basis adjustments <sup>(b)</sup> | (149229) |  |  | (700244) |  |  |
| **Total** | $92306684 |  |  | $105838238 |  |  |

---

*(a)The weighted average yield is the weighted average coupon rates for advances, unadjusted for swaps. For floating-rate* 

*advances, the weighted average rate is the rate outstanding at the reporting dates.*

*(b)Hedge valuation basis adjustments under ASC 815 hedges represent changes in the fair values of fixed-rate advances due to* 

*changes in designated benchmark interest rates, the remaining terms to maturity or to next call and the notional amounts of* 

*advances in a hedging relationship. The FHLBNY's primary benchmark rates are Federal Funds-OIS index and SOFR-OIS* 

*index.*

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

***Monitoring and Evaluating Credit Losses on Advances*** 

The Bank manages its credit exposure to advances through an integrated approach that includes establishing a credit limit for each

borrower. This approach includes an ongoing review of each borrower's financial condition, in conjunction with the Bank's collateral

and lending policies to limit risk of loss, while balancing borrowers' needs for a reliable source of funding.

In addition, the Bank lends to eligible borrowers in accordance with federal law and FHFA regulations. Specifically, the Bank is

required to obtain sufficient collateral to fully secure credit products up to the counterparty's total credit limit. Collateral eligible to

secure new or renewed advances includes:

• one-to-four family and multi-family mortgage loans (delinquent for no more than 90 days) and securities representing

such mortgages;

• securities issued, insured, or guaranteed by the U.S. government or any U.S. government agency (for example,

mortgage-backed securities issued or guaranteed by Fannie Mae, Freddie Mac, Ginnie Mae, and FHLBanks

Consolidated Obligations);

• cash or deposits in the Bank;

• certain other collateral that is real estate-related, provided that the collateral has a readily ascertainable value, can be

liquidated in due course, and that the Bank can perfect a security interest in it; and

• qualifying securities.

Residential mortgage loans are the principal form of collateral for advances. The estimated value of the collateral required to secure

each member's credit products is calculated by applying collateral discounts, or haircuts, to the market value or unpaid principal

balance of the collateral, as applicable. In addition, community financial institutions are eligible to use expanded statutory collateral

provisions for small business, agriculture loans, and community development loans. The Bank's capital stock owned by each

borrower is also pledged as collateral. Collateral arrangements may vary depending upon borrower credit quality, financial condition,

and performance; borrowing capacity; and overall credit exposure to the borrower. The Bank can also require additional or substitute

collateral to protect its security interest. The Bank also has policies and procedures for validating the reasonableness of our collateral

valuations.

**Summarized below are the FHLBNY's credit loss allowance methodologies:**

The FHLBNY closely monitors the creditworthiness of the institutions to which it lends. The FHLBNY also closely monitors the

quality and value of the assets that are pledged as collateral by its members. The FHLBNY's members are required to pledge

collateral to secure advances. Eligible collateral includes: (1) one-to-four-family and multi-family mortgages; (2) U.S. Treasury and

government-agency securities; (3) mortgage-backed securities; and (4) certain other collateral which is real estate-related and has a

readily ascertainable value, can be liquidated in due course, and in which the FHLBNY can perfect a security interest. The FHLBNY

has the right to take such steps, as it deems necessary to protect its secured position on outstanding advances, including requiring

additional collateral (whether or not such additional collateral would otherwise be eligible to secure a loan; and the provision would

benefit the FHLBNY in a scenario when a member defaults). The FHLBNY also has a statutory lien under the FHLBank Act on

members' capital stock, which serves as further collateral for members' indebtedness to the FHLBNY.

***Allowance for Credit Risk.*** The FHLBNY has policies and procedures in place to manage credit risk. The FHLBNY has a continuous

process of evaluating collateral supporting advances and to make changes to its collateral guidelines, as necessary, based on current

market conditions. None of the FHLBNY's advances were past due, on non-accrual status, or considered impaired as of

December 31, 2025. In addition, there were no troubled debt restructurings related to advances at the FHLBNY at any time in this

report.

As of December 31, 2025, the FHLBNY had collateral on a borrower-by-borrower basis with a value equal to, or greater than, its

outstanding advances. Based on the collateral held as security, the FHLBNY's management's credit extension and collateral policies,

and repayment history on advances, the FHLBNY did not expect any losses on its advances at any point in 2025 and through the

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

filing date on this report; therefore, no allowance for credit losses on advances was recorded. For the same reasons, the FHLBNY did

not record any allowance for credit losses on interest receivable on advances as of December 31, 2025.

***Concentration of Advances Outstanding.*** Advances to the FHLBNY's top ten borrowing member institutions are reported in <u>[Note](#i9aca2405749a4867aebd00811f8ca3c6_4321)</u>

<u>[21](#i9aca2405749a4867aebd00811f8ca3c6_4321)</u>, Segment Information and Concentration. The FHLBNY held sufficient collateral to cover the advances to all institutions and it

does not expect to incur any credit losses.

Advances borrowed by insurance companies accounted for 43.9% and 36.7% of total advances at December 31, 2025 and

December 31, 2024, respectively. Lending to insurance companies poses a number of unique risks not present in lending to federally

insured depository institutions. For example, there is no single federal regulator for insurance companies. They are supervised by

state regulators and subject to state insurance codes and regulations. As with all members, insurance companies are also required to

purchase the FHLBNY's capital stock as a prerequisite to membership and borrowing activity. The FHLBNY's management takes a

number of steps to mitigate the unique risk of lending to insurance companies. At the time of membership, the FHLBNY requires an

insurance company to be highly-rated and to meet the FHLBNY's credit quality standards. The FHLBNY performs quarterly credit

analysis of the insurance borrower. Insurance companies are required to successfully complete an onsite review prior to pledging

collateral. Additionally, in order to ensure its position as a first priority secured creditor, FHLBNY typically requires insurance

companies to place physical possession of all pledged eligible collateral with FHLBNY or deposit it with a third-party custodian or

control agent. Such collateral must meet the FHLBNY's credit quality standards, with appropriate minimum margins applied.

***Security Terms*.** The FHLBNY lends to financial institutions involved in housing finance within its district. Borrowing members are

required to purchase capital stock of the FHLBNY and pledge collateral for advances. During all periods in this report and as of

December 31, 2025, the FHLBNY had rights to collateral with an estimated value greater than outstanding advances. Based upon the

financial condition of the member, the FHLBNY:

(1)Allows a member to retain possession of the mortgage collateral pledged to the FHLBNY if the member executes a written

security agreement, provides periodic listings and agrees to hold such collateral for the benefit of the FHLBNY; however,

securities and cash collateral are always in physical possession or in custodian control; or

(2)Requires the member specifically to assign or place physical possession of such mortgage collateral with the FHLBNY or its

custodial agent.

Beyond these provisions, Section 10(e) of the FHLBank Act affords any security interest granted by a member to the FHLBNY's

priority over the claims or rights of any other party. The two exceptions are claims that would be entitled to priority under otherwise

applicable law or perfected security interests. All member obligations with the FHLBNY were fully collateralized throughout their

entire term. The total of collateral pledged to the FHLBNY includes excess collateral pledged above the minimum collateral

requirements. However, a "Maximum Lendable Value" is established to ensure that the FHLBNY has sufficient eligible collateral

securing credit extensions.

**Note 10. Mortgage Loans Held-for-Portfolio.**

The mortgage loans held-for-portfolio consists of MAP and MPF loans. The FHLBNY participates in these programs by purchasing

and originating conventional mortgage loans from its participating members, hereafter referred to as Participating Financial

Institutions. The FHLBNY manages the liquidity, interest rate and prepayment option risk of the MPF loans, while the PFIs usually

retain servicing activities, and provide credit-enhancement for conventional loans sold into the program. No intermediary trust is

involved.

In March 2021, the FHLBNY ceased to acquire loans under the MPF program. Future mortgage loan purchases will be made only

through our new mortgage asset loan program — MAP. Legacy loans under the MPF programs will continue to be supported and

serviced under the MPF loan agreements. Mortgage loans under the MPF program were at a carrying value of $1.4 billion at

December 31, 2025 and $1.6 billion at December 31, 2024. At December 31, 2025 mortgage loans under the MAP program were at a

carrying value of $1.2 billion compared to $0.8 billion at December 31, 2024.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

The FHLBNY classifies mortgage loans as held for investment, and accordingly reports them at their principal amount outstanding

net of unamortized premiums, discounts, and unrealized gains and losses from loans initially classified as mortgage loan

commitments.

The following table presents information on mortgage loans held-for-portfolio (dollars in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2024** | **December 31, 2024** |
|  | **Carrying** <br>**Amount**<br>| **Percentage of** <br>**Total**<br>| **Carrying** <br>**Amount**<br>| **Percentage of** <br>**Total**<br>|
| **Real Estate**<sup>(a)</sup>**:** |  |  |  |  |
| Fixed medium-term single-family mortgages | $97276 | 3.74% | $100846 | 4.37% |
| Fixed long-term single-family mortgages | 2501881 | 96.26 | 2209388 | 95.63 |
| Total unpaid principal balance | $2599157 | 100.00% | $2310234 | 100.00% |
| Unamortized premiums | 50092 |  | 40346 |  |
| Unamortized discounts | (611) |  | (695) |  |
| Basis adjustment <sup>(b)</sup> | (498) |  | (1436) |  |
| Total mortgage loans amortized cost | $2648140 |  | $2348449 |  |
| Allowance for credit losses | (3691) |  | (3054) |  |
| **Total mortgage loans held-for-portfolio at carrying value** | $2644449 |  | $2345395 |  |

---

*(a)Conventional mortgage loans represent the majority of mortgage loans held-for-portfolio, with the remainder invested in FHA* 

*and VA insured loans (also referred to as government loans).*

*(b)Balances represent unamortized fair value basis of closed delivery commitments. A basis adjustment is recorded at the* 

*settlement of the loan and it represents the difference in trade price paid for acquiring the loan and the price at the settlement* 

*date for a similar loan. The basis adjustment is amortized as a yield adjustment to Interest income.*

The following table presents the fixed-rate mortgage loans held-for-portfolio by redemption terms (in thousands):

---

| | | |
|:---|:---|:---|
| **Redemption Term** | **December 31, 2025** | **December 31, 2024** |
| Due in one year or less | $89377 | $84677 |
| Due after one year through five years | 370398 | 348637 |
| Due after five years through fifteen years | 1021013 | 937166 |
| Thereafter | 1118369 | 939754 |
| Total unpaid principal balance | $2599157 | $2310234 |
| Other adjustments, net <sup>(a)</sup> | 48983 | 38215 |
| Total mortgage loans held for portfolio | $2648140 | $2348449 |
| Allowance for credit losses on mortgage loans | (3691) | (3054) |
| **Mortgage loans held for portfolio, net** | $2644449 | $2345395 |

---

*(a)Consists of premiums, discounts, and hedging adjustments.*

The FHLBNY and its members share the credit risk of MPF loans by structuring potential credit losses into layers. The first layer is

typically 100 bps, but this varies with the particular MPF product. The amount of the first layer, or First Loss Account (FLA), was

estimated at $38.3 million at December 31, 2025 and $40.2 million at December 31, 2024. The FLA is not recorded or reported as a

reserve for loan losses, as it serves as a memorandum or information account. The FHLBNY is responsible for absorbing the first

layer. The second layer is that amount of credit obligations that the PFI has agreed to assume at the "Master Commitment" level. The

FHLBNY pays a credit enhancement fee to the PFI for taking on this obligation. The FHLBNY assumes all residual risk. Credit

enhancement fees accrued were $1.3 million in 2025, $1.4 million in 2024, and $1.5 million in 2023. These fees were reported as a

reduction to mortgage loan interest income.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

In terms of the credit enhancement waterfall, the MPF program structures potential credit losses on conventional MPF loans into

layers on each loan pool. Generally, the PFI incurs a portion of losses within the FLA by the withholding of Recoverable CE Income

payments for the products that have such a feature and incurs an additional amount of credit loss via the CE amount. The Bank

absorbs credit losses not covered by the PFI's obligations.

The MAP program operates on the simplified credit risk sharing structure. MAP credit risk sharing structure rewards PFIs for

originating high-quality, well-performing loans. At the time of purchase, FHLBNY will set aside a standard credit enhancement of

1.5% for every loan funded, to be retained in a Member Performance Account (MPA) for each PFI. The MPA credit enhancement

may be slightly greater than 1.5% for certain loans based on credit characteristics. Loans are pooled into single or aggregate (multi-

member) Master Commitments. Loan losses over the life of the pool are absorbed in order by borrower's equity, mortgage insurance

(if applicable), MPA, and finally by FHLBNY. If pooled losses are low, MPA funds are returned to the seller over time, based on a

contractual release schedule. This liability account was $19.8 million at December 31, 2025 and $12.4 million at December 31, 2024.

**Allowance Methodology for Mortgage Loan Losses**

Our allowance for credit losses of $3.7 million at December 31, 2025 took into consideration several factors. First, the Bank's

mortgage loan portfolio has a history of incurred losses that have not been significant. Second, loss sharing and insurance would

largely offset actual losses.

*Evaluation of Credit Losses under CECL —* Mortgage loans are evaluated for credit losses using the practical expedient for collateral

dependent assets. We consider a conventional mortgage loan as a collateral dependent loan because we expect repayment to be

provided by the sale of the underlying property, that is, if it is considered likely that the borrower will default. We may estimate the

applicable fair value of this collateral by applying an appropriate loss severity rate or using third party estimates or property valuation

model. The expected credit loss of a collateral dependent mortgage loan is equal to the difference between the amortized cost of the

loan and the estimated fair value of the collateral, less estimated selling costs. We will either reserve for these estimated losses or

record a direct charge-off of the loan balance, if certain triggering criteria are exceeded. Expected recoveries of prior charge-offs

would be included in the allowance for credit loss.

The Bank's credit risk model ("model") estimates the probabilities of prepayment and default concurrently. Prepayment represents

the probability that an individual loan will voluntarily prepay while a default represents the probability that an individual loan will

involuntarily pay off. The Bank's third-party credit loss model applies a hazard rate approach to model loan prepayment and default

at each month. In the Hazard Rate approach, a loan may stay as active (survived) or is terminated (due to default or prepayment) at

the end of each period (month). The two statuses will compete over each period to calculate the probability of default of each

individual mortgage loan. The model is composed of a series of loan-level econometric models that are related through common

dependence on macroeconomic as well as loan-specific factors (i.e., collateral types, borrower characteristics). The macro factors

used in the loan-level models are inputs at the national-level, state-level and MSA-level using econometric models developed for

these factors. The model loan characteristics along with economic assumptions including applicable housing prices and interest rates

as inputs to generate projected cash flows over the life of the mortgage. It then estimates the loss given default (LGD) for each loan

and aggregates projected cash flows for each loan in the portfolio. A loan in foreclosure or real estate owned (REO) sale is

considered to be in default.

Accrued interest receivable was $17.2 million at December 31, 2025 and $13.5 million at December 31, 2024. Delinquency and non-

accruals are factors that are applied in estimating expected credit losses. Refer to discussions on non-accrual and delinquent loans.

Government mortgages, which carry FHA, VA or USDA guarantees present a minimal risk of loss. Additionally, as part of the

service agreement between FHLBNY and the members that sold us government loans, those members will buy back delinquent

government loans.

Credit enhancements under the MPF Program may include primary mortgage insurance, supplemental mortgage insurance, in

addition to recoverable performance-based credit enhancement fees. Potential recoveries from credit enhancements for conventional

loans are evaluated at the individual master commitment level to determine the credit enhancements available to recover losses on

loans under each individual master commitment. However, expected recoveries from credit enhancements are not factored into the

calculation of expected credit losses. The MPF program's actual loss experience has been immaterial and inclusion of recoveries in

the allowance calculations would result in an immaterial change.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

There were two MAP loans in serious delinquent status (90 days or more) at December 31, 2025 compared to one MAP loan in

delinquency status at December 31, 2024.

**Roll forward Analysis of Allowance for Credit Losses**

The following table provides a roll forward analysis of the allowance for credit losses (in thousands):

---

| | | | |
|:---|:---|:---|:---|
|  | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** |
|  | **2025** | **2024** | **2023** |
| **Allowance for credit losses:** |  |  |  |
| **Beginning balance** | $3054 | $3301 | $1911 |
| Charge-offs | (5) |  |  |
| Provision (Reversal) for credit losses on mortgage loans | 642 | (247) | 1390 |
| **Balance, at end of period** | $3691 | $3054 | $3301 |

---

The following table presents risk elements and credit losses (dollars in thousands):

---

| | | |
|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2024** |
| Average loans outstanding during the period <sup>(a)</sup> | $2433946 | $2218785 |
| Mortgage loans held for portfolio <sup>(b)</sup> | 2599157 | 2310234 |
| Non-accrual loans <sup>(b)</sup> | 5213 | 5742 |
| Allowance for credit losses on mortgage loans held for portfolio | 3691 | 3054 |
| Net charge-offs | 5 |  |
| Ratio of net charge-offs to average loans outstanding during the period | —% | —% |
| Ratio of allowance for credit losses to mortgage loans held for portfolio | 0.142% | 0.132% |
| Ratio of non-accrual loans to mortgage loans held for portfolio | 0.201% | 0.249% |
| Ratio of allowance for credit losses to non-accrual loans | 70.804% | 53.190% |

---

*(a)Represents the average unpaid principal balance for the twelve months ended December 31, 2025 and for the twelve months* 

*ended December 31, 2024.*

*(b)Balances represent unpaid principal balance.*

The FHLBNY's total mortgage loans and impaired loans were as follows (in thousands):

---

| | | |
|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2024** |
| Total mortgage loans, carrying values net <sup>(a)</sup> | $2644449 | $2345395 |
| Non-performing mortgage loans - Conventional <sup>(a)(b)</sup> | $5213 | $5742 |
| Insured mortgage loans past due 90 days or more and still accruing interest<sup>(a)(b)</sup> | $3504 | $4531 |

---

*(a)Includes loans classified as special mention, sub-standard, doubtful or loss under regulatory criteria, net of amounts charged-*

*off if delinquent for 180 days or more.*

*(b)Data in this table represents unpaid principal balance and would not agree to data reported in other tables at "amortized* 

*cost".*

Under the framework, the FHLBNY evaluates all loans, including non-performing conventional loans, on an individual basis for

lifetime credit losses.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

FHA and VA loans are considered as insured MPF or MAP loans, and while the loans are evaluated on an individual basis, we have

deemed that FHA and VA loans as collectively insured. Additionally, based on the Bank's assessment of its servicers and the

collateral backing the insured loans, the risk of loss was deemed immaterial. The Bank has not recorded an allowance for credit

losses for government-guaranteed or -insured mortgage loans in any periods in 2025 or 2024. Furthermore, none of these mortgage

loans has been placed on non-accrual status because of the U.S. government guarantee or insurance on these loans and the contractual

obligation of the loan servicer to repurchase the loans when certain criteria are met.

The following tables present unpaid principal balances with and without related loan loss allowances for conventional loans

(excluding insured FHA/VA loans) (in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** |
|  | **Unpaid** <br>**Principal** <br>**Balance**<br>| **Related** <br>**Allowance**<br>| **Amortized Cost** <br>**After Allowance**<br>| **Average** <br>**Amortized Cost** <br>**After Allowance**<sup>(d)</sup><br>|
| **Conventional Loans** <sup>(a)(c)</sup> |  |  |  |  |
| No related allowance <sup>(b)</sup> | $462941 | $— | $468552 | $466086 |
| With a related allowance | 2027467 | (3691) | 2065571 | 2749261 |
| **Total measured for impairment** | $2490408 | $(3691) | $2534123 | $3215347 |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
|  | **Unpaid** <br>**Principal** <br>**Balance**<br>| **Related** <br>**Allowance**<br>| **Amortized Cost** <br>**After Allowance**<br>| **Average** <br>**Amortized Cost** <br>**After Allowance**<sup>(d)</sup><br>|
| **Conventional Loans** <sup>(a)(c)</sup> |  |  |  |  |
| No related allowance <sup>(b)</sup> | $387592 | $— | $392297 | $386470 |
| With a related allowance | 1806711 | (3054) | 1835409 | 1810005 |
| **Total measured for impairment** | $2194303 | $(3054) | $2227706 | $2196475 |

---

*(a)Based on analysis of the nature of risks of the FHLBNY's investments in mortgage loans, including its methodologies for* 

*identifying and measuring impairment, management has determined that presenting such loans as a single class is appropriate.*

*(b)Collateral values, net of estimated costs to sell, exceeded the amortized cost in impaired loans and* no *allowances were deemed* 

*necessary.*

*(c)Interest received is not recorded as Interest income if an uninsured loan is past due 90 days or more. Cash received is recorded* 

*as a liability on the assumption that cash was remitted by the servicer to the FHLBNY that could potentially be recouped by the* 

*borrower in a foreclosure.*

*(d)Represents the average amortized cost after allowance for the twelve months ended December 31, 2025 and for the twelve* 

*months ended December 31, 2024.*

The following table summarizes mortgage loans held-for-portfolio by collateral/guarantee type (in thousands):

---

| | | |
|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2024** |
| **Mortgage Loans Held for Portfolio by Collateral/Guarantee Type :** |  |  |
| Conventional mortgage loans | $2490408 | $2194303 |
| Government-guaranteed or - insured mortgage loans | 108749 | 115931 |
| Total mortgage loans - unpaid principal balance | $2599157 | $2310234 |

---

**Payment Status of Mortgage Loans**

Payment status is the key credit quality indicator for conventional mortgage loans and allows the Bank to monitor the migration of

past due loans. Past due loans are those where the borrower has failed to make timely payments of principal and/or interest in

accordance with the terms of the loan. Other delinquency statistics include non-accrual loans and loans in process of foreclosure.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

The following tables present the payment status for conventional mortgage loans and other delinquency statistics for the Bank's

mortgage loans at December 31, 2025 and December 31, 2024.

**Credit Quality Indicator for Conventional Mortgage Loans** (in thousands):

---

| | | | |
|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** |
|  | **Conventional Loans** | **Conventional Loans** | **Conventional Loans** |
|  | **Origination Year** | **Origination Year** |  |
|  | **Prior to 2021** | **2021 to 2025** | **Total** |
| **Payment Status, at Amortized Cost:** |  |  |  |
| **Conventional loans** |  |  |  |
| Past due 30 - 59 days | $12927 | $5608 | $18535 |
| Past due 60 - 89 days | 2949 | 750 | 3699 |
| Past due 90 days or more | 4633 | 618 | 5251 |
| Total past due mortgage loans | 20509 | 6976 | 27485 |
| Current mortgage loans | 1305113 | 1205215 | 2510328 |
| Total conventional mortgage loans | $1325622 | $1212191 | $2537813 |

---

---

| | | | |
|:---|:---|:---|:---|
|  | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
|  | **Conventional Loans** | **Conventional Loans** | **Conventional Loans** |
|  | **Origination Year** | **Origination Year** |  |
|  | **Prior to 2020** | **2020 to 2024** | **Total** |
| **Payment Status, at Amortized Cost:** |  |  |  |
| **Conventional loans** |  |  |  |
| Past due 30 - 59 days | $7594 | $2889 | $10483 |
| Past due 60 - 89 days | 2025 | 1169 | 3194 |
| Past due 90 days or more | 4780 | 1003 | 5783 |
| Total past due mortgage loans | 14399 | 5061 | 19460 |
| Current mortgage loans | 1100791 | 1110510 | 2211301 |
| Total conventional mortgage loans | $1115190 | $1115571 | $2230761 |

---

**Other Delinquency Statistics** (dollars in thousands):

---

| | | | |
|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** |
|  | **Conventional** <br>**Loans**<br>| **Government-Guaranteed** <br>**or-Insured Loans**<br>| **Total Mortgage Loans** |
| **Amortized Cost:** |  |  |  |
| In process of foreclosure <sup>(a)</sup> | $4577 | $1745 | $6322 |
| Serious delinquency rate <sup>(b)</sup> | 0.26% | 3.54% | 0.40% |
| Past due 90 days or more and still accruing interest | $— | $3560 | $3560 |
| Loans on non-accrual status | $5251 | $— | $5251 |

---

---

| | | | |
|:---|:---|:---|:---|
|  | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
|  | **Conventional** <br>**Loans**<br>| **Government-Guaranteed** <br>**or-Insured Loans**<br>| **Total Mortgage Loans** |
| **Amortized Cost:** |  |  |  |
| In process of foreclosure <sup>(a)</sup> | $2772 | $2400 | $5172 |
| Serious delinquency rate <sup>(b)</sup> | 0.28% | 3.98% | 0.46% |
| Past due 90 days or more and still accruing interest | $— | $4598 | $4598 |
| Loans on non-accrual status | $5783 | $— | $5783 |

---

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

*(a)Includes loans where the decision of foreclosure or a similar alternative, such as pursuit of deed-in-lieu, has been reported.*

*(b)Represents seriously delinquent loans as a percentage of total mortgage loans. Seriously delinquent loans are comprised of all* 

*loans past due 90 days or more delinquent or loans that are in the process of foreclosure.*

**Note 11. Deposits.**

The FHLBNY accepts demand, overnight and term deposits from its members and government instrumentalities, including the FDIC.

Also, a member that services mortgage loans may deposit funds collected in connection with the mortgage loans as a pending

disbursement to the owners of the mortgage loans.

Deposits represent a relatively small portion of the FHLBNY's funding, totaling $3.1 billion at December 31, 2025 and $2.4 billion

at December 31, 2024, an increase of $0.7 billion, or 29.2%, from December 31, 2024. All FHLBNY deposits are uninsured and the

balance of deposits vary depending on market factors, such as the attractiveness of the FHLBNY's deposit pricing relative to the rates

available on alternative money market instruments, FHLBNY members' investment preferences with respect to the maturity of their

investments, and FHLBNY members' liquidity. Interest-bearing demand and overnight deposits represented 99.4% and 99.4% of

deposits at December 31, 2025 and December 31, 2024, respectively, with the remaining non-interest-bearing deposits.

Interest-bearing demand and overnight deposits pay interest based on a daily interest rate. The year-to-date average balances of

demand and overnight deposits were $2.7 billion for period ended December 31, 2025 and $2.5 billion for the twelve months ended

December 31, 2024. The annualized weighted-average interest rates paid on demand and overnight deposits were 4.09% for the

twelve months ended December 31, 2025 and 5.04% for the year ended December 31, 2024.

The following table summarizes deposits (in thousands):

---

| | | |
|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2024** |
| Interest-bearing demand | $3071958 | $2415356 |
| Non-interest-bearing demand | 18003 | 14028 |
| Total deposits <sup>(a)</sup> | $3089961 | $2429384 |

---

*(a)Specific disclosures about deposits that exceed FDIC limits have been omitted as deposits are not insured by the FDIC. Deposits* 

*are received in the ordinary course of the FHLBNY's business. The FHLBNY has pledged securities to the FDIC to collateralize* 

*deposits maintained at the FHLBNY by the FDIC; for more information, see Securities Pledged in <u>[Note 8](#i7c74635ee9574069b4f7c8fbe8123160_5070)</u>. Held-to-Maturity* 

*Securities.*

Interest rate payment terms for deposits are summarized below (dollars in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Deposits** | **December 31, 2025** | **Average Interest** <br>**Rate** <sup>(b)</sup><br>| **December 31, 2024** | **Average Interest** <br>**Rate** <sup>(b)</sup><br>|
| Interest-bearing demand <sup>(a)</sup> | $3071958 | 4.09% | $2415356 | 5.04% |
| Non-interest-bearing demand | 18003 |  | 14028 |  |
| Total deposits | $3089961 |  | $2429384 |  |

---

*(a)Primarily adjustable rate.*

*(b)The weighted average interest rate is calculated based on the average balance.*

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

**Note 12. Consolidated Obligations.**

The FHLBanks have joint and several liability for all the Consolidated obligations issued on their behalf (for more information, see

<u>[Note 19](#i1fd785705c0e47de899f16d33e3eb10f_5786)</u>. Commitments and Contingencies). Consolidated obligations consist of bonds and discount notes. The FHLBanks issue

Consolidated obligations through the Office of Finance as their fiscal agent. In connection with each debt issuance, a FHLBank

specifies the amount of debt it wants issued on its behalf. The Office of Finance tracks the amount of debt issued on behalf of each

FHLBank. Each FHLBank separately tracks and records as a liability for its specific portion of Consolidated obligations for which it is

the primary obligor. Consolidated obligation bonds (CO bonds or Consolidated bonds) are issued primarily to raise intermediate- and

long-term funds for the FHLBanks and are not subject to any statutory or regulatory limits on maturity.

Consolidated obligation discount notes (CO discount notes, Discount notes, or Consolidated discount notes) are issued primarily to

raise short-term funds. Discount notes sell at less than their face amount and are redeemed at par value when they mature.

The following table summarizes carrying amounts of Consolidated obligations outstanding (in thousands):

---

| | | |
|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2024** |
| **Consolidated obligation bonds-amortized cost** | $68433108 | $81110132 |
| Hedge valuation basis adjustments | (51438) | (605481) |
| Hedge basis adjustments on de-designated hedges | 92610 | 100019 |
| FVO - valuation adjustments and accrued interest | (7539) | (52535) |
| **Total Consolidated obligation bonds** | $68466741 | $80552135 |
| **Discount notes-amortized cost** | $76011550 | $67856014 |
| Hedge value basis adjustments | (7377) | 2987 |
| Hedge basis adjustments on de-designated hedges | (107) | (62) |
| FVO - valuation adjustments and remaining accretion | 15451 |  |
| **Total Consolidated obligation discount notes** | $76019517 | $67858939 |

---

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

**Redemption Terms of Consolidated Obligation Bonds**

The following table is a summary of carrying amounts of Consolidated obligation bonds outstanding by year of maturity (dollars in

thousands):

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
| **Maturity** | **Amount** | **Weighted** <br>**Average**<br>**Rate** <sup>(a)</sup><br>| **Percentage**<br>**of Total**<br>| **Amount** | **Weighted** <br>**Average**<br>**Rate** <sup>(a)</sup><br>| **Percentage**<br>**of Total**<br>|
| One year or less | $40272920 | 3.17% | 58.87% | $39037890 | 3.97% | 48.16% |
| Over one year through two years | 14512470 | 3.47 | 21.21 | 22431140 | 2.96 | 27.67 |
| Over two years through three years | 4762065 | 3.38 | 6.96 | 7168470 | 3.22 | 8.84 |
| Over three years through four years | 3671550 | 3.89 | 5.37 | 4640065 | 3.43 | 5.72 |
| Over four years through five years | 1662250 | 3.50 | 2.43 | 3970550 | 4.03 | 4.90 |
| Thereafter | 3527400 | 3.88 | 5.16 | 3821850 | 3.58 | 4.71 |
| **Total par value** | 68408655 | 3.33% | 100.00% | 81069965 | 3.58% | 100.00% |
| Bond premiums <sup>(b)</sup> | 42461 |  |  | 61456 |  |  |
| Bond discounts<sup>(b)</sup> | (18008) |  |  | (21289) |  |  |
| Hedge valuation basis adjustments <sup>(c)</sup> | (51438) |  |  | (605481) |  |  |
| Hedge basis adjustments on de-designated hedges <sup>(d)</sup> | 92610 |  |  | 100019 |  |  |
| FVO <sup>(e)</sup> - valuation adjustments and accrued interest | (7539) |  |  | (52535) |  |  |
| **Total Consolidated obligation bonds**  | $68466741 |  |  | $80552135 |  |  |

---

*(a)Weighted average rate represents the weighted average contractual coupons of bonds, unadjusted for swaps.*

*(b)Amortization of CO bond premiums and discounts are recorded in interest expense as yield adjustments.*

*(c)Hedge valuation basis adjustments under ASC 815 fair value hedges represent changes in the fair values of fixed-rate CO bonds* 

*due to changes in the designated benchmark interest rate, remaining terms to maturity or next call, and the notional amounts of* 

*CO bonds designated in hedge relationship. Our primary interest rate benchmarks are Federal Funds-OIS index and SOFR-OIS* 

*index.*

*(d)Hedge basis adjustments on de-designated hedges represent the unamortized balances of valuation basis of fixed-rate CO bonds* 

*that were previously in a fair value hedging relationship. Generally, when a hedging relationship is de-designated, the valuation* 

*basis is no longer adjusted for changes in the valuation of the debt for changes in the benchmark rate; instead, the basis is* 

*amortized over the debt's remaining life, so that the unamortized basis is reversed to zero at maturity of the debt.* 

*(e)Valuation adjustments on FVO designated CO bonds represent changes in the entire fair values of CO bonds elected under the* 

*FVO plus accrued unpaid interest. Changes in the timing of coupon payments impact outstanding accrued interest. Changes in* 

*benchmark interest rates, notional amounts of CO bonds elected under FVO and remaining terms to maturity or next call will* 

*impact valuation adjustments.*

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

**Interest Rate Payment Terms**

The following table summarizes par amounts of major types of Consolidated obligation bonds issued and outstanding (dollars in

thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2024** | **December 31, 2024** |
|  | **Amount** | **Percentage** <br>**of Total**<br>| **Amount** | **Percentage of** <br>**Total**<br>|
| Fixed-rate, non-callable | $22142355 | 32.37% | $24815835 | 30.61% |
| Fixed-rate, callable | 15927800 | 23.28 | 21611130 | 26.66 |
| Step Up, callable | 1132000 | 1.65 | 2357000 | 2.91 |
| Step Down, callable | 52000 | 0.08 | 52000 | 0.06 |
| Floating rate, callable | 25000 | 0.04 | 25000 | 0.03 |
| Single-index floating rate | 29129500 | 42.58 | 32209000 | 39.73 |
| Total par value | $68408655 | 100.00% | $81069965 | 100.00% |

---

**Discount Notes**

Consolidated obligation discount notes are issued to raise short-term funds. Discount notes are Consolidated obligations with original

maturities of up to one year. These notes are issued at less than their face amount and redeemed at par when they mature. The

FHLBNY's outstanding Consolidated obligation discount notes were as follows (dollars in thousands):

---

| | | |
|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2024** |
| Par value | $76476004 | $68467860 |
| Amortized cost | $76011550 | $67856014 |
| Hedge value basis adjustments <sup>(a)</sup> | (7377) | 2987 |
| Hedge basis adjustments on de-designated hedges <sup>(b)</sup> | (107) | (62) |
| FVO <sup>(c)</sup> - valuation adjustments and remaining accretion | 15451 |  |
| **Total Consolidated obligation discount notes** | $76019517 | $67858939 |
| **Weighted average interest rate** | 3.76% | 4.45% |

---

*(a)Hedging valuation basis adjustments — The reported carrying values of hedged CO discount notes are adjusted for changes in* 

*their fair values (fair value basis adjustments or fair value) that are attributable to changes in the benchmark risk being hedged.* 

*Changes in the designated benchmark interest rate, notional amounts of CO discount notes in hedging relationships and* 

*remaining terms to maturity are factors that impact hedge valuation adjustments.* 

*(b)Hedge basis adjustments on de-designated hedges — Represents the unamortized balances of valuation basis of CO discount* 

*notes that were previously in a fair value hedging relationship. Generally, when a hedging relationship is de-designated, the* 

*valuation basis is no longer adjusted for changes in the valuation of the debt for changes in the benchmark rate; instead, the basis* 

*is amortized over the debt's remaining life, so that the unamortized basis is reversed to zero at maturity of the debt.*

*(c)FVO valuation adjustments — Valuation adjustments are recorded to recognize changes in the entire or full fair values including* 

*unaccreted discounts on CO discount notes elected under the FVO. Changes in benchmark interest rates, notional amounts of CO* 

*discount notes elected under FVO and remaining terms to maturity are factors that impact valuation adjustments. No CO* 

*discount notes were elected under the FVO at December 31, 2024.*

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

**Note 13. Affordable Housing Program and Voluntary Contributions.**

The FHLBNY charges the amount allocated for the Affordable Housing Program to expense and recognizes it as a liability. The

FHLBNY relieves the AHP liability as members use the subsidies. The Bank allocated $66.7 million from its 2025 earnings for its

Affordable Housing Program, an annual statutory grant program that supports the creation and preservation of affordable housing.

The Bank made a voluntary contribution to the Affordable Housing Program of $11.3 million and an additional supplemental

voluntary AHP contribution of $4.8 million to support its housing programs for 2026.

The following table provides roll forward information with respect to changes in Affordable Housing Program liabilities (in

thousands):

---

| | | | |
|:---|:---|:---|:---|
|  | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** |
|  | **2025** | **2024** | **2023** |
| **Beginning balance** | $231447 | $187027 | $131394 |
| Additions from current period's assessments | 66702 | 82119 | 83531 |
| Voluntary Contribution | 11300 | 18100 | 12663 |
| Supplemental Contribution | 4779 | 4770 |  |
| Net disbursements for grants and programs | (66404) | (60569) | (40561) |
| **Ending balance** | $247824 | $231447 | $187027 |

---

In addition to statutory AHP assessments and voluntary AHP contributions, the Bank voluntary contributed $32.2 million to support

voluntary housing and community development programs. Included in the $32.2 million of voluntary contributions is $11.0 million

worth of interest rebates for our Zero Percent Advance ("ZPA") program which recognizes the interest rebate within Net Interest

Margin.

The following table provides roll forward information with respect to changes in voluntary contributions liabilities (in thousands):

---

| | | | |
|:---|:---|:---|:---|
|  | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** |
|  | **2025** | **2024** | **2023** |
| **Beginning balance** | $559 | $— | $— |
| Voluntary Contribution | 21253 | 15157 | 8186 |
| Net disbursements for grants and programs | (20339) | (14598) | (8186) |
| **Ending balance** | $1473 | $559 | $— |

---

**Note 14. Capital Stock, Mandatorily Redeemable Capital Stock and Restricted Retained Earnings.**

The FHLBanks, including the FHLBNY, have a cooperative structure. To access the FHLBNY's products and services, a financial

institution must be approved for membership and purchase capital stock in the FHLBNY. A member's stock requirement is generally

based on its use of FHLBNY products, subject to a minimum membership requirement as prescribed by the FHLBank Act and the

FHLBNY's Capital Plan. FHLBNY stock can be issued, exchanged, redeemed and repurchased only at its stated par value of $100

per share. It is not publicly traded. An option to redeem capital stock that is greater than a member's minimum requirement is held by

both the member and the FHLBNY. The FHLBNY's Capital Plan offers two sub-classes of Class B capital stock, membership and

activity-based capital stock, and members can redeem Class B stock by giving five years notice. The FHLBNY's Class B capital

stock issued and outstanding were $5.4 billion at December 31, 2025 and $6.0 billion at December 31, 2024.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

Shares of both Membership and Activity-based Class B capital stock have the same voting rights and receive the same dividend (See

Statements of Capital):

• Membership capital stock is issued to meet membership stock purchase requirements. The FHLBNY requires member

institutions to maintain membership stock based on a percentage of the member's mortgage-related assets (such percentage

is currently set at 0.125%) In addition, notwithstanding this requirement, the FHLBNY has a $50 million cap on

membership stock per member.

• Activity-based capital stock is issued based on a percentage of outstanding balances of advances, Acquired Member Assets

and letters of credit. The FHLBNY's current capital plan requires a stock purchase equal to (i) 4.5% of the member's

borrowed amount for advances and Acquired Member Assets sold, and (ii) 0.125% of the outstanding balance of letters of

credit issued on behalf of the member. In the normal course of business, excess activity-based capital stock is repurchased

daily.

The FHLBNY is subject to risk-based capital rules of the Finance Agency, the regulator of the FHLBanks. Specifically, the

FHLBNY is subject to three capital requirements under its capital plan. First, the FHLBNY must maintain at all times permanent

capital in an amount at least equal to the sum of its credit risk, market risk, and operations risk capital requirements as calculated in

accordance with the FHLBNY policy, and rules and regulations of the Finance Agency. Only permanent capital, defined as Class B

stock and retained earnings, satisfies this risk-based capital requirement. The FHLBNY's capital plan does not provide for the

issuance of Class A capital stock. The Finance Agency may require the FHLBNY to maintain an amount of permanent capital greater

than what is required by the risk-based capital requirements. Second, the FHLBNY is required to maintain at least a 4.0% total

capital-to-asset ratio. Third, the FHLBNY must maintain at least a 5.0% leverage ratio at all times. The FHFA's regulatory leverage

ratio is defined as the sum of permanent capital weighted 1.5 times and non-permanent capital weighted 1.0 times divided by total

assets.

The FHLBNY was in compliance with the capital rules and requirements for all periods presented, and met the "adequately

capitalized" classification, which is the highest rating, under the capital rule. The Director of the Finance Agency has discretion to

add to or modify the corrective action requirements for each capital classification other than adequately capitalized if the Director of

the Finance Agency determines that such action is necessary to ensure the safe and sound operation of the FHLBank and the

FHLBank's compliance with its risk-based and minimum capital requirements.

**Risk-based Capital** — The following table summarizes the FHLBNY's risk-based capital ratios (dollars in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2024** | **December 31, 2024** |
|  | **Required**<sup>(d)</sup> | **Actual** | **Required** <sup>(d)</sup> | **Actual** |
| Regulatory capital requirements: |  |  |  |  |
| Risk-based capital<sup>(a)(e)</sup> | $1109154 | $8033806 | $983435 | $8514016 |
| Total capital-to-asset ratio | 4.00% | 5.13% | 4.00% | 5.31% |
| Total capital<sup>(b)</sup> | $6261800 | $8033806 | $6411978 | $8514016 |
| Leverage ratio | 5.00% | 7.70% | 5.00% | 7.97% |
| Leverage capital<sup>(c)</sup> | $7827250 | $12050709 | $8014997 | $12771024 |

---

*(a)Actual "Risk-based capital" is capital stock and retained earnings plus mandatorily redeemable capital stock. Section 1277.3 of* 

*the Finance Agency's regulations also refers to this amount as "Permanent Capital."*

*(b)Required "Total capital" is 4.0% of total assets.*

*(c)The required leverage ratio of total capital to total assets should be at least 5.0%. For the purposes of determining the leverage* 

*ratio, total capital shall be computed by multiplying the Bank's Permanent Capital by 1.5.* 

*(d)Required minimum.*

*(e)Under regulatory guidelines issued by the Finance Agency in August 2011 that was consistent with guidance provided by other* 

*federal banking agencies with respect to capital rules, risk weights are maintained at AAA for U.S. Treasury securities and other* 

*securities issued or guaranteed by the U.S. Government, government agencies, and government-sponsored entities for purposes* 

*of calculating risk-based capital.*

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

**Mandatorily Redeemable Capital Stock**

Generally, the FHLBNY's capital stock is redeemable at the option of either the member or the FHLBNY subject to certain

conditions, including the provisions under the accounting guidance for certain financial instruments with characteristics of both

liabilities and equity. In accordance with the accounting guidance, the FHLBNY generally reclassifies the stock subject to

redemption from equity to a liability once a member irrevocably exercises a written redemption right, gives notice of intent to

withdraw from membership, or attains non-member status by merger or acquisition, charter termination, or involuntary termination

from membership. Under such circumstances, the member shares will then meet the definition of a mandatorily redeemable financial

instrument.

Estimated redemption periods were as follows (in thousands):

---

| | | |
|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2024** |
| Redemption less than one year | $1578 | $1277 |
| Redemption from one year to less than three years | 3375 | 2155 |
| Redemption from three years to less than five years | 869 | 222 |
| Redemption from five years or greater | 1763 | 855 |
| **Total** | $7585 | $4509 |

---

The following table provides roll forward information with respect to changes in mandatorily redeemable capital stock liabilities (in

thousands):

---

| | | | |
|:---|:---|:---|:---|
|  | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** |
|  | **2025** | **2024** | **2023** |
| **Beginning balance** | $4509 | $7219 | $4578 |
| Capital stock subject to mandatory redemption reclassified from equity | 7710 |  | 54659 |
| Redemption of mandatorily redeemable capital stock <sup>(a)</sup> | (4634) | (2710) | (52018) |
| **Ending balance** | $7585 | $4509 | $7219 |
| **Accrued interest payable** <sup>(b)</sup> | $148 | $134 | $171 |

---

*(a)Redemption includes repayment of excess stock.*

(b)*The annualized accrual rates were 7.60%, 9.25% and 9.50% for the three months ended December 31, 2025, 2024 and 2023,* 

*respectively. Accrual rates are based on estimated dividend rates.*

**Restricted Retained Earnings**

Under the FHLBank Joint Capital Enhancement Agreement (Capital Agreement), each FHLBank is required to set aside 20% of its

net income each quarter to a restricted retained earnings account until the balance of that account equals at least one percent of that

FHLBank's average balance of outstanding Consolidated obligations as calculated as of the last day of the current calendar quarter.

The Capital Agreement is intended to enhance the capital position of each FHLBank. These restricted retained earnings will not be

available to pay dividends. Retained earnings included $1.3 billion and $1.2 billion as restricted retained earnings in the FHLBNY's

Total Capital at December 31, 2025 and December 31, 2024, respectively.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

**Note 15. Earnings Per Share of Capital.**

The FHLBNY has a single class of capital stock, and earnings per share computation is for the Class B capital stock.

The following table sets forth the computation of earnings per share. Basic and diluted earnings per share of capital are the same. The

FHLBNY has no dilutive potential common shares or other common stock equivalents (dollars in thousands except per share

amounts):

---

| | | | |
|:---|:---|:---|:---|
|  | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** |
|  | **2025** | **2024** | **2023** |
| Net income | $599758 | $738476 | $751131 |
| **Net income available to stockholders** | $599758 | $738476 | $751131 |
| Weighted average shares of capital | 57791 | 61539 | 61917 |
| Less: Mandatorily redeemable capital stock | (73) | (63) | (72) |
| Average number of shares of capital used to calculate earnings per share | 57718 | 61476 | 61845 |
| **Basic earnings per share** | $10.39 | $12.01 | $12.15 |

---

**Note 16. Employee Retirement Plans.**

The FHLBNY participates in the Qualified Defined Benefit Plan for Financial Institutions (DB Plan or Qualified DB Plan), a tax-

qualified, defined-benefit multiemployer pension plan that covers all FHLBNY officers and employees. The FHLBNY also

participates in the Qualified Defined Contribution Plan for Financial Institutions (DC Plan), a tax-qualified defined contribution plan.

The FHLBNY offers one Non-Qualified Deferred Compensation Plan (DCP), that has two components that are retirement plans.

Subject to employee eligibility, the DCP restores and enhances defined benefits for those employees who have had their qualified DB

Plan and their DC Plan limited by IRS regulations. The DCP is unfunded. Certain grandfathered employees and retirees are eligible

for postretirement health benefits.

***Retirement Plan Expenses*** — ***Summary***

The following table presents employee retirement plan expenses for the periods ended (in thousands):

---

| | | | |
|:---|:---|:---|:---|
|  | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** |
|  | **2025** | **2024** | **2023** |
| Qualified Defined Benefit Plan (DB Plan) | $11408 | $12109 | $12400 |
| Non-Qualified Deferred Compensation Plan (DCP) | 7466 | 8728 | 7414 |
| Qualified Defined Contribution Plan (DC Plan) | 3622 | 3239 | 2950 |
| Postretirement Health Benefit Plan | (36) | (40) | 83 |
| **Total retirement plan expenses** | $22460 | $24036 | $22847 |

---

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

***Qualified DB Plan Net Pension Cost and Funded Status***

The Qualified DB Plan operates as a multiemployer plan for accounting purposes and as a multiple-employer plan under the

Employee Retirement Income Security Act of 1974 (ERISA) and the Internal Revenue Code. As a result, certain multiemployer plan

disclosures, including the certified zone status, are not applicable to the Qualified DB Plan. Typically, multiemployer plans contain

provisions for collective bargaining arrangements. There are no collective bargaining agreements in place at any of the FHLBanks

(including the FHLBNY) that participate in the plan. Under the Qualified DB Plan, contributions made by a participating employer

may be used to provide benefits to employees of other participating employers because assets contributed by an employer are not

segregated in a separate account or restricted to provide benefits only to employees of that employer. Our contributions to the

Qualified DB Plan for the fiscal year ending December 31, 2025 were more than 5% of the total contributions to the Qualified DB

Plan for the plan year ending June 30, 2024. In addition, in the event a participating employer is unable to meet its contribution

requirements, the required contributions for the other participating employers could increase proportionately. If an employee transfers

employment to the FHLBNY, and the employee was a participant in the Qualified DB Plan with another employer, the FHLBNY is

responsible for the entire benefit. At the time of transfer, the former employer will transfer assets to the FHLBNY's plan, in the

amount of the liability for the accrued benefit.

The Qualified DB Plan operates on a fiscal year from July 1 through June 30, and files one Form 5500 on behalf of all employers

who participate in the plan. The Employer Identification Number is 13-5645888 and the three-digit plan number is 333.

The Qualified DB Plan's annual valuation process includes calculating the plan's funded status, and separately calculating the funded

status of each participating employer. The funded status is defined as the market value of assets divided by the funding target (100

percent of the present value of all benefit liabilities accrued at that date). As permitted by ERISA, the Qualified DB Plan accepts

contributions for the prior plan year up to eight and a half months after the asset valuation date. As a result, the market value of assets

at the valuation date (July 1) may increase by any subsequent contributions designated for the immediately preceding plan year ended

June 30.

The following table presents multi-employer plan disclosure for the three years ended December 31, (dollars in thousands):

---

| | | | |
|:---|:---|:---|:---|
|  | **2025** | **2024** | **2023** |
| Net pension cost charged to compensation and benefit expense for the year ended <br>December 31<br>| $11408 | $12109 | $12400 |
| Contributions allocated to plan year ended June 30 | $12366 | $6367 | $12420 |
| Qualified DB Plan funded status as of July 1 <sup>(a)</sup> | 113.79% | 111.97% | 113.64% |
| FHLBNY's funded status as of July 1 <sup>(b)</sup> | 107.51% | 104.45% | 109.33% |

---

*(a)Funded status is based on actuarial valuation of the Qualified DB Plan, and includes all participants allocated to plan years and* 

*known at the time of the preparation of the actuarial valuation. The funded status may increase because the plan's participants* 

*are permitted to make contributions through March 15 of the following year. Funded status remains preliminary until the Form* 

*5500 is filed no later than April 15, 2026 for the plan year ended June 30, 2025. For information with respect to contributions* 

*expensed by the FHLBNY, see previous Table — Retirement Plan Expenses Summary. Contributions include minimum required* 

*under ERISA that are prepaid for the fiscal plan year that ends at June 30 in the following year, and as a result contributions* 

*may not equal amounts expensed.*

*(b)Based on cash contributions made through December 31, 2025 and allocated to the Qualified DB Plan year(s). The funded* 

*status may increase because the FHLBNY is permitted to make contributions through March 15 of the following year.*

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

***Non-Qualified Deferred Compensation Plan (Defined Benefit Component)***

The Non-Qualified Deferred Compensation Plan - Defined Benefit component, restores defined benefits for those employees who

have had their qualified defined benefits limited by IRS regulations. The method for determining the accrual expense and liabilities of

the plan is the Projected Unit Credit Accrual Method. Under this method, the liability of the plan is composed mainly of two

components, Projected Benefit Obligation (PBO) and Service Cost accruals. The total liability is determined by projecting each

person's expected plan benefits. These projected benefits are then discounted to the measurement date. Finally, the liability is

allocated to service already worked (PBO) and service to be worked (Service Cost). There were no plan assets, as this has been

structured as an unfunded plan.

The accrued pension costs for the Non-Qualified Deferred Compensation Plan for the Defined Benefit component were as follows (in

thousands):

---

| | | |
|:---|:---|:---|
|  | **December 31,** | **December 31,** |
|  | **2025** | **2024** |
| Accumulated benefit obligation | $73710 | $66925 |
| Effect of future salary increases | 6494 | 6093 |
| Projected benefit obligation | 80205 | 73018 |
| Unrecognized prior service (cost)/credit | (334) | (405) |
| Unrecognized net (loss)/gain | (13007) | (6872) |
| **Accrued pension cost** | $66864 | $65741 |

---

Components of the projected benefit obligation for the Non-Qualified Deferred Compensation Plan for the Defined Benefit

component were as follows (in thousands):

---

| | | |
|:---|:---|:---|
|  | **December 31,** | **December 31,** |
|  | **2025** | **2024** |
| **Projected benefit obligation at the beginning of the year** | $73018 | $79331 |
| Service cost | 1210 | 1831 |
| Interest cost | 3859 | 3822 |
| Benefits paid | (4016) | (3395) |
| Actuarial loss/(gain) <sup>(a)</sup> | 6135 | (5766) |
| Settlements |  | (3280) |
| Plan amendments |  | 475 |
| **Projected benefit obligation at the end of the year** | $80205 | $73018 |

---

The measurement date used to determine projected benefit obligation for the Non-Qualified Deferred Compensation Plan for the

Defined Benefit component was December 31 in each of the two years.

*(a)Actuarial loss of* $6.1 million *in 2025 was primarily due to losses from demographic experience and losses from discount rate* 

*change.*

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

Amounts recognized in AOCI for the Non-Qualified Deferred Compensation Plan for the Defined Benefit component were as

follows (in thousands):

---

| | | |
|:---|:---|:---|
|  | **December 31,** | **December 31,** |
|  | **2025** | **2024** |
| Net loss/(gain) | $13007 | $6872 |
| Prior service cost/(credit) | 334 | 405 |
| **Accumulated other comprehensive loss/(gain)** | $13341 | $7277 |

---

Changes in the Non-Qualified Deferred Compensation Plan for the Defined Benefit component assets were as follows (in thousands):

---

| | | |
|:---|:---|:---|
|  | **December 31,** | **December 31,** |
|  | **2025** | **2024** |
| **Fair value of the plan assets at the beginning of the year** | $— | $— |
| Employer contributions | 4016 | 6675 |
| Settlements |  | (3280) |
| Benefits paid | (4016) | (3395) |
| **Fair value of the plan assets at the end of the year** | $— | $— |

---

Components of the net periodic pension cost for the Defined Benefit component of the Non-Qualified Deferred Compensation Plan

were as follows (in thousands):

---

| | | | |
|:---|:---|:---|:---|
|  | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** |
|  | **2025** | **2024** | **2023** |
| Service cost | $1210 | $1831 | $1647 |
| Interest cost | 3859 | 3822 | 3439 |
| Amortization of unrecognized net loss |  | 481 |  |
| Amortization of unrecognized past service cost | 71 | 89 | 55 |
| **Net periodic benefit cost - Defined Benefit component** | $5140 | 6223 | 5141 |
| Non-Qualified Deferred Incentive Compensation - Defined Contribution component | 2326 | 2505 | 2273 |
| **Total** | $7466 | $8728 | $7414 |

---

Other changes in Non-Qualified Deferred Compensation Plan - Defined Benefit component recognized in AOCI were as follows (in

thousands):

---

| | | |
|:---|:---|:---|
|  | **December 31,** | **December 31,** |
|  | **2025** | **2024** |
| New (gain)/loss during the year | $6135 | $(5766) |
| Recognized prior service credit/(cost) | (71) | (89) |
| New past service (credit)/cost |  | 475 |
| Recognized gain/(loss) |  | (481) |
| **Total recognized in other comprehensive loss/(income)** | $6064 | $(5861) |
| **Total recognized in net periodic benefit cost and other comprehensive income** | $11204 | $362 |

---

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

The net transition obligation (asset), prior service cost (credit), and the estimated net loss (gain) for the Non-Qualified Deferred

Compensation Plan - Defined Benefit component that are expected to be amortized from AOCI into net periodic benefit cost over the

next fiscal year are shown in the table below (in thousands):

---

| | |
|:---|:---|
|  | **December 31, 2026** |
| Expected amortization of net loss/(gain) | $726 |
| Expected amortization of past service cost/(credit) | $71 |

---

Key assumptions and other information for the actuarial calculations to determine benefit obligations for the Non-Qualified Deferred

Compensation Plan - Defined Benefit component were as follows (dollars in thousands):

---

| | | | |
|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2024** | **December 31, 2023** |
| Discount rate <sup>(a)</sup> | 5.32% | 5.44% | 4.77% |
| Salary increases | 4.50% | 4.50% | 4.50% |
| Amortization period (years) | 7 | 7 | 7 |
| Benefits paid during the period | $(4016) | $(3395) | $(3059) |

---

*(a)The discount rates were based on the Citigroup Pension Liability Index at December 31, adjusted for duration in each of the* 

*three years.*

Future Non-Qualified Deferred Compensation Plan - Defined Benefit component benefits to be paid were estimated to be as follows

(in thousands):

---

| | |
|:---|:---|
| **Years** | **Payments** |
| 2026 | $4642 |
| 2027 | 5229 |
| 2028 | 5333 |
| 2029 | 5418 |
| 2030 | 5545 |
| 2031-2035 | 29209 |
| **Total** | $55376 |

---

The net periodic benefit cost for 2026 is expected to be $6.3 million ($5.1 million in 2025).

***Postretirement Health Benefit Plan***

The Retiree Medical Benefit Plan (the Plan) is for retired employees and for employees who are eligible for retirement benefits. The

Plan is unfunded. The Plan, as amended, is offered to active employees who have completed 10 years of employment service at the

FHLBNY and attained age 55 as of January 1, 2015.

Assumptions used in determining the accumulated postretirement benefit obligation (APBO) included a discount rate assumption of

5.09%.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

Components of the accumulated postretirement benefit obligation for the postretirement health benefits plan for the years ended

December 31, 2025 and 2024 (in thousands):

---

| | | |
|:---|:---|:---|
|  | **December 31,** | **December 31,** |
|  | **2025** | **2024** |
| **Accumulated postretirement benefit obligation at the beginning of the year** | $5682 | $6927 |
| Service cost | 6 | 8 |
| Interest cost | 319 | 291 |
| Actuarial loss/(gain) | 596 | (1158) |
| Plan participant contributions | 224 | 253 |
| Actual benefits paid | (805) | (677) |
| Retiree drug subsidy reimbursement | 35 | 38 |
| **Accumulated postretirement benefit obligation at the end of the year** | $6057 | $5682 |

---

Changes in postretirement health benefit plan assets (in thousands):

---

| | | |
|:---|:---|:---|
|  | **December 31,** | **December 31,** |
|  | **2025** | **2024** |
| **Fair value of plan assets at the beginning of the year** | $— | $— |
| Employer contributions | 581 | 424 |
| Plan participant contributions | 224 | 253 |
| Actual benefits paid | (805) | (677) |
| **Fair value of plan assets at the end of the year** | $— | $— |

---

Amounts recognized in AOCI for the postretirement benefit obligation (in thousands):

---

| | | |
|:---|:---|:---|
|  | **December 31,** | **December 31,** |
|  | **2025** | **2024** |
| Net (gain)/loss | $(3970) | $(4927) |
| **Accumulated other comprehensive (gain)/loss** | $(3970) | $(4927) |

---

Components of the net periodic benefit cost for the postretirement health benefit plan were as follows (in thousands):

---

| | | | |
|:---|:---|:---|:---|
|  | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** |
|  | **2025** | **2024** | **2023** |
| Service cost (benefits attributed to service during the period) | $6 | $8 | $13 |
| Interest cost on accumulated postretirement health benefit obligation | 319 | 291 | 348 |
| Amortization of (gain)/loss | (361) | (339) | (278) |
| **Net periodic postretirement health benefit expense/(income)** | $(36) | $(40) | $83 |

---

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

Other changes in benefit obligations recognized in AOCI were as follows (in thousands):

---

| | | |
|:---|:---|:---|
|  | **December 31,** | **December 31,** |
|  | **2025** | **2024** |
| Net loss/(gain) | $596 | $(1158) |
| Amortization of net gain/(loss) | 361 | 339 |
| **Total recognized in other comprehensive income** | 957 | (819) |
| **Total recognized in net periodic benefit cost and other comprehensive income** | $921 | $(859) |

---

The measurement date used to determine benefit obligations was December 31 in each of the two years.

Key assumptions and other information to determine current year's obligation for the postretirement health benefit plan were as

follows:

---

| | | | |
|:---|:---|:---|:---|
|  | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** |
|  | **2025** | **2024** | **2023** |
| Weighted average discount rate <sup>(a)</sup> | 5.09% | 5.47% | 4.93% |
| Health care cost trend rates: |  |  |  |
| Assumed for next year |  |  |  |
| Pre 65 | 7.00% | 7.50% | 6.80% |
| Post 65 | 6.00% | 6.50% | 5.50% |
| Pre 65 Ultimate rate | 4.50% | 4.50% | 4.50% |
| Pre 65 Year that ultimate rate is reached | 2035 | 2034 | 2033 |
| Post 65 Ultimate rate | 4.50% | 4.50% | 4.50% |
| Post 65 Year that ultimate rate is reached | 2035 | 2034 | 2033 |
| Alternative amortization methods used to amortize |  |  |  |
| Prior service cost | Straight - line | Straight - line | Straight - line |
| Unrecognized net (gain) or loss | Straight - line | Straight - line | Straight - line |

---

*(a)The discount rates were based on the Citigroup Pension Liability Index adjusted for duration in each of the periods in this* 

*report.*

Future postretirement health benefit plan expenses to be paid were estimated to be as follows (in thousands):

---

| | |
|:---|:---|
| **Years** | **Payments** |
| 2026 | $550 |
| 2027 | 551 |
| 2028 | 559 |
| 2029 | 562 |
| 2030 | 559 |
| 2031-2035 | 2582 |
| **Total** | $5363 |

---

The postretirement health benefit plan accrual for 2026 is expected to be a benefit of $10 thousand.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

**Note 17. Derivatives and Hedging Activities.**

The FHLBNY, consistent with the Finance Agency's regulations, may enter into interest-rate swaps, swaptions, and interest-rate cap

and floor agreements to manage its interest rate exposure inherent in otherwise unhedged assets and funding positions. We are not a

derivatives dealer and do not trade derivatives for short-term profit.

The contractual or notional amount of derivatives reflects the involvement of the FHLBNY in the various classes of financial

instruments and serve as a basis for calculating periodic interest payments or cash flows. Notional amount of a derivative does not

measure the credit risk exposure, and the maximum credit exposure is substantially less than the notional amount. The maximum

credit risk is the estimated cost of replacing interest-rate swaps, forward agreements, mandatory delivery contracts for mortgage loans

and purchased caps and floors (derivatives) in a gain position if the counterparty defaults and the related collateral, if any, is of

insufficient value to the FHLBNY.

Derivatives are instruments that derive their value from underlying asset prices, indices, reference rates and other inputs, or a

combination of these factors. The FHLBNY executes derivatives with swap dealers and financial institution swap counterparties as

negotiated contracts, which are usually referred to as over the counter (OTC) derivatives.

The following table presents the FHLBNY's derivative activities based on notional amounts (in thousands):

**Derivative Notionals**

---

| | | |
|:---|:---|:---|
|  | **Hedging Instruments Under ASC 815** | **Hedging Instruments Under ASC 815** |
|  | **December 31, 2025** | **December 31, 2024** |
| **Interest rate contracts** |  |  |
| Interest rate swaps | $197819179 | $181828385 |
| Interest rate caps | 1000000 | 150000 |
| Mortgage delivery commitments | 36458 | 28672 |
| **Total interest rate contracts notionals** | $198855637 | $182007057 |

---

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

**Offsetting of Derivative Assets and Derivative Liabilities – Net Presentation** 

The table below presents the gross and net derivatives receivables by contract type and amount for those derivatives contracts for

which netting is permissible under U.S. GAAP as Derivative instruments **—** nettable. Derivatives receivables have been netted with

respect to those receivables as to which the netting requirements have been met, including obtaining a legal analysis with respect to

the enforceability of the netting (in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2024** | **December 31, 2024** |
|  | **Derivative** <br>**Assets**<br>| **Derivative** <br>**Liabilities**<br>| **Derivative** <br>**Assets**<br>| **Derivative** <br>**Liabilities**<br>|
| **Derivative instruments - nettable** |  |  |  |  |
| Gross recognized amount |  |  |  |  |
| Uncleared derivatives | $366860 | $426527 | $519217 | $932845 |
| Cleared derivatives  | 1364582 | 1333517 | 1809833 | 1795667 |
| Total gross recognized amount | 1731442 | 1760044 | 2329050 | 2728512 |
| Gross amounts of netting adjustments and cash collateral |  |  |  |  |
| Uncleared derivatives | (299375) | (423355) | (436236) | (919886) |
| Cleared derivatives | (1332600) | (1332600) | (1795471) | (1795471) |
| Total gross amounts of netting adjustments and cash collateral | (1631975) | (1755955) | (2231707) | (2715357) |
| Net amounts after offsetting adjustments and cash collateral | $99467 | $4089 | $97343 | $13155 |
| Uncleared derivatives | $67485 | $3172 | $82981 | $12959 |
| Cleared derivatives | 31982 | 917 | 14362 | 196 |
| Total net amounts after offsetting adjustments and cash collateral | $99467 | $4089 | $97343 | $13155 |
| **Derivative instruments - not nettable** |  |  |  |  |
| Uncleared derivatives <sup>(a)</sup> | $81 | $8 | $1 | $202 |
| **Total derivative assets and total derivative liabilities** |  |  |  |  |
| Uncleared derivatives | $67566 | $3180 | $82982 | $13161 |
| Cleared derivatives | 31982 | 917 | 14362 | 196 |
| Total derivative assets and total derivative liabilities presented in the <br>Statements of Condition <sup>(b)</sup><br>| $99548 | $4097 | $97344 | $13357 |
| **Non-cash collateral received or pledged** <sup>(c)</sup> |  |  |  |  |
| Can be sold or repledged  |  |  |  |  |
| Security collateral pledged as initial margin to Derivative Clearing <br>Organization <sup>(d)</sup><br>| $845578 | $— | $802969 | $— |
| Cannot be sold or repledged |  |  |  |  |
| Uncleared derivatives securities received as Variation Margin | (55831) |  | (69065) |  |
| Total net amount of non-cash collateral received or repledged | $789747 | $— | $733904 | $— |
| Total net exposure cash and non-cash <sup>(e)</sup> | $889295 | $4097 | $831248 | $13357 |
| Net unsecured amount - Represented by: |  |  |  |  |
| Uncleared derivatives | $11735 | $3180 | $13917 | $13161 |
| Cleared derivatives | 877560 | 917 | 817331 | 196 |
| **Total net exposure cash and non-cash**<sup>(e)</sup> | $889295 | $4097 | $831248 | $13357 |

---

*(a)Not nettable derivative instruments are without legal right of offset and were synthetic derivatives representing forward* 

*mortgage delivery commitments of 60 calendar days or less. Amounts were not material, and it was operationally not practical* 

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

*to separate receivables from payables; net presentation was adopted. No cash collateral was involved with the mortgage* 

*delivery commitments.*

*(b)Amounts represented Derivative assets and liabilities that were recorded in the Statements of Condition. Derivative cash* 

*balances were not netted with non-cash collateral received or pledged, since legal ownership of the non-cash collateral remains* 

*with the pledging counterparty (see footnote (c) below).*

*(c)Non-cash collateral received or pledged — For certain uncleared derivatives, from time-to-time counterparties have pledged* 

*U.S. Treasury securities to the FHLBNY as collateral. Amounts also included non-cash mortgage collateral on derivative* 

*positions with member counterparties where we acted as an intermediary. For certain cleared derivatives, we have pledged* 

*marketable securities to satisfy initial margin or collateral requirements.*

*(d)Amounts represented securities collateral pledged to Derivative Clearing Organization (DCO) to fulfill our initial margin* 

*obligations on cleared derivatives. Securities pledged may be sold or repledged if the FHLBNY defaults on its obligations under* 

*rules established by the CFTC.*

*(e)Amounts represented net exposure after applying non-cash collateral pledged to and by the FHLBNY. Since legal ownership and* 

*control over the securities are not transferred, the net exposure represented in the table above is for information only and is not* 

*reported as such in the Statements of Condition.*

**Fair Value of Derivative Instruments**

The following tables represent outstanding notional balances and estimated fair values of the derivatives outstanding (in thousands):

---

| | | | |
|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** |
|  | **Notional Amount** <br>**of Derivatives**<br>| **Derivative** <br>**Assets**<br>| **Derivative** <br>**Liabilities**<br>|
| **Fair value of derivative instruments** <sup>(a)</sup> |  |  |  |
| Derivatives designated as hedging instruments under ASC 815 |  |  |  |
| Interest rate swaps | $168284750 | $1390505 | $1440349 |
| Total derivatives in hedging relationships under ASC 815 | 168284750 | 1390505 | 1440349 |
| Derivatives not designated as hedging instruments |  |  |  |
| Interest rate swaps<sup>(b)</sup> | 29534429 | 339938 | 319695 |
| Interest rate caps | 1000000 | 999 |  |
| Mortgage delivery commitments | 36458 | 81 | 8 |
| Total derivatives not designated as hedging instruments | 30570887 | 341018 | 319703 |
| **Total derivatives before netting and collateral adjustments** | $198855637 | $1731523 | $1760052 |
| Netting adjustments |  | $(1610805) | $(1610805) |
| Cash collateral and related accrued interest |  | (21170) | (145150) |
| Total netting adjustments and cash collateral |  | (1631975) | (1755955) |
| **Total derivative assets and total derivative liabilities** |  | $99548 | $4097 |
| Security collateral pledged as initial margin to Derivative Clearing Organization <sup>(c)</sup> |  | $845578 |  |
| Security collateral received from counterparty <sup>(c)</sup> |  | (55831) |  |
| Net security |  | 789747 |  |
| **Net exposure** |  | $889295 |  |

---

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

---

| | | | |
|:---|:---|:---|:---|
|  | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
|  | **Notional Amount** <br>**of Derivatives**<br>| **Derivative** <br>**Assets**<br>| **Derivative** <br>**Liabilities**<br>|
| **Fair value of derivative instruments** <sup>(a)</sup> |  |  |  |
| Derivatives designated as hedging instruments under ASC 815 |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest rate swaps | $156145139 | $1706340 | $2241804 |
| Total derivatives in hedging relationships under ASC 815 | 156145139 | 1706340 | 2241804 |
| Derivatives not designated as hedging instruments |  |  |  |
| Interest rate swaps <sup>(b)</sup> | 25683246 | 622561 | 486708 |
| Interest rate caps  | 150000 | 149 |  |
| Mortgage delivery commitments | 28672 | 1 | 202 |
| Total derivatives not designated as hedging instruments | 25861918 | 622711 | 486910 |
| **Total derivatives before netting and collateral adjustments** | $182007057 | $2329051 | $2728714 |
| Netting adjustments |  | $(2222357) | $(2222357) |
| Cash collateral and related accrued interest |  | (9350) | (493000) |
| Total netting adjustments and cash collateral |  | (2231707) | (2715357) |
| **Total derivative assets and total derivative liabilities** |  | $97344 | $13357 |
| Security collateral pledged as initial margin to Derivative Clearing Organization <sup>(c)</sup> |  | $802969 |  |
| Security collateral received from counterparty <sup>(c)</sup> |  | (69065) |  |
| Net security |  | 733904 |  |
| **Net exposure** |  | $831248 |  |

---

*(a)All derivative assets and liabilities with swap dealers and counterparties are executed under collateral agreements; derivative* 

*instruments executed bilaterally are subject to legal right of offset under master netting agreements.*

*(b)Interest rate swaps also includes the Other category comprised of interest rate swaps intermediated for members, and notional* 

*amounts represent purchases by the FHLBNY from dealers and an offsetting purchase from us by the members.*

*(c)Non-cash security collateral is not permitted to be offset on the balance sheet but would be eligible for offsetting in an event of* 

*default. Amounts represent non-cash collateral and or U.S. Treasury securities pledged to and received from counterparties as* 

*collateral at December 31, 2025 and December 31, 2024.*

**Accounting for Derivative Hedging**

The FHLBNY accounts for its hedging activities in accordance with ASC 815, *Derivatives and Hedging*. As a general rule, hedge

accounting is permitted where the FHLBNY is exposed to a particular risk, typically interest-rate risk that causes changes in the fair

value of an asset or liability or variability in the expected future cash flows of an existing asset, liability or a forecasted transaction

that may affect earnings. Derivative contracts hedging the risks associated with the changes in fair value are referred to as Fair value

hedges, while contracts hedging the risks affecting the expected future cash flows are called Cash flow hedges. Derivatives not

designated under a qualifying ASC 815 hedge relationship and designated as an asset/liability management hedge are classified as an

economic hedge. For more information, see financial statements, <u>[Note 1](#i86ab1c8027bf40078d433ee31a4fe86a_51966)</u>. Summary of Significant Accounting Policies in the most

recent Form 10-K.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

*Fair value hedge gains and losses*

Gains and Losses on Fair value hedges under ASC 815 are summarized below (in thousands):

---

| | | | |
|:---|:---|:---|:---|
|  | **Gains (Losses) on Fair Value Hedges** | **Gains (Losses) on Fair Value Hedges** | **Gains (Losses) on Fair Value Hedges** |
|  | **Recorded in Interest Income/Expense** | **Recorded in Interest Income/Expense** | **Recorded in Interest Income/Expense** |
|  | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** |
|  | **2025** | **2024** | **2023** |
| **Gains (losses) on derivatives in designated and qualifying fair value hedges:** |  |  |  |
| Interest rate hedges | $(278830) | $468108 | $116901 |
| **Gains (losses) on hedged item in designated and qualifying fair value hedges:** |  |  |  |
| Interest rate hedges | $281973 | $(459793) | $(112620) |

---

Gains (losses) represent changes in fair values of derivatives and changes in the fair value of hedged items due to changes in the

designated benchmark interest rate, the risk being hedged. Gains and losses on ASC 815 hedges are recorded in the same line in the

Statements of Income as the hedged assets and hedged liabilities.

**Cumulative Basis Adjustment**

Upon electing to apply ASC 815 fair value hedge accounting, the carrying value of the hedged item is adjusted to reflect the

cumulative impact of changes in the hedged risk. The hedge basis adjustment, whether arising from an active or de-designated hedge

relationship, remains with the hedged item until the hedged item is derecognized from the balance sheet.

The tables below present the carrying amount of FHLBNY's assets and liabilities under active ASC 815 qualifying fair value hedges

at December 31, 2025 and December 31, 2024, as well as the hedged item's cumulative hedge basis adjustments, which were

included in the carrying value of assets and liabilities in active hedges. The tables also present unamortized cumulative basis

adjustments from discontinued hedges where the previously hedged item remains on the FHLBNY's Statements of Condition (in

thousands):

---

| | | | |
|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** |
|  | | **Cumulative Fair Value Hedging Adjustment** <br>**Included in the Carrying Amount of Hedged** <br>**Items Gains (Losses)** | **Cumulative Fair Value Hedging Adjustment** <br>**Included in the Carrying Amount of Hedged** <br>**Items Gains (Losses)** |
|  | <br>**Carrying Amount of** <br>**Hedged Assets/**<br>**Liabilities**<sup>(a)</sup><br>| **Active Hedging** <br>**Relationship**<br>| **Discontinued** <br>**Hedging Relationship**<br>|
| **Assets:** |  |  |  |
| Hedged advances | $58543501 | $(149229) | $— |
| Hedged AFS debt securities <sup>(a)</sup> | 7569821 | (363372) |  |
| De-designated advances <sup>(b)</sup> |  |  |  |
| De-designated AFS debt securities <sup>(b)</sup> |  |  | (543) |
|  | $66113322 | $(512601) | $(543) |
| **Liabilities:** |  |  |  |
| Hedged consolidated obligation bonds | $30187853 | $51438 | $— |
| Hedged consolidated obligation discount notes | 70452246 | 7377 |  |
| De-designated consolidated obligation bonds <sup>(b)</sup> |  |  | (92610) |
| De-designated consolidated obligation discount notes <sup>(b)</sup> |  |  | 107 |
|  | $100640099 | $58815 | $(92503) |

---

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

---

| | | | |
|:---|:---|:---|:---|
|  | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
|  | | **Cumulative Fair Value Hedging Adjustment** <br>**Included in the Carrying Amount of Hedged** <br>**Items Gains (Losses)** | **Cumulative Fair Value Hedging Adjustment** <br>**Included in the Carrying Amount of Hedged** <br>**Items Gains (Losses)** |
|  | <br>**Carrying Amount of** <br>**Hedged Assets/**<br>**Liabilities**<sup>(a)</sup><br>| **Active Hedging** <br>**Relationship**<br>| **Discontinued** <br>**Hedging Relationship**<br>|
| **Assets:** |  |  |  |
| Hedged advances | $54738222 | $(700255) | $— |
| Hedged AFS debt securities <sup>(a)</sup> | 6318925 | (634339) |  |
| De-designated advances <sup>(b)</sup> |  |  | 11 |
| De-designated AFS debt securities <sup>(b)</sup> |  |  | (360) |
|  | $61057147 | $(1334594) | $(349) |
| **Liabilities:** |  |  |  |
| Hedged consolidated obligation bonds | $37004931 | $605481 | $— |
| Hedged consolidated obligation discount notes | 57256246 | (2987) |  |
| De-designated consolidated obligation bonds <sup>(b)</sup> |  |  | (100019) |
| De-designated consolidated obligation discount notes <sup>(b)</sup> |  |  | 62 |
|  | $94261177 | $602494 | $(99957) |

---

(a)*Carrying amounts represent amortized cost adjusted for cumulative fair value hedging basis. For AFS securities in a fair value* 

*partial-term hedge, changes in the fair values due to changes in the benchmark rate were recorded as an adjustment to* 

*amortized cost and an offset to interest income from the hedged AFS securities.* 

*(b)At December 31, 2025, par amounts of de-designated advances were $0.5 billion; par amounts of de-designated AFS debt* 

*securities were $10.0 million; par amounts of de-designated CO bonds were $1.4 billion; par amounts of de-designated CO* 

*discount notes were $1.6 billion. At December 31, 2024, par amounts of de-designated advances were $0.5 billion; par amounts* 

*of de-designated AFS debt securities were $5.0 million; par amounts of de-designated CO bonds were $1.7 billion; par amounts* 

*of de-designated CO discount notes were $1.2 billion. Cumulative fair value hedging adjustments for active and discontinued* 

*hedging relationships will remain on the balance sheet until the items are derecognized.*

*Cash flow hedge gains and losses*

The following tables present derivative instruments used in cash flow hedge accounting relationships and the gains and losses

recorded on such derivatives (in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Derivative Gains (Losses) Recorded in Income and Other** <br>**Comprehensive Income/Loss** | **Derivative Gains (Losses) Recorded in Income and Other** <br>**Comprehensive Income/Loss** | **Derivative Gains (Losses) Recorded in Income and Other** <br>**Comprehensive Income/Loss** | **Derivative Gains (Losses) Recorded in Income and Other** <br>**Comprehensive Income/Loss** |
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** |
|  | **Amounts** <br>**Reclassified from** <br>**AOCI to Interest** <br>**Expense**<sup>(b)</sup><br>| **Amounts** <br>**Reclassified from** <br>**AOCI to Other** <br>**Income (Loss)** <sup>(c)</sup><br>| **Amounts** <br>**Recorded in** <br>**OCI** <sup>(d)</sup><br>| **Total Change** <br>**in OCI for** <br>**Period**<br>|
| Interest rate contracts <sup>(a)</sup> | $(103) | $— | $(38948) | $(38845) |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Derivative Gains (Losses) Recorded in Income and Other** <br>**Comprehensive Income/Loss** | **Derivative Gains (Losses) Recorded in Income and Other** <br>**Comprehensive Income/Loss** | **Derivative Gains (Losses) Recorded in Income and Other** <br>**Comprehensive Income/Loss** | **Derivative Gains (Losses) Recorded in Income and Other** <br>**Comprehensive Income/Loss** |
|  | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
|  | **Amounts** <br>**Reclassified from** <br>**AOCI to Interest** <br>**Expense**<sup>(b)</sup><br>| **Amounts** <br>**Reclassified from** <br>**AOCI to Other** <br>**Income (Loss)** <sup>(c)</sup><br>| **Amounts** <br>**Recorded in** <br>**OCI** <sup>(d)</sup><br>| **Total Change** <br>**in OCI for** <br>**Period**<br>|
| Interest rate contracts <sup>(a)</sup> | $(1170) | $— | $(7792) | $(6622) |

---

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Derivative Gains (Losses) Recorded in Income and Other** <br>**Comprehensive Income/Loss** | **Derivative Gains (Losses) Recorded in Income and Other** <br>**Comprehensive Income/Loss** | **Derivative Gains (Losses) Recorded in Income and Other** <br>**Comprehensive Income/Loss** | **Derivative Gains (Losses) Recorded in Income and Other** <br>**Comprehensive Income/Loss** |
|  | **December 31, 2023** | **December 31, 2023** | **December 31, 2023** | **December 31, 2023** |
|  | **Amounts** <br>**Reclassified from** <br>**AOCI to Interest** <br>**Expense**<sup>(b)</sup><br>| **Amounts** <br>**Reclassified from** <br>**AOCI to Other** <br>**Income (Loss)** <sup>(c)</sup><br>| **Amounts** <br>**Recorded in** <br>**OCI** <sup>(d)</sup><br>| **Total Change** <br>**in OCI for** <br>**Period**<br>|
| Interest rate contracts <sup>(a)</sup> | $(1248) | $— | $(28247) | $(26999) |

---

*(a)Amounts represent cash flow hedges of CO debt hedged with benchmark interest rate swaps indexed to a benchmark rate. Under* 

*the guidance in ASC 815, the FHLBNY includes the gain and loss on the hedging derivatives in the same line in the Statements of* 

*Income as the change in cash flows on the hedged item.*

*(b)Amounts represent amortization of gains (losses) related to closed cash flow hedges of anticipated issuance of CO bonds that* 

*were reclassified during the period to interest expense as a yield adjustment. Gains (losses) reclassified represent gains (losses)* 

*in AOCI that were amortized as an income (expense) to debt interest expense. If debt is held to maturity, gains (losses) in AOCI* 

*will be relieved through amortization. It is expected that over the next 12 months, $0.4 million of the unrecognized gains in* 

*AOCI will be recognized as yield adjustments as an income to debt interest expense.*

*(c)Under ASC 815, hedge ineffectiveness is reclassified into earnings only if the original transaction is no longer probable of* 

*occurring by the end of the specified time period or within a two-month period thereafter. There were no amounts that were* 

*reclassified into earnings due to discontinuation of cash flow hedges. Reclassification would occur if it became probable that the* 

*original forecasted transactions would not occur by the end of the originally specified time period or within a two-month period* 

*thereafter.*

*(d)Amounts represent changes in the fair values of open interest rate swap contracts in cash flow hedges of CO debt, primarily* 

*those hedging the rolling issuance of CO discount notes.*

**Economic Hedges**

FHLBNY often uses economic hedges when hedge accounting would be too complex or operationally burdensome. Derivatives that

are economic hedges are carried at fair value, with changes in value included in Other income (loss), a line item which is below net

interest income. For hedges that either do not meet the ASC 815 hedging criteria or for which management decides not to apply ASC

815 hedge accounting, the derivative is recorded at fair value on the balance sheet with the associated changes in fair value recorded

in earnings, while the "hedged" instrument continues to be carried at amortized cost. Therefore, current earnings are affected by the

interest rate shifts and other factors that cause a change in the swap's value, but for which no offsetting change in value is recorded

on the hedged instrument. Economic hedges are an acceptable hedging strategy under the FHLBNY's risk management program, and

the strategies comply with the Finance Agency's regulatory requirements prohibiting speculative use of derivatives.

Gains and losses on economic hedges are presented below (in thousands):

---

| | | | |
|:---|:---|:---|:---|
|  | **Gains (Losses) on Economic Hedges** | **Gains (Losses) on Economic Hedges** | **Gains (Losses) on Economic Hedges** |
|  | **Recorded in Other Income (Loss)** | **Recorded in Other Income (Loss)** | **Recorded in Other Income (Loss)** |
|  | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** |
|  | **2025** | **2024** | **2023** |
| **Gains (losses) on derivatives designated in economic hedges** |  |  |  |
| Interest rate hedges | $(23662) | $128048 | $33208 |
| Caps | 850 | (147) | (804) |
| Mortgage delivery commitments | 1079 | (257) | (1552) |
| **Total gains (losses) on derivatives in economic hedges** | $(21733) | $127644 | $30852 |

---

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

**Note 18. Fair Values of Financial Instruments.**

**Estimated Fair Values — Summary Tables -** Carrying values, the estimated fair values and the levels within the fair value

hierarchy were as follows (in thousands):

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** |
|  |  | **Estimated Fair Value** | **Estimated Fair Value** | **Estimated Fair Value** | **Estimated Fair Value** |  |
| **Financial Instruments** | **Carrying** <br>**Value**<br>| **Total** | **Level 1** | **Level 2** | **Level 3** <sup>(a)</sup> | **Netting** <br>**Adjustment and** <br>**Cash Collateral**<br>|
| Assets |  |  |  |  |  |  |
| Cash and due from banks | $38192 | $38192 | $38192 | $— | $— | $— |
| Interest-bearing deposits | 2960000 | 2960027 |  | 2960027 |  |  |
| Securities purchased under agreements to resell | 15950000 | 15950204 |  | 15950204 |  |  |
| Federal funds sold | 11550000 | 11550081 |  | 11550081 |  |  |
| Trading securities | 7387187 | 7387187 | 7387187 |  |  |  |
| Equity Investments | 103707 | 103707 | 103707 |  |  |  |
| Available-for-sale securities | 12345845 | 12345845 | 560272 | 10121050 | 1664523 |  |
| Held-to-maturity securities | 10490167 | 10384380 |  | 10237595 | 146785 |  |
| Advances | 92306684 | 92514300 |  | 92514300 |  |  |
| Mortgage loans held-for-portfolio, net | 2644449 | 2451042 |  | 2451042 |  |  |
| Accrued interest receivable | 523973 | 523973 |  | 523973 |  |  |
| Derivative assets | 99548 | 99548 |  | 1731523 |  | (1631975) |
| Other financial assets | 52 | 52 |  |  | 52 |  |
| Liabilities |  |  |  |  |  |  |
| Deposits | 3089961 | 3088772 |  | 3088772 |  |  |
| Consolidated obligations |  |  |  |  |  |  |
| Bonds | 68466741 | 68215010 |  | 68215010 |  |  |
| Discount notes | 76019517 | 76045773 |  | 76045773 |  |  |
| Mandatorily redeemable capital stock | 7585 | 7585 | 7585 |  |  |  |
| Accrued interest payable | 470265 | 470265 |  | 470265 |  |  |
| Derivative liabilities | 4097 | 4097 |  | 1760052 |  | (1755955) |

---

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
|  |  | **Estimated Fair Value** | **Estimated Fair Value** | **Estimated Fair Value** | **Estimated Fair Value** |  |
| **Financial Instruments** | **Carrying** <br>**Value**<br>| **Total** | **Level 1** | **Level 2** | **Level 3**<sup>(a)</sup> | **Netting** <br>**Adjustment and** <br>**Cash Collateral**<br>|
| Assets |  |  |  |  |  |  |
| Cash and due from banks | $26141 | $26141 | $26141 | $— | $— | $— |
| Interest-bearing deposits | 2770000 | 2769988 |  | 2769988 |  |  |
| Securities purchased under agreements to resell | 10895000 | 10894935 |  | 10894935 |  |  |
| Federal funds sold | 9415000 | 9414947 |  | 9414947 |  |  |
| Trading securities | 7237940 | 7237940 | 7237940 |  |  |  |
| Equity Investments | 95422 | 95422 | 95422 |  |  |  |
| Available-for-sale securities | 9987284 | 9987284 |  | 8689853 | 1297431 |  |
| Held-to-maturity securities | 10865935 | 10569274 |  | 10389180 | 180094 |  |
| Advances | 105838238 | 105990899 |  | 105990899 |  |  |
| Mortgage loans held-for-portfolio, net | 2345395 | 2052908 |  | 2052908 |  |  |
| Accrued interest receivable | 571199 | 571199 |  | 571199 |  |  |
| Derivative assets | 97344 | 97344 |  | 2329051 |  | (2231707) |
| Other financial assets | 378 | 378 |  |  | 378 |  |
| Liabilities |  |  |  |  |  |  |
| Deposits | 2429384 | 2428220 |  | 2428220 |  |  |
| Consolidated obligations |  |  |  |  |  |  |
| Bonds | 80552135 | 79945390 |  | 79945390 |  |  |
| Discount notes | 67858939 | 67885002 |  | 67885002 |  |  |
| Mandatorily redeemable capital stock | 4509 | 4509 | 4509 |  |  |  |
| Accrued interest payable | 604267 | 604267 |  | 604267 |  |  |
| Derivative liabilities | 13357 | 13357 |  | 2728714 |  | (2715357) |

---

The fair value amounts recorded on the Statements of Condition or presented in the table above have been determined by the

FHLBNY using available market information and our reasonable judgment of appropriate valuation methods.

*(a)Level 3 Instruments — The fair values of non-agency private-label MBS and housing finance agency bonds were estimated by* 

*management based on pricing services. Valuations may have required pricing services to use significant inputs that were* 

*subjective because of the current lack of significant market activity; the inputs may not be market-based and observable.*

**Fair Value Hierarchy**

The FHLBNY records trading securities, equity investments, available-for-sale securities, derivative instruments, and Consolidated

obligations and advances elected under the FVO at fair values on a recurring basis. On a non-recurring basis for the FHLBNY, when

mortgage loans held-for-portfolio are written down or are foreclosed as Other Real Estate Owned (REO or OREO), they are recorded

at the fair values of the real estate collateral supporting the mortgage loans.

The accounting standards under Fair Value Measurement defines fair value, establishes a consistent framework for measuring fair

value and requires disclosures about fair value measurements. Fair value is defined as the price that would be received to sell an asset

or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Among other things, the

standard requires the FHLBNY to maximize the use of observable inputs and minimize the use of unobservable inputs when

measuring fair value. The standard specifies a hierarchy of inputs based on whether the inputs are observable or unobservable.

Observable inputs reflect market data obtained from independent sources, while unobservable inputs reflect the FHLBNY's market

assumptions.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

These two types of inputs have created the following fair value hierarchy, and an entity must disclose the level within the fair value

hierarchy in which the measurements are classified for all assets and liabilities measured on a recurring or non-recurring basis:

• Level 1 Inputs — Quoted prices (unadjusted) for identical assets or liabilities in an active market that the reporting entity

can access on the measurement date.

• Level 2 Inputs — Inputs other than quoted prices within Level 1 that are observable inputs for the asset or liability, either

directly or indirectly. If the asset or liability has a specified (contractual) term, a Level 2 input must be observable for

substantially the full term of the asset or liability. Level 2 inputs include the following: (1) quoted prices for similar assets or

liabilities in active markets; (2) quoted prices for identical or similar assets or liabilities in markets that are not active;

(3) inputs other than quoted prices that are observable for the asset or liability (e.g., interest rates and yield curves that are

observable at commonly quoted intervals, and volatilities).

• Level 3 Inputs — Inputs that are unobservable and significant to the valuation of the asset or liability.

The inputs are evaluated on an overall level for the fair value measurement to be determined. This overall level is an indication of

market observability of the fair value measurement for the asset or liability. Changes in the observability of the valuation inputs may

result in a reclassification of certain assets or liabilities. These reclassifications are reported as transfers in/out as of the beginning of

the quarter in which the changes occur. There were no such transfers in any periods in this report.

The availability of observable inputs can vary from product to product and is affected by a wide variety of factors including, for

example, the characteristics peculiar to the transaction. To the extent that valuation is based on models or inputs that are less

observable or unobservable in the market, the determination of fair value requires more judgment. Accordingly, the degree of

judgment exercised by the FHLBNY in determining fair value is greatest for instruments categorized as Level 3. In certain cases, the

inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes the

level in the fair value hierarchy within which the fair value measurement falls is determined based on the lowest level input that is

significant to the fair value measurement in its entirety.

**Summary of Valuation Techniques and Primary Inputs**

The fair value of a financial instrument that is an asset is defined as the price the FHLBNY would receive to sell the asset in an

orderly transaction with market participants. A financial liability's fair value is defined as the amount that would be paid to transfer

the liability to a new obligor, not the amount that would be paid to settle the liability with the creditor. Where available, fair values

were based on observable market prices or parameters or derived from such prices or parameters. Where observable prices are not

available, valuation models and inputs are utilized. These valuation techniques involve some level of management estimation and

judgment, the degree of which is dependent on the price transparency for the instruments or markets and the instruments' complexity.

Because an active secondary market does not exist for a portion of the FHLBNY's financial instruments, in certain cases, fair values

are not subject to precise quantification or verification and may change as economic and market factors and evaluation of those

factors change.

For assets and liabilities carried at fair value, the FHLBNY measures fair value using the procedures set out below:

**Mortgage-backed securities, including housing finance obligations, classified as available-for-sale** — The fair value of such

securities is estimated by the FHLBNY using pricing primarily from specialized pricing services. The pricing vendors typically use

market multiples derived from a set of comparables, including matrix pricing, and other techniques. The FHLBNY's valuation

technique incorporates prices from up to three designated third-party pricing services at December 31, 2025 and December 31, 2024.

The FHLBNY's base investment pricing methodology establishes a median price for each security using a formula that is based on

the number of prices received. Vendor prices that are outside of a defined tolerance threshold of the median price are identified as

outliers and subject to additional review, including, but not limited to, comparison to prices provided by an additional third-party

valuation service, prices for similar securities, and/or non-binding dealer estimates, which are deemed to be reflective of all relevant

facts and circumstances that a market participant would consider. Such analysis is also applied in those limited instances where no

third-party vendor price or only one third-party vendor price is available in order to arrive at an estimated fair value.

The FHLBNY has also concluded that the pricing vendors use methods that generally employ, but are not limited to benchmark

yields, recent trades, dealer estimates, valuation models, benchmarking of like securities, sector groupings, and/or matrix pricing.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

Based on the FHLBNY's review processes, management has concluded that inputs into the pricing models employed by pricing

services for the FHLBNY's investments in GSE securities classified as available-for-sale are market-based and observable and are

considered to be within Level 2 of the fair value hierarchy.

**Housing finance agency bonds** — The fair value of housing finance agency bonds is estimated by management using information

primarily from pricing services. Because of the current lack of significant market activity, their fair values were categorized within

Level 3 of the fair value hierarchy as inputs into vendor pricing models may not be market-based and observable.

**Fair values of Mortgage-backed securities deemed impaired** — In the third quarter of 2025, the Bank sold all the remaining

securities in our PLMBS portfolio, $26.0 million in current face value.

**U.S. Government Securities —** The FHLBNY classifies trading and available-for-sale securities as Level 1 of the fair value

hierarchy when we use quoted market prices in active markets to determine the fair value. We classify securities as Level 2 of the fair

value hierarchy when we use quoted market prices in less active markets to determine the fair value.

**Equity Investments** — The FHLBNY has grantor trusts, which invest in money market, equity and fixed income and bond funds.

Daily net asset values (NAVs) are readily available and investments are redeemable at short notice. NAVs are the fair values of the

funds in the grantor trusts. Because of the highly liquid nature of the investments at their NAVs, they are categorized as Level 1

financial instruments under the valuation hierarchy.

**Advances elected under the FVO** — When the FHLBNY elects the FVO designation for certain advances, the advances are

recorded at their fair values in the Statements of Condition. The fair values are computed using standard option valuation models.

The most significant inputs to the valuation model are: (1) Consolidated obligation debt curve (CO Curve), published by the Office of

Finance and available to the public, and (2) Benchmark swap curves and volatilities. Both these inputs are considered to be market-

based and observable as they can be directly corroborated by market participants.

The CO Curve is the primary input, which is market-based and observable. Inputs to apply spreads, which are FHLBNY specific,

were not material. Fair values were classified within Level 2 of the valuation hierarchy.

The FHLBNY determines the fair values of advances elected under the FVO by calculating the present value of expected future cash

flows from the advances, a methodology also referred to as the Income approach under the Fair Value Measurement standards. The

discount rates used in these calculations are equivalent to the replacement advance rates for advances with similar terms. In

accordance with the Finance Agency's "Advances" regulations requires a prepayment fee sufficient to make a FHLBank financially

indifferent to the borrower's decision to prepay the advance. Therefore, the fair value of an advance does not assume prepayment

risk.

The inputs used to determine fair value of advances elected under the FVO are as follows:

• CO Curve. The FHLBNY uses the CO Curve, which represents its cost of funds, as an input to estimate the fair value of

advances, and to determine current advance rates. This input is considered market observable and therefore a Level 2 input.

• Volatility assumption. To estimate the fair value of advances with optionality, the FHLBNY uses market-based expectations

of future interest rate volatility implied from current market prices for similar options. This input is considered a Level 2

input as it is market-based and market observable.

• Spread adjustment. Adjustments represent the FHLBNY's mark-up based on its pricing strategy. The input is considered as

unobservable and is classified as a Level 3 input. The spread adjustment is not a significant input to the overall fair value of

an advance.

**Consolidated Obligations elected under the FVO** — The FHLBNY estimates the fair values of Consolidated obligations elected

under the FVO based on the present values of expected future cash flows due on the debt obligations. Calculations are performed by

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

using the FHLBNY's industry standard option adjusted valuation models. The FHLBNY's internal valuation models use the

following inputs:

• CO Curve and Benchmark Swap Curves. The Office of Finance constructs an internal curve, referred to as the CO Curve,

using the U.S. Treasury Curve as a base curve that is then adjusted by adding indicative spreads obtained from market

observable sources. These market indications are generally derived from pricing indications from dealers, historical pricing

relationships, recent GSE trades and secondary market activity. The FHLBNY considers the inputs as Level 2 inputs as they

are market observable.

• Volatility assumptions. To estimate the fair values of Consolidated obligations with optionality, the FHLBNY uses market-

based expectations of future interest rate volatility implied from current market prices for similar options. These inputs are

also considered Level 2 as they are market-based and observable. No CO debt elected under the FVO were structured with

options in any periods in this report.

**Derivative Assets and Liabilities —** The FHLBNY's derivatives (cleared derivatives and bilaterally executed derivatives) are

executed in the over-the-counter market and are valued using internal valuation techniques as no quoted market prices exist for such

instruments. Discounted cash flow analysis is the primary methodology employed by the FHLBNY's valuation model to measure the

fair values of interest rate swaps. The valuation technique is considered as an "Income approach". Interest rate caps and floors are

valued under the "Market approach". Interest rate swaps and interest rate caps and floors, collectively "derivatives", were valued in

industry-standard option adjusted valuation models, which generated fair values. The valuation models employed multiple market

inputs including interest rates, prices, and indices to create continuous yield or pricing curves and volatility factors. These multiple

market inputs were corroborated by management to independent market data, and to relevant benchmark indices. In addition,

derivative valuations were compared by management to counterparty valuations received as part of the collateral exchange process.

These derivative positions were classified within Level 2 of the valuation hierarchy at December 31, 2025 and December 31, 2024.

Interest rate swaps cleared by Central Clearing Houses, LCH and the CME, are valued by discounting forward cash flows by the

SOFR index, consistent with the change to SOFR in the interest accrual calculation of margins.

The FHLBNY's valuation model utilizes a modified *Black-Karasinski* methodology. Significant market-based and observable inputs

into the valuation model include volatilities and interest rates. The Bank's valuation model employs industry standard market-

observable inputs (inputs that are actively quoted and can be validated to external sources). Inputs by class of derivative were as

follows:

*Interest-rate related:*

• Discount rate assumption. OIS or SOFR Swap curve (SOFR/OIS).

• Forward interest rate assumption. OIS or SOFR Swap curve.

• Volatility assumption. Market-based expectations of future interest rate volatility implied from current market prices for

similar options.

*Mortgage delivery commitments (considered a derivative)* — TBA security prices are adjusted for differences in coupon, average

loan rate and seasoning. To be announced (TBA) is the term describing forward-settling MBS trades issued by Freddie Mac, Fannie

Mae, and Ginnie Mae trade in the TBA market. The FHLBNY incorporates SOFR and the overnight indexed swap (FF/OIS) curves

as fair value measurement inputs for the valuation of its derivatives as the curves reflect the interest rates paid on cash collateral

provided against the fair value of these derivatives. The FHLBNY believes using relevant SOFR and the FF/OIS curves as inputs to

determine fair value measurements provides a more representative reflection of the fair values of these collateralized interest-rate

related derivatives. SOFR and the FF/OIS curves are inputs to the valuation model and are obtained from industry standard pricing

vendors; the inputs are available and observable over the entire terms of the interest rate swaps.

Management considers the SOFR and the Federal funds curve to be Level 2 inputs. The FHLBNY's valuation model utilizes industry

standard OIS methodology. The model generates forecasted cash flows using the contractual cash flows, then discounts the cash

flows by SOFR and FF/OIS curve to generate fair values.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

**Credit risk and credit valuation adjustments** 

The FHLBNY is subject to credit risk in derivatives transactions due to the potential non-performance of its derivatives

counterparties or a Derivatives Clearing Organizations (DCO). To mitigate this risk, the FHLBNY has entered into master netting

agreements and credit support agreements with its derivative counterparties for its bilaterally executed derivative contracts that

provide for the delivery of collateral at specified levels at least weekly. The computed fair values of the derivatives took into

consideration the effects of legally enforceable master netting agreements that allow the FHLBNY to settle positive and negative

positions and offset cash collateral with the same counterparty on a net basis. For derivative transactions executed as a cleared

derivative, the transactions are fully collateralized in cash and for the most part exchanged and settled daily with the DCO. The

FHLBNY has also established the enforceability of offsetting rights incorporated in the agreements for the cleared derivative

transactions.

As a result of these practices and agreements and the FHLBNY's assessment of any change in its own credit spread, the FHLBNY

has concluded that the impact of the credit differential between the FHLBNY and its derivative counterparties and DCO was

sufficiently mitigated to an immaterial level that no credit adjustments were deemed necessary to the recorded fair value of

Derivative assets and Derivative liabilities in the Statements of Condition at December 31, 2025 and December 31, 2024.

For uncleared derivatives transactions executed on or after September 1, 2022, we are subject to two-way initial margin obligations

as required by the Wall Street Reform and Consumer Protection Act. For such uncleared derivatives transactions, a party whose

initial margin requirement exceeds the $50 million threshold would be required to deliver collateral in the amount by which the initial

margin requirement exceeds such specified threshold. Initial margin is required to be held at a third-party custodian for the benefit of

the secured party, which can only assert ownership of such collateral upon the occurrence of certain events, which may include an

event of default due to bankruptcy, insolvency, or similar proceeding. As of December 31, 2025, the Bank did not exceed the

threshold with any of the uncleared derivatives counterparty and did not have to post initial margin or have the counterparty post

initial margin to the Bank.

**Fair Value Measurement**

The tables below present the fair value of those assets and liabilities that are recorded at fair value on a recurring or non-recurring

basis at December 31, 2025 and December 31, 2024, by level within the fair value hierarchy. Certain mortgage loans that were

partially charged-off were recorded at their collateral values on a non-recurring basis. REO is measured at fair value when the asset's

fair value less costs to sell is lower than its carrying amount.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

**Items Measured at Fair Value on a Recurring Basis (in thousands):**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** |
|  | **Total** | **Level 1** | **Level 2** | **Level 3** | **Netting** <br>**Adjustment and** <br>**Cash Collateral**<br>|
| **Assets** |  |  |  |  |  |
| Trading securities |  |  |  |  |  |
| U.S. Treasury securities | $7387187 | $7387187 | $— | $— | $— |
| Equity Investments | 103707 | 103707 |  |  |  |
| Available-for-sale securities |  |  |  |  |  |
| GSE/U.S. agency issued MBS | 10121050 |  | 10121050 |  |  |
| Housing and U.S. obligations | 2224795 | 560272 |  | 1664523 |  |
| Derivative assets <sup>(a)</sup> |  |  |  |  |  |
| Interest-rate derivatives | 99467 |  | 1731442 |  | (1631975) |
| Mortgage delivery commitments | 81 |  | 81 |  |  |
| **Total recurring fair value measurement - Assets** | $19936287 | $8051166 | $11852573 | $1664523 | $(1631975) |
| **Liabilities** |  |  |  |  |  |
| Consolidated obligation: |  |  |  |  |  |
| Discount notes (to the extent FVO is elected)<sup>(b)</sup> | $(577958) | $— | $(577958) | $— | $— |
| Bonds (to the extent FVO is elected)<sup>(b)</sup> | (556866) |  | (556866) |  |  |
| Derivative liabilities <sup>(a)</sup> |  |  |  |  |  |
| Interest-rate derivatives | (4089) |  | (1760044) |  | 1755955 |
| Mortgage delivery commitments | (8) |  | (8) |  |  |
| **Total recurring fair value measurement - Liabilities** | $(1138921) | $— | $(2894876) | $— | $1755955 |

---

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
|  | **Total** | **Level 1** | **Level 2** | **Level 3** | **Netting** <br>**Adjustment and** <br>**Cash Collateral**<br>|
| **Assets** |  |  |  |  |  |
| Trading securities |  |  |  |  |  |
| U.S. Treasury securities | $7237940 | $7237940 | $— | $— | $— |
| Equity Investments | 95422 | 95422 |  |  |  |
| Available-for-sale securities |  |  |  |  |  |
| GSE/U.S. agency issued MBS | 8689853 |  | 8689853 |  |  |
| Housing and U.S. obligations | 1297431 |  |  | 1297431 |  |
| Derivative assets <sup>(a)</sup> |  |  |  |  |  |
| Interest-rate derivatives | 97343 |  | 2329050 |  | (2231707) |
| Mortgage delivery commitments | 1 |  | 1 |  |  |
| **Total recurring fair value measurement - Assets** | $17417990 | $7333362 | $11018904 | $1297431 | $(2231707) |
| **Liabilities** |  |  |  |  |  |
| Consolidated obligation: |  |  |  |  |  |
| Bonds (to the extent FVO is elected)<sup>(b)</sup> | $(1704115) | $— | $(1704115) | $— | $— |
| Derivative liabilities <sup>(a)</sup> |  |  |  |  |  |
| Interest-rate derivatives | (13155) |  | (2728512) |  | 2715357 |
| Mortgage delivery commitments | (202) |  | (202) |  |  |
| **Total recurring fair value measurement - Liabilities** | $(1717472) | $— | $(4432829) | $— | $2715357 |

---

*(a) Based on analysis of the nature of the risk, the presentation of derivatives as a single class is appropriate.*

*(b) Based on analysis of the nature of risks of Consolidated obligation bonds measured at fair value, the FHLBNY has determined* 

*that presenting the bonds as a single class is appropriate.*

**Roll Forward of Level 3 Available-for-Sale Securities (in thousands):**

---

| | | | |
|:---|:---|:---|:---|
|  | **State and Local Housing Finance Agency Obligations** | **State and Local Housing Finance Agency Obligations** | **State and Local Housing Finance Agency Obligations** |
|  | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** |
|  | **2025** | **2024** | **2023** |
| **Balance, beginning of the period** | $1297431 | $1228238 | $1109029 |
| Total gains (losses) included in other comprehensive income |  |  |  |
| Net unrealized gains (losses) | (713) | 663 | (441) |
| Purchases | 375000 | 75000 | 125000 |
| Settlements | (7195) | (6470) | (5350) |
| **Balance, end of the period** | $1664523 | $1297431 | $1228238 |

---

**Items Measured at Fair Value on a Non-recurring Basis (in thousands):**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **During the period ended December 31, 2025** | **During the period ended December 31, 2025** | **During the period ended December 31, 2025** | **During the period ended December 31, 2025** |
|  | **Fair Value** | **Level 1** | **Level 2** | **Level 3** |
| Mortgage loans held-for-portfolio | $256 | $— | $256 | $— |
| Real estate owned | 55 |  |  | 55 |
| **Total non-recurring assets at fair value** | $311 | $— | $256 | $55 |

---

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **During the period ended December 31, 2024** | **During the period ended December 31, 2024** | **During the period ended December 31, 2024** | **During the period ended December 31, 2024** |
|  | **Fair Value** | **Level 1** | **Level 2** | **Level 3** |
| Mortgage loans held-for-portfolio | $— | $— | $— | $— |
| Real estate owned | 178 |  |  | 178 |
| **Total non-recurring assets at fair value** | $178 | $— | $— | $178 |

---

*Mortgage loans and REO* — The FHLBNY measures and records certain impaired mortgage loans and REO (foreclosed properties)

on a non-recurring basis. These assets are subject to fair value adjustments in certain circumstances at the occurrence of the events

during the periods in this report. Impaired loans are primarily loans that are delinquent for 180 days or more, partially charged-off,

with the remaining loans recorded at their collateral values at the dates the loans are charged off. Fair value adjustments on the

impaired loans and real estate owned assets are based primarily on broker price opinions.

In accordance with disclosure provisions, we have reported changes in fair values of such assets as of the date the fair value

adjustments were recorded during the period ended December 31, 2025 and December 31, 2024, and the reported fair values were not

as of the period end dates.

**Fair Value Option Disclosures**

From time to time, the FHLBNY will elect the FVO for advances and Consolidated obligations on an instrument-by-instrument basis

with changes in fair value reported in earnings. Customarily, the election is made when either the instruments do not qualify for

hedge accounting or may be at risk for not meeting hedge effectiveness requirements; the objective is primarily to mitigate the

potential income statement volatility that can arise from economic hedging relationships in which the carrying value of the hedged

item is not adjusted for changes in fair value. We may also elect advances under the FVO when analysis indicates that changes in the

fair values of the advance would be an offset to fair value volatility of debt elected under the FVO. We may also elect CO bonds

under the FVO to achieve asset liability objectives. The FVO election is made at inception of the contracts for advances and debt

obligations.

For instruments for which the fair value option has been elected, the related contractual interest income, contractual interest expense,

the discount amortization on fair value option consolidated obligation discount notes and the premium/discount amortization on fair

value option consolidated obligation bonds are recorded as part of net interest income in the Statements of Income. The remaining

changes in fair value for instruments for which the fair value option has been elected are recorded as net gains (losses) on financial

instruments held under fair value option in the Statements of Income. The change in fair value does not include changes in

instrument-specific credit risk. The FHLBNY has determined that no adjustments to the fair values of its instruments recorded under

the fair value option for instrument-specific credit risk were necessary at December 31, 2025 and December 31, 2024.

As with all advances, when advances are elected under the FVO, they are also fully collateralized through their terms to maturity. We

consider our Consolidated obligation debt as high credit quality, highly-rated instruments, and changes in fair values are generally

related to changes in interest rates and investor preference, including investor asset allocation strategies. The FHLBNY believes the

credit-quality of Consolidated obligation debt has remained stable, and changes in fair value attributable to instrument-specific credit

risk, if any, were not material given that the debt elected under the FVO had been issued within the recent past periods, and no

adverse changes have been observed in their credit characteristics.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

The following tables summarize the activity related to financial instruments for which the FHLBNY elected the fair value option <sup>(a)</sup>

(in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** |
|  | **2025** | **2024** | **2023** | **2025** |
|  | **Bonds** | **Bonds** | **Bonds** | **Discount Notes** <sup>(b)</sup> |
| Balance, beginning of the period | $(1704115) | $(3780541) | $(4159862) | $— |
| New transactions elected for fair value option | (5000) |  |  | (562507) |
| Maturities and terminations | 1197245 | 2137315 | 480000 |  |
| Net gains (losses) on financial instruments held under <br>fair value option<br>| (46995) | (72258) | (99223) | (330) |
| Change in accrued interest/unaccreted balance | 1999 | 11369 | (1456) | (15121) |
| Balance, end of the period | $(556866) | $(1704115) | $(3780541) | $(577958) |

---

*(a)No advances elected under the FVO were outstanding at December 31, 2025, 2024 and 2023.*

*(b)No discount notes elected under the FVO were outstanding at December 31, 2024 and 2023.*

The following tables present the change in fair value included in the Statements of Income for financial instruments for which the fair

value option has been elected (in thousands):

---

| | | | |
|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** |
|  | **Interest** <br>**Expense**<br>| **Net Gains (Losses) Due** <br>**to Changes in Fair** <br>**Value**<br>| **Total Change in Fair** <br>**Value Included in** <br>**Current Period Earnings**<br>|
| Consolidated obligation bonds | $(14560) | $(46995) | $(61555) |
| Consolidated obligation discount notes | (15192) | (330) | (15522) |
|  | $(29752) | $(47325) | $(77077) |

---

---

| | | | |
|:---|:---|:---|:---|
|  | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
|  | **Interest** <br>**Expense**<br>| **Net Gains (Losses) Due** <br>**to Changes in Fair** <br>**Value**<br>| **Total Change in Fair** <br>**Value Included in** <br>**Current Period Earnings**<br>|
| Consolidated obligation bonds | $(41617) | $(72258) | $(113875) |

---

---

| | | | |
|:---|:---|:---|:---|
|  | **December 31, 2023** | **December 31, 2023** | **December 31, 2023** |
|  | **Interest** <br>**Expense**<br>| **Net Gains (Losses) Due** <br>**to Changes in Fair** <br>**Value**<br>| **Total Change in Fair** <br>**Value Included in** <br>**Current Period Earnings**<br>|
| Consolidated obligation bonds | $(89889) | $(99223) | $(189112) |

---

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

The following tables compare the aggregate fair value and aggregate remaining contractual principal balance outstanding of financial

instruments for which the fair value option has been elected (in thousands):

---

| | | | |
|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** |
|  | **Aggregate Unpaid** <br>**Principal Balance**<br>| **Aggregate Fair** <br>**Value**<br>| **Fair Value Over/(Under)** <br>**Aggregate Unpaid** <br>**Principal Balance**<br>|
| Consolidated obligation bonds | $564405 | $556866 | $(7539) |
| Consolidated obligation discount notes | 562507 | 577958 | 15451 |
|  | $1126912 | $1134824 | $7912 |

---

---

| | | | |
|:---|:---|:---|:---|
|  | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
|  | **Aggregate Unpaid** <br>**Principal Balance**<br>| **Aggregate Fair** <br>**Value**<br>| **Fair Value Over/(Under)** <br>**Aggregate Unpaid** <br>**Principal Balance**<br>|
| Consolidated obligation bonds | $1756650 | $1704115 | $(52535) |

---

---

| | | | |
|:---|:---|:---|:---|
|  | **December 31, 2023** | **December 31, 2023** | **December 31, 2023** |
|  | **Aggregate Unpaid** <br>**Principal Balance**<br>| **Aggregate Fair** <br>**Value**<br>| **Fair Value Over/(Under)** <br>**Aggregate Unpaid** <br>**Principal Balance**<br>|
| Consolidated obligation bonds | $3893965 | $3780541 | $(113424) |

---

*(a) The FHLBNY has elected the FVO on an instrument-by-instrument basis for CO bonds and CO discount notes, primarily fixed-*

*rate, intermediate- and short-term debt; management elects the FVO for such CO bonds and CO discount notes when* 

*management is not able to assert with confidence that the debt would qualify for hedge accounting as such short-term debt may* 

*not remain highly effective hedges through the maturity of the debt. Management may also elect the FVO of certain other CO* 

*bonds and CO discount notes to achieve asset liability objectives.*

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

**Note 19. Commitments and Contingencies.**

*Consolidated obligations* — The FHLBanks have joint and several liability for all the Consolidated obligations issued on their behalf.

Accordingly, should one or more of the FHLBanks be unable to repay their participation in the Consolidated obligations, each of the

other FHLBanks could be called upon to repay all or part of such obligations, as determined or approved by the Finance Agency.

Neither the FHLBNY nor any other FHLBank has ever had to assume or pay the Consolidated obligations of another FHLBank. The

FHLBNY does not believe that it will be called upon to pay the Consolidated obligations of another FHLBank in the future. Under

the provisions of accounting standards for guarantees, the FHLBNY would have been required to recognize the fair value of the

FHLBNY's joint and several liability for all the Consolidated obligations, as discussed above. However, the FHLBNY considers the

joint and several liabilities as similar to a related party guarantee, which meets the scope exception under the accounting standard for

guarantees. Accordingly, the FHLBNY has not recognized the fair value of a liability for its joint and several obligations related to

other FHLBanks' Consolidated obligations, which in aggregate were par amounts of $1.2 trillion as of December 31, 2025 and

December 31, 2024.

*Affordable Housing Program* — The 11 FHLBanks are expected to contribute $100 million in aggregate annually to the AHP. If the

aggregate assessment is less than $100 million for all the FHLBanks, each FHLBank would be required to assure that the aggregate

contributions of the FHLBanks equal $100 million. The proration would be made based on the ratio of each FHLBank's income

before Affordable Housing Program to the sum of the income before Affordable Housing Program of the 11 FHLBanks. There have

been no shortfalls in any periods in this report.

The following table summarizes contractual obligations and contingencies (in thousands):

---

| | | |
|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2024** |
| Contractual Obligations |  |  |
| Consolidated obligation bonds at par <sup>(a)</sup> | $68408655 | $81069965 |
| Consolidated obligation discount notes at par | 76476004 | 68467860 |
| Mandatorily redeemable capital stock <sup>(a)</sup> | 7585 | 4509 |
| Finance lease <sup>(b)</sup> | 1651 | 2159 |
| Premises (Operating Lease) <sup>(b)</sup> | 61410 | 69551 |
| Other liabilities <sup>(c)</sup> | 167633 | 133503 |
| Total contractual obligations | $145122938 | $149747547 |
| Other commitments |  |  |
| Standby letters of credit <sup>(d)</sup> | $24108844 | $20663477 |
| Consolidated obligation bonds/discount notes traded not settled | 15042 | 1735000 |
| Commitments to fund additional advances | 150000 | 10000 |
| Commitments to fund pension | 11390 | 11390 |
| Open delivery commitments (MAP) | 36458 | 28671 |
| Total other commitments | $24321734 | $22448538 |
| **Total obligations and commitments** | $169444672 | $172196085 |

---

*(a)Callable bonds contain an exercise date or a series of exercise dates that may result in a shorter redemption period. Redemption* 

*dates of mandatorily redeemable capital stock are assumed to correspond to maturity dates of member advances. Excess capital* 

*stock is redeemed at that time, and hence, these dates better represent the related commitments than the put dates associated* 

*with capital stock. While interest payments on CO bonds and discount notes are contractual obligations, they are deemed to be* 

*not material and, therefore, amounts were omitted from the table.*

*(b)Amounts represent undiscounted obligations. Lease obligations are recorded in the Statements of Condition as a Right-of-use* 

*(ROU) asset and a corresponding lease liability. Immaterial amounts of equipment and other leases have been excluded in the* 

*table above.*

*(c)(Includes accounts payable and accrued expenses, liabilities recorded for future settlements of investments, Pass-through* 

*reserves due to member institutions held at the Federal Reserve Bank (FRB), and projected one year obligation for the DB Plan.*

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

*(d)Financial letters of credit — Standby letters of credit are executed for a fee on behalf of members to facilitate residential* 

*housing, community lending, and members' asset/liability management or to provide liquidity. A standby letter of credit is a* 

*financing arrangement between the FHLBNY and its member. Members assume an unconditional obligation to reimburse the* 

*FHLBNY for value given by the FHLBNY to the beneficiary under the terms of the standby letter of credit. The FHLBNY may,* 

*in its discretion, permit the member to finance repayment of their obligation by receiving a collateralized advance.*

The Bank did not record credit losses on off-balance sheet arrangements for any periods in this report.

**Lease Commitments**

Operating Leases:

In compliance with the guidance under Topic 842, *Leases*, we recognize in our Statements of Condition all leases with lease terms

greater than twelve months as a lease liability with a corresponding right-of-use (ROU) asset.

At December 31, 2025 and December 31, 2024, the FHLBNY was obligated under a number of noncancelable leases, predominantly

operating leases for premises. These leases generally have terms of 15 years or less that contain escalation clauses that will increase

rental payments. Operating leases also include backup datacenters and certain office equipment. Operating lease liabilities and

operating lease ROU assets are recognized at the lease commencement date based on the present value of the future minimum lease

payments over the lease term. The future lease payments are discounted at a rate that represents the FHLBNY's borrowing rate for its

own debt (Consolidated obligation bonds) of a similar term. Operating lease ROU assets include any lease prepayments made, plus

any initial direct costs incurred, less any lease incentives received. Rental expense associated with operating leases is recognized on a

straight-line basis over the lease term. Premise rental expense is included in occupancy expense, and datacenter and other lease

expenses are included in other operating expense in the Statements of Income. Operating lease ROU assets and operating lease

liabilities are reported in the Statements of Condition.

The following tables provide summarized information on our operating leases (dollars in thousands):

---

| | | |
|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2024** |
| **Operating Leases** <sup>(a)</sup>  |  |  |
| Right-of-use assets | $44289 | $49550 |
| Lease Liabilities | $54696 | $60853 |

---

*(a)We have elected to exclude immaterial amounts of short-term operating lease liabilities in the Right-of-use assets and lease* 

*liabilities.*

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Twelve months ended December 31,** | **Twelve months ended December 31,** | **Twelve months ended December 31,** |  |
|  | **2025** |  | **2024** |  |
| Operating Lease Expense | $7191 |  | $7443 |  |
| Operating cash flows - Cash Paid | $8088 |  | $8298 |  |
|  | **December 31, 2025** |  | **December 31, 2024** |  |
| **Weighted Average Discount Rate** | 3.33 | % | 3.33 | % |
| **Weighted Average Remaining Lease Term** | 7.27 | Years | 8.25 | Years |

---

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

---

| | | |
|:---|:---|:---|
|  | **Remaining maturities through** | **Remaining maturities through** |
| **Operating lease liabilities** | **December 31, 2025** | **December 31, 2024** |
| 2025 | $— | $8088 |
| 2026 | 8142 | 8142 |
| 2027 | 8246 | 8246 |
| 2028 | 8566 | 8566 |
| 2029 | 8512 | 8512 |
| 2030 | 8567 | 8567 |
| Thereafter | 19765 | 19765 |
| Total undiscounted lease payments | 61798 | 69886 |
| Imputed interest | (7102) | (9033) |
| Total operating lease liabilities | $54696 | $60853 |

---

Finance Lease:

In December 2024, the Bank entered into a 5-year finance lease for computer equipment. The finance lease liability and finance lease

ROU asset are recognized at the lease commencement date based on the present value of the future minimum lease payments over the

lease term. The lease liability was $1.6 million as of December 31, 2025 and $2.0 million as of December 31, 2024. The finance lease

ROU asset was $1.5 million as of December 31, 2025 and $2.0 million as of December 31, 2024.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

**Note 20. Related Party Transactions.**

The FHLBNY is a cooperative and the members own almost all of the stock of the FHLBNY. Stock issued and outstanding that is

not owned by members is held by non – members or acquired by members of another FHLBank. The majority of the members of the

Board of Directors of the FHLBNY are elected by and from the membership. The FHLBNY conducts its advances business almost

exclusively with members. The bank considers its transactions with its members and non-member stockholders as related party

transactions in addition to transactions with other FHLBanks, the Office of Finance, and the Finance Agency. The FHLBNY

conducts all transactions with members and non-members in the ordinary course of business. All transactions with all members,

including those whose officers may serve as directors of the FHLBNY, are at terms that are no more favorable than comparable

transactions with other members. The FHLBNY may, from time to time, borrow or sell overnight and term federal funds at market

rates to members.

**Debt Assumptions and Transfers.** When debt is transferred or assumed, the transactions would be executed in the ordinary course

of the FHLBNY's business and at negotiated market pricing.

*Debt assumptions* — In 2025, the FHLBNY assumed discount notes in par amount of $1.0 million from another FHLBank. No

discount notes were assumed from another FHLBank in 2024. No CO bonds were assumed from another FHLBank in 2025 and in

the same period in the prior year.

*Debt transfers* — In 2025, the FHLBNY transferred discount notes in par amount of $0.9 million to another FHLBank. In 2024, the

FHLBNY transferred debt in par amount of $5.8 billion to another FHLBank.

**Advances Sold or Transferred**

No advances were transferred or sold to the FHLBNY or from the FHLBNY to another FHLBank in any periods in this report. When

an advance is transferred or assumed, the transactions would be executed in the ordinary course of the FHLBNY's business and at

negotiated market pricing.

**MPF Program**

In the MPF program, the FHLBNY may participate to the FHLBank of Chicago portions of its purchases of mortgage loans from its

members. Transactions are participated at market rates. Since 2004, the FHLBNY has not shared its purchases with the FHLBank of

Chicago. From the inception of the program through 2004, the cumulative share of MPF Chicago's participation in the FHLBNY's

MPF loans that has remained outstanding was $2.0 million at December 31, 2025 and $2.5 million at December 31, 2024.

Fees paid to the FHLBank of Chicago for providing MPF program services were approximately $1.0 million, $1.1 million, and $1.2

million for the twelve months ended in December 2025, 2024, and 2023, respectively.

**Mortgage-backed Securities**

No mortgage-backed securities were acquired from other FHLBanks during the periods in this report.

**Intermediation**

From time to time, the FHLBNY acts as an intermediary to purchase derivatives to accommodate its smaller members. These

derivatives are offset with derivatives purchased from unrelated derivatives dealers. The intermediated derivative transactions with

members and derivative counterparties are collateralized. At December 31, 2025 and December 31, 2024, there were no outstanding

derivative transactions with members.

**Loans to Other Federal Home Loan Banks**

In the twelve months ended December 31, 2025, overnight loans extended to other FHLBanks averaged $8.4 million. There were no

overnight loans extended to other FHLBanks in the twelve months ended December 31, 2024. Generally, loans made to other

FHLBanks are uncollateralized. Interest income from such loans was immaterial in the periods in this report.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

**Borrowings from Other Federal Home Loan Banks**

The FHLBNY borrows from other FHLBanks, generally for a period of one day. There were no borrowings from other FHLBanks in

the twelve months ended December 31, 2025 and December 31, 2024.

**Sub-lease of Office Space to Another Federal Home Loan Bank**

The FHLBNY is a lessor of shared office space to another FHLBank for a term through August 2028 at an estimated $0.1 million in

annual lease receipts.

**Cash and Due from Banks**

The compensating cash balances held at Citibank were $5.0 million at December 31, 2025 and $15.0 million at December 31, 2024.

Citibank is a member and stockholder of the FHLBNY. For more information, see <u>[Note 3](#i83d60c5edc4a4845bfb146f0e1d168ed_976)</u>. Cash and Due from Banks.

**Related Party: Outstanding Assets, Liabilities and Capital**

The following tables summarize significant balances and transactions with related parties and transactions (in thousands):

---

| | | |
|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2024** |
|  | **Related** | **Related** |
| **Assets** |  |  |
| Advances | $92306684 | $105838238 |
| Accrued interest receivable | 384360 | 457120 |
| **Liabilities and capital** |  |  |
| Deposits | $3089961 | $2429384 |
| Mandatorily redeemable capital stock | 7585 | 4509 |
| Accrued interest payable | 148 | 134 |
| Affordable Housing Program <sup>(a)</sup> | 247824 | 231447 |
| **Capital** | $8015103 | $8409529 |

---

*(a)Represents funds not yet allocated or disbursed to AHP programs.*

Related Party: Income and Expense Transactions

---

| | | | |
|:---|:---|:---|:---|
|  | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** |
|  | **2025** | **2024** | **2023** |
|  | **Related** | **Related** | **Related** |
| Interest income |  |  |  |
| Advances | $4696546 | $6165285 | $5988659 |
| Loans to other FHLBanks | 367 |  | 72 |
| Interest expense |  |  |  |
| Deposits | $111816 | $125362 | $128252 |
| Mandatorily redeemable capital stock | 562 | 595 | 653 |
| Cash collateral held and other borrowings |  |  | 1521 |
| Service fees and other | $22200 | $21534 | $20582 |

---

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

**Note 21. Segment Information and Concentration.**

The Bank engages in business activities to provide funding, liquidity, and services to members. The Bank manages these operations

as one operating segment.

The Bank's primary business activities are providing advances to members and acquiring residential mortgage loans from members.

In addition, the Bank maintains a portfolio of investments. The primary source of funding and liquidity is the issuance of

consolidated obligations in the capital markets. The Bank is capitalized through the purchase of capital stock by members. The

Bank's net income is primarily attributable to the difference between the interest income earned on advances, mortgage loans, and

investments, and the interest expense paid on consolidated obligations. The Bank manages risk and monitors financial performance

across the entire balance sheet. Descriptions of all significant accounting policies related to the Bank's activities are included in "<u>[Item](#i254f72b682ef4373a7f693751d2cd78f_115)</u>

<u>[8. Financial Statements and Supplementary Data](#i254f72b682ef4373a7f693751d2cd78f_115)</u> – <u>[Note 1 – Summary of Significant Accounting Policies](#i86ab1c8027bf40078d433ee31a4fe86a_51966)</u>" in the 2025 Form 10-K.

The Chief Operating Decision Maker ("CODM") is the Bank's President and CEO. The CODM assesses performance and allocation

of resources primarily based on net interest income (derived from total assets and total liabilities as reported in the Statement of

Condition), and net income (as reported in the Bank's Statement of Income). These measures are used for benchmarking and budget

analysis. Other items, including significant expenses, reported to the CODM include those reported in the Bank's Statement of

Income, Statement of Condition, footnotes to the financial statements, and <u>[Table 10.11](#i26b7c8c2cc7f43248d3c68d8bf2fd0c8_1081)</u> Operating Expenses, and Compensation and

Benefits in the MD&A section.

The FHLBNY's total assets and capital could significantly decrease if one or more large members were to withdraw from

membership or decrease business with the FHLBNY. Members might withdraw or reduce their business as a result of consolidating

with an institution that was a member of another FHLBank, or for other reasons. The FHLBNY has considered the impact of losing

one or more large members. In general, a withdrawing member would be required to repay all indebtedness prior to the redemption of

its capital stock. Under current conditions, the FHLBNY does not expect the loss of a large member to impair its operations, since the

FHLBank Act, as amended, does not allow the FHLBNY to redeem the capital of an existing member if the redemption would cause

the FHLBNY to fall below its capital requirements. Consequently, the loss of a large member should not result in an inadequate

capital position for the FHLBNY. However, such an event could reduce the amount of capital that the FHLBNY has available for

continued growth. This could have various ramifications for the FHLBNY, including a possible reduction in net income and

dividends, and a lower return on capital stock for remaining members. During the fiscal year ended December 31, 2025, the Bank did

not earn interest income from any individual advance holder that accounted for 10% or more of total revenue. During the fiscal year

ended December 31, 2024, the Bank earned interest income from two advance holders, each of which individually represented more

than 10% of the Bank's total revenue for that year.

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

The top ten advance holders and associated interest income for the periods then ended are summarized as follows (dollars in

thousands):

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** |
|  | | | | | **Twelve Months** | **Twelve Months** |
|  | <br>**City** | <br>**State** | <br>**Par Advances** | <br>**Percentage of** <br>**Total Par Value**<br>**of Advances**<br>| **Interest Income** | **Percentage** <sup>(a)</sup> |
| MetLife, Inc.: |  |  |  |  |  |  |
| Metropolitan Life Insurance Company. <sup>(b)</sup> | New York | NY | $12835000 | 13.88% | 472618 | 15.72% |
| Metropolitan Tower Life Insurance Company. <sup>(b)</sup> | Whippany, | NJ | 1380000 | 1.49 | 53636 | 1.78 |
| Subtotal MetLife, Inc. |  |  | 14215000 | 15.37 | 526254 | 17.50 |
| Flagstar Bank, N.A. | Hicksville | NY | 9750000 | 10.54 | 525013 | 17.47 |
| Citibank, N.A. | New York | NY | 9000000 | 9.73 | 627210 | 20.86 |
| Teachers Ins. & Annuity Assoc of America | New York | NY | 7228900 | 7.82 | 330216 | 10.98 |
| Equitable Financial Life Insurance Co. | New York | NY | 6865063 | 7.42 | 283217 | 9.42 |
| Goldman Sachs Bank USA | New York | NY | 5500000 | 5.95 | 225157 | 7.49 |
| New York Life Insurance Company | New York | NY | 4588000 | 4.96 | 166103 | 5.53 |
| Guardian Life Insurance Co. of America | New York | NY | 3212279 | 3.47 | 128077 | 4.26 |
| Prudential Insurance Company of America | Newark | NJ | 2619250 | 2.83 | 83396 | 2.77 |
| Valley National Bank | Morristown | NJ | 2463604 | 2.66 | 111650 | 3.71 |
| **Total** |  |  | $65442096 | 70.75% | $3006293 | 100.00% |

---

*(a)Interest income percentage is the member's interest income from advances as a percentage of the top 10 members.*

*(b)An officer of this member bank served on the Board of Directors of the FHLBNY as a Member Director.*

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** | **December 31, 2024** |
|  |  |  |  |  | **Twelve Months** | **Twelve Months** |
|  | **City** | **State** | **Par Advances** | **Percentage of** <br>**Total Par Value**<br>**of Advances**<br>| **Interest Income** | **Percentage** <sup>(a)</sup> |
| Citibank, N.A. | New York | NY | $13500000 | 12.67% | $913534 | 23.26% |
| MetLife, Inc.: |  |  |  |  |  |  |
| Metropolitan Life Insurance Company | Whippany, | NJ | 12835000 | 12.05 | 501120 | 12.76 |
| Metropolitan Tower Life Insurance Company | Whippany, | NJ | 1380000 | 1.29 | 62537 | 1.59 |
| Subtotal MetLife, Inc. |  |  | 14215000 | 13.33 | 563657 | 14.35 |
| Flagstar Bank, N.A. <sup>(b)</sup> | Hicksville | NY | 12000000 | 11.26 | 1030569 | 26.24 |
| Teachers Ins. & Annuity Assoc of America | New York | NY | 7177700 | 6.74 | 345823 | 8.81 |
| Equitable Financial Life Insurance Company | New York | NY | 7165063 | 6.72 | 353130 | 8.99 |
| Goldman Sachs Bank USA | New York | NY | 5000000 | 4.69 | 176021 | 4.48 |
| New York Life Insurance Company | New York | NY | 3713000 | 3.48 | 130413 | 3.32 |
| Manufacturers and Traders Trust Company | Buffalo | NY | 3000149 | 2.82 | 332416 | 8.47 |
| Morgan Stanley Private Bank, NA | Purchase | NY | 3000000 | 2.82 | 6068 | 0.16 |
| Guardian Life Insurance Co. of America | New York | NY | 2710755 | 2.54 | 75471 | 1.92 |
| **Total** |  |  | $71481667 | 67.08% | $3927102 | 100.00% |

---

*(a)Interest income percentage is the member's interest income from advances as a percentage of the top 10 members.*

*(b)An officer of this member bank served on the Board of Directors of the FHLBNY as a Member Director.*

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
|  | **December 31, 2023** | **December 31, 2023** | **December 31, 2023** | **December 31, 2023** | **December 31, 2023** | **December 31, 2023** |
|  |  |  |  |  | **Twelve Months** | **Twelve Months** |
|  | **City** | **State** | **Par Advances** | **Percentage of**<br>**Total Par** <br>**Value**<br>**of Advances**<br>| **Interest Income** | **Percentage** <sup>(a)</sup> |
| Citibank, N.A. | New York | NY | $19500000 | 17.76% | $984342 | 28.99% |
| Flagstar Bank, N.A. <sup>(b)</sup> | Hicksville | NY | 17850000 | 16.26 | 553872 | 16.31 |
| MetLife, Inc.: |  |  |  |  |  |  |
| Metropolitan Life Insurance Company | New York | NY | 13035000 | 11.87 | 474764 | 13.98 |
| Metropolitan Tower Life Insurance Company | New York | NY | 1555000 | 1.42 | 56402 | 1.66 |
| Subtotal MetLife, Inc. |  |  | 14590000 | 13.29 | 531166 | 15.64 |
| Equitable Financial Life Insurance Company | New York | NY | 7615063 | 6.93 | 403051 | 11.87 |
| Teachers Ins. & Annuity Assoc. of America | New York | NY | 7035500 | 6.41 | 249296 | 7.34 |
| Manufacturers and Traders Trust Company | Buffalo | NY | 5000159 | 4.55 | 278246 | 8.19 |
| New York Life Insurance Company | New York | NY | 3063000 | 2.79 | 96367 | 2.84 |
| Prudential Insurance Company of America | Newark | NJ | 2619250 | 2.39 | 83396 | 2.46 |
| Valley National Bank <sup>(b)</sup> | Wayne | NJ | 2539804 | 2.31 | 142160 | 4.19 |
| Kearny Bank | Fairfield | NJ | 1667500 | 1.52 | 73652 | 2.17 |
| Total |  |  | $81480276 | 74.21% | $3395548 | 100.00% |

---

*(a)Interest income percentage is the member's interest income from advances as a percentage of the top 10 members.*

*(b)An officer of this member bank served on the Board of Directors of the FHLBNY as a Member Director.*

The following tables summarize capital stock held by members who were beneficial owners of more than 5 percent of the

FHLBNY's outstanding capital stock as of February 28, 2026 and December 31, 2025 (shares in thousands):

---

| | | | |
|:---|:---|:---|:---|
| **Name of Beneficial Owner** | **February 28, 2026 Principal Executive Office Address** | **Number of** <br>**Shares** <br>**Owned**<br>| **Percent of** <br>**Total** <br>**Capital Stock**<br>|
| Teachers Insurance and Annuity Association of <br>America<br>| 730 Third Avenue, New York, NY, 10017 | 7190 | 11.22% |
| Citibank, N.A. | 388 Greenwich Street, New York, NY, 10013 | 6804 | 10.61 |
| MetLife, Inc.: |  |  |  |
| Metropolitan Life Insurance Company | 200 Park Avenue, New York, NY, 10166 | 6276 | 9.79 |
| Metropolitan Tower Life Insurance Company | One MetLife Way, Whippany, NJ, 07981 | 724 | 1.13 |
|  |  | 7000 | 10.92 |
| Flagstar Bank, National Association | 102 Duffy Avenue, Hicksville, NY, 11801 | 4290 | 6.69 |
| Morgan Stanley Private Bank, National <br>Association<br>| 2000 Westchester Avenue, Purchase, NY,10577 | 3650 | 5.69 |
| Equitable Financial Life Insurance Co. | 1290 Avenue of the Americas, New York, NY, 10104 | 3227 | 5.03 |
| Manufacturers and Traders Trust Company | One M & T Plaza, Buffalo, NY, 14203 | 3223 | 5.03 |
|  |  | 35385 | 55.19% |

---

**Federal Home Loan Bank of New York**

**Notes to Financial Statements**

---

| | | | |
|:---|:---|:---|:---|
| **Name of Beneficial Owner** | **December 31, 2025 Principal Executive Office Address** | **Number** <br>**of Shares** <br>**Owned**<br>| **Percent of** <br>**Total** <br>**Capital Stock**<br>|
| MetLife, Inc.: |  |  |  |
| Metropolitan Life Insurance Company | 200 Park Avenue, New York, NY, 10166 | 6276 | 11.58% |
| Metropolitan Tower Life Insurance Company | One MetLife Way, Whippany, NJ, 07981 | 724 | 1.34 |
|  |  | 7000 | 12.92 |
| Flagstar Bank, National Association | 102 Duffy Avenue, Hicksville, NY, 11801 | 4969 | 9.17 |
| Citibank, N.A. | 388 Greenwich Street, New York, NY, 10013 | 4556 | 8.41 |
| Teachers Ins. & Annuity Assoc of America | 730 Third Avenue, New York, NY, 10017 | 3753 | 6.93 |
| Equitable Financial Life Insurance Co. | 1290 Avenue of the Americas, New York, NY, 10104 | 3227 | 5.96 |
| Goldman Sachs Bank USA | 200 West Street, New York, NY, 10282 | 2975 | 5.49 |
|  |  | 26480 | 48.88% |

---

**Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure.**

None.

**Item 9A. Controls and Procedures.**

(a)Evaluation of Disclosure Controls and Procedures: An evaluation of the Bank's disclosure controls and procedures (as

defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934, as amended (the "Act")) was carried

out under the supervision, and with the participation, of the Bank's President and Chief Executive Officer Randolph C.

Snook, and Senior Vice President and Chief Financial Officer Kevin M. Neylan. Based on this evaluation, they collectively

concluded that, as of December 31, 2025, the Bank's disclosure controls and procedures were effective at a reasonable level

of assurance in ensuring that the information required to be disclosed by the Bank in the reports it files or submits under the

Act is (i) accumulated and communicated to the Bank's management (including the President and Chief Executive Officer

and Senior Vice President and Chief Financial Officer) in a timely manner, and (ii) recorded, processed, summarized and

reported within the time periods specified in the Securities and Exchange Commission's rules and forms.

(b)Changes in Internal Control Over Financial Reporting: There were no changes in the Bank's internal control over financial

reporting (as defined in Rules 13a-15(f) and 15d-15(f) under the Act) during the Bank's fourth quarter that have materially

affected, or are reasonably likely to materially affect, the Bank's internal control over financial reporting.

Management's Report on Internal Control over Financial Reporting and the Report of Independent Registered Public Accounting Firm

thereon are set forth in Part II, <u>[Item 8](#i254f72b682ef4373a7f693751d2cd78f_115)</u> of the Annual Report on this Form 10-K and incorporated herein by reference.

**Item 9B. Other Information.**

None.

**Item 9C. Disclosure Regarding Foreign Jurisdictions that Prevent Inspections.**

Not applicable.

**PART III.**

**Item 10. Directors, Executive Officers and Corporate Governance.**

**2025 and 2026 Board of Directors**

*In General*

The Board of Directors ("Board") of the Federal Home Loan Bank of New York ("Bank") is composed of Member Directors and

nonmember Independent Directors. Each year, the Federal Housing Finance Agency ("Finance Agency" or "FHFA"), as required

under the Federal Home Loan Bank Act, designates the total number of director positions for the Bank for the following year. Until

2026, Member Director positions were allocated on a *pro rata* based on the number of shares of capital stock required to be held by

the members in each of the two states (New York and New Jersey) and Puerto Rico and U.S. Virgin Islands as of December 31st of

the preceding calendar year (the 'record date'), with at least one Member Director position allocated to Puerto Rico and U.S. Virgin

Islands, and at least four Member Director positions allocated to New Jersey and to New York. Of the Member Director positions

designated by the Finance Agency for 2025, one was allocated to Puerto Rico and U.S. Virgin Islands, four were allocated to New

Jersey, and six were allocated to New York. By July 2025 FHFA order ("FHFA Board Order") the same number (one seat) of Member

Director positions were allocated to Puerto Rico and U.S. Virgin Islands; however, two Member Director positions were eliminated in

New York leaving New York with four Member Director seats in 2026. By law, the Independent Director positions on the Board must

be at least two-fifths of the number of Member Director positions. The Finance Agency designated eight Independent Director

positions for 2025. As a result of the FHFA Board Order, the Finance Agency designated six Independent Director positions for 2026.

All individuals serving as Bank Directors must be United States citizens.

*Member Directorships* 

A Member Directorship may be held only by an officer or director of a member institution that is located within our district and that

meets all minimum regulatory capital requirements. There are no other qualification requirements for Member Directors apart from the

foregoing.

Member Directors are elected by our stockholders in, respectively, New York, New Jersey, Puerto Rico and the U.S. Virgin Islands.

Our Board of Directors is ordinarily not permitted to nominate or elect Member Directors; however, the Board may appoint a director

to fill a vacant Member Directorship in the event that no nominations are received from members in the course of the Member

Director election process. In the event that only one nomination is received from members for an open Member Directorship, that

nominee will automatically be declared elected by the Bank. (The Board may also take action to fill Member Directorship vacancies

that arise for other reasons.) Each member institution that is required to hold stock as of the record date, which is December 31 of the

year prior to the year in which the election is held, may nominate and/or vote for representatives from member institutions in its

respective state to fill open Member Directorships. The Finance Agency's election regulation provides that none of our directors,

officers, employees, attorneys or agents, other than in a personal capacity, may support the nomination or election of a particular

individual for a Member Directorship.

Because of the process described above pertaining to how Member Directors are nominated and elected, we do not know what

particular factors our member institutions may consider in nominating particular candidates for Member Directorships or in voting to

elect Member Directors. However, if the Board takes action to fill a vacant Member Directorship, we can know what was considered

in electing such Director. In general, such considerations may include satisfaction of the regulatory qualification requirements for the

Directorship, the nature of the person's experience in the financial industry and at a member institution, knowledge of the person by

various members of the Board, and previous service on the Board, if any.

*Independent Directorships*

In contrast to the requirements pertaining to Member Directorships, an Independent Directorship may, per FHFA regulations, be held

only by an individual who is a bona fide resident of our district, who is not a director, officer, or employee of a member institution or

of any person that receives advances from us, and who is not an officer of any FHLBank. At least two of the Independent Directors

must be "Public Interest" Independent Directors. Public Interest Independent Directors, as defined by Finance Agency regulations, are

Independent Directors who have at least four years of experience representing consumer or community interests in banking services,

credit needs, housing or consumer financial protection. Pursuant to Finance Agency regulations, each Independent Director must

either satisfy the aforementioned requirements to be a Public Interest Independent Director, or have knowledge or experience in one or

more of the following areas: auditing and accounting, derivatives, financial management, organizational management, project

development, risk management practices, and the law.

Any individual meeting the basic qualifications may submit an Independent Director application form and request to be considered by

us for inclusion on the Independent Director nominee slate. Our Board of Directors is then required by Finance Agency regulations to

consult with our Affordable Housing Advisory Council ("Advisory Council") in establishing the nominee slate. (The Advisory

Council is an advisory body consisting of fifteen persons residing in our district appointed by our Board, the members of which are

drawn from community and not-for-profit organizations that are actively involved in providing or promoting low and moderate

income housing or community lending. The Advisory Council provides advice on ways in which we can better carry out our housing

finance and community lending mission.) After the nominee slate is approved by the Board, the slate is then presented to our

membership for a district-wide vote. The election regulation permits our directors, officers, attorneys, employees, agents, and

Advisory Council to support the candidacy of the board of director's nominees for Independent Directorships. (As is the case with

Member Directorships, the Board may also take action to fill a vacancy of an Independent Directorship.)

*Voting*

Voting rights and processes with regard to the election of Member and Independent Directors are set forth in the FHLBank Act and

FHFA regulations. For the election of both Member Directors and Independent Directors, each eligible member institution is entitled

to cast one vote for each share of capital stock that it was required to hold as of the record date (which is December 31st). However,

the number of votes that each institution may cast for each Directorship cannot exceed the average number of shares of capital stock

that were required to be held by all member institutions located in the voting member's state on the record date. The Board does not

solicit proxies, nor are member institutions permitted to solicit or use proxies in order to cast their votes in an election.

*Information Table* 

The following table sets forth information regarding each of the directors who served on our Board during the period from January 1,

2025 through the date of this annual report on Form 10-K. Footnotes are used to specifically identify: (i) one incumbent Independent

Director (Ms. Thomas) whose term was set to expire at the end of 2025 and who was re-elected by the Bank's districtwide

membership to serve again on the Board commencing on January 1, 2026; (ii) one incumbent Puerto Rico and U.S. Virgin Islands

Member Director (Mr. Fernández) whose term was set to expire at the end of 2025 and who was re-elected to serve again on the Board

commencing on January 1, 2026; (iii) one New Jersey Member Director (Mr. Hanrahan) who was elected to serve on the Board

commencing on January 1, 2026; (iv) one incumbent New York Member Director (Mr. Turner) whose term was set to expire at the

end of 2025 but whose seat was eliminated by the FHFA Board Order effective December 31, 2025; (v) one incumbent New York

Member Director (Mr. Nasca) whose term was set to expire at the end of 2026 but whose seat was eliminated by the FHFA Board

Order effective December 31, 2025; (vi) one incumbent Independent Director (Ms. Reid) whose term was set to expire at the end of

2028 but whose seat was eliminated as a result of the FHFA Board Order effective December 31, 2025; and (vii) two Independent

Directors (Mr. Kilbourne and Ms. Maloney) who served as Public Interest Independent Directors.

Following the table is biographical information for each Director.

No Director has any family relationship with any other FHLBNY Directors or executive officers. In addition, no Director or executive

officer has an involvement in any legal proceeding required to be disclosed pursuant to Item 401(f) of Regulation S-K.

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Director Name** | **Age as of** <br>**3/20/2026**<br>| **Bank** <br>**Director** <br>**Since**<br>| **Start of** <br>**Most** <br>**Recent** <br>**Term**<br>| **Expiration** <br>**of Most** <br>**Recent** <br>**Term**<br>| **Represents** <br>**Bank** <br>**Members** <br>**in**<br>| **Director Type** |
| Christopher P. Martin (2026 Chair) | 69 | 1/2015 | 1/1/23 | 12/31/26 | NJ | Member |
| Stephen S. Romaine (2026 Vice Chair) | 61 | 1/2019 | 1/1/25 | 12/31/28 | NY | Member |
| Larry E. Thomson (2025 Chair) | 75 | 1/2014 | 1/1/22 | 12/31/25 | Districtwide | Independent |
| David J. Nasca (2025 Vice Chair) <sup>(a)</sup> | 68 | 1/2015 | 1/1/23 | 12/31/26 | NY | Member |
| Melba I. Acosta | 59 | 1/2023 | 1/1/23 | 12/31/26 | Districtwide | Independent |
| Jose R. Fernández<sup>(b)</sup> | 63 | 7/2024 | 1/1/26 | 12/31/29 | PR & USVI | Member |
| Robert M. Fisher | 58 | 1/2024 | 1/1/24 | 12/31/27 | NY | Member |
| David J. Hanrahan <sup>(c)</sup> | 56 | 1/2026 | 1/1/26 | 12/31/29 | NJ | Member |
| David R. Huber | 62 | 1/2019 | 1/1/23 | 12/31/26 | Districtwide | Independent |
| Thomas J. Kemly | 68 | 1/2021 | 1/1/25 | 12/31/28 | NJ | Member |
| Charles E. Kilbourne | 53 | 1/2019 | 1/1/25 | 12/31/28 | Districtwide | Independent\* |
| Steven M. Klein | 60 | 7/2024 | 1/1/25 | 12/31/28 | NY | Member |
| Carolyn B. Maloney | 80 | 1/2024 | 1/1/24 | 12/31/27 | Districtwide | Independent\* |
| Gerald L. Reeves | 71 | 1/2022 | 1/1/22 | 12/31/25 | NJ | Member |
| Ghillaine A. Reid<sup>(d)</sup> | 56 | 1/2025 | 1/1/25 | 12/31/28 | NY | Independent |
| Ira Robbins | 51 | 1/2023 | 1/1/23 | 12/31/26 | NJ | Member |
| Josie J. Thomas <sup>(e)</sup> | 67 | 1/2022 | 1/1/26 | 12/31/29 | Districtwide | Independent |
| Anders M. Tomson | 59 | 1/2024 | 1/1/24 | 12/31/27 | NY | Member |
| William J. Turner, Jr.<sup>(f)</sup> | 46 | 7/2024 | 7/9/24 | 12/31/25 | NY | Member |
| Ángela Weyne | 82 | 9/2017 | 1/1/24 | 12/31/27 | Districtwide | Independent |

---

*(a)Director Nasca's term as a Member Director was set to expire on December 31, 2026; however, his Director seat was eliminated* 

*by the FHFA Board Order effective December 31, 2025.*

*(b)The Bank announced on November 19, 2025 that Director Fernández was re-elected by the Bank's Puerto Rico and U.S. Virgin* 

*Islands membership to serve as a Puerto Rico and U.S. Virgin Islands Member Director for a four-year term commencing on* 

*January 1, 2026.* 

*(c)The Bank announced on November 19, 2025 that Director Hanrahan was elected by the Bank's New Jersey membership to serve* 

*as a New Jersey Member Director for a four-year term commencing on January 1, 2026.*

*(d)Director Reid's term as an Independent Director was set to expire on December 31, 2028; however, her Director seat was* 

*eliminated as a result of the FHFA Board Order effective December 31, 2025.* 

*(e)The Bank announced on November 19, 2025 that Director Thomas was re-elected by the Bank's districtwide membership to serve* 

*as an Independent Director for a four-year term commencing on January 1, 2026.*

*(f)Director Turner's initial term as a Member Director was set to expire on December 31, 2025; however, his Director seat was* 

*eliminated by the FHFA Board Order effective December 31, 2025.*

\**These Independent Directors (Kilbourne and Maloney) have served as Public Interest Independent Directors throughout the entire course* 

*of their service covered by this table.*

**Mr. Martin** *(Chair as of January 1, 2026)* is, as of January 1, 2022, Executive Chairman of Provident Financial Services, Inc. and of

its subsidiary and FHLBNY member Provident Bank, New Jersey's oldest state-chartered bank. He was first elected as Chairman in

2010, served as Chief Executive Officer from 2009 until December 31, 2021, and served as President from 2004 through mid-2020.

He has been in the banking industry for over 40 years. Mr. Martin previously served as president and chief executive officer of First

Sentinel Bancorp, Inc., which was acquired by Provident Financial Services, Inc. in July 2004. Prior to his banking career, Mr. Martin

worked for Johnson & Johnson in inventory control and as a financial analyst. Mr. Martin previously served on the board of directors

of the New Jersey Bankers Association. In addition, he served on the Federal Reserve Community Depository Institutions Advisory

Council. He was a member of the Government Relations Council of the American Bankers Association. He also dedicates much of his

spare time helping to improve the community. Mr. Martin is a vice president of The 200 Club of Middlesex County, which provides

financial assistance and scholarships to families of law enforcement, fire and public safety officials. He serves as Vice Chairman of the

board of trustees and the executive, advancement and investment committees of Elon University. Mr. Martin volunteers at local food

pantries and Habitat for Humanity build sites. He also spends time teaching financial literacy to high school students at inner city

schools. Mr. Martin is president of The Provident Bank Foundation, which, since its founding in 2003, has provided more than $32

million in grants for programs focusing on community enrichment, education, and health, youth and families in New Jersey and

Pennsylvania. Mr. Martin has been honored for his philanthropic endeavors as a recipient of the New Jersey State Governor's

Jefferson Awards for Public Service, has been honored by the National MS Society, the American Jewish Committee, The Scholarship

Fund for Inner-City Children, Habitat for Humanity, Boys and Girls Club of America, and Project Live. Mr. Martin received a

bachelor's degree in accounting and business from Elon University and holds an MBA from Monmouth University.

**Mr. Romaine** *(Vice Chair since January 1, 2026)* currently serves as Chair and Chief Executive Officer of FHLBNY member

Tompkins Community Bank ("TCB") and has served as Director, President and Chief Executive Officer of TCB's holding company,

Tompkins Financial Corporation ("TFC"), since January 2007. TCB retained the charter of member Tompkins Trust Company

("TTC") and consolidated former members Tompkins Mahopac Bank ("TMB") and Tompkins Bank of Castile ("TBOC") in January

2022, each of what was wholly owned by TFC. At that time, he assumed the role of Chief Executive Officer of TCB and remained a

Director, later becoming Chair of TCB in April 2024. He also served as a Director of TMB from January 2003 and TTC and TBOC

from January 2007, until their consolidation. He also chaired TTC from May 2014 until December 2021. Mr. Romaine currently

serves on the Board of the New York Bankers Association, and served as its Chairman from March 2016 through March 2017. His

current civic involvement includes service as a member of the Board of Directors of the Legacy Foundation of Tompkins County, with

recent involvement on the boards of local Ithaca, NY educational and historical institutions.

**Mr. Thompson** (*Chair through December 31, 2025*) was Vice Chairman of The Depository Trust & Clearing Corporation (DTCC)

through the end of 2018, and previously served as the Chief Legal Officer/General Counsel of the firm since 2005. He has more than

30 years of experience as a senior executive in corporate law, risk management and regulatory affairs. In his role as DTCC Vice

Chairman, Mr. Thompson served as a senior advisor to DTCC and was responsible for all legal and regulatory activities of the

company and its subsidiaries. He regularly interfaced with government and regulatory agencies on issues impacting the company. Mr.

Thompson was Chairman of the Board of DTCC Deriv/SERV LLC and former Chairman of the DTCC Operating Committee. He was

a member of the DTCC Management Committee, which is comprised of the company's executive leadership. In addition, Mr.

Thompson was a member of the DTCC Management Risk Committee, where he helped oversee and assess a broad range of issues

related to market, capital and operational risks facing the corporation. Mr. Thompson previously served as Chair of a DTCC Board

subcommittee charged with reviewing the potential risk impacts of high frequency trading and algorithmic trading as a result of the

Knight Capital market event of 2012. Mr. Thompson is the former Co-Chair of the DTCC Internal Risk Management Committee and

former Chairman of The Depository Trust Company (DTC) Internal Risk Management Committee. Mr. Thompson began his legal

career with DTC as Associate Counsel in 1981 and was elected Vice President and Deputy General Counsel in 1991, Senior Vice

President in 1993, General Counsel of DTC in 1999 and Managing Director and First Deputy General Counsel of DTCC in 2004.

Previously, he was a partner in the New York law firm of Lake, Bogan, Lenoir, Jones & Thompson. Mr. Thompson began his legal

career at Davis Polk & Wardwell. Mr. Thompson previously served on the Board of Directors of New York Portfolio Clearing

(NYPC), a former joint venture derivatives clearinghouse owned by NYSE Euronext and DTCC. He also previously served on the

Board of Directors of LedgerX LLC, a digital currency futures and options exchange and clearinghouse. He is currently on the Board

of Directors of Precision Aerospace Group, LLC. a digital currency futures and options exchange and clearinghouse He also serves on

the Board of Professional Advisors of the firm Risk Toolbox, Inc. In addition, he also served as former Chairman of the Securities

Clearing Group and former Co-Chairman of the Unified Clearing Group. His memberships include the New York State Bar

Association; the New York County Lawyers' Association; Association of the Bar of the City of New York; Business Executives for

National Security; and the Global Association of Risk Professionals. He is a former director of the Legal Aid Society of New York

and a former director of The Studio Museum of Harlem. Mr. Thompson received his B.A. from Yale University and his J.D. from the

University of California at Berkeley. Mr. Thompson's legal and regulatory and risk management experience, as indicated by his

background described above, supported his qualifications to serve on our Board as an Independent Director. Mr. Thompson was a

member of the FHLBNY's Board of Directors from January 2014 through December 31, 2025.

**Mr. Nasca** (*Vice Chair through December 31, 2025*), from December 2006 through May 2, 2025, served as President and Chief

Executive Officer and Director of Evans Bancorp, Inc. and FHLBNY member Evans Bank, N.A., a $2.2 billion nationally chartered

community focused commercial bank. On May 2, 2025 Evans Bancorp, Inc. and Evans Bank, N.A. were acquired by FHLBNY

member NBT Bancorp and NBT Bank, N.A. respectively at which time Mr. Nasca joined the NBT Bancorp Board of Directors. Prior

to joining Evans, Mr. Nasca spent 11 years at First Niagara Financial Group with increasing executive responsibilities including;

Senior Vice President and Treasurer; President and CEO of its commercial banking subsidiary, Cayuga Bank, shortly after it was

acquired by First Niagara, as well as Regional President in Central New York; and Executive Vice President of Strategic Initiatives,

where he was integrally involved in the development of strategic plans, implementation of First Niagara's merger and acquisition

efforts, and management of its enterprise-wide risk management program. In addition, Mr. Nasca's experience includes executive

positions with Chemical Bank, Goldome FSB, and Goldome Realty Corp. He earned his MBA in Finance from the State University of

New York at Buffalo and a BS in Management/Marketing from Canisius College. He is also involved in his community serving as a

board member of the Canisius College Business Advisory Council of its Richard J. Wehle School of Business, Univera Healthcare, the

Buffalo Urban Development Corporation, Launch NY, a not for profit venture opportunity fund and CDFI, and Chairman of the Board

of Brothers of Mercy, Inc., a Continuing Care Community. Mr. Nasca was a member of the FHLBNY's Board of Directors from

January 2015 through December 31, 2025.

**Ms. Acosta** has served, since 2017, as Counsel at McConnell Valdés, LLC, specializing in corporate law, banking and financial

institutions, commercial financing, mergers and acquisitions, reorganizations, governance, and public financing. She regularly advises

national and local banks, broker-dealers, private equity funds, and other financial entities on complex corporate transactions and

regulatory matters. Ms. Acosta's public service experience includes serving as President of the Government Development Bank for

Puerto Rico (GDB) and as Secretary of the Department of the Treasury and Chief Public Finance Officer for the Commonwealth of

Puerto Rico from 2013 to 2016. During her tenure, she led efforts to restructure approximately $68 billion in public debt and provided

testimony to Congress to support the passage of PROMESA, a federal law enabling Puerto Rico's debt restructuring. She also chaired

several boards and committees, including the GDB and its subsidiaries and the Economic Development Bank. From 2001 to 2004, Ms.

Acosta served as Director of the Office of Management and Budget and as the Commonwealth's Chief Information Officer (CIO),

spearheading Puerto Rico's first e-government transactions. She also served as the Government Authorized Representative before

FEMA. Earlier in her career, she was Chief of Staff to the Mayor of San Juan, overseeing the city's finances, public works, housing,

social services, and economic development. Ms. Acosta, a certified public accountant, attorney, and notary public, has held executive

positions in banking, finance, and operations, including roles as Executive Vice President, Chief Financial Officer, Chief

Administrative Officer, and Corporate Risk Manager at a financial holding company encompassing commercial banking, mortgage,

insurance, and investment entities. She managed banking and securities regulatory matters, including privacy, information security,

regulatory examinations, anti-money laundering, asset quality, and financial restatements. She also served on ALCO, Investment, Risk

Management, and Executive Committees. She began her career as a tax consultant with Price Waterhouse. Beyond her professional

roles, Ms. Acosta has been actively involved in nonprofit and cultural organizations. She has been a member of the Board of Trustees

of the Museum of Art of Puerto Rico for over 15 years, serving as Chair and currently as Treasurer. She is also a member of the Board

of Directors of Fundación Luis Muñoz Marín, Centros Sor Isolina Ferre and Hospital La Concepción and a former board member of

United Way Puerto Rico, where she chaired the Audit Committee. Additionally, she is an Academic Numerary of the Academia

Puertorriqueña de Jurisprudencia y Legislación de Puerto Rico. Ms. Acosta holds a Bachelor of Business Administration with an

accounting major and a Juris Doctor, both magna cum laude, from the University of Puerto Rico, Río Piedras. She also earned a

Master of Business Administration from Harvard Business School. Her experience in law, as well as in auditing and accounting,

financial management, organizational management, project management, and risk management, as indicated by her background

described above, support her qualifications to serve on our Board as an Independent Director.

**Mr. Fernández** is President, Chief Executive Officer and Chairman of the Board of Directors of OFG Bancorp (OFG) and its primary

subsidiary, FHLBNY member Oriental Bank (Oriental). He also is Chairman of the Board of Directors of OFG's other major

subsidiaries – Oriental Financial Services and Oriental Insurance. From 1991, when he joined Oriental, until 2004, when he was

named President and CEO, Mr. Fernández managed all of the company's core businesses. (He became OFG's Vice Chairman in 2008

and Chairman in 2024.) Since leading OFG, Mr. Fernández has significantly expanded Oriental's stature and capabilities through

organic growth and three major acquisitions: Puerto Rico's Eurobank in 2010, BBVA's Puerto Rico operations in 2013, and

Scotiabank's Puerto Rico and US Virgin Islands operations in 2019. Starting as the 9th largest bank in 2004, Oriental has become the

challenger institution among the three remaining Puerto Rico banking institutions, with No. 2 and 3 market shares in retail and

commercial banking, and wealth management, respectively. In so doing, Oriental has led the local banking and financial services

industry with the introduction of innovative customer-facing digital technology, providing unparalleled levels of convenience and

value-added service. Mr. Fernández also devotes considerable time and effort to organizations focused on the economic,

environmental and educational development of Puerto Rico. From 2015-2018, he was Chairman of the Board of Trustees of

Universidad del Sagrado Corazón, one of the oldest Catholic educational institutions in Puerto Rico. From 2011-2016, Mr. Fernández

served as a member of the Federal Reserve Bank of New York's Community Depository Institutions Advisory Council. From

2013-2015, he was President of the Puerto Rico Bankers Association. Since 2008, Mr. Fernández has been a member of the Business

Advisory Board of the University of Notre Dame's Mendoza School of Business, and a Member of the Advisory Board of Puerto Rico

Conservation Trust. In October 2020, Mr. Fernández was named a NACD Board Leadership Fellow. In November 2023, Mr.

Fernandez was recognized by the American Banker magazine as the "Community Banker of the Year". Mr. Fernández holds a

Bachelor of Science degree from the University of Notre Dame in South Bend, Indiana and a Master of Business Administration from

the University of Michigan in Ann Arbor, Michigan.

**Mr. Fisher** is Chairman, President and Chief Executive Officer of Tioga State Bank, N.A., an FHLBNY member, and its holding

company, TSB Services, Inc. A fifth-generation community banker, Mr. Fisher began working at Tioga State Bank during the

summers of high school and college. He has worked in the bank full time in various positions since 1992, after returning from service

in the United States Air Force as a navigator, and became President and CEO in 2003. In addition to his work at the bank, Mr. Fisher

has committed himself to advocacy on behalf of the community banking industry as an engine of local prosperity. He previously

served as chairman of the Independent Community Bankers of America (ICBA) in 2021 and 2022 and continues to serve the

organization in numerous leadership roles. He is a member of their Board of Directors, and Federal Delegate Board. He serves on a

number of other committees, including the Nominating, Policy Development, ThinkTECH Selection, and FHLB Taskforce

committees. Mr. Fisher testified before Congress on behalf of ICBA on three occasions between 2017 and 2021 on issues of

importance to the industry, including regulatory relief and the Paycheck Protection Program. As a member of ICBA's FHLB Task

Force, Mr. Fisher was active in developing and articulating the group's policy toward the Federal Home Loan Banks. In addition to

ICBA, Mr. Fisher has been active at the state level as a current board member and past chairman of the Independent Bankers

Association of New York State. He has served on the New York Bankers Association Board of Directors and chaired committees,

including the Retail and Small Business Committee and New York Bankers Service Corporation. Mr. Fisher also served on the New

York State Banking Board from 2007 to 2011. In addition to his banking affiliations, Fisher was a recent chairman of the Lourdes

Ascension Hospital in Binghamton, NY, and is a current board member of The Guthrie Clinic in Sayre, PA. He sits on the board and

audit committee of Pursuit, formerly known as the New York Business Development Corporation. Mr. Fisher also founded and serves

as President of the TSB Foundation, a charitable foundation dedicated to supporting organizations that improve quality of life in the

communities of the Southern Tier of New York and northern Pennsylvania. Mr. Fisher holds a BS in Finance from the University of

Notre Dame and is a graduate of the Stonier Graduate School of Banking.

**Mr. Hanrahan** is President and CEO of FHLBNY member Century Savings Bank, a mutual institution headquartered in Vineland,

New Jersey. He has been a community banker in South Jersey for more than 35 years. Prior to joining Century in 2020, Mr.

Hanrahan was the founding President and CEO of Capital Bank of New Jersey from its 2006 beginning as a de novo in organization to

its sale to OceanFirst Bank in 2019. Prior to Capital, he spent 16 years at The Bank of Gloucester County, now part of Fulton

Financial Corporation. Mr. Hanrahan is Vice-Chairman of the ABA Foundation Board, and he serves on the Boards of Directors of

two New Jersey Bankers Association-affiliated organizations, Bankers Cooperative Group, Inc. and NJBankers Business Services. He

is also a member of the Federal Reserve Bank of Philadelphia's CDIAC. In the past he has served as a member of the FDIC's

Advisory Committee on Community Banking, the FDIC's Subcommittee on Supervision Modernization, the Board of Atlantic

Community Bankers Bank, the Rutgers University School of Business - Camden Dean's Leadership Council, and the ABA

Community Bankers Council. Mr. Hanrahan is past Board President of the Cumberland County Habitat for Humanity and past

Chairman of the ABA Community and Economic Development Committee. He is a member of the Vineland Rotary Club, of The CEO

Group and of Tenth Presbyterian Church in Philadelphia. Mr. Hanrahan holds a B.S. in Accounting from Rutgers University School

of Business - Camden. He is also a graduate of the American Bankers Association's (ABA's) Stonier Graduate School of Banking.

Mr. Hanrahan has been a speaker at numerous professional events, including those hosted by the FDIC, the Federal Reserve Bank of

St. Louis, the Conference of State Bank Supervisors, Rutgers University, and Habitat for Humanity International.

**Mr. Huber** is the President of Huber Advisory Services, which provides consulting and executive coaching services to clients in the

healthcare and insurance industries. He served through the end of 2018 as Senior Vice President and Chief Financial Officer of

Horizon Blue Cross Blue Shield of New Jersey (Horizon), which is New Jersey's largest health insurer. He had been with Horizon

since 2002 and served as Vice President of Finance before being promoted to CFO in 2012. Mr. Huber was formerly an audit partner

in Arthur Andersen's Financial Services practice in Metro New York, where he served clients in the insurance and banking industries.

Mr. Huber has a Bachelor's degree in Accounting from Lehigh University and is a CPA. Mr. Huber serves on the Board of Trustees of

the New Jersey Symphony Orchestra. He served on the board of the New Jersey Economic Development Authority and was Chair of

the Loan Committee and the Audit Committee. Mr. Huber's auditing and accounting and financial management experience support his

qualifications to serve on our Board as an Independent Director.

**Mr. Kemly** was appointed President and Chief Executive Officer of FHLBNY member Columbia Bank, effective December 31, 2011.

Prior to his appointment, he held various positions at the bank including Controller, Senior Vice President, Chief Financial Officer,

Senior Executive Vice President, Chief Administrative Officer and Senior Executive Vice President, Chief Operating Officer. Mr.

Kemly joined Columbia Bank's Board of Directors in 2006 and the Columbia Bank Foundation's ("Foundation") Board of Directors

upon inception in 2004; he was named Chairman of the Foundation in 2012. Mr. Kemly has also served since 2006 as a director, and

since 2012 as the president, of Columbia Financial, Inc., Columbia Bank's mid-tier stock holding company. Columbia Financial, Inc.

is in turn a majority-owned subsidiary of Columbia Bank MHC; Mr. Kemly has served as a director of this entity since 2006. With

over 40 years of experience, Mr. Kemly has served as an active member of the banking industry. He has held several leadership

positions including Chairman and Board Member of the New Jersey Bankers Association, President of Northern New Jersey

Community Bankers, Board Member for the Commerce and Industry Association of New Jersey, Board Member of the Bankers

Cooperative Group, Board Member of the New Jersey Bankers Charitable Foundation, President of the Financial Managers Society

for the New York and New Jersey Chapter, and was a member of the OCC Mutual Savings Association Advisory Committee. As an

active member of the local community, Mr. Kemly has expanded Columbia Bank's volunteering initiative "Team Columbia", which

encourages employees to volunteer their time and give back to those in need. In conjunction with Columbia Bank's IPO in 2018, he

grew the Columbia Bank Foundation to one of the largest private giving Foundations in the state of New Jersey. Mr. Kemly has been

formally recognized for his continued support by organizations including New Bridge Services, the Boys and Girls Club of Paterson,

and the Passaic Community College Foundation. He previously served on the Board of Directors for New Bridge Services. Mr. Kemly

holds Bachelor's degrees in Business Administration and Psychology from Trenton State College and an MBA in Finance from

Fordham University.

**Mr. Kilbourne** is a Managing Director of the Financial Services Volunteer Corps (FSVC), a not-for-profit, private-public partnership

that helps to build sound financial systems in transition and emerging market countries. As a member of FSVC's executive

management team, he has extensive experience working to strengthen central banking capabilities, and to develop commercial banking

systems and securities markets. Mr. Kilbourne is an officer of FSVC serving as Secretary of the Corporation. Mr. Kilbourne

previously served in various positions in New York State Government focused on affordable housing and urban policy, and later as

Vice President of the Financial Services Forum, a public-policy organization composed of CEOs from the largest, most diversified

financial services institutions based in the United States. Mr. Kilbourne is a Trustee of the Wright Family Foundation in Schenectady,

New York, and serves on the Board of Directors of the Boys and Girls Clubs of Schenectady. He is the President of the Board of

Directors of Better Community Neighborhoods, Inc. based in Schenectady. He is a member of the Council on Foreign Relations. Mr.

Kilbourne holds a Bachelor's degree in Political Science from Tufts University, and a Master's degree in International Affairs from

Georgetown University. Mr. Kilbourne's project development and financial management experience, as indicated by his background

described above, supports his qualifications to serve on our Board as an Independent Director and a public interest director.

**Mr. Klein** has served as President & CEO since 2017, and Chairman, President & CEO since 2021, of FHLBNY member Northfield

Bank (Northfield), whose home office is in Staten Island, New York. Mr. Klein is responsible for leading strategic planning and

execution related to lending, deposit gathering, technology deployment, risk management, customer and employee experience, and

branding. He is a member of the New York Bankers Association, and previous member of the ABA Government Relations Council

and ABA Community Bankers Council. Mr. Klein also is a board member of the New Jersey Bankers Association and past Chair. He

is the President and a Trustee of the Northfield Bank Foundation, whose mission is to promote charitable purposes within the

communities Northfield operates, focusing its efforts on projects to support education, health and human services, youth programs,

and affordable housing. Mr. Klein also serves as a Director and Executive Committee member of the Staten Island Economic

Development Corporation, a Director of the Brooklyn Chamber of Commerce, and a Trustee, Executive Committee Member and

Audit Chair of the Richmond University Medical Center. He is a Certified Public Accountant, and a member of the AICPA. Mr. Klein

earned a Bachelor of Science degree in Business Administration from Montclair State University.

**Ms. Maloney** served for over three decades as a member of the U.S. House of Representatives (1993-2023). During that time, she rose

to become a nationally recognized leader in the fields of financial services, national security, the economy, and women's issues. Ms.

Maloney was the first woman to Chair the powerful House Committee on Oversight and Reform and previously was the first woman

to chair the Joint Economic Committee. She was a senior member of the House Financial Services Committee and chaired the

Subcommittee on Financial Institutions and Consumer Credit (110th Congress). She was also the Ranking Member (the title given to

the highest-ranking Democrat when Republicans control Congress) of the Subcommittee on Financial Institutions and Consumer

Credit (112th Congress), the Subcommittee on Capital Markets, Securities and Investment (115th Congress), the Subcommittee on

Capital Markets and Government Sponsored Enterprises (113th and 114th Congresses), and the Subcommittee on Domestic Monetary

Policy, Technology, and Economic Growth (107th, 108th and 109th Congresses). She served on the conference committee for the

historic Dodd-Frank financial reforms, where she led the effort to pass numerous amendments. Throughout her time in Congress, Ms.

Maloney served on the Subcommittee on Housing, Community Development and Insurance. She authored and passed more than 81

measures, either as stand-alone bills or as measures incorporated into larger legislation packages, 14 of which were signed into law at

formal Presidential Signing Ceremonies that are generally reserved for the most significant bills. Her many legislative achievements

included landmark legislation such as (i) the James Zadroga 9/11 Health and Compensation Act (and reauthorizations thereof) that

ensured all those suffering health ailments resulting from the toxic chemicals released when the towers were destroyed by terrorists on

9/11 receive the medical care and compensation they need and deserve, (ii) the Postal Service Reform Act and (iii) the Credit CARD

Act, which has saved consumers roughly $10 billion a year. Ms. Maloney was the first woman to represent the Upper East Side on the

New York City Council (1983-1993), where she created and chaired the City Council Contracts Committee. She was a vigilant

watchdog examining the city budget for waste, fraud, and abuse, and she authored the law that created the city's widely hailed

VENDEX system that made city contracts more transparent. She wrote legislation for campaign finance reform and fought to establish

inclusive family leave policies. Ms. Maloney graduated from Greensboro College in 1968 and now holds four honorary doctorates.

Her work has received numerous awards and honors including the Chamber of Commerce Outstanding Service Award, the Business

and Professional Women's Club of New York State Outstanding Legislator Award and the Thought Leaders in Business Award. Ms.

Maloney is currently the Eleanor Roosevelt Distinguished Leader in Residence at Hunter College's Roosevelt House Public Policy

Institute and a Managing Director of the Metropolitan Opera and a member of the Board of Directors of several non-profit

organizations. She is a member of Women's Forum Inc., the Council on Foreign Relations, the Financial Women's Association, and

the National Association of Business and Professional Women. Ms. Maloney's substantial Congressional (including Committee and

Subcommittee) service over the years, as indicated by her background described above, supports her qualifications to serve on our

Board as an Independent Director and a public interest director.

**Mr. Reeves** currently serves as a Director of Sturdy Savings Bank, where he retired as President and CEO on January 9, 2023. Prior

to his appointment to the position of President and CEO in 2008, Mr. Reeves held various positions since joining Sturdy Savings Bank

in 1991, including Chief Operating Officer, Executive Vice President, Senior Loan Officer, Director of Commercial Lending and

Senior Vice President. He has worked in the banking industry for 42 years in Southern New Jersey. Prior to joining Sturdy Savings

Bank, Mr. Reeves was a regional vice president of Commercial Lending for Chemical Bank, NJ. He served the New Jersey Bankers

Association in many capacities including as a Committee Chairperson, a Member of the Board of Directors, a Member of the

Executive Committee, as well as serving two one-year terms as the Chairman of the Board. Mr. Reeves served one term as a member

of the CDIAC Committee of the Federal Reserve Bank of Philadelphia. His community service includes 27 years on the Board of

Education of the West Cape May Elementary School district, 42 years as a member of the Kiwanis Club of Cape May, 12 years as a

member of the Cape Regional Hospital Foundation Board and 25 years as a member of the Cape May County Fishing Loan Council.

He is a graduate of the University of Delaware, with a Bachelor's of Science Degree in Financial Management, and he earned an MBA

from Monmouth University. Mr. Reeves was a member of the FHLBNY's Board of Directors from January 2022 through December

31, 2025.

**Ms. Reid** has, since 2019, been a partner in Troutman Pepper Locke LLP's White Collar Group and, within that group, she co-chairs

the law firm's Securities Regulatory, Litigation & Investigations team. She focuses her practice on government and securities

regulatory investigations, financial services litigation, commercial litigation, and corporate compliance. Drawing on her experience in

government service and private practice, Ms. Reid regularly represents corporations and individuals in investigations conducted by the

Securities & Exchange Commission, the Department of Justice, the Financial Industry Regulatory Authority, and other government

and regulatory agencies. Ms. Reid has successfully defended several high-profile SEC investigations and enforcement proceedings

involving a wide range of significant issues, including insider trading, accounting fraud, market manipulation, and broker-dealer sales

practice violations. Prior to entering private practice, Ms. Reid was a branch chief and staff attorney in the New York Regional office

of the Securities & Exchange Commission's Division of Enforcement, where she investigated and litigated a wide range of securities

enforcement matters. Ms. Reid also represents clients in complex financial services and commercial litigation matters, in both federal

and state courts. She has achieved favorable outcomes in cases involving fraud, breach of contract, breach of fiduciary duty,

misrepresentation, and tortious interference. She has also successfully defended clients in large scale arbitration proceedings, both

through the Financial Industry Regulatory Authority and the American Arbitration Association. She received her B.A. (in 1992) and

J.D. (in 1995) degrees from Boston University. Ms. Reid was a member of the FHLBNY's Board of Directors from January through

December 31, 2025.

**Mr. Robbins** is the Chairman and Chief Executive Officer of Valley National Bank (NASDAQ: VLY). He joined Valley in 1996 as

part of the Bank's Management Associate Program and has grown alongside the company. From college student to thought leader, his

nearly 30-year career at Valley has seen him through several key positions, where his invaluable contributions have helped shape

Valley's growth and success. As CEO, Mr. Robbins has led Valley into the future while keeping true to the company's roots as a local

bank. In an ever-evolving digital and mobile world, Mr. Robbins and the rest of Valley's leadership team strive to create a client-

centric organization that delivers stronger and faster relationship-driven outcomes. His vision for success is building a purpose-driven

organization that embraces innovation, prioritizes clients, promotes social responsibility, and empowers Valley's associates. Mr.

Robbins earned his Bachelor of Science degree in Finance and Economics from Susquehanna University, his MBA in Finance from

Pace University, and is a graduate of Stonier Graduate School of Banking. He is a formerly licensed Certified Public Accountant in

New Jersey. Mr. Robbins serves on the board of the Federal Home Loan Bank of New York (FHLBNY), the Mid-Size Bank Coalition

(MBCA), and the New Jersey Bankers Association. He previously served on the board of the American Bankers Association and the

New York Bankers Association. He also serves on the board of the Jewish Vocational Service of MetroWest NJ (JVS). Mr. Robbins

takes great pride in community outreach and is an active supporter of several other philanthropic organizations in his community as

well.

**Ms. Thomas** was an Executive Vice President at CBS Corporation (later CBS) beginning in 2014 through February 2020 and served

on CBS's senior leadership team for more than 20 years. She was also an advisor to senior management at ViacomCBS Inc. prior to

her retirement in August 2020. Among other functions, Ms. Thomas managed budgets across functions and worked closely with

business units with a focus on efficiencies across the enterprise. Previously, Ms. Thomas served as head of Business Affairs for CBS

News where, as an attorney, she was the principal negotiator of content expansion and talent contracts. Ms. Thomas also transformed

the CBS News archives into a profit center. Ms. Thomas is a graduate of Harvard University with honors and received a J.D. degree

from the University of California, Berkeley, School of Law. Ms. Thomas has been a member of the New York State Bar since 1984

and began her legal career specializing in litigation and intellectual property law before joining CBS as Broadcast Counsel in 1986.

Her leadership at nonprofit organizations is wide ranging and included positions as Treasurer and National Board Executive

Committee member of the Alliance for Women in Media, with audit, risk assessment and governance responsibilities, where she

served on its Foundation board ending in 2024. She was Chair of the Grants, Education and Policy Committee of Komen NYC Race

for the Cure and Chair of the NAACP Spingarn Award committee in 2010 and again in 2018. She was also Board Chair of the

Institute for Advanced Journalism Studies at North Carolina A&T, and served on the Board of Visitors of Howard University's School

of Communications from 2005 to 2022. Ms. Thomas has received numerous awards and honors, including the Congressionally

recognized Ellis Island Medal of Honor, and was recognized by the Financial Times in 2021. Ms. Thomas' legal, regulatory and

organizational management experience supports her qualifications to serve on our Board as an Independent Director.

**Mr. Tomson** has been President and Chief Executive Officer of FHLBNY member Chemung Canal Trust Company (CCTC) and its

holding company Chemung Financial Corporation (CFC) since December, 2016. From July 2015 to December 2016, Mr. Tomson

held the title of President and Chief Operating Officer of the bank. From 2010 to November 2016, he also served in the role of

President of Capital Bank, and was instrumental in facilitating the 2011 merger and integration of Capital Bank by CCTC and its

market penetration into the Capital Region of the State. Mr. Tomson leads the CCTC Executive Management Team and is a Director

on the boards of CCTC and Chemung Financial Corporation, the bank's parent holding company. CCTC, headquartered in Elmira, is

New York State's oldest locally-owned and managed community bank. Founded in 1833, CCTC is a full-service financial institution,

with over 330 employees working from 30 offices in 14 New York counties and Bradford County, PA. CCTC also provides a full-

service Wealth Management division. CCTC is the wholly owned subsidiary of Chemung Financial Corporation, a publicly traded

corporation (Nasdaq: CHMG). CFC is also the parent of both CFS Group, Inc., a financial services subsidiary offering non-traditional

services including mutual funds, annuities, brokerage services, tax preparation services and insurance, and CCTC Funding Corp., a

real estate investment trust. Prior to joining CCTC and Capital Bank, Mr. Tomson was the Division Executive for commercial real

estate in New York State for RBS Citizens Bank. Mr. Tomson began his commercial real estate lending career for the Community

Preservation Corporation (CPC) where he last served as Senior Vice President and Regional Director. A certified Community

Development Financial Institution (CDFI), CPC is a New York City based not-for profit affordable housing and community

revitalization finance company. Throughout his career, Mr. Tomson has been very involved in healthcare, economic and community

development initiatives throughout New York State. Currently, Mr. Tomson is involved in board or advisory capacities with The

Independent Bankers Association of New York State, New York Bankers Association, Capitalize Albany Corporation and the Albany

Medical Center. He graduated from Cornell University with a Bachelor of Arts in 1989.

**Mr. Turner** is (since December of 2022) a Senior Vice President of FHLBNY member Metropolitan Life Insurance Company

("MetLife") as well as Managing Director and head of MetLife's Capital Markets Group. The Capital Markets Group is a fully

integrated business that manages both the sourcing of assets alongside the creation and issuance of investment product liabilities. It is

a centralized team focused on actively managing spread margin businesses within a disciplined asset liability management framework.

Mr. Turner started his career with MetLife in 2000 and he has served in various capacities throughout the enterprise; prior to becoming

a Senior Vice President of MetLife in 2022, he served as a Vice President. After helping construct MetLife's strategic sourcing

capabilities in Corporate Procurement as well as building the enterprise-wide IT Governance framework in Finance, he transitioned to

Investments in 2007 working as both a portfolio and product manager as well as directed the firm's asset allocations. In 2008, he

joined the Capital Markets Investments Products ("CMIP") team, eventually becoming head of CMIP in 2016, co-head of the Capital

Markets Group in 2020, and head of the Capital Markets Group since 2022. Mr. Turner serves on the ACLI-FHLB Working Group.

As a father of two active children, he can be found many nights and weekends on the soccer pitch or lacrosse field watching and/or

coaching sports. Mr. Turner received his undergraduate degree from Syracuse University and his MBA from Columbia Business

School. Mr. Turner was a member of the FHLBNY's Board of Directors from July 2024 through December 31, 2025.

**Ms. Weyne** was the Commissioner of lnsurance for the Commonwealth of Puerto Rico from January 2013 through December 2016,

appointed by former Governor Alejandro Garcia Padilla. While Commissioner, Ms. Weyne served as Vice President of the board of

the Puerto Rico State Insurance Fund Corporation and of the Puerto Rico Health Insurance Administration, and she presided over the

board of the Puerto Rico Automobile Accident Compensation Administration. She was also a member of various committees of the

National Association of Insurance Commissioners and also a member of the Association of Latin American Insurance Superintendents

Association. Ms. Weyne's accomplishments during her over 50 years of experience in the insurance sector, which started as an actuary

in the Office of the Commissioner of Insurance, have included presiding a premium finance company, a claims adjusting firm, a

managing general agent of which she later became owner, and presidencies of both life and disability and property and casualty

companies and the presidency of the largest bank owned insurance agency in Puerto Rico. She was also president of the first

reinsurance company incorporated in Puerto Rico and served as president of two health maintenance organizations. Ms. Weyne

received her bachelor's degree in mathematics from the University of Puerto Rico, where she also taught mathematics. Among the

entities where she has served as a board member are the Puerto Rico Chamber of Commerce, the Puerto Rico Association of Insurance

Companies, the Universidad Central del Caribe, the Trust of the Supreme Court of Puerto Rico, the Puerto Rico Chapter of the World

Presidents Organization as well as the Tourism Scholarship Foundation and the School of Architecture of the University of Puerto

Rico, and the MMM Foundation, where she served as the Board Chair in 2022. She has also received numerous awards and

recognitions such as the Top Management Award from the Sales and Marketing Association of Puerto Rico, Outstanding Woman in

Business Award from the Puerto Rico Chamber of Commerce, Outstanding Woman Award from the Girl Scouts of America, and

Successful Woman of the Year Award from El Nuevo Dia Newspaper. She was also named National Judge for the Ernst & Young

Entrepreneur of the Year Award program. Presently, Ms. Weyne is a consultant and serves as a member of the advisory board of

Rafael J. Nido, Inc. Ms. Weyne's many skills, including in particular, her organizational and financial management experience, as

indicated by her background described above, support her qualifications to serve on our Board as an Independent Director.

**Information about our Executive Officers**

The following sets forth the executive officers of the FHLBNY who, unless otherwise specifically noted in the below footnotes, served

during the period from January 1, 2025 through the date of this annual report on Form 10-K. We have determined that our executive

officers are those officers who are members of our internal Management Committee. All officers are "at will" employees and do not

serve for a fixed term.

---

| | | | | |
|:---|:---|:---|:---|:---|
| **Executive Officer** | **Position held as of 3/20/26** | **Age as of** <br>**3/20/2026**<br>| **Employee of** <br>**Bank Since**<br>| **Management** <br>**Committee** <br>**Member Since**<br>|
| Randolph C. Snook <sup>(a)</sup> | President & Chief Executive Officer ("CEO") | 65 | 02/01/25 | 02/01/25 |
| José R. González <sup>(b)</sup> | Senior Advisor to the President and CEO | 71 | 10/15/13 | 10/15/13 |
| Stephen C. Angelo <sup>(c)</sup> | Senior Vice President, Chief Audit Officer | 58 | 09/22/08 | 07/12/16 |
| Mark Dankenbrink <sup>(d)</sup> | Senior Vice President, Chief Audit Officer | 50 | 03/29/10 | 09/01/25 |
| Vikram S. Dongre  | Senior Vice President, Chief Capital Markets <br>Officer<br>| 50 | 02/22/16 | 07/15/23 |
| Adam S. Goldstein | Senior Vice President, Chief Business Officer | 52 | 07/14/97 | 03/20/08 |
| Donna Gordon <sup>(e)</sup> | Senior Vice President, Chief Legal Officer (Ethics <br>Officer)<br>| 58 | 01/22/26 | 01/22/26 |
| Kevin M. Neylan <sup>(f)</sup> | Senior Vice President, Chief Financial Officer | 68 | 04/30/01 | 03/31/04 |
| Shatayu P. Pandya | Senior Vice President, Chief Risk Officer | 50 | 02/27/17 | 12/15/23 |
| Michael L. Radziemski | Senior Vice President, Chief Information Officer | 64 | 07/15/19 | 01/01/20 |
| Michael A. Volpe <sup>(g)</sup> | Senior Vice President, Head of Bank Operations | 58 | 12/22/86 | 10/01/19 |
| Jonathan R. West <sup>(h)</sup> | Senior Vice President, Chief of Staff and Senior <br>Advisor to the President and CEO<br>| 69 | 05/01/15 | 05/01/15 |

---

*(a)Became FHLBNY President & CEO, 2/1/25.*

*(b)Served as FHLBNY President & CEO, through and until 1/31/25; became Senior Advisor to the President and CEO 2/1/25 until* 

*his retirement on 4/4/25.*

*(c)Served as Chief Audit Officer until he retired on 4/11/25.*

*(d)Served as Interim Chief Audit Officer as of 4/11/25 until he was appointed Chief Audit Officer effective 9/1/25.*

*(e)Became Chief Legal Officer and Ethics Officer on 1/22/26.*

*(f)Announced in an 8-K filed on 11/24/25 his retirement effective 4/10/26.* 

*(g)Left FHLBNY employment on 7/25/98; rehired on 10/23/06.*

*(h)Served as Chief Legal Officer and Ethics Officer until 1/22/26 where he became Chief of Staff and Senior Advisor to the President* 

*and CEO.* 

**Mr. Snook** has served as President and Chief Executive Officer of the Federal Home Loan Bank of New York since the beginning of

February 2025. Prior to joining the FHLBNY, he served as the Chief Executive Officer of the Office of Finance starting in January

2019. Mr. Snook has more than three decades of experience in the securities industry. From August 2005 to December 2018, he served

as the Executive Vice President of Business Policies & Practices for the Securities Industry and Financial Markets Association

(SIFMA), where he was responsible for overseeing SIFMA's three U.S. business groups - Capital Markets, Private Client, and Asset

Management - as well as Technology and Operations, Research, and Member Engagement. Prior to joining SIFMA, Mr. Snook held

several senior positions at Goldman Sachs, including co-head of the Credit Capital Markets New Issue Desk and co-head of the

Corporate Bond Business Unit. Mr. Snook serves on the Council of Federal Home Loan Banks, the Board of Directors of the Pentegra

Defined Benefit Plan for Financial Institutions, and the Board of Directors of the Office of Finance. He is also a member of the

Resolution Funding Corporation Directorate. Mr. Snook holds a B.S. in Civil Engineering and an M.B.A., both from Rensselaer

Polytechnic Institute.

**Mr. González** was appointed President and Chief Executive Officer of the Federal Home Loan Bank of New York on April 2, 2014

and he served in this role through the beginning of February, 2025, at which time he became Senior Advisor to new President and

Chief Executive Officer Randolph C. Snook. He served in that new role through and until April 4, 2025. Mr. González joined the

FHLBNY on October 15, 2013, as Executive Vice President and Chief Operating Officer. Mr. González served as Vice Chairman of

the Board of Directors of the FHLBNY from 2008 through 2013, and as an elected industry director from 2004 through 2013. Prior to

joining the FHLBNY, he served as Senior Executive Vice President, Banking & Corporate Development for OFG Bancorp (formerly

Oriental Financial Group, Inc.). From August of 2016 to August of 2020, Mr. González served as a member of the Oversight Board

of the Board of Directors of Santander BanCorp ("Santander"), a bank holding company, from 2000 to 2010. From 2002 to 2008, he

was Vice Chairman of the Board, President and CEO of Santander. After joining Santander in 1996 as President and CEO of its

securities broker dealer, Mr. González was named Senior Executive Vice President and Chief Financial Officer of the holding

company in 2001. Mr. González began his career in banking in the early 1980s as Vice President, Investment Banking, for Credit

Suisse First Boston ("CSFB") and, from 1989 through 1995, served as President and CEO of CSFB's Puerto Rico operations. He

served as President and CEO of the Government Development Bank for Puerto Rico, a government instrumentality that acts as the

Commonwealth's fiscal agent, from 1986 to 1989. He is a past President of both the Puerto Rico Bankers Association and the

Securities Industry Association of Puerto Rico. Mr. González holds a B.A. in Economics from Yale University and M.B.A. and Juris

Doctor degrees from Harvard University.

**Mr. Angelo** joined the Bank as Chief Audit Officer in September 2008 and served in that role until April 11, 2025. As Chief Audit

Officer, he managed the activities of the Internal Audit Department, which provides independent, objective assurance and consulting

services designed to add value and improve the Bank's operations. He was also responsible for providing support to the Audit

Committee of the Bank's Board of Directors, in connection with matters related to internal controls. During his tenure with the Bank,

Mr. Angelo was appointed as a non-voting member to the Management Committee in July 2016. Mr. Angelo holds an M.B.A. in

Finance and a B.S. in Accounting, both from New York University's Stern School of Business. He is a Certified Public Accountant

("CPA") and is a member of the American Institute of CPAs and the New York State Society of CPAs as well as the Institute of

Internal Auditors. Mr. Angelo began his career as an associate auditor with Coopers & Lybrand, and then held positions of increasing

responsibilities in internal audit roles at Bankers Trust Company and Bear, Stearns & Co.

**Mr. Dongre** assumed the role of Chief Capital Markets Officer (CCMO) in July 2023. In this capacity, he oversees the comprehensive

management of the Bank's balance sheet, encompassing the investments portfolio, advances position, liquidity, and debt issuance. A

voting member in various internal committees, Mr. Dongre also contributed significantly to the Bank's strategic Technology

Transformation Management Team between 2018 and 2021, focusing on optimizing enterprise IT service capabilities. Mr. Dongre

joined the Bank's Capital Markets division as VP/Director, Trading in February 2016 from RBS (Natwest) Singapore, where he led

the South Asian FX trading desk. He was promoted to First VP/ Director, Trading in January 2019. That title was later expanded to

First VP/Director, Trading and Strategy in January 2020, a role he held prior to his appointment as CCMO. His prior roles spanned

diverse responsibilities in trading, portfolio management, and leadership, with a specific focus on Interest Rates, MBS, and Agency

Debentures at Napier Park Global Capital, Countrywide Securities, and HSBC Bank USA. Notably, he commenced his career in the

Information Technology sector as a software engineer and architect. Mr. Dongre holds a Bachelor's Degree in Electrical Engineering

from Visvesvaraya National Institute of Technology, India, and an MBA in Finance from the Stern School of Business, NYU.

**Mr. Dankenbrink** has served as the Bank's Chief Audit Officer since September 1, 2025. He joined the Bank in March 2010. In his

current role, he oversees the Internal Audit Department, which provides independent, risk-based, and objective assurance, advice, and

insight. He also provides support to the Audit Committee of the Bank's Board of Directors with respect to matters involving internal

controls. Mr. Dankenbrink is a non-voting member of the Bank's Management Committee. Before joining the Bank, Mr. Dankenbrink

began his career as an auditor with the Bank of New York and subsequently held internal audit positions of increasing responsibility at

Bear, Stearns & Co. and Credit Suisse. Mr. Dankenbrink holds a B.S. in Accounting from Providence College. He is a Certified

Internal Auditor (CIA), Certified Information Systems Auditor (CISA), Certified in Risk Management Assurance (CRMA), and

Certified Financial Services Auditor (CFSA). Mr. Dankenbrink is a member of the Institute of Internal Auditors and the Information

Systems Audit and Control Association.

**Mr. Goldstein** is the Chief Business Officer at the FHLBNY. In this role, Adam leads the Bank's Business Lines and co-leads the

Corporate Strategy. Since joining the FHLBNY in June 1997, Adam created departments including Marketing and Corporate Events,

Membership and Research, the Member Service Desk, the Mortgage Asset Program (MAP®), The Office of Credit Lending as well as

the evolved the Bank's Corporate Strategy. He also leads the Bank's Community Investment and Affordable Housing Program. He

sits on the FHLBNY's Executive Management Committee (circa 08'), Asset-Liability Management Committee, and Disclosure

Committee. Adam manages the Member Regulatory Outreach Program and leads all major new business activities such as the creator

of the MAP® program, the Letters of Credit programs as well as the innovation of numerous housing and community development

products/programs and the development of advanced technologies. He is the creator of the Bank's Leadership Framework, the

Executive sponsor of the Internship Program, manages the Corporate Financial Literacy program, is a Corporate Mentor and the

steward of Corporate Charitable Contribution Program. At the national FHLBank System level, Adam was selected by the FHLBank

President's Council (BPC) to represent the System on the National Housing Conference Residential Property Insurance Collaborative

and also selected by the BPC to be the Chairman of the FHLBank System Large Member Lending Task Force (f.k.a. Globally

Systemic Important Banks Task Force). He was the Chairman of the FHLBank System In-District Regulatory Outreach Committee,

previously led the ESG Bond Issuance Task Force with the Office of Finance, participated in the System-Wide Data Governance Task

Force, was past Chairman and creator of the FHLBank System Sales and Marketing Committee and is the Office of Finance "guest

lecturer" for Lunch and Learn training sessions on behalf of the System. Adam serves on the American Fintech Council and is a

member of their Community Advisory Board. He was also on the Board of Trustees and Chairman of the Finance Committee, as well

as Chairman of the Audit Committee for the Kennedy Children Center. Adam received his bachelor's degree from the State University

of New York at Oneonta, holds an MBA in Financial Marketing from Binghamton University, and an additional five post-graduate

certifications in business and management excellence from Harvard University, Columbia University, New York University, Cornell

University, and The New York Institute of Finance.

**Ms. Gordon** joined the FHLBNY as its Chief Legal Officer in January 2026. In this role, she oversees the Bank's Legal, Human

Resources, Corporate Secretary and Government and Bank Relations functions. She also serves as one of the Bank's Ethics Officers.

Prior to joining the Bank, Ms. Gordon most recently served as Managing Director and Global Head of Regulatory Response and

Oversight at Citigroup Inc., where she led a team of more than 50 professionals managing regulatory submissions and interactions

with banking regulators and corporate boards. Previously, she served as Vice President of Enterprise Legal Risk and Business, Risk

and Controls Management for USAA. Ms. Gordon also served as Senior Vice President and Deputy General Counsel for HSBC Bank

USA, N.A., and for eight years was a litigation/investigation Partner at Dewey & LeBouef LLP and Reed Smith LLP. She earned a JD

degree from Fordham University and a BS degree in Management and Psychology from Rutgers University.

**Mr. Neylan** became Chief Financial Officer (CFO) on March 30, 2012. Mr. Neylan is responsible for overseeing the Bank's

Accounting, Management Reporting and Strategic Planning functions. He has held several positions with strategic planning, finance

and administrative responsibilities since joining us in April 2001. Immediately prior to becoming the CFO, Mr. Neylan was the Head

of Strategy and Finance, and served as the Head of Strategy and Business Development from January 2009 through December 2011.

Mr. Neylan had approximately twenty years of experience in the financial services industry prior to joining the Bank, and was

previously a partner in the financial services consulting group of one of the Big Four accounting firms. He holds a M.S. in corporate

strategy from the MIT Sloan School of Management and a B.S. in management from St. John's University (NY).

**Mr. Pandya** is the Chief Risk Officer of the FHLBNY and oversees enterprise risk management which includes Bank wide

management of Financial, Credit, Collateral, Model, Operational, Compliance, Technology, AI and Regulatory Risks. Shatayu joined

the Bank in 2017 as VP/Director of Financial Risk Management was promoted to First VP/Director of Financial Risk Management

and Credit Risk Analytics in January of 2020, and became the Acting Risk Officer in December of 2023. His pre-FHLBNY experience

included senior roles as a risk manager on trading desks at Deutsche Bank, JP Morgan, and CitiBank with a specialization in

securitized, complex credit and rates products in G10 and Emerging Markets. Shatayu also has deep experience with Trading and Risk

Technology, Model Risk Management and Risk Governance, CCAR, DFAST, Volcker, and Basel Market/Liquidity Risk regulations.

He holds a double bachelor's degree in finance and information technology from NYU's Stern School of Business and holds a CFA

charter.

**Mr. Radziemski** was named Senior Vice President and Chief Information Officer on January 1, 2020. In this role, he directs and

oversees several functions including Information Technology, Information Security, Business Continuity Planning, Vendor

Management, Records Management, and Corporate Real Estate. Mr. Radziemski joined the FHLBNY in July 2019 as Deputy Chief

Information Officer. Prior to joining the FHLBNY, he spent over 30 years working in information technology in the financial services

industry, including senior technology leadership roles at Bankers Trust, MetLife, CitiGroup, and Lord, Abbett & Co., LLC (Lord

Abbett). His last full-time role before joining the FHLBNY was as Chief Information Officer at Lord Abbett, from March 2003 until

July 2016. After Lord Abbett, he did management consulting work as a Partner for Fortium Partners from July of 2017 until joining

the FHLBNY. He received a B.Sc. in Operations Research and Industrial Engineering from Cornell University, and a M.S. in

Industrial Engineering from Stanford University.

**Mr. Volpe** was named Senior Vice President and Chief Bank Operations Officer in April 2022. In this role, he directs and oversees

several functions, including Bank Operations comprised of Credit and Collateral Operations, Correspondent Services, Custody and

Pledging Services, Business Process and Project Support, and Electronic Payments. Additionally, he served as Interim Community

Investment Officer effective December 1, 2022 through and until December 31, 2023. Mr. Volpe previously served as Senior Vice

President and Head of Bank Operations from October 2019 through March 2022. Prior to that, he served as First Vice President and

Director of Bank Operations from January 2019 through September 2019 and was named Vice President beginning in October 2006,

holding several functional titles during that time, including Director of Bank Operations (December 2018); Director of Member

Services Operations (April 2015 – November 2018); Director of Collateral and Correspondent Services (February 2012 – April 2015);

and Director of Collateral Operations (October 2006 – January 2012). He joined the FHLBNY in December 1986 and later took an

eight year hiatus, from 1998 to 2006, where he held various positions at The Bank of New York. He received a B.S. in Finance and

M.B.A. in International Finance from St. John's University (NY), and is also a graduate of the ABA Stonier Graduate School of

Banking.

**Mr. West** currently serves as Senior Vice President and Chief of Staff/Senior Advisor to the Bank President as of January 22, 2026.

Previously, Mr. West served as Senior Vice President, Chief Legal Officer for the Bank from May 1, 2015 through January 21, 2026.

Mr. West left the Federal Home Loan Bank of Indianapolis (FHLBI) on December 31, 2014 having served as its Executive Vice

President - Chief Operating Officer - Business Operations since July 30, 2010. He was appointed by the FHLBI's Board to serve as

Acting Co-President - CEO from April through July 2013. From 1994 to 2010, Mr. West served as Senior Vice President -

Administration, General Counsel, Corporate Secretary & Ethics Officer, having started with the FHLBI in July 1985 as Associate

Legal Counsel. From 1983 to 1985, Mr. West was an Associate with the Indianapolis, Indiana law firm of White & Raub and practiced

in the areas of insurance and corporate law. Mr. West is a Phi Beta Kappa, B.A. with Distinction graduate in political science and

psychology from Indiana University's College of Arts and Sciences, and earned an M.B.A from Indiana University Kelley School of

Business and a J.D. from Indiana University School of Law - Indianapolis. Mr. West is licensed to practice law in the state of Indiana

and is registered to serve as In-House Counsel in the state of New York.

**Section 16 (a) Beneficial Ownership Reporting Compliance**

In accordance with correspondence from the Office of Chief Counsel of the Division of Corporation Finance of the U.S. Securities and

Exchange Commission dated August 26, 2005, Directors, officers and 10% stockholders of the Bank are exempted from Section 16 of

the Securities Exchange Act of 1934 with respect to transactions in or ownership of Bank capital stock.

**Audit Committee**

The Audit Committee of our Board of Directors is primarily responsible for overseeing the services performed by our independent

registered public accounting firm and internal audit department, evaluating our accounting policies and its system of internal controls

and reviewing significant financial transactions. For the period from January 1, 2025 through the date of the filing of this annual report

on Form 10-K, the members of the Audit Committee included: David R. Huber (Chair), Steven M. Klein (Vice Chair starting January

1, 2026), Thomas J. Kemly (Vice Chair through December 31, 2025), Melba I. Acosta, Robert M. Fisher, David J. Hanrahan

(commencing January 1, 2026), Gerald L. Reeves (through December 31, 2025), Ghillaine A. Reid (through December 31, 2025) and

Anders M. Tomson.

**Audit Committee Financial Expert**

Our Board of Directors has determined that David R. Huber of the FHLBNY's Audit Committee qualifies as an "audit committee

financial expert" under Item 407 (d) of Regulation S-K.

**Code of Ethics**

It is the duty of the Board of Directors to oversee the Chief Executive Officer and other senior management in the competent and

ethical operation of the FHLBNY on a day-to-day basis and to assure that the long-term interests of the shareholders are being served.

To satisfy this duty, the directors take a proactive, focused approach to their position, and set standards to ensure that we are

committed to business success through maintenance of the highest standards of responsibility and ethics. In this regard, the Board has

adopted a Code of Business Conduct and Ethics (Code) that applies to the members of the Board, as well as our principal executive

officer, principal financial officer and principal accounting officer and all other employees. The Code is posted on the Corporate

Governance Section of the FHLBNY's website at https://www.fhlbny.com. We intend to disclose changes to or waivers of the Code

by filing a Form 8-K and/or by posting such information on our website. Information on our website, or that can be accessed through

our website, does not constitute a part of this annual report.

**Insider Trading Policy**

The Bank is cooperatively owned. Our member institutions (and, in limited circumstances, our former member institutions) own our

capital stock. No individuals (including our directors, officers and employees) may own our capital stock.

Our capital stock can only be acquired, redeemed or repurchased at a par value of $100 per share. Our capital stock is not publicly

traded, and no market mechanism exists for the disposition of our capital stock outside our cooperative structure. Members must

purchase and maintain capital stock in our Bank as a condition of membership and may be required to purchase additional stock in

order to transact advances, AMA and/or letters of credit activity with us. Transactions in our capital stock are governed by applicable

regulatory requirements and the Bank's Capital Plan (for more information on the Bank's capital plan see <u>[Note 14](#i6e44f55b55354254bf5e261e55212924_6668)</u>. Capital Stock,

Mandatorily Redeemable Capital Stock and Restricted Retained Earnings).

In addition to the Bank's cooperative structure, the Bank's primary source of funding is the issuance of debt securities, which are

consolidated obligations issued as bonds and discount notes, that are sold by dealers to investors in the public. The Bank therefore has

adopted an Insider Trading Policy aimed at promoting compliance with insider trading laws, rules, and regulations applicable to the

Bank and believes that this policy is reasonably designed to promote compliance with such insider trading laws, rules, and regulations.

This policy is included in the Bank's Code of Business Conduct and Ethics, which is filed as Exhibit 19.01 to this Form 10-K.

**ITEM 11. EXECUTIVE COMPENSATION.**

**Compensation Discussion and Analysis**

***I.Introduction***

This section describes and analyzes the Bank's 2025 compensation program for our "named executive officers" ("NEOs"). Our NEOs

include our chief executive officer, chief financial officer and other most highly compensated executive officers who were serving as

Executive Officers on December 31, 2025. The Bank's NEOs during 2025 have been identified as: 1) José R. González (President and

Chief Executive Officer through January 2025, where in transition to retirement he assumed the role as Senior Advisor through April

2025); 2) Randolph C. Snook, President and Chief Executive Officer, effective February 1, 2025; 3) Kevin M. Neylan (Senior Vice

President and Chief Financial Officer); 4) Shatayu P. Pandya (Senior Vice President and Chief Risk Officer); 5); Vikram S. Dongre

(Senior Vice President and Chief Capital Markets Officer); and 6) Adam S. Goldstein (Senior Vice President and Chief Business

Officer)

a)<u>Compensation & Human Resources Committee Oversight of Compensation</u>

The Bank's compensation philosophy and objectives are to attract, motivate, and retain high caliber of diverse financial services

executives capable of achieving strategic business initiatives, enhancing business performance and increasing shareholder value. In

this regard, it is the role of the Compensation & Human Resources Committee ("C&HR Committee") of the Board of Directors

("Board") to:

1. Review and recommend to the Board changes regarding our compensation and benefits programs for employees and retirees;

2. Review and approve individual performance ratings and related merit increases for our Chief Executive Officer and for the

other Management Committee members (which Committee includes all the NEOs) of the Bank;

3. Review salary adjustments and benefits for our Chief Executive Officer and for the other Management Committee members;

4. Review and approve annually the Bank's Incentive Compensation Plan ("Incentive Plan"), year-end Incentive Plan results

and Incentive Plan award payouts for Management Committee members;

5. Advise the Board on compensation, benefits and human resources matters affecting Bank employees;

6. Review and discuss with Bank management the Compensation Discussion and Analysis ("CD&A") to be included in our

Form 10-K and determine whether to recommend to the Board that the CD&A be included in the Form 10-K; and

7. Review and monitor compensation arrangements for our executives so that we continue to retain, attract, motivate and align

quality management consistent with the investment rationale and performance objectives contained in our annual business

plan and budget, subject to the direction of the Board.

The Board has delegated to the C&HR Committee the authority to approve fees and other retention terms for: i) any compensation and

benefits consultant to be used to assist in the evaluation of the Chief Executive Officer's compensation; and ii) any other advisors that

it shall deem necessary to assist in fulfilling its duties. The Charter of the C&HR Committee is available in the Corporate Governance

section of our web site located at www.fhlbny.com.

The role of Bank management (including executive officers) with respect to compensation is limited to administering Board-approved

programs and providing proposals for the consideration of the C&HR Committee. No member of management serves on the Board or

any Board committee.

<u>Regulatory Oversight of Executive Compensation</u>

The Federal Housing Finance Agency ("Finance Agency") has oversight authority over FHLBank executive officer compensation.

Under Section 1113 of the Housing and Economic Recovery Act of 2008, the Director of the Finance Agency must prohibit a

FHLBank from paying compensation to any NEO that the Director determines is not reasonable and comparable to that paid for

employment in similar businesses involving similar duties and responsibilities. Pursuant to the foregoing, the Finance Agency has

directed the FHLBanks to submit the Finance Agency for review and non-objection all compensation actions relating to NEOs. This

information, including studies of comparable compensation, must be provided to the Finance Agency at least 30 days in advance of

any planned FHLBank action with respect to the payment of compensation to executive officers. In addition, the FHLBanks are

required to provide at least 60 days' advance notice to the Finance Agency of any arrangement that provides for incentive awards to

executive officers. Under the supervision of our Board of Directors, we provide this information to the Finance Agency as required.

In addition to these rules, the Finance Agency previously issued Advisory Bulletin 2009-AB-02 regarding principles for FHLBank

executive compensation as to which the FHLBanks and the Office of Finance are expected to adhere in setting executive

compensation policies and practices. These principles consist of the following:

• Executive compensation must be reasonable and comparable to that offered to executives in similar positions at other

comparable financial institutions;

• Executive incentive compensation should be consistent with sound risk management and preservation of the par value of the

FHLBank's capital stock;

• A significant percentage of an executive's incentive-based compensation should be tied to longer-term performance and

outcome indicators;

• A significant percentage of an executive's incentive-based compensation should be deferred and made contingent upon

performance over several years; and

• The FHLBank's Board of Directors should promote accountability and transparency in the process of setting compensation.

In evaluating a FHLBank's compensation, the FHFA Director will consider the extent to which an executive's compensation is

consistent with these advisory bulletin principles. Our Board is of the view that the Bank has incorporated these principles into the

development, implementation, and review of compensation policies and practices for executive officers as described below, including

appropriately considering the Bank's competitive compensation requirements within its region in accordance with advice from the

Bank's compensation consultants. However, in light of the Finance Agency's authority, the Bank's compensation practices and

policies described in this Item 11 are, regardless of the Board's view, ultimately subject to adjustment as a result of regulatory

guidance and directives.

We are prohibited by regulations from offering equity-based compensation. Our total compensation program takes into account the

existence of these other types of compensation by offering a defined benefit and defined contribution plan to help effectively compete

for and retain talent.

The Bank is exempt from SEC proxy rules and as such does not provide shareholder advisory "say on pay" votes regarding executive

compensation. However, sixty percent of the Board is comprised of Member Directors, elected by these shareholders to represent their

interests.

b)<u>About the Bank's Mission</u>

The mission of the Bank is to provide members with prompt, on-demand liquidity in support of housing, local community

development and financial stability. We meet our mission by providing our members with access to economical wholesale credit and

assistance through our credit products, mortgage finance program, housing, and community lending programs, and correspondent

services. Access to liquidity enables our members to meet their customers' needs and is crucial to the health of local economies and

the growth of individuals, households, and communities.

We operate in a very competitive market for talent. Without the capability to attract, motivate and retain talented diverse employees,

the ability to fulfill our mission would be in jeopardy. All employees, and particularly senior and middle management, are frequently

required to perform multiple tasks requiring a variety of skills. Our employees not only have the appropriate talent and experience to

execute our mission, but they also possess skill sets that are difficult to find in the marketplace.

c)<u>2023 Total Rewards Study Results</u>

In accordance with the Board-approved Compensation Policy, we evaluate the value of total compensation delivered to employees

including base pay, incentive compensation, retirement and health and welfare benefits in determining market competitiveness in the

context of recruitment and retention.

In March 2023, the C&HR Committee engaged a benefits and compensation consultant, Willis Towers Watson ("Towers"), to perform

a broad and comprehensive review of the Bank's Compensation Policy and Total Rewards program for all employees including NEOs,

and present recommendations to the C&HR Committee. The Bank conducted a competitive bid process with experienced

compensation and benefits consulting firms that resulted in the C&HR Committee engaging Towers as the compensation and benefits

consultant to perform the review.

The compensation and benefits consultant's review of the Bank's Compensation Policy was presented to the Board in June 2023. The

results of the review indicated that:

• Targeting base salaries above the 50<sup>th</sup> percentile may be necessary to close the compensation gap for Management Committee

executives (including NEOs);

• The Regional/Commercial Banks $20B-$65B asset size for the Bank Management Committee members (including NEOs) at

the 50<sup>th</sup> percentile of market total compensation (base pay + short term incentive compensation) remains applicable for

establishing competitive pay levels;

• Certain roles or skillsets may require more flexibility to benchmark above the 50th percentile; and

• Additional benchmarking data for organizations with $100B or less in assets will provide additional industry perspective on

the market.

As a result, the Board approved changes to the Bank's Compensation Policy effective June 2023. Changes to the Compensation Policy

include: 1) A commitment to conduct detailed cash compensation benchmarking of all positions (excluding NEOs and Management

Committee and Directors) every three years; and 2) the reservation to benchmark certain positions on an out of cycle basis determined

by business needs and judgement of Human Resources. The methodology will be applied when benchmarking positions in 2025 for

proposed adjustments to salaries effective January 1, 2026.

A representative list of the primary peer group that was used in Towers' Total Rewards study in 2023 with respect to compensation

(excluding healthcare and welfare benefits) is set forth in the table below.

---

| | | |
|:---|:---|:---|
| AgFirst | Deutsche Bank | M&T Bank |
| Ally Financial | East West Bank | Morgan Stanley |
| Associated Banc-Corp | Fifth Third | State Street |
| Bank of America | First Citizens Bank | Synovus |
| Barclays | First Financial Bancorp | UBS |
| BNP Paribas | First Midwest Bancorp | Valley National Bank |
| Capital One Financial | First National of Nebraska | Webster Bank |
| CIBC Bank USA | Goldman Sachs | Wells Fargo |
| Citigroup | HSBC | Western Alliance Bancorp |
| City National Bank | Huntington | Wintrust Financial |
| Comerica | JPMorgan | Zions Bancorporation |
| Cullen Frost Bankers | KeyCorp |  |

---

d)<u>Our Compensation Policy</u>

The Board-approved Compensation Policy acknowledges and takes into account our compensation philosophy, business environment

and factors to remain competitive in the labor market. The Board approved an updated Compensation Policy as a result of the 2023

Total Rewards Study which was in effect for all compensation decisions made during 2025 and includes the following:

• Use publicly available data from Regional/Commercial Banks $20B-$65B in assets for the Bank Management Committee

members (including NEOs) at the 50<sup>th</sup> percentile of market total compensation (base pay + short term incentive

compensation) for establishing competitive pay levels;

• The Bank will focus on Regional/Commercial Banks $20B+ in assets for Officer jobs within the Metro New York Market

(where available) as the "Primary Peer Group" for benchmarking at the 50<sup>th</sup> percentile of the market total compensation (base

pay + short term incentive compensation) for establishing competitive pay levels;

• Bank Management Committee members and all Bank Officers will be matched against 'level-for-level' jobs and the publicly

available proxy data. Other FHLBanks will be used as a "Secondary Peer Group" and benchmarking will be targeted at the

75<sup>th</sup> percentile of total compensation for establishing competitive pay levels;

• For jobs within Risk Management and Capital Markets and other specialty areas not in ready supply within the Regional

Banks, the Bank will use a customized peer group of Banks with $50B+ in assets including Bulge Bracket banks (i.e. large

and global financial firms) at the 25<sup>th</sup> and 50<sup>th</sup> percentile to reflect realistic recruiting pressures in the Metro New York

market;

• The Bank conducted compensation benchmarking for all job positions in 2025.

***II.The Total Compensation Program***

In response to the challenging economic environment in which we operate, compensation and benefits consist of the following

components: (a) cash compensation (i.e., base salary, and, for exempt employees, "variable" or "at risk" short-term incentive

compensation opportunities available under the Bank's Incentive Compensation Plan ("IC Plan"); (b) retirement-related benefits (i.e.,

the Qualified Defined Benefit Plan ("DB Plan"); the Qualified Defined Contribution Plan ("DC Plan"); the Non-Qualified Deferred

Compensation Plan ("DCP") has three components, the Non-Qualified Defined Benefit retirement component ("NQDB"), the Non-

Qualified Defined Contribution savings component ("NQDC"), and the Non-Qualified Deferred Incentive Compensation Plan

("NQDICP"); and (c) health and life and disability insurance programs available to all employees.

The objectives of the total compensation program are to help motivate employees to achieve consistent and superior results, taking

into account prudent risk management, over a long period of time. It also allows us to compete for and retain talent.

a)<u>2025</u> <u>Compensation Benchmarking</u>

For the year 2025, Aon McLagan ("McLagan") , a compensation consulting firm, analyzed compensation benchmarks for all NEO

compensation decisions effective January 1, 2025, using: (a) the Bank's Compensation Policy, previously approved by the Board in

June 2023 (details of which are provided above); and (b) the August 28, 2023 supervisory letter issued by the Finance Agency that

provided guidance about NEO and director compensation. Consistent with the August 2023 guidance, the C&HR Committee and

Board of Directors considered the following information for our executive officers: 1) the other FHLBanks; 2) commercial financial

services companies with assets between $10-$20 billion; and 3) commercial financial services companies with assets between $20

billion and $65 billion in determining total compensation for the executive officers. The Bank received a "non-objection" letter from

the Finance Agency with respect to the payment of merit increases effective January 1, 2025 for the NEOs.

A representative list of the peer group in the $10-$20 billion range determined and used in the compensation benchmarking analysis

based on data and regulatory guidance, excluding all healthcare and welfare benefits analysis, is set forth in the table below.

b)<u>Market Data Participants — Commercial Banks used for</u> <u>2025</u> <u>market pay analysis:</u>

---

| | | |
|:---|:---|:---|
| BancFirst Corporation | First Commonwealth Financial Corporation | Northwest Bancshares, Inc |
| Banner Corporation | First Financial Bancorp Insurance | OceanFirst Bank |
| Bell State Bank & Trust | First Financial Bankshares, Inc. | OceanFirst Financial Corp. |
| Berkshire Hills Bancorp, Inc | First Foundation Inc. | Pacific Premier Bank |
| Bremer Financial  | First Merchants Corporation | Provident Financial Services |
| Brookline Bancorp, Inc. | First United Bank – OK | Renasant Corporation |
| Central Bancompany, Inc | Heartland Financial USA, Inc | Sandy Spring Bank |
| Columbia Financial, Inc | Hilltop Holdings Inc. | Seacoast Banking Corporation of Florida |
| Community Bank System Inc. | Hope Bancorp, Inc | ServisFirst Bancshares, Inc. |
| CVB Financial Corp. | Independent Bank Corp. | Stellar Bancorp, Inc. |
| Dime Community Bancshares | Independent Bank Group, Inc. | TowneBank - VA |
| Eagle Bancorp Inc.  | International Bankshares Corporation | TriState Capital |
| Enterprise Financial Services Corp | Live Oak Bancshares, Inc. | Trustmark Corporation |
| FB Financial Corporation | Mechanics Bank | Veritex Holding |
| First Bancorp | Merchants Bancorp | Washington Trust Bank |
| First Busey Corporation | NBT Bancorp Inc. | WesBanco, Inc. |

---

In addition, the FHLBanks were included in the 2025 compensation benchmarking analysis.

<u>2023 Total Rewards Study</u>

In March 2023, after conducting a competitive bid process with top compensation and benefits consulting firms, the C&HR

Committee engaged Towers, to perform a broad and comprehensive review of the Bank's Compensation Policy and Total Rewards

program for all employees including NEOs, and present recommendations to the C&HR Committee.

The compensation and benefits consultant was instructed by the C&HR Committee to: (i) determine how the current compensation

and benefit programs and level of rewards were compared to and aligned with the market; (ii) determine the optimal mix of

compensation and benefits; and (iii) review the current Board-approved Compensation Policy to determine if modifications are

needed. The compensation and benefits consultant was informed of our continued desire to attract, motivate and retain talented

employees.

During the review process, the compensation and benefits consultant was asked to identify peer groups for "benchmarking" purposes

to conduct the Total Rewards study (that is, for purposes of comparing levels of benefits and compensation). Representatives from the

compensation and benefits consulting firm met with the Chief Executive Officer, Chair and Co-Chair of the C&HR Committee to

solicit feedback on the Bank's current Compensation Policy. The compensation and benefits consultant weighed a number of factors

in order to arrive at the selection of a peer group. Among the factors considered were firms that were either business competitors or

labor market competitors (focusing attention on firms either headquartered or having major offices in the same or similar geographic

markets), and firms similar in size (assets, revenues and employee population). Through the compensation and benefits consultant's

experience working with other Federal Home Loan Banks and through direct interviews with senior management, the compensation

and benefits consultant identified the current and future skill sets needed to meet the business objectives and also noted the firms that

we tend to hire employees from and lose employees to.

For the compensation component, the compensation and benefits consultant used job-level market data from proprietary Financial

Services surveys and jobs from five designated tiers, including NEOs and Management Committee members. Specific Bank peer

groups were included in the Total Rewards Study based on their available data and alignment with the June 2023 Board-approved

Compensation Policy, as described above.

c)<u>Services Provided by Compensation and Benefits Consultants</u> 

---

| | | |
|:---|:---|:---|
| **Consultant** | **Services** | **Amount** |
| Willis Towers Watson | Compensation Consulting | $19000 |
| Willis Towers Watson | Insurance Placement | $121500 |
| Aon | Director Compensation Benchmarking | $57000 |
| Aon | Actuarial Services Retiree Welfare Plan | $87000 |

---

The Board reviewed Towers' compensation and benchmarking data and recommendations during the course of 2025. While the

Aon for the referenced additional services, any potential conflicts of interest were mitigated through multiple safeguards and

constraints, including Board oversight of the Bank's compensation and benefits consultants; and comprehensive Finance Agency

regulations and monitoring of our compensation, corporate governance, and safety and soundness.

***III. IC Plan***

a)<u>Overview of the</u> <u>2025</u> <u>IC Plan</u>

The objective of the Bank's 2025 IC Plan is to motivate employees to take actions that support the Bank's strategies and lead to the

attainment of the Bank's business plan and fulfillment of its mission. The 2025 IC Plan is also intended to help retain employees by

affording them the opportunity to share in the Bank's performance results. The 2025 IC Plan seeks to accomplish these objectives by

linking annual cash payout award opportunities to Bank performance. All salaried exempt and non-exempt employees hired on or

before October 31, 2025 were eligible to participate in the 2025 IC Plan. Awards under the 2025 IC Plan were calculated based upon

performance during 2025 and paid to participants on March 14, 2026.

When employees are individually evaluated, they receive one of four performance ratings: "Outstanding"; "Exceeds Requirements";

"Meets Requirements"; or "Below Requirements". Incentive Compensation Plan awards are only paid to participants who have

attained at least a "Meets Requirements" rating on their individual performance evaluations and do not have any unresolved

disciplinary matters.

b)<u>Bankwide Performance Goals</u>

Bankwide performance goals, which are approved by the Board of Directors, are established to address the Bank's business

operations, mission and to help management focus on what it needs to succeed. Actual results of each goal are compared against the

three benchmarks (threshold, target and maximum) that were established for the Incentive Plan year. The Incentive Compensation

Plan participant receives a payout based on the benchmark level that is met for each goal.

We believe that employees at higher ranks have a greater impact on the achievement of Bankwide goals than employees at lower

ranks. Therefore, employees at higher ranks have a greater weighting of their Incentive Plan award opportunities.

The actual results for each goal may fall between two benchmark levels. When this happens, the payout figures are interpolated for

results that fall between the two applicable ranges either threshold and target, or target and maximum. For example, if the actual

results fall between target and maximum, the Incentive Plan participant will receive the payout for achieving target plus an additional

amount for the excess over target. This calculation is performed for each Bankwide goal. For each goal, there is no payout if the actual

result does not reach the threshold, and the payout is capped at maximum.

The 2025 Incentive Compensation Opportunity is summarized as follows:

---

| | |
|:---|:---|
| **Rank** | **Incentive Compensation Opportunity** |
| President – Chief Executive Officer | 50% (Threshold) |
|  | 80% (Target) |
|  | 100% (Maximum) |
| Other NEOs  | 30% (Threshold) |
|  | 50% (Target) |
|  | 75% (Maximum) |

---

The 2025 Bankwide goals are organized into four broad categories and are presented in the charts below. These charts contain:

• A description of each of the goals and their respective weightings as a percentage of the Bankwide goals;

• An explanation of each Bankwide goal measure and how each goal meets its stated purpose; and

• Actual results of each goal along with the Bankwide goal benchmarks (threshold, target and maximum) that were established.

*1. <u>Financial/Return Goal</u>*

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Bankwide Goals**  |  |  |  |  |  |  |
| **(Measure and calculation of measure)** | **How Goal Meets Stated Purpose** | **Weighting** | **Threshold** | **Target** | **Maximum** | **Results** |
| Return Component- Dividend Capacity as <br>forecasted in the 2025 business plan. <br>Dividend Capacity is calculated as net <br>income, divided by average capital stock. <br>The Bank's goal is to reward management <br>for financial results that are generally <br>controllable by management. Therefore, <br>we adjust net income to eliminate the <br>impact of items such as unrealized fair <br>value changes on derivatives and <br>associated hedged instruments. In <br>addition, the target is adjusted due to <br>changes in market interest rates during the <br>year.<br>| Earnings provide value for <br>shareholders through the <br>ability to add to retained <br>earnings and to pay a <br>dividend.<br>| 30% | 6.39% | 7.10% | 8.17% | 8.10% |

---

*2. <u>Risk Goal</u>*

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Bankwide Goals**  |  |  |  |  |  |  |
| **(Measure and calculation of measure)** | **How Goal Meets Stated Purpose** | **Weighting** | **Threshold** | **Target** | **Maximum** | **Results** |
| Risk Component - The 2025 Bankwide <br>Risk goal consists of three metrics, <br>each with a unique complementary <br>factor. Each metric will be evaluated <br>on PASS/FAIL basis and must meet a <br>Threshold (a specified minimum <br>number of PASS rated metrics) to <br>qualify for incentive compensation.<br>| Lowering the Bank's risk <br>profile provides a level of <br>assurance that unexpected <br>losses will not impair <br>members' investment in the <br>Bank and serves to preserve <br>the par value of membership <br>stock.<br>| 25% |  |  |  |  |
| The three metrics are: |  |  |  |  |  |  |
| 1) Capital Protection: This measure <br>seeks to ensure members paid in capital <br>stock are protected from potential and <br>plausible losses. Measured as the <br>MVE/TC ratio, this measure is defined <br>as the quotient from dividing the <br>Market Value of Equity (MVE) by the <br>amount of Total Capital (TC) <br>outstanding and is measured monthly <br>(last business day);<br>| Each metric will be evaluated <br>individually based on the <br>proposed threshold, target, and <br>maximum level determined by <br>the average of the results of the <br>3 goals via a point system.<br>|  | above <br>100% for <br>8 of 12 <br>calendar <br>months<br>| at or <br>above <br>100% for <br>at least 9 <br>of<br>12 <br>calendar <br>months<br>| at or <br>above <br>102% for <br>12 of<br>12 <br>calendar <br>months<br>| above <br>100% for <br>12 of 12 <br>months<br>|
| 2) Earnings Stability: The goal <br>measures the change in the projected <br>earnings represented as the dividend <br>rate over a four-quarter horizon <br>measured by the worst of 16 scenario <br>shocks. The metric seeks to ensure <br>earnings stability by limiting downside <br>risk to base forward rate forecasts from <br>the 16 scenarios; and<br>|  |  | 8 out of <br>12 <br>months of <br>calculated <br>dividends <br>are higher <br>than the <br>level of <br>rate <br>change <br>(-200bps)<br>| at or <br>above<br>-200bps <br>for at <br>least 9 of <br>12 <br>calendar <br>months<br>| at or <br>above<br>-150bps <br>for 12 of <br>12 <br>calendar <br>months<br>| above <br>-200 bps <br>for 12 of <br>12 months<br>|
| 3) Operational Exceptions: The health <br>of the Bank's operational control <br>environment is represented by the <br>aggregate number of risk events and <br>the economic losses (i.e., an out-of-<br>pocket loss without consideration of <br>any insurance recoveries).<br>|  |  | less than <br>or equal <br>to 35 risk <br>weighted <br>events<br>| less than <br>or equal <br>to 25 risk <br>weighted <br>events<br>| ≤20 risk <br>weighted <br>events<br>| 4 risk <br>weighted <br>events<br>|

---

*3. <u>Mission and Membership Goal</u>*

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Bankwide Goals**  |  |  |  |  |  |  |
| **(Measure and calculation of measure)** | **How Goal Meets Stated Purpose** | **Weighting** | **Threshold** | **Target** | **Maximum** | **Results** |
| Convenor to Fostering Strategic <br>Partnerships<br>| By bringing together disparate <br>organizations and stakeholders, the <br>FHLBNY will act as a convenor, <br>facilitator, and/or participant in <br>meetings, industry events, or <br>conversations organized to explore <br>possible resolutions to or <br>innovations around current and <br>emerging District needs.<br>| 30% | 3 | 4 | 6 | 7 |
| 2025 Acquired Member Assets Low- <br>Income <br>Mortgage Purchased Through <br>Mortgage Asset Program ("MAP")<br>| The FHFA's Federal Home Loan <br>Bank housing goal regulation <br>establishes annual requirements for <br>FHLBank's Acquired Member <br>Assets ("AMA") activity<br>|  | 22.0% | 24.0% | 26.0% | 29.8% |

---

*4. <u>Organizational Effectiveness Goal</u>*

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Bankwide Goals**  |  |  |  |  |  |  |
| **(Measure and calculation of measure)** | **How Goal Meets Stated Purpose** | **Weighting** | **Threshold** | **Target** | **Maximum** | **Results** |
| The Organizational Effectiveness Goal <br>will focus on two key tenets that are <br>related to the success of the Bank's <br>approved Strategy:<br>|  |  |  |  |  |  |
| (1) Technology Strategy | Achievement of 12 identified <br>milestones and corresponding <br>criteria across the total # of <br>work efforts which have <br>meaningful contribution to <br>each work effort.<br>| 7.50% | 6 | 8 | 10 | 11 |
| (2) Culture – Enhancing Inclusion <br>and Expanding Opportunity for <br>Learning, Growth & Development<br>| Allow for four opportunities <br>per year for managers to <br>encourage decision making at <br>all levels per the Distributed <br>Leadership principles.<br>| 7.50% | 81 | 108 | 135 | 178 |

---

The weighted average of all group results for Bankwide goals, (excluding Internal Audit) for 2025 was 81.4% above target. Payments

are interpolated between the target and maximum amounts.

c)<u>Clawback Provision of the Incentive Compensation Plan</u>

A clawback provision in the Incentive Plan provides as follows:

If, within 3 years after an incentive has been paid or calculated as owed to a Participant who is a member of the Bank's Management

Committee, it is discovered that such amount was based on the achievement of financial or operational goals within this Plan that

subsequently are deemed by the Bank to be inaccurate, misstated or misleading, the Board shall review such incentive amounts paid or

owed. Inaccurate, misstated and/or misleading achievement of financial or operational goals shall include, but not be limited to,

overstatements of revenue, income, capital, return measures and/or understatements of credit risk, market risk, operational risk or

expenses.

If the Board determines that an incentive amount paid or considered owed to the Participant (the "Awarded Amount") would have

been a lower amount when calculated barring the inaccurate, misstated and/or misleading achievement of financial or operational

goals (the "Adjusted Amount"), the Board shall, except as provided below, seek to recover to the fullest extent possible the difference

between the Awarded Amount and the Adjusted Amount (the "Undue Incentive Amount").

The Board may decide to not seek recovery of the Undue Incentive Amount if the Board determines that to do so would be

unreasonable or contrary to the interests of the Bank. In making such determination, the Board may take into account such

considerations as it deems appropriate including, but not limited to: (a) whether the Undue Incentive Amount is immaterial in impact

to the Bank; (b) whether the Participant engaged in any intentional or unlawful misconduct that contributed to the inaccurate,

misstated and/or misleading information; (c) whether the change in the applicable achievement level was a result of circumstances

beyond the control of management; (d) the likelihood of success to recover the claimed Undue Incentive Amount under governing law

versus the cost and effort involved; and (e) whether seeking recovery could prejudice the interests of the Bank. The decision by the

Board to seek recovery of an Undue Incentive Amount need not be uniform among Participants. Authority of the Board under this IC

Plan may be delegated to the Committee but may not be delegated to the President.

If the Board determines to seek recovery of any or all of the Undue Incentive Amount (the "Recovery Amount"), it will make a written

demand from the Participant for the repayment of the Recovery Amount. Subject to the IC Plan provisions regarding the forfeiture of

unpaid amounts, if the Participant does not within a reasonable period, after receiving the written demand, provide repayment of the

Recovery Amount, and the Board determines that he or she is unlikely to do so, the Board may seek a court order against the

Participant for repayment of the Recovery Amount.

d)<u>Required Deferral of IC Plan Awards</u>

A required deferral portion of the IC Plan ("DICP") applies to members of the Bank's Management Committee including all NEOs.

Such deferred compensation plan provides that the payments made to Management Committee members under the IC Plan are

deferred and will be made as described below.

The DICP provides that 50% of the Total Communicated Award (as defined below), if any, under the Plan year communicated to

Management Committee participants (which includes the NEOs) will ordinarily be paid by the middle of March following the Plan

year.

The remaining 50% will be deferred (the "Deferred Incentive Award"), subject to certain additional conditions specified in the Plan,

such that 33 1/3% of the Deferred Incentive Award will ordinarily be paid by the middle of March of the following three years.

Deferred Incentive Awards will be paid if the Bank's ratio of market value of equity to par value of capital stock is equal to, or greater

than 100%. To compensate employees for the lost time value of money, the Bank will pay an interest rate on the deferred amount

equal to the Bank's return on equity over the deferral period, subject to a floor of zero.

An executive who terminates employment with the Bank other than for "good reason" or who is terminated by the Bank for "cause"

will forfeit any portion of the Deferred Incentive Award that has not yet been paid. In addition, the Deferred Incentive Award will be

paid, if otherwise earned, in full in the event of the executive's death or disability, or a "change in control" (as defined in the DICP).

In the chart below, the following terms have the following definitions:

"Total Communicated Award" means the total amount of the incentive award (if any) under the Plan communicated to Management

Committee Participants;

"Current Communicated Incentive Award" means 50 percent of the Total Communicated Award and shall not exceed 100 percent of

the participant's base salary; and

"Deferred Incentive Award" means the remaining 50 percent of the Total Communicated Award.

---

| | | |
|:---|:---|:---|
| **Payment** | **Description** | **Payment Year** |
| Current Communicated Incentive Award | 50% of the Total Communicated Award | Base year\* |
| Deferred Incentive Award installment | Up to 33 1/3% of the Deferred Incentive Award | Year 1\*\* |
| Deferred Incentive Award installment | Up to 33 1/3% of the Deferred Incentive Award | Year 2\*\* |
| Deferred Incentive Award installment | Up to 33 1/3% of the Deferred Incentive Award | Year 3\*\* |

---

*\* Payment shall ordinarily be made by mid-March.*

*\*\* Payment shall ordinarily be made by mid-March in the year indicated.*

***IV.Retirement Benefits***

<u>Introduction</u>

We maintain comprehensive qualified and non-qualified defined benefit and defined contribution savings plans for our employees,

including our NEOs. The benefits provided by these plans are components of the total compensation opportunity for employees. The

Board and C&HR Committee believe these plans serve as valuable retention tools and provide significant tax deferral opportunities

and resources for the participants' long-term financial planning.

These plans are discussed below.

<u>a) Profit Sharing Plan</u> 

In 2010, the Board approved the establishment of a Profit-Sharing Plan for employees who were not grandfathered in the Bank's

retirement plan and who were participants in the NQDB. A provision of an amount equal to 8% of the prior year's base pay and total

communicated incentive award to the extent the requirements under the Bank's IC Plan have been achieved. The 8% payment will not

be included as income for calculating the benefits for the Qualified Defined Benefit Plan. There was one NEO who qualified for this

benefit: Mr. Goldstein.

<u>b) DB Plan</u> - a Qualified Defined Benefit Retirement Plan

The DB Plan is an Internal Revenue Code ("IRC") qualified defined benefit plan which covers all employees who have achieved four

months of service. The DB Plan is part of a multiple-employer defined benefit program administered by Qualified Retirement

Services.

The Bank's qualified Defined Benefit retirement plan offers five benefit tiers (summarized below) and the actual package offered to

the NEO depends on the employee's age and date of hire. The retirement benefit is payable in certain cases in lump sum or by a life

annuity based on an average earnings calculation, taking the benefit multiplier factor times the participant's years of benefit service,

not to exceed 30 years. A vested employee may take early retirement starting at age 45. The "Rule of 70" adds a participant's age and

years of service. Depending on the DB plan tier, early retirement benefits are reduced based on this calculation.

For calendar year 2025, only salary earned up to $350,000 can be considered when determining payments under the qualified DB

Plan. This compensation limit is adjusted annually by the IRS. Annual benefits paid out by the DB Plan are also subject to IRC limits

which vary by age and benefit payment option selected.

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| **DB Provisions** | **Tier A** | **Tier B** | **Tier C** | **Tier D** | **Tier E** |
|  | **Plan participants who** <br>**attained age 50 with 5** <br>**years of vesting service** <br>**by July 1, 2008**<br>| **Plan participants who have not** <br>**attained age 50 with 5 years of** <br>**vesting service by July 1, 2008**<br>| **Plan participants on or** <br>**after July 1, 2008 and** <br>**prior to July 1, 2014**<br>| **Plan participants** <br>**enrolled on or after** <br>**July 1, 2014 and prior** <br>**to July 1, 2024**<br>| **Plan participants** <br>**Enrolled on or after** <br>**July 1, 2024**<br>|
| Benefit Multiplier | 2.5% | 2.5% prior to June 30, 2008<br>2.0% after July 1, 2008<br>| 2.0% | 1.5% prior to June 30, <br>2024<br>2.0% after July 1, 2024<br>| 2.0% |
| Final Average Pay <br>Period<br>| High 3-year of base salary, <br>plus incentives<br>| High 3-year of base salary, plus <br>incentives (for benefit Service <br>accrued prior to June 30, 2008)<br>High 5-year of base salary, plus <br>incentives (for benefit service <br>accrued after July 1, 2008)<br>| High 5-year of base salary, <br>plus incentives<br>| For benefit service prior <br>to June 30, 2024 – High <br>5-year of base salary only <br>For benefit service after <br>July 1, 2024 - High 5-<br>year of base salary, plus <br>incentives<br>| High 5-year of base <br>salary, plus incentives<br>|
| Normal Form <br>Payment<br>| Life Annuity with <br>Guaranteed 12 Year pay-<br>out<br>| 12x payment with Cost of living <br>Adjustments prior to June 30, 2008<br>Single life annuity or 50% joint and <br>survivor annuity after July 1, 2008<br>| Single Life or 50% joint <br>and survivor annuity<br>| Single Life or 50% joint <br>and survivor annuity<br>| Single Life or 50% <br>joint and survivor <br>annuity<br>|
| Cost of Living <br>Adjustments<br>| 1% per year commencing <br>on Jan 1 following the <br>attainment of age 66<br>| 1% per year Commencing on Jan 1 <br>following the attainment of age 66 <br>on benefits accrued prior to <br>6/30/2008 only<br>|  |  |  |
| Early Retirement <br>Subsidy<65:<br>Rule of 70 Met<br>| 1.5% benefit Reduction <br>per Year if retires before <br>age 65<br>| For benefits accrued Prior to <br>6/30/2008: 1.5% benefit reduction <br>per year if retires before age 65<br>For benefits accrued Prior to <br>7/1/2008: 3% per year benefit <br>reduction per year if retires before <br>age 65<br>| 3% per year benefit <br>reduction per year if retires <br>before age 65<br>| 3% per year benefit <br>reduction per year if <br>retires before age 65<br>| 3% per year benefit <br>reduction per year if <br>retires before age 65<br>|
| Rule of 70 Not <br>Met<br>| 3% per year benefit <br>reduction<br>| For benefits accrued Prior to <br>6/30/2008: 3% per year benefit <br>reduction if retires before age 65<br>For benefits accrued Prior to <br>7/1/2008: Actuarial equivalence <br>benefit reduction (6% per year from <br>age 65 to age 60, 4% per year from <br>age 60 to age 55 and 3% per year <br>From age 55 to age 45)<br>| Actuarial equivalence <br>benefit reduction (6% per <br>year from age 65 to age 60, <br>4% per year from age 60 to <br>age 55 and 3% per year <br>from age 55 to age 45)<br>| Actuarial equivalence <br>benefit reduction (6% per <br>year from age 65 to age <br>60, 4% per year from age <br>60 to age 55 and 3% per <br>year from age 55 to age <br>45)<br>| Actuarial equivalence <br>benefit reduction (6% <br>per year from age 65 <br>to age 60, 4% per year <br>from age 60 to age 55 <br>and 3% per year from <br>age 55 to age 45)<br>|
| Vesting | 20% per year commencing <br>second year of <br>employment through year <br>four<br>100% vesting of the <br>accumulated Benefit after <br>year six<br>| 20% per year commencing second <br>year of employment through year <br>four<br>100% vesting of the accumulated <br>benefit after year five<br>| 100% vested after 5 years <br>of employment<br>| 100% vested after 5 years <br>of employment<br>| 100% vested after 5 <br>years of employment<br>|
| Benefit Cap | 30 years | 30 years | 30 years | 30 years | 30 years |

---

NEO participation in the DB Plan was as follows:

• Tier A: Mr. Neylan

• Tier B: Mr. Goldstein

• •Tier C: Mr. González

• Tier D: Mr. Snook; Mr. Pandya; and Mr. Dongre

The DB Plan pays monthly annuities, or a lump sum amount available at or after age 59-1/2, calculated on an actuarial basis, to vested

participants or the beneficiaries of deceased vested participants. Annual benefits provided under the DB Plan also are subject to IRC

limits, which vary by age and benefit payment option selected.

The Bank's practice regarding contributions to the DB Plan is to make contributions to the DB Plan in amounts greater than the

minimum required contribution as determined actuarially under current pension rules established under current Federal law.

In order to help ensure that the Bank's qualified pension plan continues to pass IRS Safe Harbor tests, commencing on July 1, 2022,

the qualified retirement benefits for certain NEOs will no longer accrue under the DB Plan; rather, these benefits will be provided

under the NQDB described below.

<u>c) NQDB - a Non-Qualified Defined Benefit Retirement Plan</u>

Employees at the rank of First Vice President and above (including the NEOs) who exceed income limitations established by the IRC

and were also approved for inclusion by the Bank's Nonqualified Plan Committee are eligible to participate in the NQDB, a non-

qualified retirement plan that in many respects mirrors the DB Plan. Vice Presidents already participating as of January 1, 2023 are

grandfathered into the NQDB.

The primary objective of the NQDB is to ensure that participants receive the full benefit to which they would have been entitled under

the DB Plan in the absence of limits on maximum benefit levels imposed by the IRC. In the event that the benefits payable from the

DB Plan have been reduced or otherwise limited by government regulations, the employee's "lost" benefits are payable under the

terms of the NQDB. The NQDB also enhances benefits for certain NEOs as follows:

---

| | | |
|:---|:---|:---|
| **NON-QUALIFIED DEFINED BENEFIT** <br>**(NQDB PLAN) PROVISIONS**<br>| **NQDB PLAN A\*** | **NQDB PLAN B\*\*** |
| Benefit Multiplier | 2.5% | 2.0% |
| Final Average Pay Period | High 3-Year | High 5-Year |
| Normal Form of Payment | Lump Sum Distribution or Life Annuity <br>with Guaranteed 12 Year Payout<br>| Lump Sum Distribution or Straight <br>Life Annuity<br>|
| Cost of Living Adjustments | 1% Per Year Cumulative Commencing <br>at Age 66<br>|  |

---

*\* This included the following NEOs: Mr. González and Mr. Neylan, and Mr. Goldstein for his service prior to June 30, 2008.*

*\*\* This included the following NEOs: Mr. Snook, Mr. Pandya, Mr. Dongre, and Mr. Goldstein for his service after July 1, 2008.*

The NQDB is an unfunded arrangement. However, the Bank has established a grantor trust to assist in financing the payment of

benefits under this plan. The Bank's policy is to maintain assets in the grantor trust at a level up to the Accumulated Benefit

Obligation for the NQDB. The financing level for the NQDB is reviewed annually.

The Board's C&HR Committee administers various oversight responsibilities pertaining to the NQDB. These matters include

approving employees as participants of the NQDB and taking other action which may be appropriate to facilitate the NQDB's plan

administration.

<u>d) DC Plan - a Tax Qualified Defined Contribution Savings Plan</u>

NEOs may contribute to the DC Plan, a retirement savings plan qualified under the IRC. All employees are eligible for membership in

the DC Plan on the first day of the month following three full calendar months of employment.

An employee may contribute 1% to 100% of base salary into the DC Plan, up to IRC limitations.

If an employee contributes at least 4% of base salary, the Bank provides the maximum employer match of 6% of elective contributions

upon plan entry. If an employee contributes less than 4% of base salary, the Bank will match at a rate of 150% of elective

contributions. Contributions of less than 2% of base salary receive a match of up to 1.5% of the employee's base salary.

<u>e) NQDC - a Non-Qualified Defined Contribution Savings Plan</u>

Employees at the rank of Vice President and above (including the NEOs) who exceed income limitations established by the IRC, and

who contribute to their qualified DC Plan up to the IRC Limits, are eligible to participate in the NQDC. Participating employees are

allowed to defer up to 75% of the employee's base salary.

The Bank will make a matching contribution each plan year of up to 6% or 9% of base salary on the elective deferrals made under the

NQDC. If an employee elects to defer at least 4% of base salary, the Bank will match at a rate of 150% of elective deferred

contributions capped at a match of 6% or 9% depending on eligibility. For 2025, all NEOs qualified for the 9% match (in excess of

the DC Plan contribution limits). However, the requirement that the DC Plan savings must first meet the IRS limits before

contributions are matched in the NQDC was eliminated, effective January 1, 2026.

All deferred monies will be the property of the Bank until distribution to the employee and thus subject to claims of Bank creditors

until distribution. Amounts deferred and contributed as matching contributions under the NQDC shall be credited to the participant's

NQDC account. Participants may choose to invest their NQDC funds within a menu of investment options. These investment options

are selected by the management's Employee Retirement Plan Committee from time to time.

<u>f) NQDICP - a Non-Qualified Deferred Incentive Compensation Plan</u> 

The NQDICP allows employees serving at the rank of a Vice President or above (including the NEOs) to elect to defer all or a portion

of the employee's annual incentive compensation that is paid to the employee under the terms of any Board-approved IC Plan or

deferred portion of such IC Plan. The Bank does not provide a match on these deferrals. All deferred monies will be the property of

the Bank until distribution to the employee and thus subject to claims of Bank creditors until distribution.

Amounts deferred and contributed under the NQDICP shall be credited to the participant's NQDICP account. Participants may choose

to invest their NQDICP funds within a menu of investment options. Participants may elect to receive their funds in a lump sum or in at

least two annual installments (not to exceed ten annual installments). The annual payments may be deferred by election in accordance

with 409A IRC requirements for up to ten years.

***V.Health and Welfare Programs and Other Benefits***

a)<u>Perquisites and Benefits</u>

We offer the following additional perquisites and other benefits to all employees, including the NEOs, under the same general terms

and conditions:

• Medical, dental, and vision insurance (subject to employee expense sharing);

• Employer-paid Health Savings Account (HSA) and Health Reimbursement Account (HRA) contributions;

• Vacation leave, which increases based upon officer title and years of service;

• Life and long-term disability insurance (NEOs are eligible for enhanced monthly benefits under our disability insurance

program);

• Travel and accident insurance which include life insurance benefits;

• Educational assistance; and

• Employee relocation assistance, where appropriate, for new hires.

b)<u>Retiree Medical</u>

We offer eligible employees, including certain NEOs, medical coverage when they retire. Employees are eligible to participate in the

Retiree Medical Benefits Plan if they were at least 55 years old as of January 1, 2015 with 10 years of service when they retire from

active service.

Retirees who retire before age 62 pay the full premium for the coverage they had as employees until they attain age 62. The premium

paid by retirees upon becoming Medicare-eligible (either at age 65 or prior thereto as a result of disability) is a premium reduced to

take into account the status of Medicare as the primary payer of the medical benefits of Medicare-eligible retirees.

Under the Plan as in effect from May 1, 1995 until December 31, 2007, herein identified as "Grandfathered," retirees beginning at age

62, we contributed a percentage of the premium based on their total completed years of service (no adjustment is made for partial

years of service) on a "Defined Benefit" basis. There are no NEOs who qualify for this benefit.

Effective January 1, 2008, for employees who, as of December 31, 2007, did not have 5 years of service and were age 60 or older,

herein identified as "Non-Grandfathered," we contributed $45 per month toward the premium of a Non-Grandfathered retiree

multiplied by the number of years of service earned by the retiree after age 45. The total cost of medical coverage elected by the

employee (determined by the number of individuals including the retiree, the retiree's spouse, and each other dependent of the retiree)

under the Plan is then reduced by the Bank contribution from age 62 until the retiree or a covered dependent of the retiree becomes

Medicare-eligible (usually at age 65 or earlier, if disabled). There are no NEOs who qualify for this benefit.

For all covered employees as of January 1, 2015, including the NEOs, from age 62 until the retiree or a covered dependent of the

retiree becomes Medicare-eligible (usually at age 65 or earlier, if disabled), we contribute $26.87 per month toward the premium of a

Non-Grandfathered retiree multiplied by the number of years of service earned by the retiree after age 45. The total cost of medical

coverage elected by the employee (determined by the number of individuals including the retiree, the retiree's spouse, and each other

dependent of the retiree) under the Plan is then reduced by the Bank contribution.

After the retiree or a covered dependent of the retiree becomes Medicare-eligible, our contribution toward the premium for the

coverage of the Medicare-eligible individual will be reduced to $14.93 per month multiplied by the number of years of service earned

by the retiree after age 45. The total cost of medical coverage elected by the employee (determined by the number of individuals

including the retiree, the retiree's spouse, and each other dependent of the retiree) under the Plan is then reduced by the Bank

contribution. The $26.87 and $14.93 amounts are fixed and not cost-of-living adjusted.

Below is a summary of the Retiree Medical Benefits Plan:

---

| | |
|:---|:---|
| **Retiree Medical Benefit Plan** | **Provisions for Retirees January 1, 2015 and after\***  |
| Plan Type | Defined Dollar Plan: A medical plan in which medical coverage is provided to <br>a retired employee up to a fixed cost for the coverage elected by the employee <br>and the retiree assumes all costs above the stated contribution.<br>|
| Eligibility | Active employee who has completed 10 years of employment at FHLBNY and <br>attained age 55 as of January 1, 2015.<br>|
| Medical Plan Formula | 1) Retiree (and covered individual), is eligible for $26.87/month x years of <br>service after age 45 and has attained the age of 62. The Cost of Living <br>Adjustment is excluded.<br>|
|  | 2) Retiree (and covered individual) is eligible for $14.93/month x years of <br>service after age 45 and after age 65. The Cost of Living Adjustment is <br>excluded.<br>|
|  | $0 for Pre-62 Pre-65/Post-65 |
| Employer Cost Share Examples: |  |
| 10 years of service after age 45 | $3,224/$1,792/Annually |
| 15 years of service after age 45 | $4,837/$2,687/Annually |
| 20 years of service after age 45 | $6,449/$3,583/Annually |

---

\* *This included the following NEOs: K. Neylan.* 

***VI.Severance Plan, Executive Change in Control Agreements and Golden Parachute Rule***

a)<u>Severance Plan</u>

Other than as described below, all Bank employees are employed under an "at will" arrangement. Accordingly, an employee may

resign employment at any time and the Bank may terminate the employee's employment at any time for any reason with or without

cause.

Severance benefits to an employee in the event of termination of his or her employment may be paid in accordance with the Bank's

formal Board-approved Severance Pay Plan ("Severance Plan") available to all Bank employees who work twenty or more hours a

week and have completed at least two "periods of service" (the number of six (6) month periods, in the aggregate, for which an

employee is employed by the Bank).

Severance benefits may be paid to employees who:

(i) are part of a reduction in force;

(ii) have resigned from the Bank following a reduction in salary grade, level, or rank;

(iii) refuse a transfer of fifty miles or more;

(iv) have their position eliminated;

(v) are unable to perform his/her duties in a satisfactory manner and is warranted that the employee would not be discharged for cause;

or

(vi) had their employment terminated as a result of a change in control of the Bank (however, in the event of a change in control that

affects the Bank President, the other Bank NEOs, and the Chief Audit Officer, provisions contained in separate Executive Change in

Control Agreements ("CIC" Agreements) shall govern: see below for more information).

An NEO shall be eligible for two weeks of severance benefits for each six-month period of service with the Bank (even if the

employment has been less than six months), but not less than twenty-six weeks of severance benefits nor more than fifty-two weeks of

such benefits; in the event of a change in control, the 'floor' and 'cap' shall be twelve weeks and fifty-two weeks, respectively. For

Bank NEOs, the severance benefit will not be less than twenty-six weeks or more than fifty-two weeks, except in cases for change in

control, where up to seventy-eight weeks may be provided if an NEO is not under an CIC Agreements discussed below. Non-officers

are eligible for severance benefits in accordance with different formulas.

If the terminated employee is enrolled in the Bank's medical benefits plan at the time of termination and elects to purchase health

insurance continuation coverage, the Bank will pay the original "employer portion" to the Third Party Administrator for a period of

time, based upon level and length of service of the employee. Employees, including NEOs, shall be eligible for employer paid benefit

coverage in accordance with different formula; those who have service greater than five years shall receive six months of employer

paid benefit coverage; those who have service greater than ten years shall receive nine months of employer paid benefit coverage. The

Bank may also in its discretion arrange for outplacement services.

Payment of severance benefits under the Severance Plan is contingent on an employee executing a severance agreement which

includes a release of any claim the employee may have against the Bank and any present and former director, officer and employee.

Severance benefits payable under the Severance Plan shall be paid on a lump sum basis.

b)<u>Executive Change in Control Agreements</u>

CIC Agreements were initially executed in January 2016 and have been renewed every three years, most recently in January 2025,

between the FHLBNY and the NEOs, which provide the executive with certain severance payments and benefits in the event

employment is terminated in connection with a change in control of FHLBNY.

Under the terms of the CIC Agreement, if the executive's employment with FHLBNY is terminated by FHLBNY without "cause" or

by the executive for "good reason" (as defined in the CIC Agreement) during the period beginning on the earliest of (a) twelve (12)

months prior to the execution by FHLBNY of a definitive agreement regarding a Change in Control, (b) twelve (12) months prior to

Change in Control mandated by federal statute, rule or directive, and (c) twelve (12) months prior to the adoption of a plan or proposal

for the liquidation or dissolution of FHLBNY, and ending, in all cases, twenty-four (24) months following the effective date of the

Change in Control, the executive becomes entitled to certain severance payments and benefits.

The payments and benefits include: (i) an amount equal to the product of the executive's average gross base salary for the three years

prior to his employment termination date (with any partial years being annualized), multiplied by 2.99 for the Chief Executive Officer,

and 1.5 for other CIC Agreement participants; (ii) if the executive is a participant in FHLBNY's Incentive Compensation Plan (the

"Annual Plan"), an amount equal to the product of the executive's full target incentive payout estimate, or the actual amount of the

payment to the executive under the Annual Plan, if lower, in either case, in respect of the year prior to the year of the employment

termination date, multiplied by 2.99 for the Chief Executive Officer, and 1.5 for other CIC Agreement participants; (iii) an amount

equal to the cost of health, dental and vision care benefits that FHLBNY actually incurred by FHLBNY on behalf of the Executive and

his dependents, if any, during the twelve (12) months prior to the executive's employment termination date; (iv) $15,000, which the

executive may put toward outplacement services; (v) $15,000, which the executive may put toward accounting, actuarial, financial,

legal or tax services; (vi) additional age and service credits under the FHLBNY's NQDB of three (3) years for the Chief Executive

Officer and one and one-half (1.5) years for other CIC Agreement participants; and (vii) an amount equal to 2.99 times the Chief

Executive Officer's annual matching contribution under the DC Plan and NQDC, and 1.5 times the match for other CIC Agreement

participants.

The payments described above are payable in a lump sum within sixty (60) days following the executive's employment termination

date, with the benefits under the DCP being distributed in accordance with the terms of the DCP. All payments and benefits are

conditioned on the executive having delivered an irrevocable general release of claims against FHLBNY before payment occurs. In

addition, notwithstanding anything to the contrary, all payments and benefits remain subject to FHLBNY's compliance with any

applicable statutory and regulatory requirements relating to the payment of amounts under the CIC Agreements and in the event that a

governmental authority or a court with competent jurisdiction directs that any portion or all of the payments may not be paid to the

executive, the executive shall not be eligible to receive, or shall return, such payments.

c)<u>Golden Parachute Rule</u>

The Finance Agency issued final rules on executive compensation and golden parachute payments relating to the regulator's oversight

of such compensation and payments located at 12 CFR Parts 1230 and 1231 the ("Golden Parachute Rule"). This sets forth the

standards that the Finance Agency will take into consideration when limiting or prohibiting golden parachute payments by an

FHLBank, the Office of Finance, Fannie Mae or Freddie Mac. The Golden Parachute Rule generally prohibits golden parachute

payments except in limited circumstances with Finance Agency approval. Golden parachute payments may include compensation paid

to a director, officer or employee following the termination of such person's employment by a regulated entity that is insolvent, is in

conservatorship or receivership, is required by the Director to improve its financial condition or has been assigned a composite

examination rating of 4 or 5 by the Finance Agency. Golden parachute payments generally do not include payments made pursuant to

a qualified pension or retirement plan, an employee welfare benefit plan, a bona fide deferred compensation plan, a nondiscriminatory

severance pay plan, or payments made by reason of the death or disability of the individual. Our benefit plans comply with the Golden

Parachute Rule and the Bank has not had a payment in 2025 restricted by the Finance Agency.

***VII.Explanation of how we determine the amount and, where applicable, the formula for each element of compensation***

Please see Section II directly above for an explanation of the mechanisms used to determine employee compensation.

***VIII. Explanation of how each element of compensation and the decisions regarding that element fit into the overall compensation***

***objectives and affect decisions regarding other elements of compensation***

The C&HR Committee believes it has developed a unified, coherent system of compensation which for the NEOs is also overseen and

limited by our regulator, the Finance Agency. Please refer to Section II under the heading "The Total Compensation Program" for an

explanation of the components that make up our total compensation program. Together, these components comprised the total

compensation program for 2025 and they are established in accordance with our Compensation Philosophy and the regulated

environment that we operate in as discussed in Section I above.

Our overall objectives with regard to our compensation and benefits program are to motivate employees to achieve consistent and

superior results over a long period of time, and to provide a program that allows us to compete for and retain talent.

As we make changes to one element of the compensation and benefits program mix, the C&HR Committee considers the impact on

the other elements of the mix. In this regard, the C&HR Committee strives to maintain programs that keep the Bank within the

parameters of its compensation philosophy as set forth in the Bank's Compensation Policy and Compensation Benchmarking.

***COMPENSATION COMMITTEE REPORT***

The C&HR Committee of the Board of Directors has reviewed and discussed the Compensation Discussion and Analysis required by

Item 402(b) of Regulation S-K with management and based on such review and discussions, the C&HR Committee recommended to

the Board that the Compensation Discussion and Analysis be included in the annual report on Form 10-K for the year 2025.

*THE COMPENSATION AND HUMAN RESOURCES COMMITTEE*

---

| |
|:---|
| José R. Fernández, Chair |
| Robert Fisher, Vice Chair |
| David R. Huber |
| Ira Robbins |
| Josie J. Thomas |
| Anders Tomson |
| Ángela Weyne |

---

**RISKS ARISING FROM COMPENSATION PRACTICES**

We do not believe that risks arising from the compensation policies with respect to its employees are reasonably likely to have a

material adverse effect on the Bank. We do not structure any of our compensation plans in a way that inappropriately encourages risk

taking to achieve payment.

Our business model operates on a low return/low risk basis. One of the important characteristics of our culture is appropriate attention

to risk management. We have established procedures with respect to risk which are reviewed frequently by entities such as our

regulator, external audit firm, Risk Management Group, and Internal Audit Department.

In addition, we have a Board and associated Committees that provide governance. The compensation programs are reviewed annually

by the C&HR Committee and the structure of our compensation programs provides evidence of the balanced approach to risk and

reward in our culture. The rationale behind the structure of the Incentive Plan and its goals is to motivate management to take a

balanced approach to managing risks and returns in the course of managing the business, while at the same time ensuring that we

fulfill our mission. The Incentive Plan design is intended to motivate management to act in ways that are aligned with the Board's

wishes to have us achieve forecasted returns while managing risks within prescribed risk parameters. In addition, the goals in the IC

Plan will not motivate management to increase returns if they require imprudently increasing risk.

In addition, we are prohibited by regulations from offering equity-based compensation, and we do not currently offer long-term

incentives. However, many of the firms in our peer group do offer these types of compensation. The total compensation program takes

into account the existence of these other types of compensation by offering defined benefit and defined contribution plans to help

effectively compete for talent. The defined benefit and defined contribution plans are designed to reward employees for continued

strong performance over the course of their careers — that is, the longer an employee works at the Bank, the greater the benefit the

employee is likely to accumulate. Senior and mid-level employees are generally long-tenured, and we believe that these employees

would not want to endanger their pension benefits by inappropriately stretching rules to achieve a short-term financial gain. By

definition, these programs are reflective of the low-risk culture.

The Finance Agency also has issued certain compensation principles, one of which is that executive compensation should be

consistent with sound risk management and preservation of the Market value of Equity to Capital Stock Ratio Value of membership

stock. Also, the Finance Agency reviews all executive compensation plans relative to these principles and such other factors as the

Finance Agency determines to be appropriate, including the Bank's annual merit increases and annual Incentive Plan for the NEOs

prior to their becoming effective.

Thus, the Bank's low risk culture, which is reflected in the compensation policy, leads us to believe that any risks arising from the

compensation policies with respect to our employees are not reasonably likely to have a material adverse effect.

**Compensation Committee Interlocks and Insider Participation**

The following persons served on the C&HR Committee during all or some of the period from January 1, 2025, through the date of this

annual report on Form 10-K: David R. Huber, Thomas J. Kemly, Robert Fisher, José R. Fernández, Christopher P. Martin, David J.

Nasca, Ira Roberts, Josie J. Thomas, Anders Tomson, and Ángela Weyne. During this period, no interlocking relationships existed

between any member of the Bank's Board of Directors or the C&HR Committee and any member of the Board of Directors or

compensation committee of any other company, nor did any such interlocking relationship exist in the past. Further, no member of the

C&HR Committee listed above was an officer or our employee during the course of their service as a member of the Committee or

was formerly an officer or our employee before becoming a member of the Committee.

**Executive Compensation**

The table below summarizes the total compensation earned by each of the Named Executive Officers ("NEOs") for the years 2025,

2024 and 2023 (in dollars):

**Summary Compensation Table for Calendar Years 2025, 2024 and 2023**

---

| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Name and Principal Position** <br>**(a)**<br>| **Year** <br>**(b)**<br>| **Salary** <br>**(c)**<br>| **Bonus** <br>**(d)**<br>| **Stock** <br>**Awards** <br>**(e)**<br>| **Option** <br>**Awards (f)**<br>| **Non-Equity**<br>**Incentive** <br>**Plan** <br>**Compensation (g)**<sup>(1)</sup><br>| **Change in**<br>**Pension Value** <br>**and Nonqualified** <br>**Deferred** <br>**Compensation** <br>**(h)**<sup>(2)</sup><br>| **All Other** <br>**Compensation** <br> **(i)**<sup>(3)</sup><br>| **Total (j)** |
| Randolph C. Snook | 2025 | $880193 | $— | $— | $— | $876569 | $316000 | $51021 | $2123783 |
| President & |  |  |  |  |  |  |  |  |  |
| Chief Executive Officer (PEO) |  |  |  |  |  |  |  |  |  |
| José R. González\* | 2025 | $346618 | $— | $— | $— | $87617 | $1057600 | $106195 | $1598030 |
| Senior Advisor to the President <br>& CEO<br>| 2024 | $1201608 | $— | $— | $— | $1118221 | $504000 | $114796 | $2938625 |
|  | 2023 | $1166610 | $— | $— | $— | $1088875 | $1034000 | $114729 | $3404214 |
| Kevin M. Neylan | 2025 | $666450 | $— | $— | $— | $502918 | $577000 | $67267 | $1813635 |
| Senior Vice President, | 2024 | $634714 | $— | $— | $— | $430760 | $— | $63033 | $1128507 |
| Chief Financial Officer (PFO) | 2023 | $616227 | $— | $— | $— | $415828 | $937000 | $66325 | $2035380 |
| Vikram S. Dongre | 2025 | $582400 | $— | $— | $— | $417788 | $208000 | $62576 | $1270764 |
| Senior Vice President, | 2024 | $546731 | $— | $— | $— | $347470 | $76000 | $58455 | $1028656 |
| Chief Capital Markets Officer |  |  |  |  |  |  |  |  |  |
| Shatayu P. Pandya | 2025 | $577500 | $— | $— | $— | $409318 | $176000 | $160556 | $1323374 |
| Senior Vice President, | 2024 | $535250 | $— | $— | $— | $311741 | $48000 | $152311 | $1047302 |
| Chief Risk Officer |  |  |  |  |  |  |  |  |  |
| Adam S. Goldstein\*\* | 2025 | $513328 | $— | $— | $— | $389008 | $393000 | $117175 | $1412511 |
| Senior Vice President, |  |  |  |  |  |  |  |  |  |
| Chief Business Officer |  |  |  |  |  |  |  |  |  |

---

Footnotes for Summary Compensation Table for the Year Ending December 31, 2025

*(1)The amounts in column (g) reflect the dollar value of all earnings for services performed during the fiscal years ended* 

*December 31, 2025, 2024, and 2023 pursuant to awards under the ICP, even though fifty percent of the ICP awards for each year* 

*were subject to mandatory deferral and distribution over three years. As discussed in the Compensation Discussion and Analysis,* 

*the 2025 non-equity incentive compensation awards were subject to a 30-day review period and receipt of non-objection by the* 

*Finance Agency. The amounts in column (g) also include the dollar value of all interest during each year earned on Deferred* 

*Incentive related to ICP awards for prior fiscal years, in the following amounts for 2025: $87,617 for J. González, $34,120 for K.* 

*Neylan, $8,113 for V. Dongre, $3,089 for S. Pandya and $24,812 for A. Goldstein.* 

*(2)The amounts in column (h) reflects the sum of the actuarial change in pension value for (i) the Qualified Defined Benefit Plan for* 

*Financial Institutions and (ii) the Nonqualified Defined Benefit Portion of the Deferred Compensation Plan. These values are* 

*based on actuarial calculations and depend on the level of market interest rates in addition to other factors. These plans are* 

*described in greater detail below under "Pension Benefits".* 

(3)*The amounts in column (c) for 2025 consist of the components in the following table which presents in dollars:*

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Name** | **Bank** <br>**Contributions** <br>**under the 401(k)** <br>**Plan** <sup>(1)</sup><br>| **Matching** <br>**contributions under** <br>**the Bank's non-**<br>**qualified Defined** <br>**Contribution Plan**<sup>(2)</sup><br>| **Perquisite** <sup>(3)</sup> | **Tax Gross-ups** <sup>(4)</sup> | **Other**<sup>(5)</sup> | **Total** |
| Randolph C. Snook | $21000 | $— | $29696 | $324 | $— | $51021 |
| José R. González\* | $14327 | $21321 | $70547 | $— | $— | $106195 |
| Kevin M. Neylan | $7639 | $52265 | $7363 | $— | $— | $67267 |
| Vikram S. Dongre  | $16092 | $36270 | $10214 | $— | $— | $62576 |
| Shatayu P. Pandya  | $14615 | $37293 | $8648 | $— | $100000 | $160556 |
| Adam S. Goldstein\*\* | $14451 | $31993 | $70391 | $341 | $— | $117175 |

---

*(1)Includes amount of funds matched in connection with the Qualified Defined Contribution 401(k) Plan .*

*(2)Includes amount of funds matched in connection with the Nonqualified Defined Contribution Portion of the DCP.*

(3)*Perquisites are valued at the actual amounts paid by the Bank and are benefits not available to all employees on equal terms. The* 

*Bank paid premiums for each named executive officer for health savings and health reimbursement account contributions, group* 

*term life, and long-term disability insurance - which are otherwise available to all employees and these items are reported here.* 

*The Bank paid amount for J. Gonzalez for accrued and unused vacation. The Bank provided A. Goldstein payment under the* 

*replacement plan for the Nonqualified Profit-Sharing Plan. These amounts are included in column (i) of the Summary* 

*Compensation Table.*

*(4)The Bank paid tax gross-up amount for R. Snook and A. Goldstein for reimbursement. This amount is included in column (i) of the* 

*Summary Compensation Table.*

*(5)The Bank paid S. Pandya for a retention incentive.* 

*\* J. Gonzalez, served as President and Chief Executive Officer through January 2025. In connection with his transition to retirement,* 

*he served as Senior Advisor through April 4, 2025, the date on which his employment with the Bank terminated. His Board-approved* 

*annual salary was $1,201,608; the salary actually paid was $346,618.*

*\*\*A. Goldstein is a new NEO in 2025.* 

The following table sets forth information regarding all incentive plan award opportunities made available to NEOs for the calendar

year 2025 (in whole dollars).

**Grants of Plan-Based Awards for Calendar Year 2025**

---

| | | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Grants of Plan-Based Awards for Fiscal Year 2025** | **Grants of Plan-Based Awards for Fiscal Year 2025** | **Grants of Plan-Based Awards for Fiscal Year 2025** | **Grants of Plan-Based Awards for Fiscal Year 2025** | **Grants of Plan-Based Awards for Fiscal Year 2025** | **Grants of Plan-Based Awards for Fiscal Year 2025** | **Grants of Plan-Based Awards for Fiscal Year 2025** | **Grants of Plan-Based Awards for Fiscal Year 2025** | **Grants of Plan-Based Awards for Fiscal Year 2025** | **Grants of Plan-Based Awards for Fiscal Year 2025** | **Grants of Plan-Based Awards for Fiscal Year 2025** | **Grants of Plan-Based Awards for Fiscal Year 2025** |
|  | **Grant** | **Estimated Future Payouts** <br>**Under Non-Equity** <br>**Incentive Plan Awards** <sup>(2) (3)</sup> | **Estimated Future Payouts** <br>**Under Non-Equity** <br>**Incentive Plan Awards** <sup>(2) (3)</sup> | | **Estimated Future Payouts Under Equity** <br>**Incentive Plan Awards** | **Estimated Future Payouts Under Equity** <br>**Incentive Plan Awards** | **Estimated Future Payouts Under Equity** <br>**Incentive Plan Awards** | **All Other** <br>**Stock** <br>**Awards:** <br>**Number of** <br>**Shares of** <br>**Stock**<br>| **All Other** <br>**Stock** <br>**Awards:** <br>**Number of** <br>**Shares of** <br>**Underlying**<br>| **Exercise** <br>**or Base** <br>**Price of** <br>**Option** <br>**Awards**<br>| **Grant** <br>**Date Fair** <br>**Value of** <br>**Stock and** <br>**Option** <br>**Awards**<br>|
| **Name** | **Date** <sup>(1)</sup> | **Threshold** | **Target** | **Maximum** | **Threshold** | **Target** | **Maximum** | **or Units** | **Options** | **($/Sh)** | **($/Sh)** |
| Randolph C. Snook | 2/07/2025 | $440096 | $704154 | $880193 | $— | $— | $— |  |  | $— | $— |
| José R. González | 2/07/2025 | $173309 | $277294 | $346618 | $— | $— | $— |  |  | $— | $— |
| Kevin M. Neylan | 2/07/2025 | $199935 | $333225 | $499837 | $— | $— | $— |  |  | $— | $— |
| Vikram S. Dongre | 2/07/2025 | $174720 | $291200 | $436800 | $— | $— | $— |  |  | $— | $— |
| Shatayu P. Pandya | 2/07/2025 | $173250 | $288750 | $433125 | $— | $— | $— |  |  | $— | $— |
| Adam S. Goldstein | 2/07/2025 | $153998 | $256664 | $384996 | $— | $— | $— |  |  | $— | $— |

---

*(1)On this date, the Board of Directors' C&HR Committee approved the 2025 Incentive Plan. Approval of the ICP does not mean a* 

*payout is guaranteed.*

*(2)Figures represent an assumed rating attained by the NEO of at least a specified threshold rating within the "Meets* 

*Requirements" category for the NEO with respect to their individual performance.* 

*(3)Amounts represent potential awards under the 2025 Incentive Plan.*

**Incentive Compensation Plan Opportunity Table for Calendar Year 2025**

The table below provides information regarding the total incentive compensation amount awarded to NEOs based on Bank-wide goal

results (in dollars):

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Bankwide Component** | **Bankwide Component** | **Bankwide Component** | **Bankwide Component** |  |  |  |
|  | **2025** <br>**Annual Salary**<br>| **Threshold** | **(100% of** <br>**Opportunity)** <br>**Target**<br>| **Maximum** | **Actual Result** <sup>(1)</sup> | **Actual Result** <sup>(1)</sup> | **Actual Result** <sup>(1)</sup> |
|  |  | **Bank Performance** | **Bank Performance** | **Bank Performance** | **BankWide** <br>**Component**<br>| **Total** <br>**Communicated** <br> **Award** <sup>(2)</sup><br>| **Current** <br>**Communicated** <br>**Incentive Award** <sup>(3)</sup><br>|
| **President** |  | **50%** | **80%** | **100%** |  |  |  |
| Randolph C. Snook | $880193 | $440096 | $704154 | $880193 | $876569 | $876569 | $438285 |
| *President & Chief Executive Officer* |  |  |  |  |  |  |  |
| José R. González\* | $346618 | $173309 | $277294 | $346618 | $— | $— | $— |
| *Senior Advisor to the President & CEO* |  |  |  |  |  |  |  |
| **Other NEOs** |  | **30%** | **50%** | **75%** |  |  |  |
| Kevin M. Neylan | $666450 | $199935 | $333225 | $499837 | $468799 | $468799 | $234399 |
| *Senior Vice President, Chief Financial Officer* |  |  |  |  |  |  |  |
| Vikram S. Dongre | $582400 | $174720 | $291200 | $436800 | $409676 | $409676 | $204838 |
| *Senior Vice President, Chief Capital Markets* <br>*Officer*<br>|  |  |  |  |  |  |  |
| Shatayu P. Pandya | $577500 | $173250 | $288750 | $433125 | $406229 | $406229 | $203114 |
| *Senior Vice President, Chief Risk Officer* |  |  |  |  |  |  |  |
| Adam S. Goldstein | $513328 | $153998 | $256664 | $384996 | $364196 | $364196 | $182098 |
| *Senior Vice President, Chief Business Officer* |  |  |  |  |  |  |  |

---

*(1)The weighted average of all employees' results for Bankwide goals, including Risk Management, was 81.4 % above target.* 

*Payments are interpolated between the target and maximum amounts.*

*(2)Incentive Compensation is calculated as follows:* 

*a.The portion of the award for achieving target equals: Annual Salary multiplied by Target percentage, plus*

*b.The portion of the award for exceeding target equals: Annual Salary multiplied by the "Maximum minus Target* 

*percentage," multiplied by the percentage above target of the participant group.*

*(3)There may be small differences in the calculated payout amounts due to rounding. The amount represented here is the Current* 

*Communicated Award of Incentive Compensation. The Current Communicated Incentive Award is the actual payout awarded to* 

*the NEO in* 2026 *for performance in 2025. [Refer to Section III d (Required Deferral of IC Plan Awards) of this Compensation* 

*Discussion and Analysis for further details].* 

*\* J. Gonzalez served as President and Chief Executive Officer through January 2025. In connection with his transition to retirement,* 

*he thereafter served as Senior Advisor through April 4, 2025, the date on which his employment with the Bank terminated.*

*<u>Employment Arrangements</u>*

We are an "at will" employer and do not provide written employment agreements to any of our employees, except that we do provide

Executive Change in Control Agreements to the NEOs (refer to Section VI. b. of the Compensation Discussion and Analysis,

"Executive Change in Control Agreements", for further details). However, employees, including NEOs, receive: (a) cash

compensation (i.e., base salary, and, for exempt employees, "variable" or "at risk" short-term incentive compensation); (b) retirement-

related benefits (i.e., the Qualified Defined Benefit Plan; the Qualified Defined Contribution Plan; and the Non-Qualified Defined

Benefit ("NQDB") component and the Non-Qualified Defined Contribution ("NQDC") components of the Deferred Compensation

Plan ("DCP") and (c) health and welfare programs and other benefits. Other benefits, which are available to all regular employees,

include medical, dental, vision care, life, business travel accident, and short- and long-term disability insurance, flexible spending

accounts, Health Savings Accounts, Health Reimbursement Accounts an employee assistance program, educational development

assistance, voluntary life insurance, long term care insurance, fitness club reimbursement and severance pay.

An additional benefit offered to all officers who are at Vice President rank or above (including the NEOs) is a physical examination

every 18 months.

A performance-based merit increase program exists for all employees, including NEOs that have a direct impact on base pay.

Generally, employees receive merit increases on an annual basis. Such merit increases are based upon the attainment of a performance

rating of "Outstanding," "Exceeds Requirements," or "Meets Requirements" achieved on individual performance evaluations. Annual

merit increases may also contain a market adjustment based on market compensation job benchmarking. Refer to Section II of the

Compensation Discussion and Analysis, "The Total Compensation Program" for further details.

*<u>Short-Term Incentive Compensation Plan ("IC Plan")</u>*

Refer to Section III of the Compensation Discussion and Analysis IC Plan for further details.

*<u>Qualified Defined Contribution Plan</u>*

Employees who have met the eligibility requirements can choose to contribute to the DC Plan, a retirement savings plan qualified

under the IRC. Employees are eligible for membership in the DC Plan on the first day of the month following three full calendar

months of employment. Refer to Section IV (DC Plan) of this Compensation Discussion and Analysis for further details.

**OUTSTANDING EQUITY AWARDS AT CALENDAR YEAR-END**

**AND OPTION EXERCISES AND STOCK VESTED**

The tables disclosing (i) outstanding option and stock awards and (ii) exercises of stock options and vesting of restricted stock for

NEOs are omitted because all employees are prohibited by law from holding capital stock issued by a Federal Home Loan Bank. As

such, these tables are not applicable.

**PENSION BENEFITS**

The table below shows the present value of accumulated benefits payable to each of the NEO, the number of years of service credited

to each such person, and payments during the last Calendar year (if any) to each such person, under the Qualified Defined Benefit Plan

("DB Plan") and the Non-Qualified Defined Benefit ("NQDB") component of the Deferred Compensation Plan ("DCP") (amounts in

whole dollars) (refer to Sections IV of the Compensation Discussion and Analysis for further details about these plans): [ use

following name under employee name:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Pension Benefits** | **Pension Benefits** | **Pension Benefits** | **Pension Benefits** |
|  |  | **Number of** | **Present Value** | **Payment** <br>**During**<br>|
|  |  | **Years Credited** | **of Accumulated** | **Last** |
| **Name** | **Plan Name** | **Service** <sup>(1)</sup> | **Benefit** <sup>(2)</sup> | **Fiscal Year** |
| Randolph C. Snook | Defined Benefit Plan for Financial Institutions Qualified Plan | 6.00 | $308000 | $— |
|  | Nonqualified Defined Benefit Portion of the Deferred Compensation Plan | 0.92 | $213000 | $— |
| José R. González\* | Defined Benefit Plan for Financial Institutions Qualified Plan | 11.83 | $610000 |  |
|  | Nonqualified Defined Benefit Portion of the Deferred Compensation Plan | 11.83 | $7629000 | $410600 |
| Kevin M. Neylan | Defined Benefit Plan for Financial Institutions Qualified Plan | 24.33 | $2482000 | $— |
|  | Nonqualified Defined Benefit Portion of the Deferred Compensation Plan | 24.33 | $6252000 | $— |
| Vikram S. Dongre | Defined Benefit Plan for Financial Institutions Qualified Plan | 9.50 | $271000 | $— |
|  | Nonqualified Defined Benefit Portion of the Deferred Compensation Plan | 9.50 | $442000 | $— |
| Shatayu P. Pandya | Defined Benefit Plan for Financial Institutions Qualified Plan | 8.50 | $240000 | $— |
|  | Nonqualified Defined Benefit Portion of the Deferred Compensation Plan | 8.50 | $416000 | $— |
| Adam S. Goldstein | Defined Benefit Plan for Financial Institutions Qualified Plan | 28.08 | $1263000 | $— |
|  | Nonqualified Defined Benefit Portion of the Deferred Compensation Plan | 28.08 | $1681000 | $— |

---

*(1)Number of years of credited service pertains to eligibility/participation in the qualified plan. Assuming the NEO is eligible for the* 

*Nonqualified Defined Benefit component of the Deferred Compensation Plan, years of credited service are the same as for the* 

*Defined Benefit Plan for Financial Institutions Qualified Plan.*

*(2)As of 12/31/2025.*

*\* J. Gonzalez served as President and Chief Executive Officer through January 2025. In connection with his transition to retirement,* 

*he thereafter served as Senior Advisor through April 4, 2025, the date on which his employment with the Bank terminated.*

**NONQUALIFIED DEFERRED COMPENSATION PLAN**

The following table discloses contributions to Nonqualified Deferred Compensation plan ("DCP"), each Named Executive Officer's

withdrawals (if any), aggregate earnings and year-end balances in such plans (whole dollars):

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Nonqualified Deferred Compensation for Fiscal Year 2025** | **Nonqualified Deferred Compensation for Fiscal Year 2025** | **Nonqualified Deferred Compensation for Fiscal Year 2025** | **Nonqualified Deferred Compensation for Fiscal Year 2025** | **Nonqualified Deferred Compensation for Fiscal Year 2025** |
| **Name** | **Executive** <br>**Contributions in** <br>**Last FY** <sup>(1)</sup><br>| **Registrant** <br>**Contributions in** <br>**Last FY** <sup>(2)</sup><br>| **Aggregate** <br>**Earnings in** <br>**Last FY**<br>| **Aggregate** <br>**Withdrawals/** <br>**Distributions**<br>| **Aggregate** <br>**Balance at** <br>**Last FYE**<br>|
| Randolph C. Snook |  |  |  |  |  |
| NQDC | $— | $— | $— | $— | $— |
| NQDIC | $— | $— | $— | $— | $— |
| José R. González |  |  |  |  |  |
| NQDC | $3662 | $16869 | $168843 | $294001 | $1313385 |
| NQDIC | $— | $— | $— | $— | $— |
| Kevin M. Neylan |  |  |  |  |  |
| NQDC | $95463 | $52265 | $154272 | $— | $1504772 |
| NQDIC | $360251 | $— | $107351 | $— | $2071459 |
| Vikram S. Dongre |  |  |  |  |  |
| NQDC | $21362 | $36270 | $28603 | $— | $226478 |
| NQDIC | $— | $— | $— | $— | $— |
| Shatayu P. Pandya |  |  |  |  |  |
| NQDC | $26676 | $37293 | $4121 | $— | $68090 |
| NQDIC | $— | $— | $— | $— | $— |
| Adam S. Goldstein |  |  |  |  |  |
| NQDC | $20604 | $31993 | $36456 | $— | $299710 |
| NQDIC | $— | $— | $— | $— | $— |

---

*(1) These amounts as they pertain to the DCP component of the NQDC and NQDICP are also included in the "Salary" and "Non-*

*Equity Incentive Compensation" columns of the Summary Compensation Table, respectively, for if an executive is an NEO in a* 

*particular year; these amounts would have been paid as salary or incentive compensation but for deferral into the nonqualified* 

*plans (described above as our NQDC and NQDICP).*

*(2) These totals as they pertain to the DCP and are also included in the "All Other Compensation" column of the Summary* 

*Compensation Table. There are no registrant contributions in connection with the NQDICP.*

Refer to Section IV of the Compensation and Discussion Analysis for more information concerning the DCP and its components, the

NQDB, the NQDC and the NQDICP.

**DISCLOSURE REGARDING TERMINATION AND CHANGE IN CONTROL PROVISIONS**

*<u>Severance Plan</u>*

The Bank has a formal Board-approved Severance Plan available to all Bank employees who work twenty or more hours a week and

have at least one year of employment. (Refer to Section VI of the Compensation Discussion and Analysis, "Severance Plan", for

further details.)

The following table describes estimated severance payout information under the Severance Plan for each NEO assuming that

severance would have occurred on December 31, 2025 for reasons other than a change in control (for example, a reduction in force)

(amounts in whole dollars):

---

| | | | |
|:---|:---|:---|:---|
|  | **Number of Weeks Used to** <br>**Calculate Severance** <br>**Amount**<br>| **2025 Annual** <br>**Base Salary**<br>| **Severance Amount** <br>**Based on Years of** <br>**Service\***<br>|
| Randolph C. Snook | 26 | $880193 | $440096 |
| José R. González\*\* | 0 | $— | $— |
| Kevin M. Neylan | 36 | $666450 | $461388 |
| Vikram S. Dongre | 36 | $582400 | $403200 |
| Shatayu P. Pandya | 32 | $577500 | $355385 |
| Adam S. Goldstein | 36 | $513328 | $355381 |

---

*\*Additionally, under the Bank's Severance Plan, the Bank will pay the original "employer portion" contribution to the Third Party* 

*Administrator for a period of time, based upon level and length of service of the employee.* 

*\*\*J. Gonzalez served as President and Chief Executive Officer through January 2025. In connection with his transition to retirement,* 

*he thereafter served as Senior Advisor through April 4, 2025, the date on which his employment with the Bank terminated.*

*<u>Executive Change in Control Agreements</u>*

Executive Change in Control Agreements ("CIC Agreements") were executed in January 2016 between the FHLBNY and each of the

members of the Management Committee, including the CEO and the other Named Executive Officers, which, as more fully described

below, would provide the executive with certain severance payments and benefits in the event employment is terminated in connection

with a Bank "change in control". The CIC Agreements were renewed in January 2025 for an additional three-year period. R. Snook

entered into a CIC Agreement upon joining the Bank and becoming a member of the Management Committee in February 2025.

The following table describes estimated severance and benefit payout information under the CIC Agreements for each NEO assuming

that a change in control merger or acquisition of the FHLBNY would have occurred on December 31, 2025 (amounts in whole

dollars). (Refer to Section VI of the Compensation Discussion and Analysis, "Executive Change in Control Agreements", for further

details).

**<u>Sample CIC Agreement Contract Pay-Outs Assuming</u> <u>December 31, 2025</u> <u>Bank Merger or Acquisition</u>**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Provision** | **Randolph** <br>**Snook**<br>| **José** <br>**González\***<br>| **Kevin** <br>**Neylan**<br>| **Vikram** <br>**Dongre**<br>| **Shatayu** <br>**Pandya**<br>| **Adam** <br>**Goldstein**<br>|
| Amount equal to the executive's average gross base salary <br>for the three years prior to his employment termination <br>date (with any partial years being annualized), multiplied <br>by 2.99 for Mr. González, and Mr. Snook and 1.5 for <br>Messrs. Neylan, Dongre, Pandya and Goldstein.<br>| $2871028 | $— | $958695 | $778950 | $763524 | $716902 |
| Amount equal to the executive's full target incentive <br>payout estimate, or the actual amount of the payment to <br>the executive under the FHLBNY's Incentive <br>Compensation Plan, if lower, in either case, in respect of <br>the year prior to the year of the employment termination <br>date, multiplied by 2.99 for Mr. González, Mr. Snook and <br>1.5 for Messrs. Neylan, Dongre, Pandya and Goldstein.<br>| $— | $— | $462170 | $196469 | $215148 | $338410 |
| Amount equal to the cost of health, dental and vision care <br>benefits that FHLBNY actually incurred by FHLBNY on <br>behalf of the Executive and his dependents, if any, during <br>the twelve (12) months prior to the executive's <br>employment termination date.<br>| $25658 | $— | $26830 | $— | $12688 | $38869 |
| A payment in the amount of $15,000 which may be used <br>by the Executive for job search-related expenses.<br>| $15000 | $— | $15000 | $15000 | $15000 | $15000 |
| A payment in the amount of $15,000 which may be used <br>by the Executive for accounting, actuarial, financial, legal <br>and/or tax services.<br>| $15000 | $— | $15000 | $15000 | $15000 | $15000 |
| Additional age and service credits under the FHLBNY <br>Non-Qualified Defined Benefit Plan ("Nonqualified <br>NQDB") of three (3) years for Mr. González and Mr. <br>Snook, and one and one-half (1.5) years for Messrs. <br>Neylan, Dongre, Pandya, and Goldstein.<br>| $711491 | $— | $545828 | $228009 | $194996 | $300730 |
| Additional age and service credits under the FHLBNY <br>Qualified (DC Plan) & Non-Qualified Defined <br>Contribution Plan ("NQDC") of three (3) years for Mr. <br>González and Mr. Snook, and one and one-half (1.5) <br>years for Messrs. Neylan, Dongre, Pandya and Goldstein.<br>| $129628 | $— | $89971 | $78624 | $77963 | $69299 |
| **Total value of contract** | **$3767805** | **$—** | **$2113494** | **$1312052** | **$1294319** | **$1494210** |

---

*Note: Additionally, in the event of a change in control, the executive will be paid deferred incentive compensation otherwise owed* 

*under the terms of the deferred portion of the Bank's Incentive Compensation Plan (as described at Section III of this Compensation* 

*Discussion and Analysis, "Required Deferral of IC Plan Award").*

*\*Mr. Gonzalez voluntarily retired from the Bank on April 4, 2025, and was not eligible for Change-in-Control.*

**CEO Pay Ratio** 

For the year ended December 31, 2025, the ratio of our CEO's Total Compensation to the FHLBNY's median of the annual Total

Compensation of all our employees, except the CEO ("Median Employee") is (15:1). Total Compensation of the Median Employee for

2025 is calculated in the same manner. "Total Compensation" for 2025 is shown for our CEO in the Summary Compensation Table,

which includes, among other things, amounts attributable to the change in pension value, which will vary among employees based

upon their tenure at the FHLBNY. During 2025, the total pension values for the Median Employee was $54,000.

Two individuals served as CEO at the FHLBNY during different periods in 2025. Mr. González served as the FHLBNY President &

CEO from April 2, 2014 to January 31, 2025. Effective February 1, 2025, Mr. Snook was appointed the FHLBNY President & CEO.

For 2025, the Total Compensation of the Median Employee was $250,972. The FHLBNY used $2,203,800 as the Total Compensation

of the CEO which represents Mr. Snook's annualized 2025 Total Compensation for purposes of the CEO pay ratio disclosure.

We identified the Median Employee as of October 1, 2025, by compiling the amount of base salary and incentive awards as reflected

in our payroll records for each of the employees who were employed by the FHLBNY during 2025 regardless of whether they were

still employed by the Bank on October 1, 2025. We then ranked the annualized cash compensation for all such employees (a list of

408 employees) from lowest to highest, excluding the CEO, and which was applied consistently to all our employees included in the

calculation. We believe this compensation measure reasonably reflects the annual compensation of all the FHLBNY employees and

was prepared under applicable SEC rules. The FHLBNY included all full-time employees in the calculation of the Median Employee

and annualized all such employees who were not employed by us for all of 2025.

**DIRECTOR COMPENSATION**

The following table summarizes the compensation paid by us to each of our Directors for the year ended December 31, 2025 (whole

dollars):

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
| **Name** | **Fees** <br>**Earned or**<br>**Paid in Cash**<br>| **Stock**<br>**Awards**<br>| **Option**<br>**Awards**<br>| **Non-Equity** <br>**Incentive Plan** <br>**Compensation**<br>| **Change in** <br>**Pension Value** <br>**and Nonqualified** <br>**Deferred** <br>**Compensation**<br>**Earnings**<br>| **All Other**<br>**Compensation**<br>| **Total** |
| Larry E. Thompson (2025 Chair) | $156100 | $— | $— | $— | $— | $— | $156100 |
| David J. Nasca (2025 Vice Chair) | 138600 |  |  |  |  |  | 138600 |
| Melba I. Acosta | 123000 |  |  |  |  |  | 123000 |
| José R. Fernández | 123000 |  |  |  |  |  | 123000 |
| Robert Fisher | 123000 |  |  |  |  |  | 123000 |
| David R. Huber | 130000 |  |  |  |  |  | 130000 |
| Thomas J. Kemly | 130000 |  |  |  |  |  | 130000 |
| Charles E. Kilbourne | 130000 |  |  |  |  |  | 130000 |
| Steven M. Klein | 123000 |  |  |  |  |  | 123000 |
| Carolyn B. Maloney | 123000 |  |  |  |  |  | 123000 |
| Christopher P. Martin | 130000 |  |  |  |  |  | 130000 |
| Gerald L. Reeves | 123000 |  |  |  |  |  | 123000 |
| Ghillaine Reid-Melboure | 123000 |  |  |  |  |  | 123000 |
| Ira Robbins | 130000 |  |  |  |  |  | 130000 |
| Stephen S. Romaine | 130000 |  |  |  |  |  | 130000 |
| Josie J. Thomas | 123000 |  |  |  |  |  | 123000 |
| Anders M. Tomson | 123000 |  |  |  |  |  | 123000 |
| William J. Turner, Jr. | 123000 |  |  |  |  |  | 123000 |
| Ángela Weyne | 123000 |  |  |  |  |  | 123000 |
| Total Fees | $2427700 | $— | $— | $— | $— | $— | $2427700 |

---

<u>Director Compensation Policy: Director Fee Opportunities</u>

The Board establishes on an annual basis a Director Compensation Policy governing compensation for Board meeting attendance. This

policy is established in accordance with the provisions of the Federal Home Loan Bank Act (Bank Act) and related Federal Housing

Finance Agency regulations. In sum, the applicable statutes and regulations allow each FHLBank to pay its Directors reasonable

compensation and expenses, subject to the authority of the Director of the Finance Agency to object to, and to prohibit prospectively,

compensation and/or expenses that the Director of the Finance Agency determines are not reasonable. The Director Compensation

Policy provides that directors shall be paid a meeting fee for their attendance at meetings of the Board of Directors up to a maximum

annual compensation amount as set forth in the Director Compensation Policy.

In determining appropriate and reasonable fee opportunities available to FHLBNY Directors, the Board takes into consideration the

following factors:

• the desire to attract and retain highly qualified and skilled individuals in order to help guide a complex and highly-regulated

financial institution that is subject to a variety of financial, reputational and other risks;

• the highly competitive environment for talent in the New York City metropolitan area — a center of world finance in which

stock exchanges, securities companies and other sophisticated financial institutions are located (and in this regard, we note

that Directors are required to be sourced from within the District and the pay rate should reflect the local market);

• the demands of the Director position, including the time and effort that Directors must devote to FHLBNY and Board

business as the Board meets more frequently than many public company boards;

• the FHLBNY must pay competitive director compensation in order to attract and retain board members with a wide range of

experiences and expertise, and who often have several opportunities to join other boards;

• the overall performance of the FHLBNY, an institution that is a Federal Home Loan Bank System leader, a strong financial

performer, a reliable source of liquidity for its customers, and a provider of a consistent dividend — and an institution which

wishes to maintain this performance; and

• Director compensation surveys performed over time by outside compensation consultants, most recently in 2025 — surveys

which have provided the Directors with the ability to compare Director compensation opportunities with compensation

opportunities available at other institutions.

The Board reviews the issue of appropriate and reasonable Director fee opportunities on an annual basis.

Below are tables summarizing the Director fees and the annual compensation limits that were set by the Board for 2025. Following

these tables are additional tables summarizing the Director fees and the annual compensation limits set by the Board for 2026.

**Director Fee Opportunities —2025 (in whole dollars)**

---

| | |
|:---|:---|
| **Position** | <br>**Fees For Each Board** <br>**Meeting Attended** <br>**(Paid Quarterly in Arrears)** <sup>(b)</sup><br>|
| Chairman | $19512 |
| Vice Chairman | $17325 |
| Committee Chairs <sup>(a)</sup> | $16250 |
| All Other Directors | $15375 |

---

**Director Annual Compensation Limits — 2025 (in whole dollars)**

---

| | |
|:---|:---|
| **Position** | **Annual Limit** |
| Chairman | $156100 |
| Vice Chairman | $138600 |
| Committee Chairs <sup>(a)</sup> | $130000 |
| All Other Directors | $123000 |

---

*(a)A Committee Chair does not receive any additional payment if he or she serves as the Chair of more than one Board Committee.* 

*In addition, the Board Chair and Board Vice Chair do not receive any additional compensation if they serve as a Chair of one or* 

*more Board Committees.*

*(b)The numbers in this column represent payments for each of eight meetings attended by the Committee Chairs and all other* 

*Directors other than the Board Chair and Board Vice Chair. The numbers in this column also represent payments for each of* 

*seven meetings attended by the Board Chair and the Board Vice Chair. If an eighth meeting is attended by the Board Chair, they* 

*will receive $19,512 for that meeting.*

**Director Fee Opportunities — 2026 (in whole dollars)**

---

| | |
|:---|:---|
| **Position** | <br>**Fees For Each Board Meeting** <br>**Attended** <br>**(Paid Quarterly in Arrears)** <sup>(b)</sup><br>|
| Chairman | $20293 |
| Vice Chairman | $17750 |
| Chairs of Audit, Corporate Governance & External Affairs, Compensation and Human Resources, and <br>Risk Committees<sup>(a)</sup><br>| $16900 |
| Chairs of Housing and Strategy & Business Committees<sup>(a)</sup> | $16250 |
| All Other Directors | $15375 |

---

**Director Annual Compensation Limits — 2026 (in whole dollars)**

---

| | |
|:---|:---|
| **Position** | **Annual Limit** |
| Chairman | $162344 |
| Vice Chairman | $142000 |
| Chairs of Audit, Corporate Governance & External Affairs, Compensation and Human Resources, and <br>Risk Committees<sup>(a)</sup><br>| $135200 |
| Chairs of Housing and Strategy & Business Committees<sup>(a)</sup> | $130000 |
| All Other Directors | $123000 |

---

*(a)A Committee Chair does not receive any additional payment if he or she serves as the Chair of more than one Board Committee.* 

*In addition, the Board Chair and Board Vice Chair do not receive any additional compensation if they serve as a Chair of one or* 

*more Board Committees.*

*(b)The numbers in this column represent payments for each of eight meetings attended by the Board Vice Chair, the Committee* 

*Chairs and all other Directors. The numbers in this column also represent payments for each of seven meetings attended by the* 

*Board Chair. If an eighth meeting is attended by the Board Chair, they will receive* $20,293 *for that meeting.*

<u>Director Compensation Policy: Director Expenses</u>

The Director Compensation Policy also authorizes us to reimburse Directors for necessary and reasonable travel, subsistence, and

other related expenses incurred in connection with the performance of their official duties. For expense reimbursement purposes,

Directors' official duties can include:

• Meetings of the Board and Board Committees

• Meetings requested by the Federal Housing Finance Agency

• Meetings of Federal Home Loan Bank System committees

• Federal Home Loan Bank System director orientation meetings

• Meetings of the Council of Federal Home Loan Banks and Council committees

• Attendance at other events on behalf of the Bank with prior approval

**Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters.**

FHLBNY stock can only be held by member financial institutions. No person, including directors and executive officers of the

FHLBNY, may own our capital stock. As such, we do not offer any compensation plan to any individuals under which equity

securities of the Bank are authorized for issuance. The following tables provide information about those members who were beneficial

owners of more than 5% of our outstanding capital stock (shares in thousands) as of February 28, 2026 and December 31, 2025:

---

| | | | |
|:---|:---|:---|:---|
| **Name of Beneficial Owner** | **February 28, 2026** <br>**Principal Executive Office Address**<br>| **Number** <br>**of Shares** <br>**Owned**<br>| **Percent** <br>**of Total** <br>**Capital** <br>**Stock**<br>|
| Teachers Insurance and Annuity <br>Association of America<br>| 730 Third Avenue, New York, NY, 10017 | 7190 | 11.22% |
| Citibank, N.A. | 388 Greenwich Street, New York, NY, 10013 | 6804 | 10.61 |
| MetLife, Inc.: |  |  |  |
| Metropolitan Life Insurance Company | 200 Park Avenue, New York, NY, 10166 | 6276 | 9.79 |
| Metropolitan Tower Life Insurance <br>Company<br>| One MetLife Way, Whippany, NJ, 07981 | 724 | 1.13 |
|  |  | 7000 | 10.92 |
| Flagstar Bank, National Association | 102 Duffy Avenue, Hicksville, NY, 11801 | 4290 | 6.69 |
| Morgan Stanley Private Bank, National <br>Association<br>| 2000 Westchester Avenue, Purchase, NY,10577 | 3650 | 5.69 |
| Equitable Financial Life Insurance Co. | 1290 Avenue of the Americas, New York, NY, 10104 | 3227 | 5.03 |
| Manufacturers and Traders Trust Company | One M & T Plaza, Buffalo, NY, 14203 | 3223 | 5.03 |
|  |  | 35385 | 55.19% |

---

---

| | | | |
|:---|:---|:---|:---|
| **Name of Beneficial Owner** | **December 31, 2025** <br>**Principal Executive Office Address**<br>| **Number** <br>**of Shares** <br>**Owned**<br>| **Percent** <br>**of Total** <br>**Capital** <br>**Stock**<br>|
| MetLife, Inc.: |  |  |  |
| Metropolitan Life Insurance Company | 200 Park Avenue, New York, NY, 10166 | 6276 | 11.58% |
| Metropolitan Tower Life Insurance <br>Company <br>| One MetLife Way, Whippany, NJ, 07981 | 724 | 1.34 |
|  |  | 7000 | 12.92 |
| Flagstar Bank, National Association | 102 Duffy Avenue, Hicksville, NY, 11801 | 4969 | 9.17 |
| Citibank, N.A. | 388 Greenwich Street, New York, NY, 10013 | 4556 | 8.41 |
| Teachers Ins. & Annuity Assoc of America | 730 Third Avenue, New York, NY, 10017 | 3753 | 6.93 |
| Equitable Financial Life Insurance Co. | 1290 Avenue of the Americas, New York, NY, 10104 | 3227 | 5.96 |
| Goldman Sachs Bank USA | 200 West Street, New York, NY, 10282 | 2975 | 5.49 |
|  |  | 26480 | 48.88% |

---

All capital stock held by each member of the FHLBNY is by law automatically pledged to the FHLBNY as additional collateral for all

indebtedness of each such member to the FHLBNY.

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | | | | **December 31, 2025** | **December 31, 2025** |
| <br>**Name** | <br>**Director** | <br>**City** | <br>**State** | **Number of** <br>**Shares Owned**<br>| **Percent of Total** <br>**Capital Stock**<br>|
| MetLife, Inc.: |  |  |  |  |  |
| Metropolitan Life Insurance Company | William (Bill) Turner | New York | NY | 6276 | 11.58% |
| Metropolitan Tower Life Insurance <br>Company<br>| William (Bill) Turner | Whippany | NJ | 724 | 1.34 |
|  |  |  |  | 7000 | 12.92 |
| Valley National Bank | Ira Robbins | Morristown | NJ | 1627 | 3.00 |
| Provident Bank | Christopher P. Martin | Iselin | NJ | 1150 | 2.12 |
| Columbia Bank | Thomas J. Kemly | Fair Lawn | NJ | 646 | 1.19 |
| Northfield Bank | Steven M. Klein | Staten Island, | NY | 466 | 0.86 |
| Tompkins Community Bank | Stephen S. Romaine | Ithaca | NY | 322 | 0.59 |
| NBT Bank, N.A. | David J. Nasca | Norwich | NY | 136 | 0.25 |
| Tioga State Bank | Robert M. Fisher | Owego | NY | 28 | 0.05 |
| Chemung Canal Trust Company | Anders M Tomson | Elmira | NY | 64 | 0.12 |
| Sturdy Savings Bank | Gerald L. Reeves | Cape May <br>Court House<br>| NJ | 11 | 0.02 |
|  |  |  |  | 11449 | 21.12% |

---

**Item 13. Certain Relationships and Related Transactions, and Director Independence.**

We have a cooperative structure and our customers own the entity's capital stock. Capital stock ownership is a prerequisite to the

transaction by members of any business with us. The majority of the members of our Board of Directors are Member Directors (i.e.,

directors elected by our members who are officers or directors of our members). The remaining members of the Board are Independent

Directors (i.e., directors elected by our members who are not officers or directors of our members). We conduct our advances and

mortgage loan business almost exclusively with members. Grants under the AHP and AHP advances are also made in partnership or in

connection with our members. Therefore, in the normal course of business, we may extend credit to members whose officers or

directors may serve as our directors. In addition, we may also extend credit and offer services and AHP benefits to members who own

more than 5% of our stock. All products, services and AHP benefits extended by us to such members are provided at market terms and

conditions that are no more favorable to them than the terms and conditions of comparable transactions with other members. Under the

provisions of Section 7(j) of the FHLBank Act (12 U.S.C. § 1427(j)), our Board is required to administer our business with our

members without discrimination in favor of or against any member. For more information about transactions with stockholders, see

<u>[Note 20. Related Party Transactions](#i32de807412974739bb39d7e35e639198_4768)</u>, in the audited financial statements in this Form 10-K.

The review and approval of transactions with related persons is governed by the Bank's written Code of Ethics and Business Conduct

(Code), which is posted on the Corporate Governance Section of the FHLBNY's website at https://www.fhlbny.com. Under the Code,

each director is required to disclose to the Board of Directors all actual or apparent conflicts of interest, including any personal

financial interest that he or she has, as well as such interests of any immediate family member or business associate of the director

known to the director, in any matter to be considered by the Board of Directors or in which another person does, or proposes to do,

business with the Bank. Following such disclosure, the Board of Directors is empowered to determine whether an actual conflict

exists. In the event the Board of Directors determines the existence of a conflict with respect to any matter, the affected director must

recuse himself or herself from all further considerations relating to that matter. Issues under the Code regarding conflicts of interests

involving directors are administered by the Board or, in the Board's discretion, the Board's Corporate Governance Committee.

The Code also provides that, subject to certain limited exceptions for, among other items, interests arising through ownership of

mutual funds and certain financial interests acquired prior to employment by the Bank, no Bank employee may have a financial

interest in any Bank member. Extensions of credit from members to employees are acceptable that are entered into or established in

the ordinary, normal course of business, so long as the terms are no more favorable than would be available in like circumstances to

persons who are not employees of the Bank. Employees provide disclosures regarding financial interests and financial relationships on

a periodic basis. These disclosures are provided to and reviewed by the Chief Legal Officer and the Director of Strategic Operational

Risk and Compliance, who are the Bank's two Ethics Officers. The Ethics Officers have responsibility for enforcing the Code of

Ethics with respect to employees on a day-to-day basis.

**Director Independence**

**In General**

During the period from January 1, 2025 through and including the date of this annual report on Form 10-K, the Bank had a cumulative

total of 20 directors serving on its Board, 12 of whom were Member Directors (i.e., directors elected by the Bank's members who are

officers or directors of Bank members) and 8 of whom were Independent Directors (i.e., directors elected by the Bank's members who

are not officers or directors of Bank members). All of the Bank's directors were independent of management from the standpoint that

they were not, and could not serve as, Bank employees or officers. Also, all individuals, including the Bank's directors, are prohibited

by law from personally owning stock or stock options in the Bank. In addition, the Bank is required to determine whether at least some

of its directors are independent under two distinct director independence standards. First, Federal Housing Finance Agency (Finance

Agency) regulations establish independence criteria for directors who serve as members of the Audit Committee of the Board of

Directors. Second, for disclosure purposes, the Securities and Exchange Commission's (SEC) regulations require that the Bank

disclose whether the members of its Board of Directors are independent under the independence criteria of a national securities

exchange or an inter-dealer quotation system in assessing the independence of its directors. In addition, Rule 10A-3 promulgated

under the Exchange Act sets forth the independence requirements of directors serving on the Audit Committee of an SEC reporting

company.

**Finance Agency Regulations Regarding Independence**

The Finance Agency director independence standards prohibit individuals from serving as members of the Bank's Audit Committee if

they have one or more disqualifying relationships with the Bank or its management that would interfere with the exercise of that

individual's independent judgment. Under Finance Agency regulations, disqualifying relationships can include, but are not limited to:

employment with the Bank at any time during the last five years; acceptance of compensation from the Bank other than for service as

a director; being a consultant, advisor, promoter, underwriter or legal counsel for the Bank at any time within the last five years; and

being an immediate family member of an individual who is or who has been within the past five years, a Bank executive officer. The

Board of Directors has assessed the independence of all directors under the Finance Agency's independence standards, regardless of

whether they serve on the Audit Committee. From January 1, 2025 through and including the date of this Annual Report on Form 10-

K, the Board has determined that all of the persons who served as a director of the Bank, including all directors who served as

members of the Audit Committee, were independent under these criteria.

**Exchange Act and NYSE Rules Regarding Independence**

In addition, pursuant to SEC regulations, for disclosure purposes, the Board applies the independence standards of the New York

Stock Exchange (NYSE) to determine which of its directors and committee members are independent. The Board also applies

Rule 10A-3 to determine the independence of the directors serving on its Audit Committee.

After applying the NYSE independence standards, the Board has determined that all of the Bank's Independent Directors who served

at any time during the period from January 1, 2025 through and including the date of this annual report on Form 10-K (i.e., Melba I.

Acosta, David R. Huber, Charles E. Kilbourne, Carolyn B. Maloney, Ghillaine A. Reid, Josie J. Thomas, Larry E. Thompson and

Ángela Weyne) were independent.

Separately, the Board was unable to affirmatively determine that there were no material relationships (as defined in the NYSE rules)

between the Bank and its Member Directors, and has therefore concluded that none of the Bank's Member Directors who served at

any time during the aforementioned period (i.e., José R. Fernández, Robert M. Fisher, David J. Hanrahan, Thomas J. Kemly, Steven

M. Klein, Christopher P. Martin, David J. Nasca, Gerald L. Reeves, Ira Robbins, Stephen S. Romaine, Anders M. Tomson, and

William J. Turner, Jr.) were independent under the NYSE independence standards.

In making this determination, the Board considered the cooperative relationship between the Bank and its members. Specifically, the

Board considered the fact that each of the Bank's Member Directors are officers of a Bank member institution, and that each member

institution has access to, and is encouraged to use, the Bank's products and services.

Furthermore, the Board acknowledges that under NYSE rules, there are certain objective tests that, if not passed, would preclude a

finding of independence. One such test pertains to the amount of business conducted with the Bank by the Member Director's

institution. It is possible that a Member Director could satisfy this test on a particular day. However, because the amount of business

conducted by a Member Director's institution may change frequently, and because the Bank generally desires to increase the amount

of business it conducts with each member, the directors deemed it inappropriate to draw distinctions among the Member Directors

based solely upon the amount of business conducted with the Bank by any director's institution at a specific time.

Notwithstanding the foregoing, the Board believes that it functions as a governing body that can and does act with good judgment with

respect to the corporate governance and business affairs of the Bank. The Board is aware of its statutory responsibilities under

Section 7(j) of the Federal Home Loan Bank Act, which specifically provides that the Board of Directors of a Federal Home Loan

Bank must administer the affairs of the Home Loan Bank fairly and impartially and without discrimination in favor of or against any

member borrower.

The Board has a standing Audit Committee. For the reasons noted above, the Board has determined that none of the Member Directors

who served at any time as members of the Board's Audit Committee during the period from January 1, 2025 through and including the

date of this annual report on Form 10-K (Robert M. Fisher, David J. Hanrahan, Thomas J. Kemly, Steven M. Klein, Gerald L. Reeves,

and Anders M. Tomson) were independent under the NYSE standards for such committee members. The Board also determined that

the Independent Directors who served as members of the Board's Audit Committee during the period from January 1, 2025 through

and including the date of this annual report on Form 10-K (Melba I. Acosta, David R. Huber and Ghillaine A. Reid) were independent

under the NYSE independence standards for such committee members. The Board also applied Rule 10A-3 to assess the independence

of the members of its Audit Committee.

Under Rule 10A-3, in order to be considered independent, a member of the Audit Committee may not, other than in his or her capacity

as a member of the Board or any other Board Committee (i) accept any consulting, advisory, or other compensation from us or (ii) be

an affiliated person of the Bank. During the period from January 1, 2025 through and including the date of this annual report on

Form 10-K, all of our directors, including all members of our Audit Committee, were independent under these criteria.

The Board also has a standing Compensation & Human Resources Committee (C&HRC). For the reasons noted above, the Board has

determined that none of the Member Directors who served at any time as members of the Bank's C&HRC during the period from

January 1, 2025 through and including the date of this annual report on Form 10-K (José R. Fernández, Robert M. Fisher, Thomas J.

Kemly, Christopher P. Martin, David J. Nasca, Ira Robbins, and Anders M. Tomson) were independent under the NYSE standards for

such committee members. The Board also determined that the Independent Directors who served as members of the Board's C&HRC

during the period from January 1, 2025 through and including the date of this annual report on Form 10-K (David R. Huber, Josie J.

Thomas and Ángela Weyne) were independent under the NYSE independence standards for such committee members.

**Item 14. Principal Accounting Fees and Services.**

The following table sets forth the fees paid to our independent registered public accounting firm, PricewaterhouseCoopers, LLP

(PwC), during years ended December 31, 2025, 2024 and 2023 (in thousands):

---

| | | | |
|:---|:---|:---|:---|
|  | **Years ended December 31,** | **Years ended December 31,** | **Years ended December 31,** |
|  | **2025** <sup>(a)</sup> | **2024** <sup>(a)</sup> | **2023** <sup>(a)</sup> |
| Audit Fees and Expenses | $1086 | $1055 | $1051 |
| Audit-related Fees | 73 | 198 | 69 |
| Tax Fees | 6 | 6 | 20 |
| All Other Fees |  | 2 | 3 |
| Total | $1165 | $1261 | $1143 |

---

*(a) The amounts in the table do not include the assessment from the Office of Finance (OF) for the Bank's share of the audit fees of* 

*approximately $87 thousand, $76 thousand and $72 thousand for 2025, 2024 and 2023, incurred in connection with the audit of* 

*the combined financial statements published by the OF.*

**AUDIT FEES**

Audit fees relate to professional services rendered in connection with the audit of the FHLBNY's annual financial statements, and

review of interim financial statements included in quarterly reports on Form 10-Q.

**AUDIT-RELATED FEES**

Audit-related fees primarily relate to consultation services provided in connection with respect to certain accounting and reporting

standards.

**TAX FEES**

Tax fees relate to consultation services provided primarily with respect to tax withholding matters.

**ALL OTHER FEES**

These other fees are primarily related to review of various accounting matters and consultation services.

**Policy on Audit Committee Pre-approval of Audit and Non-Audit Services Performed by the Independent Registered Public** 

**Accounting Firm.**

We have adopted a policy that prohibits our independent registered public accounting firm from performing non-financial consulting

services, such as information technology consulting and internal audit services. This policy also mandates that the audit and non-audit

services and related budget be approved by the full Audit Committee or Audit Committee Chair in advance, and that the Audit

Committee be provided with periodic reporting on actual spending. In accordance with this policy, all services to be performed by

PwC were pre-approved by either the full Audit Committee or the Audit Committee Chair.

Subsequent to the enactment of the Sarbanes-Oxley Act of 2002 (the "Act"), the Audit Committee has met with PwC to further

understand the provisions of that Act as it relates to independence. PwC will rotate the lead audit partner and other partners as

appropriate in compliance with the Act. The Audit Committee will continue to monitor the activities undertaken by PwC to comply

with the Act.

**PART IV**

**Item 15. Exhibits, Financial Statement Schedules.**

(a)1. Financial Statements

The financial statements included as part of this Form 10-K are identified in the index to the Financial Statements appearing

in <u>[Item 8](#i254f72b682ef4373a7f693751d2cd78f_115)</u> of this Form 10-K, which index is incorporated in this <u>[Item 15](#i254f72b682ef4373a7f693751d2cd78f_238)</u> by reference.

2. Financial Statement Schedules

Financial statement schedules have been omitted because they are not applicable or the required information is shown in the

financial statements or notes, under<u>[Item 8](#i254f72b682ef4373a7f693751d2cd78f_115)</u>, "Financial Statements and Supplementary Data."

3. Exhibits

---

| | | | | |
|:---|:---|:---|:---|:---|
| **No.** | **Exhibit Description** | **Filed with** <br>**this Form**<br>**10-K**<br>| **Form\*** | **Date Filed** |
| 3.01 | <u>[Restated Organization Certificate of the Federal Home Loan Bank of New York](https://www.sec.gov/Archives/edgar/data/1329842/000095012305014296/y15190exv99w3.htm#Exhibit:https://www.sec.gov/Archives/edgar/data/1329842/000095012305014296/y15190exv99w3.htm)</u><br><u>[("Bank")](https://www.sec.gov/Archives/edgar/data/1329842/000095012305014296/y15190exv99w3.htm#Exhibit:https://www.sec.gov/Archives/edgar/data/1329842/000095012305014296/y15190exv99w3.htm)</u><br>|  | 8-K | 12/01/2005 |
| 3.02 | <u>[Amended and Restated Bylaws of the Bank](https://www.sec.gov/Archives/edgar/data/1329842/000165495423011029/fhlbny_ex32.htm#Exhibit:https://www.sec.gov/Archives/edgar/data/1329842/000165495423011029/fhlbny_ex32.htm)</u> |  | 8-K | 8/18/2023 |
| 4.01 | <u>[Amended and Restated Capital Plan of the Bank (effective until 4/6/2025)](https://www.sec.gov/Archives/edgar/data/1329842/000165495422008710/fhlbny_ex41.htm#Exhibit:https://www.sec.gov/Archives/edgar/data/1329842/000165495422008710/fhlbny_ex41.htm)</u> |  | 8-K | 06/24/2022 |
| 4.02 | <u>[Description of Securities](exhibit402.htm)</u> | X |  |  |
| 4.01 | <u>[Amended and Restated Capital Plan of the Bank (currently effective)](https://www.sec.gov/Archives/edgar/data/1329842/000165495425002365/fhlbny_ex401.htm#Exhibit:https://www.sec.gov/Archives/edgar/data/1329842/000165495425002365/fhlbny_ex401.htm)</u> |  | 8-K | 03/06/2025 |
| 10.01 | <u>[Bank 2022 Incentive Compensation Plan](https://www.sec.gov/Archives/edgar/data/1329842/000165495422004182/fhlbny_ex991.htm#Exhibit:https://www.sec.gov/Archives/edgar/data/1329842/000165495422004182/fhlbny_ex991.htm)</u><sup>(a)</sup> |  | 8-K | 03/30/2022 |
| 10.02 | <u>[Bank 2023 Incentive Compensation Plan](https://www.sec.gov/Archives/edgar/data/1329842/000165495423012532/fhlbny_ex101.htm#Exhibit:https://www.sec.gov/Archives/edgar/data/1329842/000165495423012532/fhlbny_ex101.htm)</u><sup>(a)</sup> |  | 8-K | 10/03/2023 |
| 10.03 | <u>[Bank 2024 Incentive Compensation Plan](https://www.sec.gov/Archives/edgar/data/1329842/000165495424004811/fhlbny_ex101.htm#Exhibit:https://www.sec.gov/Archives/edgar/data/1329842/000165495424004811/fhlbny_ex101.htm)</u><sup>(a)</sup> |  | 8-K | 04/19/2024 |
| 10.04 | <u>[Bank 2025 Incentive Compensation Plan](https://www.sec.gov/Archives/edgar/data/1329842/000165495425002730/fhlbny_ex101.htm#Exhibit:https://www.sec.gov/Archives/edgar/data/1329842/000165495425002730/fhlbny_ex101.htm)</u><sup>(a)</sup> |  | 8-K | 03/13/2025 |
| 10.05 | <u>[Bank 2026 Incentive Compensation Plan](https://www.sec.gov/Archives/edgar/data/1329842/000165495426001919/fhlbny_ex101.htm)</u><sup>(a)</sup> |  | 8-K | 03/05/2026 |
| 10.06 | <u>[2026 Director Compensation Policy](exhibit1006.htm)</u><sup>(a)</sup> | X |  |  |
| 10.07 | <u>[Bank Amended and Restated Severance Pay Plan](a2025severancepayplan-11.htm)</u><sup>(a)</sup> | X |  |  |
| 10.08 | <u>[Non-qualified Deferred Compensation Plan](nonqualifieddeferredcomp.htm)</u><sup>(a)</sup> | X |  |  |
| 10.09 | <u>[Bank Amended and Restated Bank Profit Sharing Plan](https://www.sec.gov/Archives/edgar/data/1329842/000110465913024066/a12-28427_1ex10d13.htm)</u><sup>(a)</sup> |  | 10-K | 03/25/2013 |
| 10.10 | <u>[Amended and Restated Federal Home Loan Banks P&I Funding and Contingency](https://www.sec.gov/Archives/edgar/data/1329842/000110465917018378/a17-1174_1ex10d17.htm)</u><br><u>[Agreement (2017)](https://www.sec.gov/Archives/edgar/data/1329842/000110465917018378/a17-1174_1ex10d17.htm)</u><br>|  | 10-K | 03/22/2017 |
| 10.11 | <u>[Form of Executive Change in Control Agreement between the Bank and each of the](exhibit1011.htm)</u><br><u>[CEO and the other NEOs](exhibit1011.htm)</u><sup>(a)</sup><br>| X |  |  |
| 10.12 | <u>[Amended Joint Capital Enhancement Agreement among the Federal Home Loan](https://www.sec.gov/Archives/edgar/data/1329842/000095012311073806/c21032exv99w4.htm)</u><br><u>[Banks](https://www.sec.gov/Archives/edgar/data/1329842/000095012311073806/c21032exv99w4.htm)</u><br>|  | 8-K | 08/05/2011 |
| 19.01 | <u>[Insider Trading Policy (included in Bank's Code of Business Conduct and Ethics)](codeofbusinessconductand.htm)</u> | X |  |  |
| 31.01 | <u>[Certification of Registrant's Chief Executive Officer, as required by Section 302 of](exhibit3101.htm)</u><br><u>[the Sarbanes-Oxley Act of 2002](exhibit3101.htm)</u><br>| X |  |  |
| 31.02 | <u>[Certification of the Registrant's Chief Financial Officer, as required by Section 302](exhibit3102.htm)</u><br><u>[of the Sarbanes-Oxley Act of 2002](exhibit3102.htm)</u><br>| X |  |  |
| 32.01 | <u>[Certification of Registrant's Chief Executive Officer, as required by Section 906 of](exhibit3201.htm)</u><br><u>[the Sarbanes-Oxley Act of 2002](exhibit3201.htm)</u><br>| X |  |  |
| 32.02 | <u>[Certification of Registrant's Chief Financial Officer, as required by Section 906 of the](exhibit3202.htm)</u><br><u>[Sarbanes-Oxley Act of 2002](exhibit3202.htm)</u><br>| X |  |  |
| 99.01 | <u>[Audit Committee Report](exhibit9901.htm)</u> | X |  |  |
| 99.02 | <u>[Audit Committee Charter](exhibit9902.htm)</u> | X |  |  |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
| **No.** | **Exhibit Description** | **Filed with** <br>**this Form**<br>**10-K**<br>| **Form\*** | **Date Filed** |
| 101.INS | XBRL Instance Document - The instance document does not appear in the interactive <br>data file because its XBRL tags are embedded within the inline XBRL document.<br>| X |  |  |
| 101.SCH | XBRL Taxonomy Extension Schema Document | X |  |  |
| 101.CAL | XBRL Taxonomy Extension Calculation Linkbase Document | X |  |  |
| 101.DEF | XBRL Taxonomy Extension Definition Linkbase Document | X |  |  |
| 101.LAB | XBRL Taxonomy Extension Label Linkbase Document | X |  |  |
| 101.PRE | XBRL Taxonomy Extension Presentation Linkbase Document | X |  |  |

---

**Notes**:

*\*Means that this exhibit is incorporated by reference from the named Form; the filing date of such named Form is listed in the next* 

*column.*

*(a)This exhibit includes a management contract, compensatory plan or arrangement required to be noted herein.*

**Item 16. Form 10-K Summary.**

None.

**SIGNATURES**

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the registrant has duly caused this report

to be signed on its behalf by the undersigned, thereunto duly authorized.

---

| | |
|:---|:---|
| Federal Home Loan Bank of New York | Federal Home Loan Bank of New York |
| By: | /s/ Randolph C. Snook |
|  | Randolph C. Snook |
|  | President and Chief Executive Officer |
|  | (Principal Executive Officer) |

---

Date: March 20, 2026

Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following persons on

behalf of the registrant and in the capacities and on the dates indicated below:

---

| | | |
|:---|:---|:---|
| **Signature** | **Title** | **Date** |
| /s/ Randolph C. Snook | President and Chief Executive Officer | March 20, 2026 |
| Randolph C. Snook |  |  |
| (Principal Executive Officer) |  |  |
| /s/ Kevin M. Neylan | Senior Vice President and Chief Financial Officer | March 20, 2026 |
| Kevin M. Neylan |  |  |
| (Principal Financial Officer) |  |  |
| /s/ Scott Kay | Vice President, Chief Accounting Officer and Controller | March 20, 2026 |
| Scott Kay |  |  |
| (Principal Accounting Officer) |  |  |
| /s/ Christopher P. Martin | Chairman of the Board of Directors | March 20, 2026 |
| Christopher P. Martin |  |  |
| /s/ Stephen S. Romaine | Vice Chairman of the Board of Directors | March 20, 2026 |
| Stephen S. Romaine |  |  |
| /s/ Melba I. Acosta | Director | March 20, 2026 |
| Melba I. Acosta |  |  |
| /s/ José R. Fernández | Director | March 20, 2026 |
| José R. Fernández |  |  |
| /s/ Robert M. Fisher | Director | March 20, 2026 |
| Robert M. Fisher |  |  |
| /s/ David J. Hanrahan | Director | March 20, 2026 |
| David J. Hanrahan |  |  |
| /s/ David R. Huber | Director | March 20, 2026 |
| David R. Huber |  |  |
| /s/ Thomas J. Kemly | Director | March 20, 2026 |
| Thomas J. Kemly |  |  |

---

---

| | | |
|:---|:---|:---|
| **Signature** | **Title** | **Date** |
| /s/ Charles E. Kilbourne | Director | March 20, 2026 |
| Charles E. Kilbourne |  |  |
| /s/ Steven M. Klein | Director | March 20, 2026 |
| Steven M. Klein |  |  |
| /s/ Carolyn B. Maloney | Director | March 20, 2026 |
| Carolyn B. Maloney |  |  |
| /s/ Ira Robbins | Director | March 20, 2026 |
| Ira Robbins |  |  |
| /s/ Josie J. Thomas | Director | March 20, 2026 |
| Josie J. Thomas |  |  |
| /s/ Anders M. Tomson | Director | March 20, 2026 |
| Anders M. Tomson |  |  |
| /s/ Ángela Weyne | Director | March 20, 2026 |
| Ángela Weyne |  |  |

---

## Exhibit 4.02

**Exhibit 4.02**

**DESCRIPTION OF THE REGISTRANT'S SECURITIES**

**REGISTERED PURSUANT TO SECTION 12 OF THE**

**SECURITIES EXCHANGE ACT OF 1934**

As of December 31, 2025, the Federal Home Loan Bank of New York ("FHLBNY") has one class of securities registered under Section 12 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"): our Class B Stock, par value $100 per share (the "Class B Stock"), which is registered under Section 12(g) of the Exchange Act.

**Description of Class B Stock**

The following description of our Class B Stock is a summary and does not purport to be complete. It is subject to and qualified in its entirety by reference to our Restated Organization Certificate (the "<u>Organization Certificate</u>"), our Amended and Restated Bylaws (the "<u>Bylaws</u>") and our Amended and Restated Capital Plan (the "<u>Capital Plan</u>"), each of which are incorporated by reference as an exhibit to the Annual Report on Form 10-K of which this Exhibit 4.02 is a part. We encourage you to read our Organization Certificate, our Bylaws, our Capital Plan and the applicable provisions of the Federal Home Loan Bank Act, as amended (the "<u>FHLBank Act</u>"), the Federal Home Loan Bank System Modernization Act, which was enacted as Title VI of the Gramm-Leach-Bliley Act (the "<u>GLB Act</u>") and related regulations of the Federal Housing Finance Agency (the "<u>Finance Agency</u>") for additional information.

**General**

The Federal Home Loan Banks ("<u>FHLBanks</u>"), including FHLBNY, have a unique cooperative structure. To access FHLBNY's products and services, a financial institution must be approved for membership and purchase capital stock in FHLBNY. The members' stock requirement is based on the amount of mortgage- related assets on the member's balance sheet and its use of FHLBNY advances (and certain other FHLBNY products), as prescribed by the FHLBank Act; this reflects the value of having ready access to FHLBNY as a reliable source of low-cost funds.

Under our Capital Plan, our Class B Stock consists of two sub-classes: membership stock and activity-based stock. The shares of Class B Stock offered to members are only issued at par value and do not trade in any market. Redemptions and repurchases of such stock by the FHLBNY, and any transfers of such stock, are also only made at par value.

Each FHLBNY member is required to maintain a certain minimum investment in Class B Stock of the FHLBNY. The minimum investment is determined by a membership requirement (the "Membership Stock Purchase Requirement") and an activity-based requirement (the "Activity Stock Purchase Requirement") (together, the "Minimum Stock Investment Requirement"). Each member is required to maintain a certain minimum investment in membership stock for as long as the institution remains a member of the FHLBNY. In addition, each member is required to purchase activity-based stock in proportion to the volume of certain transactions between the

------

member and the FHLBNY. The FHLBNY may adjust these investment requirements from time to time within the limits established in the Capital Plan.

**Voting Rights**

Voting rights in regard to the election of directors are established by regulation. Specifically, holders of Class B Stock that are members of the FHLBNY as of the record date (i.e., December 31 of the year immediately preceding an election) are entitled to participate in the election process. Eligible shareholders may nominate representatives from members in their states to serve four-year terms on the Board of Directors of the FHLBNY. After the slate of nominees is finalized, each member is eligible to vote for each open Member Director seat in the state in which its principal place of business is located, as well as for each open districtwide Independent Director seat. Each member is entitled to cast one vote for each share of Class B Stock that the member was required to hold as of the record date; however, the number of votes that each member may cast for each open directorship cannot exceed the average number of shares of Class B Stock that were required to be held by all members located in that state on the record date.

------

**Redemption Rights**

From time to time, the FHLBNY may issue or repurchase Class B Stock to new members, current members, or former members or their successors in accordance with the Capital Plan, and as necessary to allow the FHLBNY to satisfy the minimum capital requirements established by the GLB Act. The Class B Stock issued or repurchased may be membership stock, activity-based stock, or both.

Under the GLB Act and related Finance Agency regulations, Class B Stock is in general subject to redemption upon the expiration of a five-year redemption period (the "<u>Stock Redemption Period</u>"). Only Class B Stock in excess of the Minimum Stock Investment Requirement of a member or former member (including successors) may be redeemed at the end of the Stock Redemption Period. (Further, the FHLBNY shall automatically repurchase excess activity-based stock from time to time and may repurchase excess membership stock in the FHLBNY's sole discretion.) However, there is no guarantee that a member will be able to redeem its investment even at the end of a Stock Redemption Period. If the redemption of Class B Stock, or the repurchase of such stock by the FHLBNY, would cause the FHLBNY to fail to meet its minimum regulatory capital requirements, then such redemption or repurchase would be prohibited. Likewise, the FHLBNY would not honor a redemption request if such redemption would cause the member to fail to maintain its required Minimum Stock Investment Requirement.

The FHLBNY may also decide to suspend the redemption of Class B Stock if it reasonably believes that such redemptions would cause the FHLBNY to fail to meet its minimum regulatory capital requirements, would prevent the FHLBNY from maintaining adequate capital against a potential risk or would otherwise prevent the FHLBNY from operating in a safe and sound manner. In addition, approval from the Finance Agency for redemptions or repurchases would be required if the Finance Agency or the Board of Directors of the FHLBNY were to determine that the FHLBNY has incurred, or is likely to incur, losses that result in, or are likely to result in, charges against the capital of the FHLBNY. Under such circumstances, there can be no assurance that the Finance Agency would grant such approval or, if it did, upon what terms it might do so.

Accordingly, notwithstanding the expiration of the Stock Redemption Period, there are a variety of circumstances that would preclude the FHLBNY from redeeming or repurchasing the Class B Stock of a member. Since there is no public market for the Class B Stock and transfers of Class B Stock between members are generally prohibited under the Capital Plan, there can be no assurance that a member's purchase of Class B Stock would not effectively become an illiquid investment in the FHLBNY.

**Minimum Stock Investment Requirement for Members**

Each member is required to maintain a certain minimum investment in the Class B Stock of the FHLBNY. This Minimum Stock Investment Requirement is comprised of a Membership Stock Purchase Requirement and an Activity-Based Stock Purchase Requirement. Stock held by a member in excess of its required investment is known as Excess Stock. A member may obtain Excess Stock by a variety of means, including reducing its Mortgage-related Assets, or by reducing its level of transactions with the FHLBNY.

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Although the FHLBNY does not currently expect to do so, the FHLBNY may rely from time to time upon the Excess Stock of members — in addition to the amounts of stock members are required to own — in order to satisfy its Minimum Regulatory Capital Requirements. In such case, a member that owns Excess Stock in the FHLBNY would not be able to redeem such stock for cash — nor could the FHLBNY repurchase such stock — as long as the FHLBNY needs such Excess Stock to satisfy its Minimum Capital Regulatory Requirements. Under such circumstances, which may occur particularly in periods of growth in the FHLBNY's assets that do not directly require matching stock investments by members, a member's investment in Excess Stock effectively would become permanent capital in the FHLBNY and would remain so unless and until the FHLBNY were able to find another source of capital (which could occur, for example, through an increase in either the Membership Stock Purchase Requirement or the Activity-Based Stock Purchase Requirement applicable to members).

Moreover, if a member holds Excess Stock and if the FHLBNY is relying upon such Excess Stock in order to satisfy its Minimum Regulatory Capital Requirements, the member may be unable to utilize its Excess Stock to support new transactions with the FHLBNY but may be required by the FHLBNY to purchase additional Class B Stock to

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ensure that the FHLBNY remains adequately capitalized. Thus, under this scenario, a member's Excess Stock position in the FHLBNY would increase with each new transaction it enters into with the FHLBNY.

**Increases in the Minimum Amount of Class B Stock Required to be Purchased**

Under the Capital Plan, the Board of Directors of the FHLBNY may increase the Minimum Stock Investment Requirement of members within certain ranges specified in the Capital Plan. The Minimum Stock Investment Requirement may also be increased pursuant to an amendment to the Capital Plan, which must be approved by the Finance Agency. The FHLBNY shall provide members with notice prior to the effective date of any increase in their Minimum Stock Investment Requirement. Under the Capital Plan, members are required to purchase additional stock in the FHLBNY as necessary to comply with such new requirements or, alternatively, may reduce the volume of their activity with the FHLBNY on or prior to the effective date of any increase in the Activity-Based Stock Requirement. To facilitate the purchase of additional stock to satisfy an increase in a Member's Minimum Stock Investment Requirement, the FHLBNY may, pursuant to the terms of its Correspondent Services Agreement with the member, issue stock in the name of the member and correspondingly debit the member's DDA Account at the FHLBNY.

**Limitations on Payment of Dividends**

Under the Bank Act and Finance Agency regulations, the FHLBanks may pay dividends on their stock only out of retained earnings or current net earnings. However, an FHLBank that is not in compliance with its Minimum Regulatory Capital Requirements may not pay dividends to members nor may an FHLBank pay dividends if, after doing so, it would fail to meet any of such minimum requirements.

Moreover, an FHLBank may not pay dividends to members if any principal and interest due on consolidated obligations issued through the Office of Finance has not been paid in full or, under certain circumstances, if the FHLBank becomes a noncomplying FHLBank under Finance Agency regulations as a result of its inability to comply with regulatory liquidity requirements or to satisfy its current obligations.

**Capital Plan Amendments Subject to Finance Agency Approval**

The Finance Agency must approve all amendments to the Capital Plan before they may become effective. However, such amendments to the Capital Plan are not subject to member consent or approval. While amendments must be consistent with the FHLB Act and Finance Agency regulations, it is possible that they would result in changes to the Capital Plan that could adversely affect the rights and obligations of members.

**Vote on Voluntary Merger**

In the event of a voluntary merger between FHLBNY and another FHLBank, applicable regulatory rules require that the merger agreement be ratified with a majority of votes cast in favor of ratification by the members of the FHLBNY.

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Each member of FHLBNY that is entitled to participate in the voting will be able to vote the shares representing the member's Minimum Stock Investment Requirement held by the member on the record date, subject to the limitation that no member may cast a number of votes that exceeds the average number of shares representing the Minimum Stock Investment Requirement of all members of the FHLBNY entitled to vote, calculated on a district-wide basis, as of the record date.

## Exhibit 10.06

![image_1.jpg](image_1.jpg)

**2026 DIRECTOR COMPENSATION POLICY**

Effective as of January 1, 2026

**PURPOSE:**&nbsp;&nbsp;&nbsp;&nbsp;The Director Compensation Policy ("Policy") establishes meeting fees that the Federal Home Loan Bank of New York ("FHLBNY") will pay to the Board of Directors (collectively, the "Board"; each member individually or severally, the "Directors") of the FHLBNY and also sets forth the types of Director expenses that may be reimbursed. The activities referred to in this Policy are those as to which the Board believes Director attendance is necessary and appropriate and which may be compensated. The Policy has been prepared in accordance with Section 7 of the Federal Home Loan Bank Act ("Bank Act") and the regulations of the Federal Housing Finance Agency ("FHFA") regarding Director compensation and expenses.

**I.&nbsp;&nbsp;&nbsp;&nbsp;2026 DIRECTOR FEES**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**A.&nbsp;&nbsp;&nbsp;&nbsp;Board Chairman**

The maximum fee opportunity for 2026 for the Chair of the Board shall be $$162,344.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**B.&nbsp;&nbsp;&nbsp;&nbsp;Board Vice Chairman**

The maximum fee opportunity for 2026 for the Vice Chair of the Board shall be $142,000.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**C.&nbsp;&nbsp;&nbsp;&nbsp;Committee Chairs**

The maximum fee opportunity for 2026 for a Director serving as a Committee Chair (i) for each of the Audit Committee, Corporate Governance and External Affairs Committee, Compensation and Human Resources Committee, and Risk Committee shall be $$135,200; and (ii) for all other Board Committees shall be $130,000; however, in each case, such Director shall not receive any additional fee opportunity if he or she serves as Chair of more than one Committee. The Board Chair and Board Vice Chair shall not receive any additional fee opportunity for serving as a Chair of one or more Board Committees.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**D.&nbsp;&nbsp;&nbsp;&nbsp;Other Directors**

The maximum fee opportunity for 2026 for Directors other than the Chair, the Vice Chair, and the Committee Chairs shall be $123,000.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**E.&nbsp;&nbsp;&nbsp;&nbsp;Payments and Attendance** 

![image_2.jpg](image_2.jpg)FEDERAL HOME LOAN BANK OF NEW YORK **•** 101 PARK AVENUE **•** NEW YORK, NY 10178 **•** T: 212.681.6000 **•** WWW.FHLBNY.COM

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Each Director shall be paid an amount equal to approximately one-eighth of such Director's maximum fee opportunity as described above for each Board meeting that is attended by said Director in 2026. This formulation is based on nine scheduled Board meetings in 2026. In addition, although attendance is expected at all Board meetings as per the FHLBNY's Corporate Governance Guidelines, this formulation allows for one absence. Such fees are to be paid on a quarterly basis in arrears.

Attendance at meetings by telephonic or video conference means shall be deemed acceptable for purposes of receiving compensation.

Directors may, in their sole discretion, elect to not receive meeting fees by notifying the Corporate Secretary.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**F.&nbsp;&nbsp;&nbsp;&nbsp;Payments and Performance** 

Payments to Directors may be reduced in the sole judgment of the Board Chair if the Chair determines such director's Board performance to be significantly deficient. The Board's Corporate Governance and External Affairs Committee is authorized to, by a majority vote, make similar decisions pertaining to the performance of the Board Chair.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**G.&nbsp;&nbsp;&nbsp;&nbsp;Fees Pertaining to Leadership Roles Relating to the Council of Home Loan Banks**

In addition to the above compensation, a Director who serves as Chair of the Council of Federal Home Loan Banks or who serves as Chair of the Bank Directors Committee of the Council of Federal Home Loan Banks will receive a $10,000 stipend per year of service. The stipend will be paid through quarterly payments of $2,500.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**H.&nbsp;&nbsp;&nbsp;&nbsp;Retirement Gifts**

The Bank is authorized to provide non-cash/non-monetary retirement gifts to Directors who will be retiring from Board service, provided that such gifts are reasonable under the circumstances and made in compliance with FHFA standards.

**II.&nbsp;&nbsp;&nbsp;&nbsp;2026 DIRECTOR EXPENSES**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**A.General Reimbursement Principles**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.Directors may be reimbursed for reasonable travel, subsistence and other related expenses incurred in connection with the performance of their official duties only as specified in the FHLBNY's current policy covering the reimbursement of travel and other business-related items incurred by Directors. However,

![image_0.jpg](image_0.jpg)

FEDERAL HOME LOAN BANK OF NEW YORK&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2

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under no circumstances shall Directors be reimbursed for gift or entertainment expenses. (The principles in this Section II pertaining to permitted reimbursements shall also apply to those expenses paid for directly by the Bank to vendors and allocated to individuals in accordance with FHFA directives or guidance which may be issued from time to time.)

**&nbsp;&nbsp;&nbsp;&nbsp;B.&nbsp;&nbsp;&nbsp;&nbsp;Board and Board Committee Meetings**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.Reimbursement of reasonable expenses may be provided to Directors in connection with attendance at Board and Committee meetings as established herein.

**&nbsp;&nbsp;&nbsp;&nbsp;C.&nbsp;&nbsp;&nbsp;&nbsp;Stockholders' Meetings**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.&nbsp;&nbsp;&nbsp;&nbsp;Reimbursement of reasonable expenses incurred by Directors attending FHLBNY stockholders' meetings is permitted.

**&nbsp;&nbsp;&nbsp;&nbsp;D.&nbsp;&nbsp;&nbsp;&nbsp;Industry Meetings**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.Reimbursement of Independent Directors' expenses incurred while attending industry meetings or annual conventions of trade associations on a national level is permitted provided that a specific objective has been identified and that attendance has been specifically pre-approved by the Board of Directors. Independent Directors attending industry events on behalf of the FHLBNY should register and identify themselves as Directors of the FHLBNY.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.Reimbursement of Member Directors' expenses incurred while in attendance at industry meetings or annual conventions of trade associations on a national level is not permissible, unless such attendance is incidental to a FHLBNY Board or Committee meeting.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**E.&nbsp;&nbsp;&nbsp;&nbsp;Meetings Called by the Federal Housing Finance Agency**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.&nbsp;&nbsp;&nbsp;&nbsp;Reimbursement of reasonable expenses may be provided to all Directors participating in any meetings called by the FHFA.

**&nbsp;&nbsp;&nbsp;&nbsp;F.&nbsp;&nbsp;&nbsp;&nbsp;Other Bank System Meetings** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.&nbsp;&nbsp;&nbsp;&nbsp;Reimbursement of reasonable expenses may be provided to all Directors who are invited to attend meetings of Federal Home Loan Bank System committees; Federal Home Loan Bank System director orientation meetings; and meetings of the Council of Federal Home Loan Banks and Council committees (e.g., the Bank Directors Committee).

![image_0.jpg](image_0.jpg)

FEDERAL HOME LOAN BANK OF NEW YORK&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**G.&nbsp;&nbsp;&nbsp;&nbsp;Expenses of Spouses/Guests**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.Expenses incurred by a Director's spouse/guest while accompanying the Director to a meeting will not be reimbursed.

**III.&nbsp;&nbsp;&nbsp;&nbsp;PROCEDURES AND ADMINISTRATIVE MATTERS**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A.&nbsp;&nbsp;&nbsp;&nbsp;Directors' requests for reimbursement should be submitted to the Office of the Corporate Secretary within 60 days of incurring the reimbursable item(s).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;B.&nbsp;&nbsp;&nbsp;&nbsp;Payment for and reimbursement of allowable business expenses of the Directors will require the approval of the Corporate Secretary or such officers designated by the Corporate Secretary.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;C.&nbsp;&nbsp;&nbsp;&nbsp;Meetings of the Board and Committees thereof should usually be held within the district served by the FHLBNY. Under no circumstances shall such meetings be held in any location that is not within the district without prior approval of the Board. FHFA regulations prohibit any meetings of the Board of Directors (including committee, planning, or other business meetings) to be held outside the United States or its possessions and territories.

**IV.&nbsp;&nbsp;&nbsp;&nbsp;DIRECTOR COMPENSATION PHILOSOPHY**

In determining the appropriate and reasonable fee opportunities available to FHLBNY Directors for 2026 as described herein, the Board has taken into consideration the following factors:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the desire to attract and retain highly qualified and skilled individuals in order to help guide a complex and highly-regulated financial institution that is subject to a variety of financial, reputational and other risks;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the highly competitive environment for talent in the New York City metropolitan <br>area -- a center of world finance in which stock exchanges, securities companies and other sophisticated financial institutions are located (and in this regard, we note that Directors are required to be sourced from within the District and the pay rate should reflect the local market);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the demands of the Director position, including the time and effort that Directors must devote to FHLBNY and Board business as the Board meets more frequently than many public company boards;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the FHLBNY must pay competitive director compensation in order to attract and retain diverse board members who often have several opportunities to join other boards;

![image_0.jpg](image_0.jpg)

FEDERAL HOME LOAN BANK OF NEW YORK&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the overall performance of the FHLBNY, an institution that is a Federal Home Loan Bank System leader, a strong financial performer, a reliable source of liquidity for its customers, and a provider of a consistent dividend -- and an institution which wishes to maintain this performance; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• Director compensation surveys performed over time by outside compensation consulting firms, most recently in 2025 -- surveys which have provided the Directors with the ability to compare Director compensation opportunities with compensation opportunities available at other institutions.

The Board will review the issue of appropriate and reasonable Director fee opportunities on an annual basis.

![image_0.jpg](image_0.jpg)

FEDERAL HOME LOAN BANK OF NEW YORK&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5

## Exhibit 10.07

![](a2025severancepayplan-11001.jpg)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;FEDERAL HOME LOAN BANK OF NEW YORK SEVERANCE PAY PLAN AS AMENDED AND RESTATED EFFECTIVE NOVEMBER 20, 2025

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![](a2025severancepayplan-11002.jpg)

**TABLE OF CONTENTS** ARTICLE PAGE I DEFINITIONS ..................................................................................................................... 1 II ESTABLISHMENT OF THE PLAN ................................................................................... 4 III PROVISIONS RELATING TO SEVERANCE BENEFITS ............................................... 5 IV GENERAL PROVISIONS ................................................................................................. 10 V MISCELLANEOUS ........................................................................................................... 12 VI AMENDMENTS AND PLAN TERMINATION .............................................................. 13

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![](a2025severancepayplan-11003.jpg)

1 ARTICLE I DEFINITIONS 1.01 "Bank" means the Federal Home Loan Bank of New York and its successors. 1.02 "Change in Control" or "CIC" means a 'Change in Control' as that term is defined in the Employee Change of Control Agreement executed between the Bank and the Bank's Chief Executive Officer, as may be amended from time to time. 1.03 "Code" means and refers to the Internal Revenue Code of 1986, as amended. 1.04 "Date of Employment" means and refers to the most recent date on which an individual began employment by the Bank as an Employee. 1.05 "Effective Date" means November 20, 2025. 1.06 "Employee" means and refers to any individual who is a regular employee of the Bank who works twenty (20) hours a week or more and excludes interns and other individuals employed by the Bank whose employment is intended not to exceed one thousand (1,000) hours in any twelve (12) month period. 1.07 "Employment" means and refers to the legal relationship of employment between an Employee and the Bank. 1.08 "Exempt Employee" means and refers to an Employee who is exempt from the overtime pay provisions of the Fair Labor Standards Act of 1938, as amended. 1.09 "Non-Exempt Employee" means and refers to an Employee who is subject to the overtime pay provisions of the Fair Labor Standards Act of 1938, as amended. 1.10 "Officer" means and refers to an officer of the Bank who has been designated as such by the Board of Directors of the Bank. 1.11 "Outplacement Services" means and refers to internal and/or external professional assistance provided to Employees following their Termination of Employment with the Bank with respect to their search for new employment. 1.12 "Periods of Service" means and refers to the number of six (6) month periods, in the aggregate, for which an Employee is employed by the Bank, commencing with the Date of Employment of the Employee and ending with the date of Termination of the Employee's Employment with the Bank, both dates inclusive, excluding any period of Employment which Terminated under circumstances under which the Employee was not eligible for Severance Benefits under this Plan.

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![](a2025severancepayplan-11004.jpg)

2 1.13 "Plan" means this Federal Home Loan Bank of New York Severance Pay Plan, as amended from time to time hereafter. 1.14 "Plan Administrator" means and refers to the Director of Human Resources of the Bank. 1.15 "Reduction in Force" or "RIF" means and refers to a systematic series of Terminations of Employment of Employees by the Bank intended to lead to a permanent reduction in staffing. 1.16 "Release" means and refers to the elimination of a position with the Bank as part of a RIF, reorganization, or other management action, where no other Employment with the Bank is offered to an Employee and the Employment of the affected Employee is involuntarily Terminated. 1.17 "Resignation," "Resign," and "Resigned" mean and refer to a Termination of Employment with the Bank initiated by an Employee, other than a resignation requested by the Bank. 1.18 "Severance Benefits" means and refers to: (a) in all cases, the amount payable under this Plan to an Employee qualifying for severance benefits, determined pursuant to the provisions of Section 3.04 and computed with respect to and based upon the weekly base salary rate of the Employee immediately preceding the date on which such severance benefits commence pursuant to Article III of this Plan; and (b) solely in the event of a CIC, and notwithstanding the calculation provisions contained in Sections 3.04 and 3.05, (i) a lump sum payment for outplacement services as set forth in Section 3.08, plus (ii) a lump sum payment equal to the full "target" payout estimate from the prior year's Bank Incentive Compensation Plan ("ICP") if the Employee was participating in such ICP, it being understood that: (a) such payment will not be measured based on actual performance results, unless the Employee's actual performance result was below target, in which case the Employee's actual ICP payment will be taken into account; (b) if the Employee did not participate in the prior year's ICP, the Employee will not receive any payment under this subsection; and (c) if the Employee was employed during a portion of the calendar year, the amount to be calculated (the target or the lesser amount) shall be annualized. (Any payments that may be otherwise earned and deferred under the ICP, or any other incentive or non-qualified savings plan that may be established by the Bank in the future, are outside the scope of this Plan and will be paid in accordance with the terms of such plans.) 1.19 "Termination of Employment" and "Terminated," when used with reference to and in conjunction with Employment, have the meaning set forth in Section 3.11 and, in all events, is considered a "separation from service" within the meaning of Treas. Reg. § 1.409A-1(h). 1.20 "Termination for Cause" means and refers to the Termination by the Bank of the employment of an Employee for (i) the commission of an illegal or unethical act, (ii) pleading "guilty" or "no contest" to or being indicted for or convicted of a felony under federal or state law or as a crime under federal or state law which involves Employee's fraud or dishonesty, (iii) a

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![](a2025severancepayplan-11005.jpg)

3 violation of established Bank policy or practice, or (iv) the failure of the Employee to perform the duties of his or her position in a satisfactory manner, in each case as determined by the Plan Administrator in his sole and exclusive discretion. 1.21 "Year" means and refers to the taxable year of an Employee as such term is used in and for purposes of the Code.

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![](a2025severancepayplan-11006.jpg)

4 ARTICLE II ESTABLISHMENT OF THE PLAN 2.01 Establishment of the Plan. The Bank has established the Federal Home Loan Bank of New York Severance Pay Plan to set forth the terms and provisions under which Severance Benefits will be granted to Employees whose Employment with the Bank is Terminated under certain specified circumstances. 2.02 Replacement of Prior Policies. This Plan supersedes and replaces any Bank policies relating to the subject matter of this Plan that may have been in effect prior to the Effective Date (including, for the avoidance of doubt, any predecessor plan).

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![](a2025severancepayplan-11007.jpg)

5 ARTICLE III PROVISIONS RELATING TO SEVERANCE BENEFITS 3.01 Participation. Participation in this Plan shall be extended to all Employees of the Bank. 3.02 Eligibility for Severance Benefits. An Employee who shall have completed at least one (1) Period of Service shall be eligible for Severance Benefits under this Plan upon the Termination of the Employee's Employment with the Bank under any of the following circumstances: (a) The Employee's position has been eliminated; (b) The employment of the Employee has been terminated as part of a RIF; (c) The Employee's employment has been terminated as a result of a CIC and the Employee has not been offered an equivalent job with the resulting entity; (d) The Employee has been determined by the Plan Administrator, in the sole and exclusive discretion of the Plan Administrator, to be unable to perform in a satisfactory manner the duties of the position in which the Employee is then employed, where such inability to perform has been determined by the Plan Administrator, in his sole and exclusive discretion, to not warrant a Termination for Cause, as defined in Section 1.20; or (e) The Employee has Resigned from his or her Employment with the Bank either (i) following a material reduction in salary grade, level, or rank, or a significant reduction of duties and responsibilities, as determined by the Plan Administrator in his sole and exclusive discretion, except when such reduction occurs as a result of disciplinary action by the Bank, or (ii) following a refusal to accept a transfer to a location outside a fifty (50) mile radius of the location at which the Employee is presently employed, provided, in either case, that the Employee shall have provided to the Plan Administrator within not more than thirty (30) days following the occurrence of such condition, at least ten (10) days' notice in writing of the condition referred to in clause (i) or (ii), as applicable, and his or her intention to Resign based thereon and that the Bank shall not have remedied the condition for such Resignation within thirty (30) days following the giving of such notice by the Employee. (f) For the avoidance of doubt, should the Employee's death occur prior to the date of Termination of Employment, no Severance Benefits shall be paid under this Plan. 3.03 Disqualification for Severance Benefits. Anything contained in this Plan to the contrary notwithstanding, an Employee shall not be eligible for Severance Benefits under this Plan upon

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![](a2025severancepayplan-11008.jpg)

6 his or her termination of employment with the Bank where such termination is due to any of the following circumstances: (a) A Resignation by the Employee, other than one described in paragraph (e) of Section 3.02, or a Resignation by the Employee without giving the ten (10) days' notice in writing to the Plan Administrator required by said paragraph (e) or prior to the expiration of said period, or if the condition on which such Resignation was based shall have been remedied by the Bank within the thirty (30) day period referred to in said paragraph (e); (b) The Resignation of the Employee prior to the effective date of the termination of the Employee's employment as a result of a Release; or (c) The Employee's Termination for Cause; in each case, as determined by the Plan Administrator in his sole and absolute discretion. 3.04 Computation of Severance Benefits. The amount of Severance Benefits payable under this Plan to an Employee qualifying for Severance Benefits under this Plan shall be determined based (i) upon the level of the Employee's position with the Bank at the date of the termination of the Employee's employment with the Bank and (ii) the Employee's Periods of Service with the Bank: (a) Management Committee members of the Bank, subject to FHFA approval, shall be eligible for two (2) weeks of Severance Benefits for each Period of Service with the Bank, but not less than twenty-six (26) weeks (or, in the event of a CIC, not less than seventy-eight (78) weeks) of Severance Benefits; (b) Officers of the Bank shall be eligible for two (2) weeks of Severance Benefits for each Period of Service with the Bank, but not less than eight (8) weeks of Severance Benefits; (c) Exempt and Non-Exempt Employees of the Bank shall be eligible for one (1) week of Severance Benefits for each Period of Service with the Bank, but not less than six (6) weeks of Severance Benefits; and in each case, subject to the provisions of Section 3.05. 3.05 Maximum Amount of Severance Benefits. Anything in this Plan to the contrary notwithstanding, in no event shall an Employee be eligible to receive Severance Benefits, in the aggregate for all Periods of Service, whether or not continuous, totaling more than fifty-two (52) weeks in the case of an Management Committee Member, subject to FHFA approval (or seventy eight (78) weeks in the event of a CIC); thirty-six (36) weeks (or fifty-two (52) weeks in the event of a CIC) in the case of an Officer of the Bank, twenty- four (24) (or fifty-two (52) weeks in the event of a CIC) weeks in the case of an Exempt Employee of the Bank, and twelve (12) weeks (or fifty-two (52) weeks in the event of a CIC) in the case of a Non-Exempt Employee of the Bank. 3.06 Prorated IC Payment. Employees will receive a prorated IC Payment based on "Target" payout, prorated for the number of months worked.

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![](a2025severancepayplan-11009.jpg)

7 3.07 Method of Payment of Severance Benefits. The total amount of Severance Benefits payable under this Plan shall be paid in a lump sum on a scheduled payroll date occurring within sixty (60) days following the date of the Employee's Termination of Employment, provided the Bank shall have received prior thereto the Severance Agreement, as defined and referred to in Section 3.09, signed by the Employee, and shall be subject to withholding of Federal and State income taxes and other employment taxes based upon the number of withholding allowances. If the sixty-day period referred to in this Section 3.06 spans two calendar years, payment of the Severance Benefits will be made on a date during such sixty-day period that occurs in the second calendar year. 3.08 Continuation of Employee Benefits. (i) An Employee who is eligible to receive Severance Benefits under this Plan who was, at the date of Termination of his or her Employment, a participant in the Federal Home Loan Bank of New York Life Insurance Plan shall be eligible to continue such participation in such plan through the end of the month following the date of Termination of his or her Employment. (ii) In addition, an Employee who is eligible to receive Severance Benefits under this Plan who was, at the date of Termination of his or her Employment, a participant in the Federal Home Loan Bank of New York Medical Benefits Plan, and any related dental and vision plans, shall have the option to duly and timely elect to continue such participation under the provisions of the continuation coverage provisions adopted by the Bank (which is not subject to the Consolidated Omnibus Budget Reconciliation Act of 1986), subject to the coverage continuation rules for such benefits established by the Bank from time to time. In addition, the Bank will provide to Terminated Employees who continue with the plans described in this subsection 3.07(ii) continuation of benefits (medical, dental, vision) at the rate previously paid as an active employee. The Bank will pay the original "employer portion" to the Third Party Administrator for a period of time, based upon the level and length of service of the Employee (see chart below). Such payment shall be deemed to be part of the Severance Benefits paid under this Plan. • Officers of the Bank shall be eligible for 3 months of employer-portion payments; those who have service greater than 5 years shall receive 6 months of employer-portion payments; those who have service greater than 10 years shall receive 9 months of employer-portion payments. • Exempt and Non-Exempt Employees of the Bank shall be eligible for 2 months of employer-portion payments; those who have service greater than 5 years shall receive 6 months of employer-portion payments; those who have service greater than 10 years shall receive 9 months of employer-portion payments. (iii) Any Employee eligible for Severance Benefits shall not be eligible, following the Termination of his or her Employment, to continue to participate in any plans (whether such plans contain a tax-deferred component or otherwise) for which the Federal Home

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8 Loan Bank of New York provides any kind or type of matching contribution. (iv) Any previously accrued vacation pay to which the Employee is entitled will be paid to the Employee in a lump sum as soon as practicable following the Termination of the Employee's Employment. 3.09 Outplacement Services. Except in the event of a CIC, the Bank may, on a case by case basis, but shall not be required to, provide Outplacement Services to Terminated Employees eligible for Severance Benefits under this Plan, the determination as to whether to provide Outplacement Services to any Employee being within the sole and exclusive discretion of the Plan Administrator; provided, that such Outplacement Services shall not be provided to a Terminated Employee beyond the last day of the second Year following the Year in which the Termination of Employment of the Employee occurred. Generally, individual counseling may be provided only to Officers and group counseling may be provided to other Exempt Employees and to Non-Exempt Employees. In the event of a CIC, the Bank will provide to Terminated Employees a lump sum payment in the amount of $5,000 each that is intended to be used for job search-related expenses. Such lump sum payment shall be deemed to be part of the Severance Benefits paid under this Plan. 3.10 Severance Agreement. An Employee whose Employment with the Bank is Terminated under conditions making the Employee eligible for Severance Benefits under this Plan shall, as a condition of receiving such Severance Benefits, be required to sign an agreement, in the form prescribed by the Bank, setting forth the terms on which Severance Benefits are to be paid or provided to the Employee and the acceptance thereof by the Employee (the "Severance Agreement"). The Severance Agreement shall include a release of any claims the Employee may have at the date of the agreement or thereafter, against the Bank and any present and former directors, officers, and employees of the Bank. 3.11 Termination of Employment. For all purposes of this Plan, the Employment of an Employee shall be deemed to have been Terminated, and a Termination of Employment of an Employee shall be deemed to have occurred, upon the earliest to occur of the following events: (i) 30 Days after the effective date of a RIF applicable to the Employee; during the 30 Days, the employee will be on a Paid-Leave of Absence, with no access to the Bank's office locations or systems. (ii) On the effective date of the Employee's Resignation from Employment; (iii) 30 Days after the effective date of the elimination by the Bank of the Employee's position; during the 30 Days, the employee will be on a Paid-Leave of Absence, with no access to the Bank's office locations or systems (iv) On the effective date of the Employee's termination of employment by the Bank as a result of a CIC and the Employee has not been offered an equivalent job with the resulting entity;

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9 (v) On the date on which (A) the Bank causes the Employee's Employment with the Bank to cease and (B) the Employee is considered to have incurred a "separation from service" within the meaning of Treas. Reg. § 1.409A-1(h); provided, that the Employment relationship shall be treated as continuing while the Employee is on a Qualified Leave (as defined below); and provided, further, that if the leave is or becomes an Unqualified Leave (as defined below), the Employment of the Employee shall be deemed to have Terminated on the first date on which the leave is considered to be an Unqualified Leave. For purposes of this Section 3.10(v), a Qualified Leave is any (1) military leave, sick leave, or other bona fide leave of absence (which shall be deemed to exist only if there is a reasonable expectation that the Employee will return to perform services for the Bank) if the period of such leave does not exceed six (6) months, or longer, if the Employee retains a right to reemployment with the Bank under an applicable statute or by contract, or (2) any medically determinable physical or mental impairment that can be expected to result in death or can be expected to last for a continuous period of not less than six (6) months, where such impairment causes the Employee to be unable to perform the duties of his position of Employment or any substantially similar position of Employment, in which case such period of absence may last up to twenty-nine (29) months. An Unqualified Leave means a leave of absence that is not a Qualified Leave or loses its status as a Qualified Leave due to the expiration of the allowable Qualified Leave period of six (6) months (or longer, if applicable, as described above). 3.12 Determinations by the Plan Administrator to be Final. All determinations of the Plan Administrator in the administration and application of the terms and provisions of this Plan shall be final and binding upon all Employees without any right of appeal. 3.13 Exceptional Cases. The Bank reserves the right, in its sole and absolute discretion, to modify the application of the terms and provisions of this Plan in the case of any Employee whose Employment with the Bank shall Terminate, subject to the approval of the President of the Bank; provided, that the modifications will not cause a violation of Section 409A of the Code.

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10 ARTICLE IV GENERAL PROVISIONS 4.01 Allocation of Responsibility for Administration. The designated representatives of the Bank shall have only those specific powers, duties, responsibilities, and obligations as are specifically given them under this Plan. The Plan Administrator shall have the sole responsibility for the administration of this Plan, which responsibility is specifically described in this Plan. Any direction given, information furnished, or action taken, by the Plan Administrator shall be in accordance with the provisions of the Plan authorizing or providing for such direction, information, or action. The Plan Administrator may rely upon any such direction, information, or action of another employee of the Bank as being proper under this Plan and is not required to inquire into the propriety of any such direction, information, or action. It is intended under this Plan that the Plan Administrator shall be responsible for the proper exercise of his own powers, duties, responsibilities, and obligations under this Plan and shall not be responsible for any act or failure to act of another employee of the Bank. Neither the Plan Administrator nor the Bank makes any guarantee to any Employee in any manner for any loss or other event because of the Employee's participation in this Plan. 4.02 Appointment of Plan Administrator. The Plan shall be administered by the Plan Administrator or his duly designated representative pursuant to Section 4.01. 4.03 Records and Reports. The Plan Administrator shall exercise such authority and responsibility as he deems appropriate in order to comply with the terms of the Plan relating to the records of the Participants. The Plan Administrator shall be responsible for complying with any and all reporting, filing, and disclosure requirements and other applicable laws and regulations with respect to the Plan. 4.04 Withholding Tax. All amounts paid to the Employee under this Plan shall be subject to withholding and other employment taxes imposed by applicable law. The Employee shall be solely responsible for the payment of all taxes imposed on the Employee relating to the payment or provision of any amounts or benefits hereunder. 4.05 Section 409A of the Code. This Plan is intended to comply with Section 409A of the Code or an exemption thereunder or exception therefrom and shall be construed and administered in accordance with Section 409A of the Code or such exemption or exception, as applicable. Notwithstanding any other provision of this Plan, if any payment provided to an Employee in connection with the Employee's termination of employment is determined to constitute "nonqualified deferred compensation" within the meaning of Section 409A of the Code and the Employee is determined to be a "specified employee" as defined in Section 409A(a)(2)(b)(i) of the Code, then such payment shall not be paid until the first payroll date to occur following the six-month anniversary of the termination date (the "Specified Employee Payment Date") or, if earlier, thirty days after the Employee's death. The aggregate of any payments that would otherwise have been paid before the Specified Employee Payment Date shall be paid to the Executive in a lump sum on the Specified Employee Payment Date. Notwithstanding the

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11 foregoing, the Bank makes no representations that the payments and benefits provided under this Plan comply with Section 409A of the Code and in no event shall the Bank or its respective directors, officers, employees, or advisors be liable for all or any portion of any taxes, penalties, interest, or other expenses that may be incurred by the Employee on account of non-compliance with Section 409A of the Code. 4.06 Other Powers and Duties of the Plan Administrator. The Plan Administrator shall have such duties and powers as may be necessary to discharge his duties under this Plan, including, but not limited to, the following: (a) to prepare and distribute, in such manner as the Plan Administrator determines to be appropriate, information explaining the Plan; (b) to receive from the Bank and from Participants such information as shall be necessary for the proper administration of the Plan; (c) to furnish to the Bank, upon request, such annual reports with respect to the administration of the Plan as are reasonable and appropriate; and (d) to appoint individuals to assist in the administration of the Plan and any other agents he deems advisable, including, but not limited to, legal and actuarial counsel. The Plan Administrator shall have the exclusive discretionary authority and power to determine eligibility for Severance Benefits and to construe the terms and provisions of the Plan, determine questions of fact and law arising under the Plan, direct disbursements pursuant to the Plan, and exercise all other powers specified herein or which may be implied from the provisions hereof, and the Plan Administrator may adopt such standards and procedures and such rules for the conduct of the administration of the Plan as he may deem appropriate. When making a determination or calculations, the Plan Administrator may rely upon information furnished by an Employee, the Bank, or the legal counsel of the Bank.

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12 ARTICLE V MISCELLANEOUS 5.01 At-Will Employment. Employees' employment remains at-will and nothing contained in this Plan shall be construed as a contract of employment between the Bank and any Employee, or as a right of any Employee to be continued in the employ of the Bank, or as a limitation of the right of the Bank to discharge any of its Employees, with or without cause. 5.02 Rights to Bank's Assets. No Employee or other person shall have any right to, or interest in, any assets of the Bank, whether upon Termination of Employment or otherwise. 5.03 Nonalienation of Severance Benefits. Severance Benefits payable or other rights or benefits provided under this Plan shall not be subject in any manner to anticipation, alienation, sale, transfer, assignment, pledge, encumbrance, charge, garnishment, execution, or levy of any kind, either voluntary or involuntary, including any such liability which is for alimony or other payments for the support of a spouse or former spouse, or for any other relative of the Employee, prior to actually being received by the person eligible for the benefit under the terms of the Plan; and any attempt to anticipate, alienate, sell, transfer, assign, pledge, encumber, charge, or otherwise dispose of any right to Severance Benefits payable or other rights or benefits provided under this Plan shall be void. The Bank shall not in any manner be liable for, or subject to, the debts, contracts, liabilities, engagements, or torts of any person eligible for Severance Benefits or other rights or benefits provided under this Plan. 5.04 Divestment of Severance Benefits. Subject only to the specific provisions of this Plan, nothing shall be deemed to divest an Employee of a right to the Severance Benefits or other rights or benefits provided for which the Employee may be or become eligible in accordance with the provisions of this Plan. 5.05 Discontinuance of Severance Benefits. In the event of a permanent discontinuance of the Plan, or of any Severance Benefits thereunder, all Employees shall receive any and all Severance Benefits for which they were eligible as of the effective date of such discontinuance. 5.06 Construction. Except where otherwise indicated or unless the context of this Plan clearly requires otherwise, references to the plural include the singular, references to the singular include the plural, and references to any of the masculine, feminine, or neuter include each of the similar masculine, feminine, or neuter, and the terms "hereof," "herein," "hereby," "hereunder," and all similar terms refer to this Plan as a whole and not to any particular provision of this Plan. 5.07 Governing Law. This Plan shall be construed, administered, and enforced according to the laws of the State of New York.

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13 ARTICLE VI AMENDMENTS AND PLAN TERMINATION 6.01 Termination, Modification, and Amendment of the Plan. Notwithstanding anything to the contrary stated in this Plan, the Bank expressly reserves the right, at any time, for any reason, and without limitation, to terminate, modify, or otherwise amend this Plan and any or all of the Severance Benefits provided hereunder, either in whole or in part, whether as to all persons covered hereby or as to one or more groups thereof. Those rights include specifically, but are not limited to, (i) the right to terminate Severance Benefits under this Plan with respect to all, or any individual or group of, Employees, (ii) the right to modify Severance Benefits under this Plan to all, or any individual or group of, Employees, or (iii) the right to amend this Plan, or any term or condition hereof; in each case, whether or not such rights are exercised with respect to any other Employees; provided, that no modification or amendment shall be adopted by the Bank which shall adversely affect the treatment for federal income tax purposes of benefits provided under this Plan to Employees whose Employment is Terminated under conditions entitling them to such benefits. 6.02 Action by the Bank. The termination, modification, or other amendment of this Plan shall be effected by resolution of the Board of Directors of the Bank.

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## Exhibit 10.08

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&nbsp;&nbsp;&nbsp;&nbsp;January 5, 2026 Includes the December 18, 2025 & February 18, 2026 Compensation & Human Resources Committee Approval of the Benefit Supplemental Schedules (Plan pages 17 - 19) THE FEDERAL HOME LOAN BANK OF NEW YORK NON-QUALIFIED DEFERRED COMPENSATION PLAN (As Amended and Restated Effective January 1, 2026)

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ADOPTION OF THE FEDERAL HOME LOAN BANK OF NEW YORK NON-QUALIFIED DEFERRED COMPENSATION PLAN Pursuant to resolutions adopted by the Board of Directors of the Federal Home Loan Bank of New York (the "Bank"), the undersigned officer of the Bank hereby executes the Federal Home Loan Bank of New York Deferred Compensation Plan, effective as of January 1, 2026, on behalf of the Bank, in the form attached hereto. Dated this 20th day of November, 2025. FEDERAL HOME LOAN BANK OF NEW YORK By: /s/ Brian Finnegan Corporate Secretary ATTEST: /s/ Peter Capizzi Director of Human Resources KD_16236717_8.docx

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;i THE FEDERAL HOME LOAN BANK OF NEW YORK NON-QUALIFIED DEFERRED COMPENSATION PLAN **TABLE OF CONTENTS** PAGE INTRODUCTION ....................................................................................................1 Purpose .......................................................................................................1 Plan Administration ....................................................................................1 Supplements ...............................................................................................1 ELIGIBILITY AND PARTICIPATION .............................................................1 DC BENEFITS ......................................................................................................2 Participant Deferral Contributions .............................................................2 Matching Contribution Credits ...................................................................2 Supplemental Contribution Credits ............................................................2 Deferral Elections .......................................................................................3 Plan Accounts and Allocations ...................................................................3 DB BENEFITS.......................................................................................................4 DB Benefit ..................................................................................................4 DB Benefit Calculation ..............................................................................4 Other Terms ................................................................................................5 BENEFIT PAYMENTS .........................................................................................5 Time of Payment of Benefits ......................................................................5 Manner of Payment-DC Account ...............................................................5 Manner of Payment-DB Benefit .................................................................6 Form of Payment Elections-DC Account ...................................................6 Form of Payment Elections-DB Benefit .....................................................6 Disability and Death-DC Benefit ...............................................................7 Death-DB Benefit .......................................................................................7 DC and DB Beneficiary Designations ........................................................8 Unforeseeable Emergency ..........................................................................8 Vesting ........................................................................................................8 Forfeiture of Benefits .................................................................................9 BENEFIT CLAIMS AND SUPPORTING DOCUMENTATION..................10 PLAN ADMINISTRATION .............................................................................10 Powers and Responsibilities of the Administrator. ..................................10 Liabilities. .................................................................................................11

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ii Income and Employment Tax Withholding .............................................11 Federal Housing Finance Agency Non-objection .....................................11 FUNDING .........................................................................................................11 AMENDMENT AND TERMINATION OF THE PLAN ................................12 Amendment of the Plan ............................................................................12 Termination of the Plan ............................................................................12 MISCELLANEOUS .............................................................................................12 Governing Law .........................................................................................12 Headings and Gender ...............................................................................12 Withholding of Taxes ...............................................................................12 Spendthrift Clause ....................................................................................12 Counterparts .............................................................................................13 No Enlargement of Employment Rights ..................................................13 Limitations on Liability ............................................................................13 Incapacity of Participant or Beneficiary ...................................................13 Evidence ...................................................................................................13 Action by Bank .........................................................................................13 Severability ...............................................................................................13 Information to be Furnished and Payment Corrections ............................13 SUPPLEMENT A DEFINITIONS .............................................................................................14 SUPPLEMENT B DB BENEFIT SCHEDULE ........................................................................17 SUPPLEMENT C DC BENEFIT SCHEDULE ........................................................................17 SUPPLEMENT D DB BENEFIT EXCEPTIONS ....................................................................19

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&nbsp;&nbsp;&nbsp;&nbsp;1 ARTICLE I INTRODUCTION Section 1.1 Purpose. The Bank established the Federal Home Loan Bank of New York Amended and Restated Nonqualified Deferred Incentive Compensation Plan and the Federal Home Loan Bank of New York Amended and Restated Supplemental Executive Retirement Defined Benefit & Defined Contribution Benefit Equalization Plan (the "Merging Plans") in order to attract and retain the services of key Bank personnel by providing them with "nonqualified" deferred compensation benefits. The Bank has determined that going forward this is best accomplished by combining the Merging Plans into one plan by restating both of the Merging Plans in the form of The Federal Home Loan Bank Non-Qualified Deferred Compensation Plan (the "Plan"), which restatement shall be effective January 1, 2026. It is the Bank's intention that the Plan constitute (i) an unfunded arrangement for the purpose of providing deferred compensation for a select group of employees for tax purposes and (ii) a deferred compensation arrangement that complies with the requirements of IRC Section 409A. Consequently, it will be administered, and its provisions interpreted, consistently with that intention. To the extent there is any conflict between a provision of the Plan and a provision of IRC Section 409A, the applicable provision of IRC Section 409A will control. Section 1.2 Plan Administration. As described in Article VII, the Plan will be administered by the Administrator, subject to the oversight of the Committee. Only the Board of Directors may approve, reduce or eliminate Plan benefits subject to the provisions of Article IX. The Administrator, from time to time, may adopt any rules and procedures it deems necessary or desirable for the proper and efficient administration of the Plan. The Administrator may also appoint or engage any individuals or entities it deems advisable to assist in the administration of the Plan, including legal counsel and accounting professionals. Any notice or document required to be given or filed with the Administrator will be properly given or filed if (i) delivered or mailed, by registered mail, postage paid, to the Federal Home Loan Bank of New York, Attn: Director of Human Resources, 101Park Avenue, New York, NY 10178 or (ii) emailed to human resources – distribution list@fhlbny.com. Section 1.3 Supplements. The provisions of the Plan may be modified by supplements to the Plan approved as provided in Section 9.1. The terms and provisions of each supplement are a part of the Plan and supersede any other provisions of the Plan, including prior supplements, to the extent necessary to eliminate any inconsistencies between the supplement and any other Plan provisions. ARTICLE II ELIGIBILITY AND PARTICIPATION Participation in the Plan will be limited to those Bank employees designated to participate by the Board or as delegated to the Committee, from time to time in its sole discretion. A designated employee will become a Participant as of the date specified by the Plan for that Participant. In addition, the designation will specify which of the four benefit components, the Section 3.1 Participant Deferral Contributions, the Section 3.2 Matching Contribution Credits, the Section 3.3 Supplemental Contribution Credits and/or the Section 4.1 DB Benefit, will be provided to the Participant. For example, a Participant's benefit may be limited to making Participant Deferral Contributions under Section 3.1, so that the Participant will receive no other benefit, including Matching Contribution Credits.

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&nbsp;&nbsp;&nbsp;&nbsp;2 A Participant may be removed as an active Participant by the Board, in its sole discretion, as of any future date with respect to any benefit component or all benefits provided under the Plan. In the event participation is limited or discontinued for any Participant, the Participant will remain entitled to his Account or DB Benefit, if any, subject to all of the provisions of the Plan, including Section 5.11. The Board will also have the power to reinstate participation in the Plan with respect to any benefit for any discontinued Participant. However, in this event, if the Participant had ceased to be eligible to make Participant Deferral Contributions, the reinstated Participant may not make Participant Deferral Contributions and will not receive a Matching Contribution Credit for the Plan Year in which participation was reinstated. ARTICLE III DC BENEFITS: Non-Qualified Defined Contribution Section 3.1 Participant Deferral Contributions. Subject to the terms and limitations of this Article, all Participants designated to participate in this benefit may elect, pursuant to Section 3.4, to have a portion of their Base Compensation and/or Incentive Compensation for a Plan Year withheld by the Bank and credited as a Participant Deferral Contribution under this Plan. The Committee may establish limits from time to time on the amount that may be deferred by a Participant under this Section for any Plan Year, but in no event may a Participant defer more than 75% of their expected Base Compensation or more than 100% of their Incentive Compensation for any Plan Year. Section 3.2 Matching Contribution Credits. The Bank may, for any Plan Year, in the Committee's sole discretion, make a Matching Contribution Credit to any Participant it desires who has made a Participant Deferral Contribution for that Plan Year up to a maximum amount the Committee establishes for that Plan Year. The applicable match (if any) will be stated in Supplement C of the Plan for the Plan Year. The percentage used to determine the Matching Contribution Credit and the maximum amount to be credited to any Participant may be smaller or larger than the amount credited to any other Participant and may be different for Base Compensation and Incentive Compensation deferrals. Consequently, the amount credited to any Participant for a Plan Year may be zero, even though the Participant made Participant Deferral Contributions for that Plan Year and even though one or more other Participants receive a Matching Contribution Credit for that Plan Year. Furthermore, in no event will the crediting of a Matching Contribution to a Participant in any Plan Year be interpreted to mean that such Participant will be entitled to receive a Matching Contribution Credit in any other Plan Year. The Matching Contribution Credit described in this Section, if any, will be credited to the Participant's Matching Contribution Sub-Account for the applicable Plan Year on a date or dates to be determined by the Administrator, in its sole discretion. Section 3.3 Supplemental Contribution Credits. The Bank may, for any Plan Year, in its sole discretion with Board approval, make a Supplemental Contribution Credit for a Participant designated by the Committee to participate in this benefit for a Plan Year. The Supplemental Contribution Credit may vary from Participant to Participant and from Plan Year to Plan Year. The Supplemental Contribution Credit described in this Section, if any, will be credited to the Participant's Supplemental Contribution Sub-Account for the applicable Plan Year on a date or dates to be determined by the Administrator, in its sole discretion.

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&nbsp;&nbsp;&nbsp;&nbsp;3 Section 3.4 Deferral Elections. Participant Deferral Contributions will be withheld from a Participant's Base Compensation and/or Incentive Compensation in accordance with the following terms and conditions: (a) Requirement for Deferral Elections. As a condition to the Bank's obligation to withhold, and the Administrator's obligation to credit, Participant Deferral Contributions for the benefit of a Participant pursuant to Section 3.1, the Participant must complete and file a deferral election form (provided by the Administrator) with the Administrator or its designee (pursuant to procedures prescribed by the Administrator). A new deferral election form must be filed with the Administrator for each Plan Year in accordance with the timing rules described in subsections (b) or (c) below. (b) Timing of Execution and Delivery of Elections. Except as provided in subsection (c) below, to be effective to defer any portion of a Participant's Base Compensation for a Plan Year, the election form described above must be filed with respect to that Base Compensation on or prior to the last day of the Plan Year preceding the Plan Year in which the services giving rise to the Base Compensation are performed. To be effective to defer any portion of a Participant's Incentive Compensation for a Plan Year, the election form described above must be filed with respect to that Incentive Compensation on or prior to the date that is six months before the end of the performance period giving rise to the Incentive Compensation (i.e., by June 30th for a calendar year incentive compensation performance period) provided that (i) payment of the Incentive Compensation is not substantially certain to be made at the time the deferral election is made, (ii) the Incentive Compensation performance period is at least 12 months long, (iii) the Participant performs services continuously from the later of the beginning of the performance period or the date the performance criteria are established through the date the election is made, and (iv) the deferral election is not made after the Incentive Compensation has become readily ascertainable. (c) Initial Eligibility. In the event an individual first becomes a Participant during a Plan Year, an initial deferral election may be filed at any time within 30 days of the date the individual becomes a Participant. Absent an earlier effective date established for a Participant pursuant to Article II, such an election will become effective on the first day of the month following three months of employment at the Bank. For new hires, this initial election will only apply to the portion of the Participant's Base Compensation and/or Incentive Compensation attributable to services performed after the filing of the deferral election form. This special initial eligibility election rule will not apply if the Participant is or has been a participant in a deferred compensation arrangement required to be aggregated with this Plan under the rules of Code Section 409A. Section 3.5 Plan Accounts and Allocations. The Administrator will establish and maintain an Account for each Participant. Each Account will include four Sub-Accounts – a Base Compensation Deferral Contribution Sub-Account, an Incentive Compensation Deferral

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&nbsp;&nbsp;&nbsp;&nbsp;4 Contribution Sub-Account, a Matching Contribution Sub-Account and a Supplemental Contribution Sub-Account. Reference to a Participant's Account will include all Sub-Accounts. On each Accounting Date, each Participant's Account will be adjusted as follows: (a) The Base Compensation Deferral Contribution Sub-Account will be increased by the amount of any Participant Deferral Contributions attributable to Base Compensation to be credited to the Participant under Section 3.1 since the last accounting; (b) The Incentive Compensation Deferral Contribution Sub-Account will be increased by the amount of any Participant Deferral Contributions attributable to Incentive Compensation to be credited to the Participant under Section 3.1 since the last accounting; (c) The Matching Contribution Sub-Account will be increased by the amount of any Matching Contributions to be credited to the Participant under Section 3.2 since the last accounting; (d) The Supplemental Contribution Sub-Account will be increased by the amount of any Supplemental Contributions to be credited to the Participant under Section 3.3 since the last accounting; (e) Each Sub-Account will be increased or decreased by the amount of deemed investment gains or losses (as determined based on the deemed investment earnings as described in Article VIII) attributable to the Sub-Account since the last accounting; (f) Each Sub-Account will be decreased by any payment made to or for the benefit of the Participant under Article IV from the Sub-Account since the last accounting; and (g) Each Sub-Account will be decreased by any expenses incurred for the administration and maintenance of the Plan since the last accounting that are allocable to that Sub- Account, as determined by the Administrator. ARTICLE IV DB BENEFITS: Non-Qualified Defined Benefits Section 4.1 DB Benefit. Each Participant designated to participate in this benefit will receive the DB Benefit determined under this Article IV. Section 4.2 DB Benefit Calculation. The DB Benefit will be an Annual Benefit payable to or on account of the designated Participant which will equal (i) minus (ii), but not less than zero, where: (i) is the annual benefit (as calculated by the Defined Benefit Plan on the basis of the form of payment elected under the Defined Benefit Plan by the Participant) that would otherwise be payable to or on account of the Participant under the Defined Benefit Plan, based on service only with the Bank except for the determination of vesting under the Defined Benefit Plan, (A) without regard to the limitations imposed by IRC Sections 401(a)(17) and 415 and regardless of whether employment

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&nbsp;&nbsp;&nbsp;&nbsp;5 commenced on or after July 1, 2014, and (B) as if (x) the applicable annual salary rate did not exclude overtime, bonus and incentive compensation payments and (y) as if the applicable benefit multiplier used to calculate a Participant's total pension benefit was 2%; provided that for those persons identified in Supplement D, such persons will no longer accrue additional benefits under the Defined Benefit Plan and such benefits will be restored by this DB Benefit with the applicable benefit multiplier of 2.5%; and (ii) is defined as the annual benefit (as calculated by the Defined Benefit Plan on the basis of the form of payment elected under the Defined Benefit Plan by the Participant) that is payable to or on account of the Participant under the defined Benefit Plan, based on service only with the Bank except for the determination of vesting under the Defined Benefit Plan, after giving effect to any reduction of such benefit required by the limitations imposed by IRC Sections 401(a)(17) and 415 and otherwise determined in accordance with the terms of the Defined Benefit Plan as it may be amended from time to time. Section 4.3 Other Terms. For purposes of this Article, "annual benefit" includes any benefits the Bank has elected to provide its employees under the Defined Benefit Plan and shall be in the form of a life annuity within the meaning of section 1.409A-2(b)(2)(ii) of the Regulations promulgated under IRC Section 409A. For purposes of determining the benefit under Section 4.2(i), the Defined Benefit Plan in effect upon the date of hire, as amended establishes the qualified retirement benefit for each Participant. For purposes of this Article and calculating the DB Benefit, a Participant's actuarial calculations will be determined on the first of the month following separation of service, unless the separation of service is on the first day of the month, in which case the actuarial calculations will be determined on the date of the separation of service (the first day of the month). ARTICLE V BENEFIT PAYMENTS Section 5.1 Time of Payment of Benefits. Subject to the accelerated payment provisions in Sections 5.6 and 5.7, a Participant will receive or will begin to receive payment of his DB Benefit, if any, within 90 days following the Participant's Separation from Service. A Participant will receive or will begin to receive payment of his Account Balance on the first business day after the 60th day following the Participant's Separation from Service, or at such other date or dates that begin within ten years of the Separation from Service as elected by the Participant at the time of his initial deferral election under Section 3.1. [A Participant may, but is not required, to make a separate election as to the timing of the form of payment with respect to the Participant's Incentive Compensation Deferral Contribution Sub-Account.] Changes as to the time of payment commencement of the Account Balance may be made utilizing the procedures and restrictions of Section 5.4(b). Section 5.2 Manner of Payment-DC Account. A Participant's Account will be paid in cash in a single lump sum payment or in annual installments over a period of two to ten years, as elected by the Participant pursuant to Section 5.4.

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&nbsp;&nbsp;&nbsp;&nbsp;6 Section 5.3 Manner of Payment-DB Benefit. A Participant's DB Benefit will be paid in cash in a single lump sum payment or in an Annual Benefit, as elected by the Participant pursuant to Section 5.5. Section 5.4 Form of Payment Elections-DC Account. (a) Initial Election. A Participant may elect the method in which his entire Account balance will be paid to him under Section 5.2 in accordance with the terms and conditions of this Section. Notwithstanding the forging, a Participant may, but is not required to, make a separate election as to the form of payment for any balance in the Participant's Incentive Compensation Deferral Contribution Sub-Account. To make an election, a Participant must file an election with the Administrator (on a form or forms and in accordance with procedures prescribed by the Administrator) at the time he first becomes a Participant. If no election is made, if the election is not timely or properly made, or if the Account balance (or, if a separate election has been made with respect to the Participant's Incentive Compensation Deferral Contribution Sub- Account, the sub-account's balance) at the time of distribution is less than $10,000, payment of the Account (or, if applicable, sub-account) balance will be made in a lump sum payment. (b) Change of Form of Payment Election. An election as to the manner of payment under this Section may not be changed after the payment of the Account has been made or installment payments have commenced. Prior to that time, a Participant may change his form of payment election by filing a new election form with the Administrator; provided, however, that: (i) the new election will not take effect until at least 12 months after the date the new election is filed; (ii) the single lump sum payment or the commencement of installment payments with respect to which such election is made must be deferred for a period of not less than five years from the date such payment would otherwise have been made; and (iii) the new election is filed at least 12 months prior to the date of the first scheduled payment for the Account. (c) Installments. Installment payments will be made from and reduce any applicable sub-accounts on a pro-rata basis. If installment distributions are elected and the distributable Account balance is at least $10,000, the initial installment amount will be the Account balance otherwise payable in a single sum multiplied by a fraction, the numerator of which is one and the denominator of which is the total number of installment payments. Subsequent annual installments will also be a fraction of the unpaid vested Account balance, the numerator of which is always one but the denominator of which is the denominator used in calculating the previous installment minus one. For example, if five annual installment payments are elected, the initial installment will be one-fifth of the Account balance, the second installment will be one-fourth of the remaining Account balance and so on. Section 5.5 Form of Payment Elections-DB Benefit. Initial Election. A Participant may elect the method in which his DB Benefit will be paid to him under Section 5.3 in accordance with the terms and conditions of this Section. To make an election, a Participant must file an election with the Administrator (on a form or

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&nbsp;&nbsp;&nbsp;&nbsp;7 forms and in accordance with procedures prescribed by the Administrator) at the time he becomes a Participant. If no election is made or if the election is not timely or properly made for the DB Benefit, the Annual Benefit payable to or on account of the Participant will be converted by the Actuary and payment of that benefit will be made in the Regular Form, using the same actuarial factors and assumptions used by the Defined Benefit Plan on the Participant's Separation from Service date to determine actuarial equivalence under the Defined Benefit Plan. The lump sum payment will be paid within 90 days of the Participant's Separation from Service. (a) Change of Form of Payment Election. A Participant may elect to receive payment of his DB Benefit in the form of a single lump sum or in an annuity. An election as to the manner of payment may not be changed after the payment of the DB benefit has been made or payments have commenced. Prior to that time, a Participant may change his election to receive an optional annuity payment form under subsection (b) by filing a new election form with the Administrator on a form and in accordance with procedures prescribed by the Administrator. In addition, a Participant may change his form of payment election from a single lump sum to an Annual Benefit or vice-versa by filing a new election form with the Administrator; provided, however, that: (i) the new election will not take effect until at least 12 months after the date the new election is filed; (ii) the single lump sum payment or the commencement of annuity payments with respect to which such election is made must be deferred for a period of not less than five years from the date such payment would otherwise have been made or commenced; and (iii) the new election is filed at least 12 months prior to the date of the first scheduled payment for the Account. (b) Optional Annuity Forms. Pursuant to subsection (a) above, a Participant may elect to change the form of payment of his DB Benefit to any optional annuity form, then permitted under the Defined Benefit Plan that is a life annuity within the meaning of Code Section 409A and is actuarially equivalent to the Regular Form in accordance with procedures established by the Administrator. Section 5.6 Disability and Death-DC Benefit. In the event a Participant dies or becomes Disabled before he Separates from Service, the Participant's Account balance will be paid in an accelerated single lump sum payment to the Participant, or in the event of his death to his designated beneficiary or beneficiaries. If a Participant becomes Disabled or dies after benefit payments have begun, but before he has received his entire Account balance, the Participant's remaining Account balance will be paid to the Participant, or in the event of his death to his designated beneficiary or beneficiaries, in an accelerated single lump sum. Payment of the lump sum amounts described above will be made within 90 days of a determination by the Administrator that the Participant is Disabled or within 90 days of the confirmation of the Participant's death. Section 5.7 Death-DB Benefit. With respect to a Participant's DB Benefit, if the Participant dies after he has begun receiving payment of that benefit (or after he is entitled to receive payment of the benefit), in the Regular Form, a death benefit will be paid to the Participant's designated beneficiary or beneficiaries in a lump sum equal to the excess, if any, of (i) over (ii) where: (i) is an amount equal to 12 times the Annual Benefit payable under Section 4.2 and (ii) is the sum of DB Benefit payments, if any, the Participant had received. If a Participant dies before commencement of the payment of his DB Benefit and the Participant had elected

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&nbsp;&nbsp;&nbsp;&nbsp;8 payment in a lump sum or an Optional Annuity Form, a death benefit will be paid to the Participant's designated beneficiary or beneficiaries as if the payment of the Participants' benefit had commenced on the first day of the month in which the Participant's death had occurred. If a Participant dies after the payment of the DB Benefit has begun, no death benefit will be paid except as provided under the elected form of payment. Section 5.8 DC and DB Beneficiary Designations. A Participant may designate a beneficiary or beneficiaries to receive any amount payable under this Section as a result of his death. A different beneficiary or beneficiaries may be designated for the DC and DB benefit components. A Participant may change his designation of beneficiaries at any time by filing with the Administrator a written notice of the change on a form approved by the Administrator. Each beneficiary designation filed with the Administrator will cancel all previously filed beneficiary designations. If no designation is in effect on the Participant's death, or if the designated beneficiary does not survive the Participant, his beneficiary will be his surviving spouse, if any, and then his estate. Section 5.9 Unforeseeable Emergency. In the event the Administrator determines in its sole discretion that a Participant has experienced an Unforeseeable Emergency, the Participant may elect to receive a distribution of all or a portion of the Participant's vested Account balance, but none of his DB Benefit, no later than 90 days following such determination, in a single lump sum payment. The Participant must submit a signed statement of the facts causing the severe financial hardship and any other information required by the Administrator, in its sole discretion. Payment under this Section is subject to the following conditions: (a) The emergency must not be able to be relieved through reimbursement or compensation from insurance or otherwise, by liquidation of the Participant's assets, to the extent liquidation of such assets would not cause severe financial hardship, or by cessation of deferrals under this Plan. (b) The amount of the distribution must be limited to the amount reasonably necessary to satisfy the emergency need (which may include amounts necessary to pay any Federal, state, or local income taxes or penalties reasonably anticipated to result from the distribution). However, the determination of amounts reasonably necessary to satisfy the emergency need is not required to take into account any additional compensation that due to the unforeseeable emergency is available under another nonqualified deferred compensation plan but has not actually been paid, or that is available due to the unforeseeable emergency under another plan that would provide for deferred compensation except due to the application of the effective date provisions of Treasury Regulation Section 1.409A-6. The payment may be made from any plan in which the Participant participates that provides for payment upon an Unforeseeable Emergency, provided that the plan under which the payment was made must be designated at the time of payment. (c) Participant Deferral Contributions cease for the balance of the Plan Year in which the distribution is made. Section 5.10 Vesting. Except as provided in Section 5.11, a Participant will always be vested in his accrued benefit under the Plan.

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&nbsp;&nbsp;&nbsp;&nbsp;9 Section 5.11 Forfeiture of Benefits. Notwithstanding the vesting provisions of Section 5.10, forfeiture of a Participant's rights to payment under the Plan may occur as follows: (a) For Cause Forfeitures. In the event a Participant's employment with the Bank is terminated For Cause, the Participant's Matching Contribution Sub-Account balance will be forfeited and will cease to be payable to the Participant under the Plan. In addition, any amount previously paid from that sub-account will also be forfeited and must be repaid to the Bank within 30 days of the Bank's request for repayment. Forfeiture Due to Solicitation. In the event that during the period of his employment with the Bank and for 24 months after such employment terminates for any reasons and while any payment under the Plan is payable to the Participant (the "restricted period"), except as otherwise expressly agreed to in writing by the Bank, a Participant directly or indirectly attempts to, or in fact does, (i) employ, contract with, or enter any arrangement with any current or former employee, or (ii) divert, take away or hinder an Bank's relationship with any of the Bank's current clients, employees, consultants or independent contractors or causes or encourages such persons to alter or reduce the business they conduct with the Bank that is materially adverse to the Bank, during his employment with the Bank or during the restricted period the Participant's Matching Contribution Sub-Account will be forfeited and will cease to be payable to the Participant under the Plan. In addition, any amount previously paid to the Participant from his or her Matching Contribution Sub-Account will also be forfeited and must be repaid to the Bank within 30 days of the Bank's request for repayment. Forfeiture Due to Disparagement. In the event that the Participant at any time during or for a period of 24 months after his employment terminates, makes, publishes, or communicates to any person or entity or in any public forum any defamatory or disparaging remarks, comments, or statements or undocumented allegations of wrongdoing concerning the Bank or its businesses, or any of its employees, officers, and existing and prospective customers, suppliers, investors and other associated third parties, the Participant's Matching Contribution Sub-Account will be forfeited. In addition, any amount previously paid to the Participant from that sub-account will also be forfeited and must be repaid to the Bank within 30 days of the Bank's request for repayment. This subsection (c) does not, in any way, restrict or impede the Participant from (i) exercising protected rights to the extent that such rights cannot be waived by agreement or (ii) providing truthful and accurate responses or information to comply with any applicable law or regulation or a valid order or other lawful process of a court of competent jurisdiction or an authorized government agency, provided that such compliance does not exceed that required by the law, regulation, or order. This Section 5.11 shall not be construed to prevent a Participant from filing a charge with or participating in an investigation conducted by any governmental agency, including, without limitation, the United States Equal Employment Opportunity Commission ("EEOC"), the Securities and Exchange Commission ("SEC"), the Federal Housing Finance Agency ("FHFA"), the National Labor Relations Board, the Occupational Health and Safety Administration, the New York State Division of Human Rights, the New York City Commission on Human Rights, or

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&nbsp;&nbsp;&nbsp;&nbsp;10 applicable federal, state, or local agency, including enforcement agencies ("Government Agency"), to the extent required or permitted by law, including SEC or FHFA compliance investigations. A Participant under this Plan is not prohibited under this Section 5.11 to communicate with any Government Agency or an attorney that the Participant retains, or otherwise participate in any investigation or proceeding that may be conducted by an Government Agency, including filing or disclosing any facts necessary to receive unemployment insurance, Medicaid, or other public benefits to which the Participant is otherwise entitled, or providing documents or other information without notice to the Bank. This Plan does not limit a Participant's right to receive an award for information provided to any Government Agency. ARTICLE VI BENEFIT CLAIMS AND SUPPORTING DOCUMENTATION While a Participant or beneficiary need not file a claim to receive a benefit under the Plan, if he wishes to do so, a claim may be made in writing and filed with the Administrator. If a claim is denied, the Administrator will furnish the claimant with written notice of its decision. A claimant may request a review of the denial of a claim for benefits by filing a written request with the Administrator. The Administrator will afford the claimant a full and fair review of such a request. With respect to the calculation of a Participant's final DB Benefit, the Participant may submit a written request to the Administrator for a statement showing how the DB Benefit was calculated, including the actuarial assumptions and methods used in the calculation, as well as sufficient detail so that the calculation may be confirmed by an actuary hired by the Participant. The statement will be prepared at the Bank's expense. Expenses incurred to review or contest this statement will be borne by the Participant. ARTICLE VII PLAN ADMINISTRATION Section 7.1 Powers and Responsibilities of the Administrator. (a) Administrator Powers. The Administrator will have all powers necessary to administer the Plan, including the power to construe and interpret the Plan documents; to decide all questions relating to an individual's eligibility to participate in the Plan or in any benefit component under the Plan, to determine the amount, manner and timing of any distribution of benefits or withdrawal under the Plan; to determine any forfeiture of benefits; to resolve any claim for benefits in accordance with Article VI, and to appoint or employ advisors, including legal counsel and an Actuary, to render advice with respect to any of the Administrator's responsibilities under the Plan. To determine any forfeiture of benefits the Administrator must also receive the written concurrence of the Bank's Chief Legal Officer. Any construction, interpretation, or application of the Plan by the Administrator will be final, conclusive and binding. In the event the Administrator or Chief Legal Officer has an actual or appearance of conflict, the President & CEO or his designee may assume the role as Administrator and the Bank may engage disinterested legal counsel to provide the concurrence of the Chief Legal Officer.

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&nbsp;&nbsp;&nbsp;&nbsp;11 (b) Records and Reports. The Administrator will be responsible for maintaining sufficient written or electronic records to determine each Participant's eligibility to participate in the Plan and for purposes of determining the balance of any Account under the Plan. In addition to the statement provided in Article VI, upon request to the Administrator, a Participant may annually receive, at no charge, a summary of the calculation of the Participant's Plan benefit. (c) Rules and Decisions. The Administrator may adopt such rules as it deems necessary, desirable, or appropriate in the administration of the Plan. All rules and decisions of the Administrator will be applied uniformly and consistently to all Participants in similar circumstances. When making a determination or calculation, the Administrator will be entitled to rely upon information furnished by a Participant, a beneficiary, the Actuary, or the legal counsel of the Bank. (d) Application for Benefits. The Administrator may require a Participant or beneficiary to complete and file with it an application for a benefit, and to furnish all pertinent information requested by it. The Administrator may rely upon all such information so furnished to it, including the Participant's or beneficiary's current mailing address. (e) Delegation. The Administrator may authorize one or more officers of the Bank to perform administrative responsibilities on its behalf under the Plan. Any such duly authorized officer will have all powers necessary to carry out the administrative duties delegated to such officer by the Administrator. Section 7.2 Liabilities. Any employee delegated administrative responsibilities under this Article will be indemnified and held harmless by the Bank as provided in the Bank's bylaws with respect to any alleged breach of responsibilities performed or to be performed hereunder. Section 7.3 Income and Employment Tax Withholding. The Bank will be responsible for withholding from the Participant's compensation, including any payments made pursuant to the Plan, all applicable federal, state, city and local taxes. Section 7.4 Federal Housing Finance Agency Non-objection. A Participant that is a named executive officer will not receive a benefit under this Plan without the non-objection of the FHFA if otherwise required by FHFA regulation, order or guidance. ARTICLE VIII FUNDING The Plan will be maintained in such a fashion that at all times for purposes of the IRC it will be unfunded and will constitute a mere promise by the Bank to pay money in the future. Any and all rights under this Plan will be unsecured contractual rights against the Bank. The Administrator will establish and maintain one or more deemed investment funds that will be used to increase or decrease a Participant's Sub-Accounts under Section 3.5. Each Participant's Sub-Accounts will be increased or decreased as if the Sub-Account was actually invested in those investment funds. Any actual investment funds utilized to determine the deemed

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&nbsp;&nbsp;&nbsp;&nbsp;12 investment gains and losses under the Plan, or used to pay benefits under the Plan will at all times remain an asset of the Bank and will be subject to the claims of the Bank's general creditors. The amount of any deemed investment gains or losses for any period will be determined by the Administrator in its sole discretion. The Bank is not required to segregate on its books or otherwise establish any funding procedure to be used for the payment of benefits under this Plan. However, the Bank may, in its sole discretion, satisfy all or any part of the Bank's obligations under the Plan from a trust established by the Bank in connection with the Plan or from an insurance contract, annuity or similar vehicle owned by the Bank or by setting aside and investing amounts deferred under the Plan as an asset of the Bank. Any such trust or other vehicle will constitute solely a means to assist the Bank in meeting its promised obligations under the Plan and will not constitute a funded account within the meaning of the IRC, nor will it create a security interest for the benefit of any Participant or beneficiary. Any trust created or amended hereunder will conform in substantially all respects to the terms of the "Model Trust," as described in Revenue Procedure 92-64. ARTICLE IX AMENDMENT AND TERMINATION OF THE PLAN Section 9.1 Amendment of the Plan. The Bank acting through its Board may amend the Plan at any time in its sole discretion. Notwithstanding the foregoing, the Bank may not amend the Plan to reduce the balance of a Participant's Account balance as determined on the day preceding the effective date of the amendment. Section 9.2 Termination of the Plan. The Bank with Board approval may terminate the Plan at any time in its sole discretion with notice to the Participants. Plan benefits that had accrued and vested prior to the Plan's termination will be paid at the times and in the manner provided for by the Plan at the time of the termination. ARTICLE X MISCELLANEOUS Section 10.1 Governing Law. The Plan will be construed, regulated and administered according to the laws of the New York, without reference to that state's choice of law principles, except in those areas preempted by the laws of the United States of America in which case the federal laws will control. Section 10.2 Headings and Gender. The headings and subheadings in the Plan have been inserted for convenience of reference only and will not affect the construction of the Plan provisions. In any necessary construction, the masculine will include the feminine and the singular the plural, and vice versa. Section 10.3 Withholding of Taxes. The Bank will withhold all federal, state, city and local taxes as legally required. Section 10.4 Spendthrift Clause. No benefit or interest available under the Plan will be subject in any manner to anticipation, alienation, sale, transfer, assignment, pledge, encumbrance, attachment or garnishment by creditors of the Participant or the Participant's beneficiary, either voluntarily or involuntarily.

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&nbsp;&nbsp;&nbsp;&nbsp;13 Section 10.5 Counterparts. This Plan may be executed in any number of counterparts, each one constituting but one and the same instrument, and may be sufficiently evidenced by any one counterpart. Section 10.6 No Enlargement of Employment Rights. Nothing contained in the Plan may be construed as a contract of employment between the Bank and any person, nor may the Plan be deemed to give any person the right to be retained in the employ of the Bank or limit the right of the Bank to employ or discharge any person with or without cause. Section 10.7 Limitations on Liability. Notwithstanding any other provision of the Plan, neither the Bank nor any individual acting as an employee or agent of the Bank will be liable to the Participant or any beneficiary for any claim, loss, liability or expense incurred in connection with the Plan, except when the same has been judicially determined to be due to the gross negligence or willful misconduct of that person. Section 10.8 Incapacity of Participant or Beneficiary. If any person entitled to receive a distribution under the Plan is physically or mentally incapable of personally receiving and giving a valid receipt for any payment due (unless a prior claim for the distribution has been made by a duly qualified guardian or other legal representative), then, unless and until a claim for the distribution has been made by a duly appointed guardian or other legal representative of the person, the Bank may provide for the distribution to be made to any other individual or institution then contributing toward or providing for the care and maintenance of the person. Any payment made for the benefit of the person under this Section will be a payment for the account of such person and a complete discharge of any liability of the Bank and the Plan. Section 10.9 Evidence. Evidence required of anyone under the Plan may be by certificate, affidavit, document or other information which the person relying on the evidence considers pertinent and reliable, and signed, made or presented by the proper party or parties. Section 10.10 Action by Bank. Any action required of or permitted by the Bank under the Plan will be by resolution of the Board of Directors, or by a person or persons authorized by resolution of the Board. Section 10.11 Severability. In the event any provisions of the Plan are held to be illegal or invalid for any reason, the illegality or invalidity will not affect the remaining parts of the Plan, and the Plan will be construed and endorsed as if the illegal or invalid provisions had never been contained in the Plan. Section 10.12 Information to be Furnished and Payment Corrections. The Participant, or any other person entitled to benefits under the Plan, must furnish the Administrator with any and all documents, evidence, data or other information the Administrator considers necessary or desirable for the purpose of administering the Plan. Benefit payments under the Plan are conditioned on the Participant (or other person who is entitled to benefits) furnishing full, true and complete data, evidence or other information to the Administrator, and on the prompt execution of any document reasonably related to the administration of the Plan requested by the Administrator. To the extent payments are made from the Plan due to a mistake of fact regardless of the source of the mistake, the Plan may recover, and the Participant or other recipient must repay to the Bank, the amount of the overpayment within 30 days of the Bank's repayment request. This request will include, if applicable, an actuarial analysis explaining the error in sufficient detail so that an independent actuary could confirm the calculation of the correct payment amount.

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&nbsp;&nbsp;&nbsp;&nbsp;14 SUPPLEMENT A DEFINITIONS When used in the Plan, the following terms shall have the following meanings: "Account" means the bookkeeping account maintained for a Participant as provided in Section 3.5. "Accounting Date" means each day on which the securities markets of the United States are generally in operation. "Actuary" means the independent consulting actuary retained by the Bank from time to time to assist the Administrator in the administration of the DB Benefit. "Administrator" means the Bank's Director of Human Resources or any other individual or committee designated by the Committee. "Annual Benefit" means payment in the form of a life annuity paid monthly within the meaning of Section 1.409A-2(b)(2)(ii) of the Regulations promulgated under IRC Section 409A. "Bank" means the Federal Home Loan Bank of New York. "Base Compensation" means the Participant's annualized salary from the Bank, exclusive of taxable fringe benefits, professional association or club membership dues, taxable group term life insurance or incentive compensation. "Board of Directors" or "Board" means the Board of Directors of the Bank. "Business Day" means and refers to a day on which commercial banks are open for business in the State of New York. "Committee" means the Compensation & Human Resources Committee, or its equivalent regardless of committee name, appointed from time to time by the Board. "Compensation" means and includes any amounts actually payable by the Bank to a Participant for a particular calendar year. "Compensation Deferral Sub-Account" means the bookkeeping account maintained for each Participant who makes Participant Deferral Contributions under Section 3.1 as provided in Section 3.5. "Compensation Deferral Election Date" means the last Business Day in any calendar year during which the Plan is in effect. "DB Benefit" means the amount payable to a Participant as determined under Article IV. "Defined Benefit Plan" means the tax-qualified defined benefit plan maintained by the Bank for the benefit of its employees.

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&nbsp;&nbsp;&nbsp;&nbsp;15 "Disabled" means the Participant in question is unable to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment which can be expected to result in death or can be expected to last for a continuous period of not less than 12 months and is determined to be totally disabled by the Social Security Administration. The Administrator will be the sole and final judge of whether a Participant is Disabled for purposes of this Plan, after consideration of any evidence it may require. "For Cause" means a reasonable determination by the Bank that the Participant (i) consistently and willfully failed to obey or follow directions of the Bank or the Participant's supervisor, (ii) consistently and willfully failed to comply with any employee handbook, code of business conduct or policies or procedures of the Bank which are applicable to him or her, (iii) acted with gross negligence in the performance of his obligations for the Bank or in a manner materially detrimental to the Bank, (iv) willfully breached his duty to the Bank, or (v) is convicted of, or entered a plea of guilty or nolo contendere to, a felony or committed any act involving dishonesty, theft, or fraud which has a material detrimental impact on the Bank. "Incentive Compensation" means any compensation payable under an Incentive Plan or Bank bonus payment arrangement, excluding any merit service award, spot award, separation severance payment, individual retention bonus or other deminimus special payment. "Incentive Plan" means any Board-approved annual or long-term incentive compensation plan. "IRC" means the Internal Revenue Code of 1986, as amended from time to time, or any successor thereto. "Matching Contribution Credit" means the credit to be made for a Participant under Section 3.2. "Matching Contribution Sub-Account" means the bookkeeping account maintained for each Participant who receives a Matching Contribution Credit under Section 3.2 as provided in Section 3.5. "Nonqualified Deferred Compensation" shall have the same meaning as it has in IRC Section 409A and the Regulations promulgated thereunder. "Optional Annuity Form" means any of the optional forms of payment permitted under the Defined Benefit Plan that is a life annuity, within the meaning of Section 1.409A-2(b)(2)(ii) of the Regulations promulgated under IRC Section 409A, other than the Regular Form of payment and that is actually equivalent to the Regular Form, using the actuarial factors and assumptions then used by the Defined Benefit Plan for determining actuarial equivalence under the Defined Benefit Plan. "Participant" means any person designated to participate in and receive benefits under the Plan as provided in Article II. "Participant Deferral Contribution" means the amount withheld for a Participant's Base Compensation and/or Incentive Compensation pursuant to Section 3.1.

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&nbsp;&nbsp;&nbsp;&nbsp;16 "Plan" means the Federal Home Loan Bank of New York Nonqualified Deferred Compensation Plan, as set forth herein and as amended from time to time. "Plan Administrator" means the Director of Human Resources of the Bank or a designee(s). "Plan Year" means the calendar year. "Regular Form" means an annual benefit payable for the Participant's lifetime and the death benefit described in Section 5.7. "Separation from Service" has the meaning set forth in Section 1.409A-1(h) of the Regulations promulgated under IRC Section 409A. "Supplemental Contribution Credit" means the credit to be made for a Participant under Section 3.3. "Supplemental Contribution Credit Sub-Account" means the bookkeeping account maintained for each Participant who receives a Matching Contribution Credit under Section 3.3 as provided in Section 3.5. "Unforeseeable Emergency" has the meaning set forth in Section 1.409A-3(i)(3)(i) of the Regulations promulgated under IRC Section 409A or as amended. Under current regulations, Unforeseeable Emergency means a severe financial hardship of the Participant resulting from (i) an illness or accident of the Participant, the Participant's spouse, the Participant's beneficiary or a dependent (as defined in IRC Section 152(a), without regard to IRC Sections 152(b)(1), (b)(2) and (d)(1)(B)) of the Participant; (ii) loss of the Participant's property due to casualty (including the need to rebuild a home following damage to a home not otherwise covered by insurance, for example, not as a result of a natural disaster); (iii) imminent foreclosure of or eviction from the Participant's primary residence; (iv) the need to pay for medical expenses, including non- refundable deductibles, as well as for the costs of prescription drug medication; (v) the need to pay for the funeral expenses of a spouse or a dependent (as defined in IRC Section 152(a)) or (vi) other similar extraordinary and unforeseeable circumstances arising as a result of events beyond the control of the Participant.

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&nbsp;&nbsp;&nbsp;&nbsp;17 2026 Non-Qualified Deferred Compensation Plan SUPPLEMENT B DB BENEFIT SCHEDULE The list of Participants designated pursuant to Article II to participate in the DB Benefit component of the Plan from time to time will be established by the Board (or the Committee if so delegated by the Committee charter or otherwise), and shall be maintained by the Administrator. The following Participants in the Plan were designated by the Committee on or before the 2025 Plan Year: Name Title [Redacted] For Plan Year 2026, new participation is limited to Officers at the rank of First Vice President or higher. The following are new Participants to the Plan DB Benefit component effective January 1, 2026 and eligible for benefits under the Plan subject to meeting the five-year vesting window requirement of the Defined Benefit Plan: Name Title [Redacted]

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&nbsp;&nbsp;&nbsp;&nbsp;18 2026 Non-Qualified Deferred Compensation Plan SUPPLEMENT C DC BENEFIT SCHEDULE The list of Participants designated pursuant to Article II to participate in the defined contribution components of the Plan (as described in Sections 3.1, 3.2 and 3.3 relating to Deferral, Matching and Supplemental Contribution Credits) from time to time will be established by the Board and maintained by the Administrator. The list will specify the component or components in which the Participant may participate and specify the matching percentage for those eligible to receive a matching contribution under Section 3.2 both as determined by the Committee. During the Plan Year, a new hire or promotion that otherwise meets the Board's participation standards for the Plan Year may enroll for DC Benefits pursuant to Section 3.4(c). Upon enrollment, they will be added to the Administrator's list. For Plan Year 2026, the Bank will make a Matching Contribution Credit of up to 6% or 9% of annual base salary depending on eligibility as listed below for officers Vice President or higher earning an annual base salary of at least $350,000. If the employee makes at a minimum a 4% base salary contribution, the Bank will match at 6% or 9% of base salary depending on eligibility. If the employee matches less than 4%, the Bank match will be dollar for dollar. Name Title Matching Contribution Credit% [Redacted]

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&nbsp;&nbsp;&nbsp;&nbsp;19 2026 Non-Qualified Deferred Compensation Plan SUPPLEMENT D DB BENEFIT EXCEPTIONS The list of Participants identified for purposes of Section 4.2(i)(y) will be maintained by the Administrator. Name Title [Redacted]

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&nbsp;&nbsp;&nbsp;&nbsp;FEDERAL HOME LOAN BANK OF NEW YORK • 101 PARK AVENUE • NEW YORK, NY 10178 • T: 212.681.6000 • WWW.FHLBNY.COM RESOLUTION Compensation &Human Resources Committee Non-Qualified Deferred Compensation Plan Schedule Approvals The Compensation &Human Resources Committee pursuant to Non-Qualified Deferred Compensation Plan approved by the Board of Directors on November 20, 2025, hereby effective December 17, 2025 approves Supplement B DB Benefit Schedule, Supplement C DC Benefit Schedule, and Supplement D DB Benefit Exceptions for Plan Year 2026. The schedules are attached to the memorandum prepared by Jonathan West (Chief Legal Officer) and Maelean Sanders (Senior Manager, Human Resources), dated December 11, 2025, titled "2026 Non-Qualified Deferred Compensation Plan", a copy of which will be retained in the Bank's electronic records. FEDERAL HOME LOAN BANK OF NEW YORK By: /s/ Maelean Sanders Recording Secretary Human Resources Date: December 17, 2025

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&nbsp;&nbsp;&nbsp;&nbsp;FEDERAL HOME LOAN BANK OF NEW YORK • 101 PARK AVENUE • NEW YORK, NY 10178 • T: 212.681.6000 • WWW.FHLBNY.COM RESOLUTION Compensation &Human Resources Committee Non-Qualified Deferred Compensation Plan Schedule Approvals The Compensation &Human Resources Committee pursuant to Non-Qualified Deferred Compensation Plan approved by the Board of Directors on February 18, 2026, hereby effective February 18, 2026 approves the Supplement C DC Benefit Schedule to add a new hire. FEDERAL HOME LOAN BANK OF NEW YORK By: /s/ Maelean Sanders Recording Secretary Human Resources Date: February 18, 2026

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## Exhibit 10.11

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**<u>EXECUTIVE CHANGE IN CONTROL AGREEMENT</u>**

This EXECUTIVE CHANGE IN CONTROL AGREEMENT ("Agreement") shall be deemed to be effective as of [*for all eligible NEOs other than the President and CEO, hereinafter, "all others"*, January 15, 2025] [*for the President and CEO,* February 3, 2025] (the "Effective Date"), by and between the Federal Home Loan Bank of New York (the "Bank"), and [Executive's Name] (the "Executive").

WHEREAS, the Bank recognizes the valuable services that the Executive provides and desires to be assured that the Executive will continue the Executive's active and objective participation in the business of the Bank; and

WHEREAS, the Executive desires assurance that, in the event of any change in control, consolidation, or reorganization of the Bank, the Executive will continue to have the responsibility and status the Executive has earned, either with the Bank or with a successor to the Bank.

NOW, THEREFORE, in consideration of the promises and the mutual agreements herein contained, the Bank and the Executive hereby agree as follows:

**1. <u>Definitions</u>**

"Bank" shall mean the Federal Home Loan Bank of New York and any other entity within the definition of "Bank" in Section 6(a).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;"Cause" shall mean:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) indictment of the Executive for, or conviction of, or plea of guilty or nolo contendere with respect to, or agreement to enter into a pre-trial diversion or similar program in connection with the prosecution for, a felony of any type or any crime involving fraud, theft, misappropriation, embezzlement, dishonesty, breach of trust or money laundering or any form of moral turpitude;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) willful misconduct or gross negligence on the part of the Executive in the performance of the Executive's duties as explained in a letter from the Board of Directors or a committee thereof;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) conduct of the Executive materially and demonstrably detrimental to the Bank;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) repeated failure to adhere to the directions of the Board of Directors to adhere to the Bank's policies and practices, or a single failure to follow the direction of the Board that directly causes a financial loss of at least $3 million to the Bank;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) repeated failure to devote substantially all of the Executive's business time and efforts to the Bank;

![image_2a.jpg](image_2a.jpg)FEDERAL HOME LOAN BANK OF NEW YORK **•** 101 PARK AVENUE **•** NEW YORK, NY 10178 **•** T: 212.681.6000 **•** WWW.FHLBNY.COM

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) breach in any material respect of the terms and provisions of this Agreement and failure to cure such breach within 10 days following written notice from the Bank specifying such breach;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii) engagement in any activity or conduct that results in a written request under applicable Federal law from the Federal Housing Finance Agency or any other regulatory agency requesting that the Bank materially reduce the Executive's responsibilities or terminate the employment of the Executive; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(viii) engagement in any activity or conduct that results in the Executive being barred from employment by the Bank by operation of any law or regulation or by any final order of any court or regulatory authority, including, without limitation, any removal or barring of employment of the Executive pursuant to 12 U.S.C. § 4636a and 12 C.F.R. § 1209.8 (or any successor provisions).

"Change in Control" of the Bank shall mean the occurrence at any time of any of the following events:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) the merger, reorganization or consolidation of the Bank with or into another Federal Home Loan Bank or other entity, other than any such event that is mandated by federal statute, rule, regulation, or directive, including 12 U.S.C. § 1421, et seq., as amended, and 12 U.S.C. § 4501 et seq., as amended, and which the Director of the Federal Housing Finance Agency (or successor agency) has determined should not be a basis for making payment under this Agreement, by reason of the capital condition of the Bank or because of unsafe or unsound acts, practices, or conditions ascertained in the course of the Agency's supervision of the Bank or because any of the conditions identified in 12 U.S.C. § 4617(a)(3) are met with respect to the Bank (which conditions do not result solely from the mandated reorganization itself, or from action that the Agency has required the Bank to take under 12 U.S.C. § 1431(d));

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) the sale or transfer of all or substantially all of the business or assets of the Bank (or its successors or assigns) to another Federal Home Loan Bank or other entity;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) the purchase by the Bank of all or substantially all of the business or assets of another Federal Home Loan Bank or other entity;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) as a result of one or a series of related transactions, the number of members of the board of directors of the Bank located in New York, New Jersey, Puerto Rico and the U.S. Virgin Islands cease to constitute a majority of the directors of the Bank (excluding, for purposes of this clause (iv), non-member independent directors); or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) the liquidation or dissolution of the Bank (or its successor in a Change in Control).

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"Code" shall mean the Internal Revenue Code of 1986, as amended from time to time, and the Treasury Regulations and other interpretive guidance issued thereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;"Compensated Termination" shall have the meaning set forth in Section 2(a).

"Disability" shall mean a situation where, as a result of the Executive's incapacity due to physical or mental illness, the Executive shall have been absent from the Executive's duties with the Bank for an aggregate of twelve (12) out of fifteen (15) consecutive months and, within thirty (30) days after a Notice of Termination is thereafter given by the Bank to the Executive, the Executive shall not have returned to the full-time performance of the Executive's duties.

"Good Reason" shall mean any of the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) during the period –

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) <u>beginning with</u> the earliest to occur of the following three dates, as applicable:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (A) twelve (12) months prior to the execution of a definitive agreement regarding a Change in Control of the Bank, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (B) if a Change in Control has been mandated by federal statute, rule, regulation or directive, twelve (12) months prior to the effective date of such Change in Control, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (C) twelve (12) months prior to the adoption of a plan or proposal for the liquidation or dissolution of the Bank, *and* 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) <u>ending</u> twenty-four (24) months after the effective date of such Change in Control,

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)a material change in the Executive's status, position, job title or principal duties and responsibilities as a key employee of the Bank which does not represent a promotion from the Executive's status and position as in effect as of the date hereof ("Position"), unless otherwise voluntarily agreed to in writing by the Executive, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the assignment to the Executive of any duties or responsibilities (or removal of any duties or responsibilities), which assignment or removal is not consensual and is materially inconsistent with such Position, unless otherwise voluntarily agreed to in writing by the Executive, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)any removal of the Executive from such Position (including, without limitation, all demotions and harassing assignments), except in connection with the termination of the Executive's employment for Cause or Disability, or as a result of the Executive's death, or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)&nbsp;&nbsp;&nbsp;&nbsp;the relocation of the Executive's principal place of employment by the Bank to a location more than fifty (50) miles from the Executive's principal place of employment as of the effective date of a Change in Control of the Bank that also results in an increase in the Executive's commute from the Executive's principal residence to Executive's principal place of employment by the Bank of more than fifty (50) miles. unless otherwise voluntarily agreed to in writing by the Executive;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;&nbsp;&nbsp;&nbsp;within twenty-four (24) months after the effective date of a Change in Control of the Bank, (a) a reduction by the Bank in the Executive's base salary as in effect immediately prior to such Change in Control, *or* (b) the Bank's (or its successor's) failure to increase (within 12 months of the Executive's last increase in base salary) the Executive's base salary after a Change in Control of the Bank in an amount which is not less than 80% of the average percentage increase in base salary for all officers of the Bank effected in the preceding twelve (12) months;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;&nbsp;&nbsp;&nbsp;within twenty-four (24) months after the effective date of a Change in Control of the Bank, (a) any failure by the Bank to continue in effect any plan or arrangement, including, without limitation, benefit and incentive plans, in which the Executive is participating immediately prior to such Change in Control (hereinafter referred to as "Plans"), unless such Plans have been replaced with similar benefits that are not materially less than the Executive's benefits under such Plans, *or* (b) the taking of any action by the Bank which would adversely affect the Executive's participation in or materially reduce the Executive's benefits under any such Plan or in or under fringe benefits enjoyed by the Executive immediately prior to the time of such Change in Control of the Bank;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;&nbsp;&nbsp;&nbsp;any material breach by the Bank of any provisions of this Agreement or any other agreement with the Executive; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;&nbsp;&nbsp;&nbsp;any failure by the Bank or its successors and assigns to obtain the assumption of this Agreement by any successor or assign of the Bank.

"Notice of Termination" shall mean a written notice which shall indicate those specific termination provisions in this Agreement upon which the Bank or the Executive, as the case may be, has relied for such termination and which sets forth in reasonable detail the facts and circumstances claimed to provide a basis for termination of the Executive's employment under the provision so indicated.

"Payment Determination Date" shall have the meaning set forth in Section 2(b) below.

"Position" is defined in the above definition of "Good Reason".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;"Retirement" shall mean the planned and voluntary termination by the Executive of the Executive's employment on or after reaching the earliest retirement age permitted by the Bank's qualified retirement plans.

**2.&nbsp;&nbsp;&nbsp;&nbsp;<u>Compensated Termination</u>**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) &nbsp;&nbsp;&nbsp;&nbsp;<u>Compensated Termination</u>. If the Executive incurs a Compensated Termination while the Executive is employed by the Bank or within twenty-four (24) months after the effective date of a Change in Control of the Bank (whether the Executive is then employed by the Bank or by its successor in a Change in Control), the Executive shall be entitled to the benefits provided in Section 4(a). For purposes of this Agreement, a "Compensated Termination" means termination of the Executive's employment under either of the following circumstances:

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 <br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)&nbsp;&nbsp;&nbsp;&nbsp; By the Executive for Good Reason; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)&nbsp;&nbsp;&nbsp;&nbsp; By the Bank (or by its successor in a Change in Control) without Cause at any time during the period --(1) <u>beginning with</u> the earliest to occur of the following three dates, as applicable: &nbsp;&nbsp;&nbsp;&nbsp;(A) twelve (12) months prior to the execution of a definitive agreement regarding a Change in Control, or &nbsp;&nbsp;&nbsp;&nbsp;(B) if a Change in Control has been mandated by federal statute, rule, regulation or directive, twelve (12) months prior to the effective date of such Change in Control, or &nbsp;&nbsp;&nbsp;&nbsp;(C) twelve (12) months prior to the adoption of a plan or proposal for the liquidation or dissolution of the Bank, *and* (2) <u>ending</u> twenty-four (24) months after the effective date of such Change in Control.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <u>Payment Determination Date</u>. The "Payment Determination Date," for purposes of determining when a payment resulting from a Compensated Termination must be made pursuant to Section 4(a), shall mean the effective date of the termination of the Executive's employment with the Bank if such termination is a "Compensated Termination."

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) <u>Non-Compensated Termination</u>. For the avoidance of doubt, <u>none</u> of the following events shall result in any payment to the Executive for a Compensated Termination under Section 4(a) of this Agreement:

 <br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)&nbsp;&nbsp;&nbsp;&nbsp; The termination of employment by the Executive without Good Reason;

 <br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)&nbsp;&nbsp;&nbsp;&nbsp; The termination of the Executive's employment for Cause by the Bank (or its successor in a Change in Control);

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|:---|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)&nbsp;&nbsp;&nbsp;&nbsp; | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)&nbsp;&nbsp;&nbsp;&nbsp; | The termination of the Executive's employment without Cause by the Bank (or its successor in a Change in Control) --<br>(1) <u>prior to</u> the date which is the earliest to occur of the following three dates, as applicable: <br>&nbsp;&nbsp;&nbsp;&nbsp;(A) twelve (12) months prior to the execution of a definitive agreement regarding a Change of Control of the Bank, or <br>&nbsp;&nbsp;&nbsp;&nbsp;(B) if a Change of Control has been mandated by federal statute, rule, regulation or directive, twelve (12) months prior to the effective date of such Change of Control, or <br>&nbsp;&nbsp;&nbsp;&nbsp;(C) twelve (12) months prior to the adoption of a plan or proposal for the liquidation or dissolution of the Bank, *or*<br>(2) <u>more than</u> twenty-four (24) months after the effective date of a Change of Control; |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)&nbsp;&nbsp;&nbsp;&nbsp; | The termination of the Executive's employment by the Bank (or its successor in a Change of Control) for Disability; | The termination of the Executive's employment by the Bank (or its successor in a Change of Control) for Disability; |

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 <br> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)&nbsp;&nbsp;&nbsp;&nbsp; The death of the Executive; or

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)&nbsp;&nbsp;&nbsp;&nbsp; The Retirement of the Executive, if the Executive has delivered written notice to the Bank, before the commencement of the time period described in Section 2(c)(iii), of the Executive's intention to retire.

**3.&nbsp;&nbsp;&nbsp;&nbsp;<u>Termination of Employment</u>**

The provisions of this Section 3 are included in this Agreement for purposes of clarifying the rights of termination of the employment relationship between the Bank and the Executive. Such provisions shall not prejudice the Executive's right to receive payments or benefits required to be provided to the Executive <u>if</u> any such termination is a "Compensated Termination" as defined in Section 2 above.

(a)&nbsp;&nbsp;&nbsp;&nbsp;<u>Termination by the Bank</u>. The Bank may terminate the employment of the Executive as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) For Cause upon the adoption of a resolution by the affirmative vote of not less than a majority of the Bank's Board of Directors at a meeting of the Board (after reasonable notice to the Executive and an opportunity for the Executive, together with counsel, to be heard by the Board),

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finding that, in the good faith belief of the Board, the Executive engaged in the conduct set forth in the definition of "Cause" in Section 1 and specifying the particulars thereof in detail, it being understood that a vote of the Board will <u>not</u> be required if the Executive is removed for cause by the Bank at the direction of the Federal Housing Finance Agency, or by the Federal Housing Finance Agency, or by or at the direction of any successor to the Federal Housing Finance Agency, pursuant to 12 U.S.C. §§ 4615, 4616, 4617 or 4636a, or any statutory provisions subsequently enacted that grant removal authority to such agency, or any rules or regulations issued thereunder;

(ii)&nbsp;&nbsp;&nbsp;&nbsp;Without Cause;

(iii) Upon the Disability of the Executive; and

(iv) Upon the death of the Executive.

(b)&nbsp;&nbsp;&nbsp;&nbsp;<u>Termination by the Executive</u>. The Executive may terminate employment with the Bank as follows:

(i)&nbsp;&nbsp;&nbsp;&nbsp; For Good Reason;

(ii) Without Good Reason; or

(iii)&nbsp;&nbsp;&nbsp;&nbsp;Upon the Executive's Retirement, in which case the Executive shall be entitled to all benefits under any retirement plan of the Bank and other plans to which the Executive is a party.

(c)&nbsp;&nbsp;&nbsp;&nbsp;<u>Notice of Termination</u>.

(i)&nbsp;&nbsp;&nbsp;&nbsp;Any termination by the Bank for Disability or Cause shall be communicated by a Notice of Termination; provided, however, that the failure by the Bank to give notice in such circumstances shall <u>not</u> automatically constitute a Compensated Termination.

(ii)&nbsp;&nbsp;&nbsp;&nbsp;Any termination of employment by the Executive for Good Reason will be a Compensated Termination only if the Executive gives Notice of Termination to the Bank therefore within ninety (90) days of the event or occurrence which constitutes "Good Reason," provided, further, that, if the Executive gives such Notice of Termination to the Bank in a timely manner, the Executive shall not be deemed to have waived any of the Executive's rights hereunder in the event he remains in the employment of the Bank while he and the Bank engage in good faith discussions to resolve any event or occurrence which constitutes "Good Reason." The Bank has a thirty (30) day period following receipt of notice during which it may remedy the condition and not be required to pay the amount.

(iii)&nbsp;&nbsp;&nbsp;&nbsp;Any termination by the Bank without Cause or by the Executive without Good Reason shall be communicated to the other party in accordance with the general notice provisions of this Agreement.

**4.&nbsp;&nbsp;&nbsp;&nbsp;<u>Payment for Compensated Termination</u>**

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(a)&nbsp;&nbsp;&nbsp;&nbsp;In the event of a Compensated Termination, the Bank shall provide the Executive

with:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) a payment equal to [*for the Bank's President and CEO,* 2.99] [*for all others,* 1.50] times the average of the Executive's three (3) preceding calendar years' gross base salary as reflected on the Executive's W-2, including any amounts deferred or matched under any qualified or non-qualified salary deferral plans sponsored by the Bank (provided that for any calendar year in which the Executive received base salary for less than the entire calendar year, the gross amount shall be annualized as if such amount had been payable for the entire calendar year);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) a payment equal to [*for the Bank's President and CEO*, 2.99] [*for all others*, 1.50] times the full "target" payout estimate (not considering the annual deferred amount) from the prior year's Bank Incentive Compensation Plan ("ICP") if the Executive was participating in such ICP, it being understood that: (a) such payment will <u>not</u> be measured based on actual performance results or deferrals, <u>unless</u> the Executive's actual performance result was below target, in which case the Executive's actual ICP payment (with the annual deferral added back in) will be taken into account; (b) if the Executive did not participate in the prior year's ICP, the Executive will not receive any payment under this subsection; (c) if the Executive was employed during a portion of the calendar year, the amount to be calculated (the target or the lesser amount) shall be annualized; and (d) any payments otherwise earned and deferred under the deferral component of the ICP (or any other incentive or non-qualified savings plan established by the Bank in the future) are outside the scope of this Agreement and will be paid in accordance with the terms of such plans;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) a payment equal to the cost of health, dental, and vision care benefits that were actually incurred by the Bank on behalf of the Executive (and on behalf of the Executive's spouse and dependents if such costs were incurred by the Bank) during the period extending back 12 months immediately prior to the Payment Determination Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv) a payment in the amount of $15,000 which may be used by the Executive for job search-related expenses;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v) a payment in the amount of $15,000 which may be used by the Executive for accounting, actuarial, financial, legal and/or tax services; and

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|:---|:---|
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) additional benefits under the Bank's non-qualified Benefit Equalization Plan ("BEP"), payable under Section 3 of the BEP with automatic and full vesting provided under both the Bank's qualified retirement plan (disregarding age and years of service limits if contained in the qualified retirement plan) and BEP, with such benefits calculated as if: | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi) additional benefits under the Bank's non-qualified Benefit Equalization Plan ("BEP"), payable under Section 3 of the BEP with automatic and full vesting provided under both the Bank's qualified retirement plan (disregarding age and years of service limits if contained in the qualified retirement plan) and BEP, with such benefits calculated as if: |
| (1) | the Executive is [*if such person is the Bank's President and CEO*, three years older] [*for all others*, one and a half years older] than the Executive's actual age; |

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(2) the Executive had [*if such person is the Bank's President and CEO,* three] [*for all others*, one and a half] additional years of service at the same annual rate of compensation (as defined in the Regulations Governing the Comprehensive Retirement Program of the Financial Institutions Retirement Fund as from time to time amended, and as adopted by the Bank) in effect for the 12 month period ending on the December 31 date which immediately precedes the Compensated Termination (including any compensation deferred by the Executive);

(3) the Executive maintained the same deferral elections under the Bank's qualified retirement plan and the BEP as in effect on the date immediately preceding the Compensated Termination; and

(4) the BEP continued in effect without change in accordance with its terms as in effect on the date immediately preceding the Compensated Termination.

The Bank shall distribute such amounts (except the amount provided under Section 4(a)(vi)) in a lump sum in cash within sixty (60) days of the Payment Determination Date. The amount provided under Section 4(a)(vi) above shall be distributed at the same time as the Executive's benefit under the BEP is distributed in accordance with the Executive's payment election made under the BEP.

(b) Notwithstanding any other provision of this Agreement, if (i) any of the payments that would be made to the Executive under Section 4 hereof and any other payments the Executive would receive from the Bank constitute "parachute payments" as defined exclusively by the Code in Section 280G (such payments, collectively, "280G Benefits") and (ii) the aggregate value of such 280G Benefits, when valued in accordance with Section 280G of the Code, equals an amount that would subject the Executive to an excise tax under Section 4999 of the Code, then the amount payable under this Agreement shall be automatically reduced to an amount that is ten dollars ($10.00) less than the lowest amount of 280G Benefits which, when combined with such other 280G Benefits, would subject Executive to the excise tax under Section 4999 of the Code; provided, however, that the 280G Benefits payable under this Agreement shall be so

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reduced only if (X) the excise tax under Section 4999 of the Code is in fact a taxable obligation of the Executive; and (Y) the reduced 280G Benefit amount received by the Executive, less all applicable Federal, state and local taxes, would be greater than the unreduced 280G Benefit amount to be received by the Executive, less all applicable Federal, state and local taxes including the excise tax required to be paid under Section 4999 of the Code. In addition, the Executive acknowledges and agrees that the Executive is not entitled to any reimbursement by the Bank for any taxes payable by the Executive as a result of the payments received by the Executive pursuant to this Section 4, including, without limitation, any excise tax imposed by Section 4999 of the Code. For the avoidance of doubt, the determination of whether a payment is a "parachute payment" under this Section 4(b) shall be made by the Bank and include, in part, an analysis of whether (i) the Bank is subject to Section 280G of the Code, (ii) the Executive is a "disqualified individual" under Section 280G of the Code, and (iii) the payment is exempt from being considered a "parachute payment" under Section 280G of the Code. Any calculations of the benefit owed with respect to this Section 4(b) shall be made by a tax accountant or lawyer selected and paid by the Bank other than the Bank's regular external auditors.

(c)&nbsp;&nbsp;&nbsp;&nbsp;Notwithstanding Section 4(a), if the Bank is not in compliance with any applicable regulatory capital or regulatory leverage requirement or if the payment would cause the Bank to fall below applicable regulatory requirements, such payment shall be deferred until such time as the Bank achieves compliance with its regulatory requirement.

(d) Notwithstanding any other provision of this Agreement, the payments described in Section 4(a) are conditioned in all respects upon the execution and delivery of the Bank's standard release form, and the release having become irrevocable, no later than 60 days after termination of employment, and (ii) without limiting the generality of the foregoing, no portion of such payments and benefits shall be or ever become required to be paid <u>unless</u> the release is executed and delivered, and has become irrevocable, before the expiration of such 60 day period. If any payment would, without regard to this Section 4(d), become payable prior to the date that the Release has become effective and irrevocable, then the payment, to the extent delayed, shall (without interest) be paid 15 days after the Release has become effective and irrevocable; provided that, if such 60-day period ends in a calendar year after the calendar year in which the Executive's employment terminates, then, to the extent required by Section 409A of the Code to avoid additional taxes thereunder, any portion of the payments that would have been made during such first calendar year shall instead be withheld and paid or be effective on the later of (x) the first payroll date in such second calendar year or (y) the time that the payment would have been paid without regard to this proviso.

**5.&nbsp;&nbsp;&nbsp;&nbsp;<u>No Obligation to Seek Further Employment; No Effect on Other Contractual Rights</u>**

(a)&nbsp;&nbsp;&nbsp;&nbsp;The Executive shall not be required to seek other employment, nor shall any payment made under this Agreement be reduced by any compensation received from other employment.

(b)&nbsp;&nbsp;&nbsp;&nbsp;The provisions of this Agreement, and any payment provided for hereunder, shall not reduce any amounts otherwise payable, or in any way diminish the Executive's existing rights, or rights which would accrue solely as a result of the passage of time, under any Bank plan.

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**6.&nbsp;&nbsp;&nbsp;&nbsp;<u>Successor Provisions</u>**

(a)&nbsp;&nbsp;&nbsp;&nbsp;<u>With Regard to the Bank.</u> This Agreement is binding upon the successors and assigns of the Bank. The Bank and its successors and assigns will require any successor or assign (whether direct or indirect, in a reorganization, by operation of law, or otherwise) to all or substantially all of the business and/or assets of the Bank, to enter into a written agreement in form and substance satisfactory to the Executive. In the written agreement, the successor and its assigns will expressly, absolutely and unconditionally assume and agree to perform this Agreement in the same manner and to the same extent that the Bank would be required to perform it if no such succession or assignment had taken place. In such event, the Bank agrees that it shall pay or shall cause such employer to pay any amounts owed to the Executive pursuant to Section 4.

As used in this Agreement, "Bank" shall mean the Bank as hereinbefore defined and any successor or assign to its business and/or assets as aforesaid which executes and delivers the agreement provided for in this Section or which otherwise becomes bound by all the terms and provisions of this Agreement by operation of law. If at any time during the term of this Agreement the Executive is employed by any corporation a majority of the voting securities of which is then owned by the Bank, the term "Bank" shall include such employer. Whether or not another entity becomes the successor or assign of the Bank under this Agreement, the maximum amount which the Executive may receive from all sources under this Agreement in a Compensated Termination shall be the amounts set forth in Section 4.

(b)&nbsp;&nbsp;&nbsp;&nbsp;<u>With Regard to the Executive.</u> This Agreement shall inure to the benefit of and be enforceable by the Executive's personal and legal representatives, executors, administrators, successors, heirs, distributees, and legatees. If the Executive should die while any amounts are still payable to the Executive hereunder, all such amounts, unless otherwise provided herein, shall be paid in accordance with the terms of this Agreement to the beneficiary designated by notice in writing executed by the Executive and filed with the Bank, or failing such designation, to the Executive's estate.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**7.&nbsp;&nbsp;&nbsp;&nbsp;<u>Late Payment of Benefits.</u>** Any payment made later than the time provided for in Section 4(a) for whatever reason, including, without limitation, the reasons set forth in Section 4(c), shall include interest at the Bank's cost of funds plus three percent (3%), which shall begin to accrue on the ninetieth (90th) day following the Executive's Payment Determination Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**8. &nbsp;&nbsp;&nbsp;&nbsp;<u>Employment Rights</u>.** This Agreement shall not confer upon the Executive any right to continue in the employ of the Bank and shall not in any way affect the right of the Bank to dismiss or otherwise terminate the Executive's employment at any time and for any reason with or without cause. This Agreement is not intended (a) to be an employment agreement or (b) to define all aspects of the employment relationship between the Bank and the Executive including, but not limited to applicable employment or benefit policies of the Bank. To the extent there is any conflict between the terms hereof and the terms of any employment or benefit policies of the Bank, the terms of this Agreement shall control. Any payments or benefits to which the Executive may be entitled hereunder will not constitute wages for work performed by the Executive.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**9.&nbsp;&nbsp;&nbsp;&nbsp;<u>Tax Withholdings and Payments</u>.** The Bank will withhold from any amounts payable to the Executive under this Agreement to satisfy all applicable federal, state, local or other withholding taxes. All amounts payable under Section 4(a) are considered "wages" to be reported on Form W-2. The normal withholding rules for wages apply. The Bank will also withhold any excise taxes owed under Code Section 4999. The Executive shall be responsible for the payment of all federal, state and local income taxes which may be due with respect to any payments made to the Executive pursuant to this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;10.&nbsp;&nbsp;&nbsp;&nbsp; **<u>Section 409A</u>.** This Agreement is intended to comply with Section 409A of the Code or an exemption thereunder or exception therefrom, and shall be construed and administered in accordance with Section 409A of the Code or such exemption or exception, as applicable. Any payments to be made under this Agreement upon a termination of employment shall only be made, subject to the terms of this Agreement, if the termination of employment also constitutes a "separation from service" under Section 409A of the Code. For purposes of Section 409A of the Code, each installment payment provided under this Agreement shall be treated as a separate payment. If the Executive is entitled to any reimbursement of expenses or in-kind benefits that are includable in the Executive's federal gross taxable income, the amount of such expenses reimbursable or in-kind benefits provided in any one calendar year shall not affect the expenses eligible for reimbursement or the in-kind benefits to be provided in any other calendar year, and the reimbursement of an eligible expense must be made no later than December 31 of the year after the year in which the expense was incurred. The Executive's right to reimbursement of expenses or in-kind benefits under this Agreement shall not be subject to liquidation or exchange for another benefit. Notwithstanding any other provision of this Agreement, if any payment or benefit provided to the Executive in connection with the Executive's termination of employment is determined to constitute "nonqualified deferred compensation" within the meaning of Section 409A of the Code and the Executive is determined to be a "specified employee" as defined in Section 409A(a)(2)(b)(i) of the Code, then such payment or benefit shall not be paid until the first payroll date to occur following the six-month anniversary of the termination date (the "Specified Employee Payment Date") or, if earlier, on the Executive's death. The aggregate of any payments that would otherwise have been paid before the Specified Employee Payment Date shall be paid to the Executive in a lump sum on the Specified Employee Payment Date and thereafter, any remaining payments shall be paid without delay in accordance with their original schedule. Notwithstanding the foregoing, the Bank makes no representations that the payments and benefits provided under this Agreement comply with Section 409A of the Code and in no event shall the Bank or its respective directors, officers, employees or advisors be liable for all or any portion of any taxes, penalties, interest or other expenses that may be incurred by the Executive on account of non-compliance with Section 409A of the Code.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;11. **<u>No Prohibited Payments</u>**. Notwithstanding any other provision of this Agreement to the contrary, (i) the Executive acknowledges that the Bank will comply with any applicable statutory or regulatory requirements relating to the payment of amounts under this Agreement, or otherwise, (ii) in this regard, any payments made to the Executive pursuant to this Agreement, or otherwise, are subject to and conditioned upon their compliance with, including receipt of any required regulatory approvals, any applicable law, regulation, or regulatory requirement, including 12 U.S.C. § 4518, 12 C.F.R. Part 1213 and 12 C.F.R. Part 1230, and (iii) in the event that a governmental authority, or a court having jurisdiction, directs that any portion or all of the

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amounts provided in this Agreement may not be paid to the Executive by the Bank, the Executive agrees that (A) the Executive will not be entitled to such payments, and (B) if previously paid, the Executive will return to the Bank the amount of such payment specified in such order. Such repayment shall be made within 20 business days after written demand by the Bank and the order is delivered to the Executive. If any proceeding is commenced in which the legality of any payments made or to be made under this Agreement is at issue, the Bank will provide the Executive with written notice promptly after it has notice thereof, to the extent not prohibited by applicable law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**12.&nbsp;&nbsp;&nbsp;&nbsp;<u>Notice.</u>** For purposes of this Agreement, notices and all other communications provided for in the Agreement shall be in writing and shall be deemed to have been duly given when delivered by hand, delivered by a nationally-recognized overnight courier service, or mailed by United States registered mail, return receipt requested, postage prepaid, as follows:

<u>If to the Bank, to</u>:

Federal Home Loan Bank of New York

101 Park Avenue<br>New York, New York 10178<br>Attention: Director of Human Resources

with a copy to the General Counsel at the same address

<u>If to the Executive, to</u>:

The residence address on file with the Bank

or such other address as either party may have furnished to the other in writing in accordance herewith. Any notice shall be effective upon receipt.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**13.&nbsp;&nbsp;&nbsp;&nbsp;<u>Legal Fees and Expenses</u>.** The Bank shall pay all reasonable legal fees and expenses which the Executive may incur as a result of the Bank's contesting the validity or enforceability of this Agreement or the calculation of amounts payable hereunder so long as (i) the Executive is successful on the merits, or (ii) the parties agree to a settlement of the dispute.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**14.&nbsp;&nbsp;&nbsp;&nbsp;<u>Term</u>.** This Agreement shall remain in effect during the Executive's employment [*for the President and CEO,* through and until January 15, 2028] [*for all others*, during the three-year period immediately following the Effective Date], provided that if a definitive agreement or mandate pertaining to a Change in Control becomes effective [*for the President and CEO*, during such period] [*for all others*, during such three year period], then any termination shall not become effective for the Bank (or its successor under a Change in Control) until twenty-eight (28) months after the effective date of the Change in Control. Notwithstanding the foregoing, the Agreement shall survive termination of the Executive's employment (if the Agreement is in effect on termination of employment) until all payments and benefits the Executive is then entitled to, or becomes entitled to, under the Agreement, if any, have been paid.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**15.&nbsp;&nbsp;&nbsp;&nbsp;<u>Miscellaneous</u>**.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;&nbsp;&nbsp;&nbsp;<u>No Modification</u>. No provisions of this Agreement may be modified, waived or discharged unless such waiver, modification or discharge is agreed to in writing signed by

the party or parties hereto to be bound.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;&nbsp;&nbsp;&nbsp;<u>No Waiver</u>. No waiver by either party hereto at any time of any breach by the other party hereto of, or compliance with, any condition or provision of this Agreement to be performed by such other party shall be deemed a waiver of similar or dissimilar provisions or conditions at the same or at any prior or subsequent time.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;&nbsp;&nbsp;&nbsp;<u>Entire Agreement</u>. No agreements or representations, oral or otherwise, express or implied, with respect to the subject matter hereof have been made by either party which are not set forth expressly in this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;&nbsp;&nbsp;&nbsp;<u>Governing Law</u>. This Agreement shall be governed by and construed in accordance with the laws of the State of New York (excluding conflicts of laws principles), except to the extent such law is preempted by the laws of the United States.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;&nbsp;&nbsp;&nbsp;<u>Headings</u>. Section or paragraph headings contained herein are for convenience of reference only and are not to be considered a part of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)&nbsp;&nbsp;&nbsp;&nbsp;<u>Validity</u>. The invalidity or unenforceability of any provisions of this Agreement shall not affect the validity or enforceability of any other provision of this Agreement, which shall remain in full force and effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)&nbsp;&nbsp;&nbsp;&nbsp;<u>Counterparts</u>. This Agreement may be executed in one or more counterparts, either electronically or manually, each of which shall be deemed to be an original but all of which together will constitute one and the same instrument.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; (h)&nbsp;&nbsp;&nbsp;&nbsp;<u>Rescission of Prior Agreements</u>. This Agreement shall rescind and fully replace any prior agreement that may have been entered into between the Executive and the Bank pertaining to the Change in Control and the subject matter herein.

**Federal Home Loan Bank of New York**

By: _______________________________

Name: Peter Capizzi

Title: Director of Human Resources

**Executive**

By:_________________________________&nbsp;&nbsp;&nbsp;&nbsp;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Name: [ ]

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FEDERAL HOME LOAN BANK OF NEW YORK&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;15

## Exhibit 19.01

![](codeofbusinessconductand001.jpg)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;FEDERAL HOME LOAN BANK OF NEW YORK CODE OF BUSINESS CONDUCT AND ETHICS As of September 18, 2025 A. Introduction The purpose of this Code of Business Conduct and Ethics ("Code") of the Federal Home Loan Bank of New York (the "Bank") is to provide a policy regarding standards for the conduct of the business of the Bank and its employees and Directors. While it is not practical to write guidelines covering all situations, this Code sets forth policy in several basic areas that commonly require the exercise of sound judgment by individuals who are employed by, or who are Directors or Affordable Housing Advisory Council members of the Bank. Except as may be otherwise indicated in the text, this Code applies to all employees and Directors of the Bank. In addition, Code Section C 1. - 4., 14, 15 b., and 16., and Sections D and E also apply to the members of the Bank's Affordable Housing Advisory Council. Section C 17. applies exclusively to the Affordable Housing Advisory Council members. B. Accountability, Compliance and Obligation to Report 1. Adhering to sound ethical standards is the responsibility of every employee and Director of the Bank. In this regard, you are responsible for abiding by Bank policies and guidelines. You are also responsible for acquiring sufficient knowledge of the standards in this Code, as well as other policies of the Bank, to recognize potential ethical issues applicable to your duties, and for appropriately seeking advice regarding those issues. 2. If you have any questions or concerns about any provision of the Code, it is advisable to ask ahead of time, rather than after a problem arises. As such, anyone may contact either of the Bank's Ethics Officers, who are the Chief Legal Officer and the Director of Strategic Operational Risk and Compliance, with any questions or concerns that he or she may have. From time to time, the Ethics Officers may consult with the Chief Audit Officer, the Director of Human Resources, the Audit Committee, senior management or other advisors regarding such questions and concerns. 3. You must disclose all violations or potential violations of the Code and any illegal or potentially illegal activity through one of the methods described in Section E of this Code under the heading "Reporting Code or Potential Code Violations or Illegal or Potentially Illegal Conduct." C. Standards 1. Avoid Conflicts of Interest and Maintain Honest and Ethical Conduct. The Bank's obligations to its customers and to the public require that conflicts of interests must be avoided. In addition, you must avoid even the appearance of placing personal interests ahead of the Bank's interests. Further, the maintenance of very high standards of honesty, integrity, impartiality, and ethical conduct by employees, Directors of the Bank, and Affordable Housing Advisory Council members is essential to assure the proper performance of the Bank's business and the maintenance of confidence in the Bank by its members and the public. The avoidance of misconduct and conflicts of interest through the use of informed judgment is indispensable to the maintenance of these standards. Often, simply the appearance of substandard conduct, either individually or collectively, can be just as damaging to the Bank's reputation as actual substandard conduct. Therefore, it is incumbent upon you to view your own

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2 actions and intentions objectively in order to assure that a reasonable observer would not have grounds to believe that any irregularity in conduct exists. It is also important in all cases to always keep in mind your role in, and your responsibilities to, not only the Bank itself, but also to the collective Federal Home Loan Bank System, and to not engage in any behavior that is adverse to those roles and responsibilities. 2. Maintain Confidentiality. The Bank, as an entity that provides extensions of credit, may be privy to confidential, nonpublic information, such as regulatory examination reports and primary regulator comments regarding member prospects, member institutions and housing associates of the Bank (collectively, "member institutions") and customers of member institutions, as well as confidential, nonpublic information regarding the Bank (including information about the Bank's Directors and employees, and their Immediate Family Members). The proper use of this information is to help make sound business decisions regarding member institutions and the Bank, and to provide efficient, knowledgeable service. Therefore, you must maintain the confidentiality of the information entrusted to you by the Bank or a member institution, except when disclosure is made in accordance with Sections (b) and (c) below. In furtherance of this policy, please note that: a. In no instance should you disclose or use confidential, nonpublic information concerning the Bank or any member institution acquired solely through your work or service at the Bank for your own personal benefit or for the benefit of any other person or entity (including a member institution with which a Director is affiliated). b. In no instance should confidential, nonpublic information be discussed with or otherwise transmitted to persons outside the Bank, including Immediate Family Members or Business Associates (as those terms are specifically defined in Section I of the Code), except in the case of communications to the Bank's regulators, the Bank's external accountants, the Bank's outside counsel, other authorized third parties such as consultants hired by the Bank, or as may be required by law (e.g., as a result of a subpoena), or in your capacities as an employee or Director under the Bank's Corporate Disclosure Policy. c. In no instance should confidential, nonpublic information be discussed with or otherwise transmitted to other employees of the Bank, unless the recipient employee has a valid business reason for receiving the confidential information. d. In no instance should you place confidential, non-public information or intellectual property owned by or concerning the Bank or any member institution, on an AI Platform, unless that AI Platform has been evaluated, secured and formally preapproved by the Bank. 3. Receipt of Loans from the Bank is Prohibited. Neither you nor any Immediate Family Member may accept any loans or extensions of credit from the Bank. 4. The Receipt and Provision of Improper Personal Benefits is Prohibited. a. You may not receive improper personal benefits, and, as such: i. You may not accept or solicit, directly or indirectly, any gift (including gratuities, favors, entertainment, loans, or any other thing of value) that you believe or have reason to believe is given with the intent to influence your actions as an employee, Director of the Bank, or Affordable Housing Advisory Council member, or where the acceptance of such gift would have the appearance of intending to influence your actions. You must also discourage Immediate Family Members from accepting or soliciting any such gifts. If an Immediate Family Member receives such a gift (even though discouraged from doing so), then you need to consider whether an actual or apparent conflict of interest has arisen.

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3 Finance Agency regulations provide that an insubstantial gift would not be expected to trigger the prohibition in the preceding paragraph. For purpose of this Code, a gift shall in general be considered insubstantial if the value of the gift, taken together with any other gifts received from the giver in any one calendar year, has a fair market value of less than $250, provided that you do not believe or have reason to believe that the gift was given with the intention to influence your actions as an employee or Director of the Bank or that the acceptance of such gift would have the appearance of intending to influence your actions. Any exceptions to the foregoing rule must be approved by the Bank's Ethics Officers. In the event that you receive a gift that is prohibited by the foregoing provisions, you should return the gift to the giver and also inform the Bank's Ethics Officers. ii. The Bank may host or sponsor for members, prospects, consultants and vendors, marketing or promotional events that include raffles, lotteries or other corporate prizes - if offered to all non-Bank employee participants on equal terms. iii. Neither you nor any other person or entity may benefit from opportunities that you discover through the use of the Bank's property, information or position. iv. You may not use your official position for personal gain. v. You shall not accept compensation for services performed for the Bank from any source other than the Bank. b. The foregoing standards do not prohibit any activity that is necessary to, or compatible with, your duties and responsibilities. These activities include: i. Activities in which the circumstances make it clear that it is in fact family or personal relationships (such as those between you and your parent, spouse or civil union partner, or children), rather than the business interests of the persons concerned, that are the motivating factors behind the activity. ii. The acceptance of food, refreshments and accompanying entertainment in the ordinary course of a breakfast, luncheon or dinner meeting or other function when you are properly in attendance on behalf of the Bank. iii. The acceptance of bona fide reimbursement for actual expenses for travel to fulfill a speaking engagement on behalf of the Bank for which no Bank payment or reimbursement is or will be made. iv. The acceptance of unsolicited advertising or promotional material, such as pens, pencils, note pads or calendars. c. The provision of gifts which, in and of themselves, create, or appear to create, a sense of obligation between you and any company or person with which the Bank does business or is considering doing business, is a conflict of interest and is generally prohibited. In order to help ensure compliance with the foregoing rule: i. You may not give, directly or indirectly, a gift of cash, checks, or other marketable securities in any amount under any circumstances to any company or person with which you are aware that the Bank does business or is considering doing business. ii. You may not give, directly or indirectly, non-cash gifts with a cumulative fair market value of more than $250 in any one calendar year (including cash equivalents such as gift cards and gift certificates) to any one company or person with which you are aware that the Bank does business or is considering doing business. Gifts to family or friends with whom you have a non-business relationship are not subject to these limits. Likewise, Bank-sponsored gifts are not subject to these limits.

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4 iii. Entertainment of the Bank's members or business prospects to facilitate business discussions is often desirable and required by the nature of some Bank positions. You may provide customary business entertainment, so long as it is reasonable and is otherwise in accordance with this Code (i.e., the cost of such business entertainment may not be in excess of what is considered reasonable, customary and accepted business practice). d. Any questions regarding the appropriateness of gifts should be directed to the Bank's Ethics Officers. 5. Employee Relationships With Member Institutions and Other Entities With Whom the Bank Does Business That Create or Appear To Create a Conflict of Interest Are Restricted. a. Except as specifically provided below, employees may not maintain a Financial Interest (as that term is defined in Section I of the Code below) in a member institution (even if such interest was acquired before employment commenced with the Bank), nor engage in a financial transaction with a member institution (including the purchase and/or sale of any equity or debt security issued by a member institution), nor have a continuing financial relationship with a member institution. The purchase of Financial Interests, engaging in financial transactions, and entering into continuing financial relationships with member institutions by Immediate Family Members after the employee begins employment with the Bank are also prohibited. (For purposes of this Section C. 5. of the Code, "member institution" shall include a holding company of the member institution.) b. Notwithstanding the foregoing, the following are generally acceptable under this Code. However, even though the following might be permissible, employees must always be sensitive to taking any actions that could be construed as a conflict of interest. Specifically, employees who do have such Financial Interests, loans or extensions of credit relating to member institutions (either directly, or indirectly through an Immediate Family Member) must recuse themselves from any Bank decision relating solely to such member institution. Further, any disposition of Financial Interests in a member institution that are otherwise permitted below must comply with the prohibitions against insider trading contained in Section 13 of the Code. Employees must disclose to an Ethics Officer when interests in member institutions permitted under Sections C. 5 b. ii) through v) below are acquired, and must also advise an Ethics Officer before such interests are disposed. i. A Financial Interest in a member institution that arises solely through ownership of shares or other investment units of one or more diversified investment mutual funds or indexed funds that have invested in the member institution, so long as the employee has not contributed to the investment decisions of the fund, or the acquisition or disposition of such shares or investment units, so long as the terms of such acquisition or disposition transaction are no more favorable than would be available in like circumstances to persons who are not employees of the Bank. ii. A Financial Interest in a member institution that was acquired prior to employment or through (A) former employment with a member institution, (B) a change in the work status of an Immediate Family Member that occurred after the commencement of employment by the employee, (C) the death of another person after the commencement of employment or (D) a change in marital status (or, where applicable, civil union status) after the commencement of employment, or the disposition of a Financial Interest so acquired, so long as the terms of such disposition transaction are no more favorable than would be available in like circumstances to persons who are not employees of the Bank. iii. A Financial Interest in a member institution that arises as the result of a conversion of a mutual institution to a stock institution, provided that such interest was obtained only because of being an account or policy holder in the institution, or the disposition of a Financial Interest so acquired, so long as the terms of such disposition transaction are no more favorable than would be available in like circumstances to persons who are not employees of the Bank.

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5 iv. A Financial Interest in a member institution that arises as the result of a corporate transaction (such as a merger, acquisition or reorganization), provided that such Financial Interest was obtained as a result of having a prior Financial Interest in a party to such corporate transaction other than the member institution (as a result of having a prior Financial Interest otherwise permitted under this Code), or the disposition of a Financial Interest so acquired, so long as the terms of such disposition transaction are no more favorable than would be available in like circumstances to persons who are not employees of the Bank. v. A Financial Interest in a member institution that arises as the result of action by the member institution that causes the institution to become a member (such as a relocation of the institution's principal place of business or by a nonmember applying for and being accepted for membership), provided that such Financial Interest was obtained prior to the date that the institution became a member, or the disposition of a Financial Interest in the member institution that was obtained prior to the date that the institution became a member, so long as the terms of such disposition transaction are no more favorable than would be available in like circumstances to persons who are not employees of the Bank. vi. A loan or extension of credit (e.g., a mortgage) from, or a checking or savings account with, a member institution that was entered into or established in the ordinary, normal course of business, so long as the terms are no more favorable than would be available in like circumstances to persons who are not employees of the Bank. vii. With respect to the ownership of the stock of member institutions, notwithstanding any provisions to the contrary in sections (i) through (v) above, in order to help avoid even the appearance of improper conduct, employees are prohibited from purchasing additional shares of stock, and from choosing to participate on an ongoing basis in a dividend reinvestment purchase program, or similar stock purchase program. c. Employees (and Immediate Family Members) may not have a Financial Interest in any entity with whom the Bank does business (including, but not limited to, financial counterparties other than member institutions such as non-agency securitizers, brokers and insurers that provide services to the Bank, other vendors who provide goods and/or services to the Bank, etc.) that (i) conflicts, or appears to conflict, with the employee's duties and responsibilities to the Bank; or (ii) is the sole result of, or primarily relies upon, information obtained through employment with the Bank. Employees who do have a Financial Interest of any kind in such entity (either directly, or indirectly through an Immediate Family Member) may not participate in any Bank decision affecting the entity that could result in the entity being treated more favorably than other similarly-situated entities; in addition, such employees must always be sensitive to taking any actions that could be construed as a conflict of interest. d. The Bank, in its discretion, may require employees from time to time to provide reports to the Bank's Ethics Officers regarding the foregoing matters, including the monitoring of stock and other actively managed trading accounts. See Section C. 13 of the Code for Insider Trading prohibitions. 6. Avoid Outside Activities Incompatible with Employment or Director Service. a. Employees may not engage in outside employment or other outside activities (whether compensated or otherwise) that may impair the full-time proper discharge of the duties and responsibilities of their employment. Such activities include (but are not limited to): i. Outside employment or activities that may potentially be incompatible with one's capacity to perform the duties and responsibilities of his or her position at the Bank in an acceptable manner. ii. Activities or other employment (a) with any member institution (or any holding company of a member institution) of the Bank or of any other Federal Home Loan Bank, or (b) that are in competition with the Bank's products or services.

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6 iii. Activities or other employment where any such employment or activities could influence, or appear to influence, actions taken, judgments made or advice given in the employee's capacity as a Bank employee. In order to help ensure compliance with the foregoing and protect the Bank's reputation or the confidentiality of Bank information, copies of outside presentation materials (e.g., research papers, speeches and slides) that relate to the business of the Bank prepared by employees in connection with other activities or other appropriate outside employment must be provided by the employee to the employee's immediate manager and the Ethics Officers for pre-approval before it is disclosed. In addition, employees who have knowledge that such materials will be presented by the employee to an audience that will include members of the press must notify Bank Relations ahead of time. Similarly, copies of materials (e.g., articles/opinion pieces, research papers, speeches and slides) that relate to the business or strategies of, or outlook for, the Bank or the Federal Home Loan Bank System prepared or authored by Board members in connection with matters apart from their Board activities must be provided to Bank Relations ahead of time for review. All such communications must also comply with the Code's Insider Trading requirements (Section C 13.) and the Social Media requirements (Section C 14.). b. Negotiating new employment while employed by the Bank is not in and of itself prohibited, so long as it does not violate other provisions of the Code; however, if a Bank employee has reached an agreement with respect to future employment with another employer, such employee is disqualified from taking any official action which may directly or indirectly affect the prospective employer. c. Independent Directors shall not serve as officers of any Federal Home Loan Bank, or as directors, officers or employees of any member of the Bank or of any recipient of advances from the Bank. Independent Directors must disclose all such interests to the Bank. Service as an officer, employee, or director of a holding company that controls one or more members of, or one or more recipients of advances from, the Bank shall not be deemed to be service as an officer, employee, or director of a member or recipient of Bank advances if the assets of all such members or all such recipients of advances constitute less than 35 percent of the assets of the holding company, on a consolidated basis. For purposes of determining compliance with this section, the Bank shall attribute to the Independent Director any officer position, employee position, or directorship of the Director's spouse. 7. Protect Corporate Assets and Use Them Properly. You must responsibly use and maintain effective control over all Bank assets and resources employed by or entrusted to you. All Bank assets and resources must be used for legitimate business purposes. (However, the Bank may allow personal use of the Bank's communications and Internet resources in accordance with limits established by management.) You should not be careless with or waste the Bank's property. You should also not conceal, alter, mutilate, obliterate, delete, destroy, remove or attempt to remove official records from the Bank except in accordance with Bank record retention policies. 8. Engage in Fair Dealings. a. Each Director shall administer the affairs of the Bank fairly and impartially and without discrimination in favor of or against any member institution. Directors and employees must perform their duties fairly and impartially and without discrimination in favor or against any member institution. b. You must deal fairly with the Bank's customers, suppliers, competitors and other employees. You may not take advantage of anyone through manipulation, coercion, concealment, abuse of privileged information, misrepresentation or omission of material facts or any other unfair dealing practice.

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7 9. Help Ensure Full, Fair, Accurate, Timely and Understandable Public Disclosures. a. In the course of fulfilling your responsibilities, you should help ensure that the Bank makes full, fair, accurate, timely and understandable disclosures in all of its public communications. b. In addition to the foregoing, the Bank's Principal Executive Officer (i.e., the President and CEO), Principal Financial Officer (i.e., the Chief Financial Officer) and Principal Accounting Officer (i.e., the Controller) (or persons performing similar functions), and any other member of the Bank's Disclosure Committee, must promote and assist in the production of full, fair, accurate, timely and understandable disclosure in all of the Bank's public communications, including reports and other documents filed with the Securities and Exchange Commission. 10. Improper Influence on Conduct of Audits and Examinations is Prohibited. You must cooperate in any audit, investigation or examination conducted by the Bank's internal or external auditors or in-house or outside counsel or by the Bank's regulators. You may not take any action to alter documentation or otherwise fraudulently influence, coerce, manipulate or mislead any internal or external auditor, in-house or outside counsel or regulator (including, but not limited to, any independent public or certified public accountant) engaged in the performance of any audit, investigation or examination (including, but not limited to, audits of the financial statements of the Bank). 11. Do Not Destroy, Alter or Falsify Records. When you become aware that documents or records of any type may be required in connection with an audit, bankruptcy, lawsuit or government investigation, you must preserve all possibly relevant documents. You may not knowingly alter, destroy, mutilate, conceal, cover up, falsify or make a false entry in any record or document with the intent to impede, obstruct or influence the investigation or litigation. 12. Do Not Break the Law. In addition to adhering to the standards of conduct in this Code, you must comply with all applicable laws, rules and regulations, including insider trading laws as described in the following section. 13. Do Not Engage in Insider Trading. The Bank's business may require you from time to time to deal with information of a highly confidential nature pertaining to the business of member institutions, their customers and clients. You are hereby cautioned that the misuse of material nonpublic or proprietary information (i.e., any use of that information for other than the Bank's necessary purposes) may potentially violate Federal and state securities laws and other legal and regulatory requirements. Therefore: a. Restrictions on Trading in Securities Issued by Other Companies. You may not engage in transactions in securities (including debt, equity securities and derivatives) issued by a member institution (including its parent holding company), Bank counterparty, or any other company, when in the possession of material information about the issuer that has not been made public, which information came to you through your relationship with the Bank. Information is generally regarded as material if there is a substantial likelihood that a reasonable investor would consider the information important in deciding whether to purchase, sell or hold a security. It includes information that, if publicly disclosed, is reasonably likely to affect the market value of a security. In most cases, information concerning the following events should be presumed to be "material:" (1) Increases or decreases in dividends. (2) Declarations of stock splits and stock dividends. (3) Changes in previously disclosed financial information. (4) Financial forecasts, especially estimates of earnings.

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8 (5) Mergers, acquisitions or takeovers. (6) Proposed issuances of new securities. (7) Significant changes in operations. (8) Significant new products to be introduced. (9) Extraordinary borrowings. (10) Major litigation. (11) Financial liquidity problems. (12) Significant changes in management. (13) The purchase or sale of substantial assets. (14) Changes in auditors. (15) Report of examination or other information received from a regulator. Information is nonpublic unless and until it has been broadly disseminated or made widely available to the general public through either (i) an official press release carried over a major news service, or (ii) a public filing (e.g., a Form 8-K) made with a regulatory agency such as the U.S. Securities and Exchange Commission. When in doubt, the information involved should be presumed to be both material and not to have been disclosed to the public. The Ethics Officers may be contacted with any questions you may have about this. b. Restrictions on Trading in Securities Issued by the Bank or the FHLB System. Bank employees are prohibited from purchasing, selling or engaging in other transactions involving any securities issued by the Bank or the FHLB System, including Consolidated Obligations ("COs"). Bank Directors and Affordable Housing Advisory Council members cannot trade in these securities while in possession of material, non-public information. c. Nondisclosure of Material, Nonpublic Information. You may not disclose ("tip") material, nonpublic information concerning the issuer of securities (whether the issuer is a member institution or otherwise), which information was obtained through your relationship with the Bank, to another person who may subsequently use that information to his or her profit (including to avoid a loss). To reduce the chances of inadvertent tipping of material nonpublic information, such information should not be discussed with anyone except Bank employees or Directors who have a valid business reason for receiving such information (i.e., who have a "need to know" the information in order to serve the business purposes of the Bank). Such information should be regarded as particularly sensitive, confidential information and the Bank's policies for safeguarding such information should be strictly observed. d. Member Stock Holdings by Directors. All Bank Directors may be requested to periodically disclose to the Ethics Officers stock investments in Bank member institutions owned by them, their Spouse, or Business Associate. (For purposes of this Section C.13.d. of the Code, "member institution" shall include a holding company, but stock investments made by a Member Director in the member institution they are affiliated with will be excluded since stock ownership and trading is presumed. For Bank employee stock investment prohibitions, see Section C.5. of the Code). e. Compliance. The Bank reserves the right to require you to provide copies of personal brokerage documents to the Ethics Officers in order to monitor compliance with this section. Mutual fund investments and non-directed investment accounts will not be routinely monitored. 14. Rules Regarding Social Media Usage a. Given your role and connections to the Bank as a Bank Director, officer, employee or Affordable Housing Advisory Council member, you will show no favor to any side of public facing Social Media sites involving Bank or other controversial policy issues, unless your Social Media statement or post is pre-approved by Bank Relations. b. The Bank recognizes that internet-provided Social Media can be a highly effective tool for sharing ideas and exchanging information. However, the Bank also seeks to ensure that Social Media usage serves its need to maintain its integrity while minimizing actual or potential legal risks. A Bank Director, officer, employee or member of the Affordable Housing

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9 Advisory Council is expected to appropriately use Social Media when referencing the Bank or using your Bank position to promote or comment on anything in Social Media. Inappropriate use, if directly or indirectly attributed back to the Bank, may lead to disciplinary action as described in Section D of the Code. c. When using Social Media, you are expected to be fair and courteous to fellow Directors, Advisory Council members, employees, customers, suppliers, and other people who work on behalf of the Bank, the members, and our industry, including regulators and public policymakers. Avoid postings on Social Media that are false. If an individual subject to this Code decides to post on Social Media, avoid using statements, photographs, video, or audio that reasonably could be viewed as malicious, obscene, threatening, or intimidating, that adversely affect the Bank's legitimate business interests by disparaging members, customers, coworkers, or suppliers, regulators, policymakers for that might constitute harassment or bullying. Examples of such conduct might include offensive posts meant to intentionally harm someone's reputation or posts that could contribute to a hostile work environment on the basis of race, sex, disability, religion, or any other status protected by law or Bank policy. 15. Rules Regarding Director Election Activity Must Be Followed. a. A Bank Director, officer or employee, acting in his or her personal capacity, may support the nomination or election of any individual for a Member Directorship, provided that no such individual may purport to represent the views of the Bank or its Board of Directors in doing so. b. A Bank Director, officer, or employee and the Board and the Affordable Housing Advisory Council (and members of the Affordable Housing Advisory Council) may, acting in his or her personal capacity, support the candidacy of any person nominated by the Board for election to an Independent Directorship. c. Except (i) as provided in paragraphs (a) and (b) of this section, or (ii) for purposes of encouraging the consideration of diversity in nominating or soliciting nominees for positions on the Board of Directors, no director, officer, or employee may (1) communicate in any manner that acting in an official capacity the Board of Directors, a director, officer, attorney, employee, or agent of a Bank, directly or indirectly, supports, endorses or opposes the nomination or election of a particular individual for a Directorship; or (2) take any other action that appears to be acting on behalf of the Bank to influence the voting with respect to any particular individual. 16. Avoid Conflicts of Interest with Respect to the Affordable Housing Program. In decisions involving the Affordable Housing Program ("AHP"), you must place the interest of the Bank above your own and above the interest of any other person and any other entity in which you may serve as an employee or Director or in which you have a Financial Interest. This particular section of the Code applies to employees and Directors of the Bank, and also to the members of the Bank's Affordable Housing Advisory Council, as well as to their Family Members. Therefore: a. You may not participate in or attempt to influence decisions by the Bank regarding the evaluation, approval, funding, monitoring or any remedial process concerning a project that is the subject of a pending or approved Bank AHP application or modification thereof if you or your Family Member: (1) have/has a Financial Interest in the project, or (2) are/is a director or employee of an organization involved in the project. You are required to disclose to the Bank if you or a Family Member have a Financial Interest or involvement with an AHP project, and you must refrain from discussing the project and abstain from voting or taking any other action regarding such project.

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10 b. If you are a member of the Bank's Affordable Housing Advisory Council, you may not participate in or attempt to influence decisions by the Bank regarding the approval for a project that is the subject of a pending or approved Bank AHP application or modification thereof if you or your Family Member: (1) have/has a Financial Interest in the project, or (2) are/is a director or employee of an organization involved in the project. c. During a discussion at a Board of Directors or Affordable Housing Advisory Council meeting of any project in which you or your Family Member has a Financial Interest or is involved with in the ways specified, you must disclose the relationship at the beginning of the discussion, and you must refrain from discussing the project and abstain from voting or taking any other action regarding such project. d. Employees are prohibited from obtaining Affordable Housing Program, Homebuyer Dream or other voluntary Bank grant programs services offered by members so as to avoid the appearance of a conflict of interest. e. Violations of this section must be reported to the Chief Audit Officer or an Ethics Officer for appropriate remedial action. If you have any questions about any potential conflicts of interest, you should contact an Ethics Officer. 17. Residency and Active Involvement Requirements - Applicable to Affordable Housing Advisory Council Members Only. As mandated by 12 CFR § 1291.14, an Affordable Housing Advisory Council member, during his or her term, will maintain a residence in the Bank's District (New York New Jersey, Puerto Rico and the United States Virgin Islands). Further, he or she will, during their term, remain actively involved in providing or promoting low- and moderate-income housing or community lending within the Bank's District. If an Affordable Housing Advisory Council member no longer meets one of these requirements, they will immediately so advise the Bank's Community Investment Officer and will vacate their Council position. 18. Follow and Understand Procedures and Controls Regarding Disclosures of Conflicts and the Failure To Maintain Director Eligibility Requirements - Applicable to Directors Only a. The Board has responsibility for overseeing the management of the Bank's activities. Directors must exercise reasonable care when guiding the Bank's affairs, must consider the Bank's interest before their own, and administer the affairs of the Bank fairly and impartially and without discrimination in favor of or against any member institution. As such: i. Each Director shall promptly disclose all actual or apparent conflicts of interest to the Board. The Board shall review such information and determine whether the Director must be recused from all further considerations relating to that matter and/or whether actions need to be taken. Such deliberations shall occur outside the affected Director's hearing. ii. Further, each Director shall promptly disclose to the Board of Directors any Financial Interests he or she has, as well as any Financial Interests known to the Director of any Immediate Family Member or Business Associate of the Director, in any matter to be considered by the Board and in any business matter or proposed business matter involving the Bank and any other person or entity. A Director shall disclose fully the nature of his or her interest in the matter and shall provide to the Board any information requested to aid in the Board's consideration of the Director's interest. A Director shall refrain from considering or voting on any issue in which the Director, any Immediate Family Member, or any Business Associate has any Financial Interest.

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11 iii. Notwithstanding the foregoing, it is not a conflict of interest for a Director who is a director or an officer of a member institution to vote on a matter that will not uniquely or disproportionately affect the member institution that employs such Director. b. All issues regarding conflicts of interests involving Directors shall be handled either by the Board, or, at the Board's discretion, by the Board's Audit Committee, or other regular or special committee as determined by the Board or its Chair. The Bank's Ethics Officers, the Office of the Corporate Secretary, and the Legal Department shall work with the Board or the Audit Committee, as the case may be, to (a) help address conflicts when they arise; (b) help ensure that all conflicts reports are made and filed; (c) help ensure that conflicts are disclosed and resolved in accordance with the Code; and (d) help monitor compliance with these provisions. c. Pursuant to 12 CFR 1261.12, Directors must provide timely written notification to the Ethics Officers and the Finance Agency, if they no longer meet the District residency requirements applicable to independent directors, or the employment requirements or regulatory capital requirements applicable to a member director, or any other director eligibility requirements. 19. Follow the "Rules of the Bank" - Applicable to Employees Only. All employees are expected to comply with all currently approved and published Bank policies and management policies and directives (whether in writing or verbal), as well as the Employee Handbook, along with any of the material referenced therein, as such material is updated from time to time ("Rules of the Bank"). It is the responsibility of each employee to review these published materials and to stay current with changes as they occur. Some examples of documents that make up the "Rules of the Bank" are the Employee Confidentiality and Inventions Agreement, the Information Security Policy, the Computing Environment Policy, and the Anti- Fraud Policy. D. Disciplinary Action If the standards set forth in this Code are violated, you may be subject to disciplinary action, up to and including discharge from employment, or removal from the Board of Directors or the Affordable Housing Advisory Council. E. Reporting Code or Potential Code Violations or Illegal or Potentially Illegal Conduct 1. In General If you believe or become aware that (i) any violation or potential violation of this Code has occurred, or (ii) any illegal or potentially illegal activity has been engaged in by any other employee, Director, Affordable Housing Advisory Council member, or third party acting on behalf of the Bank, you must promptly report the violation or potential violation, or illegal or potentially illegal activity, by: a. For accounting, internal accounting controls, Affordable Housing Program, auditing and securities matters: (1) Contacting the Chief Audit Officer, who will coordinate the review with the Audit Committee of the Board of Directors; or (2) Using the toll-free reporting hotline (866-292-2075) or reporting web site (www.ethicspoint.com) maintained by EthicsPoint, an independent outside vendor retained by the Bank. b. For all other matters: (1) Contacting an Ethics Officer, who will as the facts warrant coordinate the review on a need-to-know basis with the Chief Audit Officer, the Director of Human Resources, the Audit Committee of the Board of Directors, senior management or other advisors.

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12 (2) Using the toll-free reporting hotline (866-292-2075) or reporting web site (www.ethicspoint.com) maintained by EthicsPoint. 2. It is Your Responsibility to Report Illegal or Potentially Illegal Acts. Illegal acts or improper conduct may subject the Bank to severe civil and criminal penalties. However, in many cases, if the Bank discovers and reports illegal acts to the appropriate governmental authorities, the Bank may possibly be subject to lesser penalties. Failing to report any violation or potential violation of the Code or illegal or potentially illegal activity to those responsible for investigating such activities is a violation of the Code. If you have a question about whether particular acts or conduct may potentially violate the Code or be illegal, you should contact one of the Bank's Ethics Officers. In addition, the Bank has adopted a separate Anti-Fraud Policy applicable to employees. All employees are advised to review the policy and make sure that they understand the Bank's views on fraud and their responsibilities under the policy. Questions about the policy should be directed to the Bank's Director of Strategic Operational Risk & Compliance. 3. What Your Reports Should Include. If you report a violation or potential violation of the Code or illegal or potentially illegal activity, you are encouraged to provide as much specific information as possible, including information about names, dates and places; a description of the events that took place; and your perception of why the incident(s) may constitute a violation of the Code or illegal or potentially illegal activity. You may also forward complaints on an anonymous basis by utilizing the toll-free reporting hotline or reporting web site maintained by EthicsPoint. All anonymous complaints will be investigated and EthicsPoint has a confidential feature to allow anonymous complainers to voluntarily answer follow-up questions from the Bank's investigators. 4. Statement Regarding Treatment of Complaints Regarding Affordable Housing Program, Accounting and Auditing Matters. a. Upon receipt of a complaint, the Chief Audit Officer will determine whether the complaint pertains to Affordable Housing Program, accounting and auditing matters. Complaints relating to accounting and auditing matters will be reviewed under Audit Committee direction and oversight by the Chief Audit Officer or such other persons as the Audit Committee determines to be appropriate. b. Prompt and appropriate corrective action will be taken when and as warranted in the judgment of the Audit Committee. 5. Complaint Logs. The Bank Ethics Officers will maintain a central log of all complaints, tracking their receipt, investigation and resolution and will prepare a periodic summary report thereof for the Audit Committee. Copies of complaints and such log will be maintained in accordance with the Bank's document retention policy. 6. Confidentiality and Duty to Cooperate. Reports of violations or potential violations of this Code, any illegal or potentially illegal act or any other misconduct, harassment or discrimination will be kept confidential to the fullest extent possible consistent with the Bank's need to conduct an adequate review and with applicable law. You are urged to keep all information regarding any internal investigation confidential and should understand that you are expected to fully and promptly cooperate with any such investigation.

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13 7. Non-Retaliation Policy. The Bank is committed to promoting ethical business practices and achieving compliance with all applicable laws and regulations (including securities laws and regulations), accounting standards and controls and audit practices. Therefore, the Bank will not discharge, demote, suspend, threaten, harass or in any manner discriminate or retaliate against any current or former Director, employee, or independent contractors with regard to the terms and conditions of current or future employment or threaten to contact or contact the U.S. immigration authorities to report the citizenship or immigration status of such person or of such person's family or household member. Lawful actions of such person with respect to good faith reporting of, or cooperation with the investigation of, illegal or potentially illegal acts or violations or potential violations of this Code, including any reports regarding accounting and auditing matters shall not be retaliated against. Any employee who reasonably and in good faith believes that any retaliatory or threatened conduct has occurred or is likely to occur should report the matter to either of the Ethics Officers, the Chief Audit Officer, or the Director of Human Resources. F. Administration of the Code 1. The Bank Ethics Officers will be responsible for conducting a yearly review of the Code. The Audit Committee shall then make recommendations for any changes to the Code as a result of this review to the Board of Directors. 2. The Ethics Officers shall be responsible for providing training on a regular basis regarding the Code to the employees, Directors of the Bank, and to the Affordable Housing Advisory Council members. G. Waivers of the Code A request for a waiver of any provision of this Code must be made whenever there is a reasonable likelihood that a contemplated action will violate the Code. All requests for waivers should be made in writing to the Ethics Officers, who may refer the matter to Audit Committee for evaluation. Any waiver of any provision of this Code must be approved by the Board and will be subject to public disclosure in accordance with the rules of the Securities and Exchange Commission applicable to the Bank. H. Acknowledgement Form The Bank Ethics Officers will ensure that employees acknowledge the Code annually for all employees via the Bank's automated annual process. Such acknowledgments will be updated on a regular basis. The Office of the Corporate Secretary will maintain similar documentation for Bank Directors, and the Community Investment Operations Department will do the same for Affordable Housing Advisory Council members and for employees engaged in the administration of the Affordable Housing Program. I. Definitions For purposes of this Code: a. "AI Platform" means any cloud-based or local software service not under the control of the Bank that uses artificial intelligence, machine learning, natural language processing, or similar technologies to process, analyze or generate computer content. b. "Business Associate" means any individual or entity with whom a Director has a business relationship, excluding the member institution and its parent holding company that employes the industry director, including: i. Any corporation, partnership, limited liability company or organization of which the Director is an officer or partner, or in which the Director beneficially owns ten percent or more of any class of equity security, including subordinated debt; and

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14 ii. Any trust or other estate in which a Director has a substantial beneficial interest or as to which the Director serves as trustee or in a similar fiduciary capacity. c. "Family Member" means any individual related to a person by blood, marriage or adoption per the Affordable Housing Program (AHP) Regulation 1291.1 Definitions. For the avoidance of doubt, with respect to any business conducted within the Bank's Affordable Housing Program, including Affordable Housing Advisory Council members, that such person's Family Member as defined in AHP Regulation should be used in place of "Immediate Family Member" as defined herein. d. "Finance Agency" means the Federal Housing Finance Agency or any successor agency charged with safety and soundness oversight of the Bank. e. "Financial Interest" means a direct or indirect financial interest in any activity, transaction, property, or relationship that involves receiving or providing something of monetary value, and includes, but is not limited to, any right, contractual or otherwise, to the payment of money, whether contingent or fixed. This term does not include a deposit or savings account maintained with a member, nor does it include a loan or extension of credit obtained from a member in the normal course of business on terms that are available generally to the public. f. "Immediate Family Member" means parent, sibling, spouse, civil union partner, child or dependent, or any relative that shares a residence with you. An adult child not living in your home is not defined as an Immediate Family Member. As noted herein, for purposes of the Affordable Housing Program (AHP) Regulations, the definition of Family Member does include an adult child regardless of residence. g. Social Media is broadly defined to include any traditional media communications (e.g., letters to the editors, articles, press quotes or editorials) or online platform that facilitate activities such as professional or social networking, posting commentary, opinions, or political views and sharing pictures, audio, video, or other content. Social media includes personal websites and all types of online communities (e.g., Facebook, LinkedIn, Glassdoor, Reddit, YouTube, X (formerly known as Twitter), Instagram, TikTok, blogs, message boards, and chat rooms). Social media activity is covered in Bank policies including, without limitation, the Bank's Prohibited Harassment Statement and Complaint Report Procedure, Communications, Computer and Copyright, and Publicity/Statements to the Media policies. Specifically: • Postings that may include adverse, hateful discriminatory remarks, threats of violence, or constitute unlawful harassment or retaliation, or similar unlawful conduct will not be tolerated. • Individuals subject to this Code must maintain the confidentiality of the Bank, its clients', and its customers' trade secrets and private or confidential business information (including its financial information, trade secrets, marketing lists, strategic business plans, competitor intelligence, business contracts, and other proprietary Bank information that is non-public and that Bank Directors, officers, employees or Members of the Affordable Housing Advisory Council can access). Such information should not be displayed or disclosed through social media or AI Platforms. Trade secrets may include information regarding the development of systems, processes, products, know- how, and technology.

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## Exhibit 31.01

**Exhibit 31.01**

**Certification Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002**

**for the President and Chief Executive Officer**

I, Randolph C. Snook, certify that:

1.&nbsp;&nbsp;&nbsp;&nbsp;I have reviewed this Annual report on Form 10-K of the Federal Home Loan Bank of New York;

2.&nbsp;&nbsp;&nbsp;&nbsp;Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.&nbsp;&nbsp;&nbsp;&nbsp;Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.&nbsp;&nbsp;&nbsp;&nbsp;The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;&nbsp;&nbsp;&nbsp;Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;&nbsp;&nbsp;&nbsp;Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;&nbsp;&nbsp;&nbsp;Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;&nbsp;&nbsp;&nbsp;Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5.&nbsp;&nbsp;&nbsp;&nbsp;The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;&nbsp;&nbsp;&nbsp;All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;&nbsp;&nbsp;&nbsp;Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

---

| |
|:---|
| Date: March 20, 2026 |
| /s/ Randolph C. Snook |
| Randolph C. Snook |
| President and Chief Executive Officer |
| (Principal Executive Officer) |

---

## Exhibit 31.02

**Exhibit 31.02**

**Certification Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002**

**for the Senior Vice President and Chief Financial Officer**

I, Kevin M. Neylan, certify that:

1.&nbsp;&nbsp;&nbsp;&nbsp;I have reviewed this Annual report on Form 10-K of the Federal Home Loan Bank of New York;

2.&nbsp;&nbsp;&nbsp;&nbsp;Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3.&nbsp;&nbsp;&nbsp;&nbsp;Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4.&nbsp;&nbsp;&nbsp;&nbsp;The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;&nbsp;&nbsp;&nbsp;Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;&nbsp;&nbsp;&nbsp;Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;&nbsp;&nbsp;&nbsp;Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;&nbsp;&nbsp;&nbsp;Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5.&nbsp;&nbsp;&nbsp;&nbsp;The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;&nbsp;&nbsp;&nbsp;All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;&nbsp;&nbsp;&nbsp;Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

---

| |
|:---|
| Date: March 20, 2026 |
| /s/ Kevin M. Neylan |
| Kevin M. Neylan |
| Senior Vice President and Chief Financial Officer |
| (Principal Financial Officer) |

---

## Exhibit 32.01

**Exhibit 32.01**

**Certification by the President and Chief Executive Officer**

**Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002**

In connection with the Annual report of the Federal Home Loan Bank of New York (the "Company") on Form 10-K for the period ended December 31, 2025, as filed with the Securities and Exchange Commission (the "Report"), I, Randolph C. Snook, President and Chief Executive Officer of the Company, hereby certify as of the date hereof, solely for purposes of Title 18, Chapter 63, Section 1350 of the United States Code, that to the best of my knowledge:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1)&nbsp;&nbsp;&nbsp;&nbsp;the Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2)&nbsp;&nbsp;&nbsp;&nbsp;the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

---

| | |
|:---|:---|
| &nbsp;&nbsp;Date: March 20, 2026 | |
| | /s/ Randolph C. Snook |
| | Randolph C. Snook |
| | President and Chief Executive Officer |
| | (Principal Executive Officer) |

---

## Exhibit 32.02

**Exhibit 32.02**

**Certification by the Senior Vice President and Chief Financial Officer**

**Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002**

In connection with the Annual report of the Federal Home Loan Bank of New York (the "Company") on Form 10-K for the period ended December 31, 2025, as filed with the Securities and Exchange Commission (the "Report"), I, Kevin M. Neylan, Senior Vice President and Chief Financial Officer of the Company, hereby certify as of the date hereof, solely for purposes of Title 18, Chapter 63, Section 1350 of the United States Code, that to the best of my knowledge:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1)&nbsp;&nbsp;&nbsp;&nbsp;the Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934, and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2)&nbsp;&nbsp;&nbsp;&nbsp;the information contained in the Report fairly presents, in all materials respects, the financial condition and results of operations of the Company.

---

| | |
|:---|:---|
| Date: March 20, 2026 | |
| | /s/ Kevin M. Neylan |
| | Kevin M. Neylan |
| | Senior Vice President and Chief Financial Officer |
| | (Principal Financial Officer) |

---

## Exhibit 99.01

**Exhibit 99.01**

Audit Committee Report

In accordance with its written charter adopted by the Board of Directors, the Audit Committee assists the Board in fulfilling its responsibility for oversight of the quality and integrity of the accounting, auditing, and financial reporting practices of the Bank.

The Audit Committee of the Federal Home Loan Bank of New York ("FHLBNY") for 2025 was composed of eight Directors. The Audit Committee had twelve meetings during 2025 and during these meetings the Audit Committee met separately with the Chief Audit Officer and the independent registered public accounting firm.

Management has the primary responsibility for the preparation and integrity of the FHLBNY's financial statements, accounting and financial reporting principles and internal controls and procedures designed to assure compliance with accounting standards and applicable laws and regulations. FHLBNY's independent registered public accounting firm, PricewaterhouseCoopers LLP ("PwC"), is responsible for performing an independent audit of the financial statements and expressing an opinion on the conformity of those financial statements with generally accepted accounting principles. PwC has been the FHLBNY's independent registered public accounting firm since 1990. The Audit Committee engages in rigorous evaluations when appointing an independent registered public accounting firm.

The Audit Committee oversees the FHLBNY's financial reporting process; reviews the programs and policies of the FHLBNY designed to ensure compliance with applicable laws, regulations and policies and monitors the results of these compliance efforts; and advises and assists the Board of Directors in fulfilling its oversight responsibilities relating to risk management, internal controls, the accounting policies and financial reporting and disclosure practices of the FHLBNY, and the independent registered public accounting firm of the FHLBNY.

The Audit Committee has reviewed and discussed the 2025 audited financial statements with management and the independent registered public accounting firm. The Audit Committee has reviewed and discussed with the independent registered public accounting firm all communications required by generally accepted auditing standards, including those described in Statement on Auditing Standards ("SAS") No. 114, "The Auditor's *Communication With Those Charged With Governance"* and with and without management present, discussed and reviewed the results of the independent registered public accounting firm's audit of the financial statements. The Audit Committee has also reviewed and approved the fees paid to the independent registered public accounting firm for audit, audit-related and non-audit services, and received the written disclosures and the letter from the independent registered public accounting firm required by Independence Standards Board Standard No. 1, *Independence Discussions with Audit Committees,* and has discussed the independent public registered accounting firm's independence with them.

Based on the review and discussions referred to above, the Audit Committee voted to recommend to the Board of Directors on March 18, 2026 that the FHLBNY's audited financial statements be included in the FHLBNY's Annual Report on Form 10-K for the fiscal year ended December 31, 2025, for filing with the SEC.

<u>FHLBNY AUDIT COMMITTEE MEMBERS</u>

---

| | |
|:---|:---|
| <u>2025</u> | <u>2026</u> |
| David Huber, Chairman | David Huber, Chairman |
| Thomas Kemly, Vice Chairman | Steven Klein, Vice Chairman |
| Melba Acosta | Melba Acosta |
| Robert Fisher | David Hanrahan |
| Steven Klein | Thomas Kemly |
| Gerald Reeves | Anders Tomson |
| Ghillaine Reid | |
| Anders Tomson | |

---

## Exhibit 99.02

**Exhibit 99.02**

![image_1041a.jpg](image_1041a.jpg)

**CHARTER OF THE AUDIT COMMITTEE**

**OF THE BOARD OF DIRECTORS**

**OF THE FEDERAL HOME LOAN BANK OF NEW YORK**

***To Be Approved by the Board of Directors on March 19, 2026***

***Effective as of March 19, 2026***

**I.&nbsp;&nbsp;&nbsp;&nbsp;INTRODUCTION**

The charter of the Federal Home Loan Bank of New York's ("Bank") Audit Committee ("Committee") has been adopted and approved by the Bank's Board of Directors ("Board") and is intended to comply with applicable laws, rules and regulations of the Federal Housing Finance Agency ("FHFA") and the Securities and Exchange Commission ("SEC"). The Committee has committed to adopt, to the extent possible, those best practices that pertain to audit committees of public companies and that are relevant to the Bank, taking into account the cooperative structure of the Bank and the congressionally mandated and regulatory requirements applicable to the Bank.

**II.&nbsp;&nbsp;&nbsp;&nbsp;PURPOSE OF THE AUDIT COMMITTEE**

The purpose of the Committee shall be to assist the Board in fulfilling its oversight responsibility relating to:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;The integrity of the Bank's financial statements and financial reporting;

-&nbsp;&nbsp;&nbsp;&nbsp;The maintenance of effective administrative, risk management, operating, and accounting internal control systems;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;The Bank's compliance with applicable laws and regulations including the Bank's remediation of particular matters raised by the FHFA in connection with any Bank examinations;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;The Bank's consistency with the FHFA's Advisory Bulletins 2016-05 "Internal Audit Governance and Function" and 2020-04 "Financial Reporting and Disclosure and External Audit";

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;The establishment, maintenance, authority, and performance of the Internal Audit function;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;The annual independent audit of the Bank's financial statements; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;The independence, qualifications, and performance of the Bank's Independent Registered Public Accounting Firm.

It is not the duty of the Committee to plan or conduct audits of the financial statements as these are the responsibilities of the Independent Registered Public Accounting Firm. It is also not the duty of the Committee to determine that the Bank's financial statements and disclosures are complete and accurate and in accordance with generally accepted accounting principles ("GAAP") as these are the responsibilities of management. The independent auditor is responsible for performing an audit of the Bank's annual financial statements, and expressing an opinion as to the conformity of those annual financial statements with generally accepted accounting principles.

FEDERAL HOME LOAN BANK OF NEW YORK • 101 PARK AVENUE • NEW YORK, NY 10178 • T: 212.681.6000 • WWW.FHLBNY.COM

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**III.&nbsp;&nbsp;&nbsp;&nbsp;AUTHORITY**

The responsibility of the Committee is limited to matters upon which the Board of Directors has the authority to make a final determination. The Committee shall have the authority to establish other rules and operating procedures in order to fulfill its obligations under this charter.

The Committee shall utilize resources to conduct or authorize investigations into any matters within their duties and responsibilities. This includes retaining, and obtaining advice from, independent counsel, accountants, and other advisers, as it determines necessary to carry out its duties.

The Bank shall provide for appropriate funding, as determined by the Committee, for payment of compensation to the Independent Registered Public Accounting Firm and any counsel, accountants or other advisers retained by the Committee.

At its discretion, the Committee shall have direct access to the Independent Registered Public Accounting Firm, Chief Financial Officer, Chief Audit Officer ("CAO") and upon request, any other officer or employee of the Bank. The Committee shall maintain an open and unrestricted communication channel with all Bank personnel, including internal and external auditors. The Committee also will have unrestricted access to records, data and reports.

**IV.&nbsp;&nbsp;&nbsp;&nbsp;DUTIES AND RESPONSIBILITIES OF THE AUDIT COMMITTEE**

The Committee's responsibilities will be discharged through reviews of the internal audit universe, annual internal audit plan, audit reports, and discussions with internal and external auditors and Bank management.

To fulfill its duties and responsibilities the Committee shall:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A.&nbsp;&nbsp;&nbsp;&nbsp;With Regard to Oversight of Financial Reporting

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Timely obtain and review reports delivered by the Independent Registered Public Accounting Firm;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Review the Bank's financial statements and the Independent Registered Public Accounting Firm's opinion rendered with respect to the financial statements, including the nature and extent of any significant changes in accounting principles or the application therein;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Review and discuss the annual audited financial statements with management, the internal auditors and the Independent Registered Public Accounting Firm, including the Bank's disclosures under "Management's Discussion and Analysis of Financial Condition and Results of Operations," prior to announcement, publication or filing, and obtain explanations from management for any significant variances from the prior periods. Recommend to the Board that the audited financial statements be included in the Bank's SEC Form 10-K;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Discuss with the Independent Registered Public Accounting Firm the required matters in accordance with the standards of the Public Company Accounting Oversight Board, including Auditing Standard 1301, Communications with Audit Committees, as modified, reorganized or supplemented.

FEDERAL HOME LOAN BANK OF NEW YORK 2

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Review and discuss, with the Independent Registered Public Accounting Firm and management representatives, Bank quarterly financial information provided for the Bank's SEC Form 10-Q. The review will include a discussion of any significant changes to the Bank's accounting principles and standards, significant changes to laws and regulations, and any concerns the Independent Registered Public Accounting Firm may have with management's accounting methods, estimates and/or financial statement disclosures;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Discuss and review earnings press releases to be issued by the Bank;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Meet periodically with the Bank's management, Internal Audit staff, and the Independent Registered Public Accounting Firm with respect to any audit report by the Independent Registered Public Accounting Firm to discuss significant accounting and reporting principles, practices and procedures applied by the Bank in preparing its financial statements. This includes alternative treatments of financial information within GAAP and developments and issues with respect to reserves; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;B.&nbsp;&nbsp;&nbsp;&nbsp;With Regard to Internal Audit

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Ensure that the internal audit function is enabled to fulfill its mission and pursue its strategy and objectives.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Select, evaluate the performance of, determine the compensation of and, where appropriate, approve the removal of, the CAO. On an annual basis, engage the Bank's Human Resources department to provide the Committee accurate salary benchmarking data from various sources for the Chief Audit Officer to help ensure alignment with the market for talent and with internal Bank equity;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Approve the Incentive Compensation Plan and awards for the Internal Audit employees;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Provide that the CAO report directly to the Committee on substantive matters and be ultimately accountable to the Committee and the Bank's Board;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Provide that the CAO have unrestricted access to the Committee without the need for any prior management knowledge and approval;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Meet in executive session with the CAO on a regular basis to discuss any matters that the Committee or CAO believe should be discussed in confidence;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Review significant issues arising from Internal Audit that are reported to the Committee by the CAO;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Provide an independent, direct channel of communication between the Bank's Board and the CAO;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Discuss with management, Internal Audit staff, and the Independent Registered Public Accounting Firm the Internal Audit function activities, the adequacy, and scope of the Internal Audit plan, budget and staffing and any recommended changes in the planned scope of the Internal Audit function;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Discuss with the CAO, at least annually, the sufficiency both in numbers and capabilities of internal audit resources to fulfill the internal audit responsibilities and achieve the audit plan;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Review Internal Audit's compliance with the Institute of Internal Auditors Global Internal Audit Standards;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Review and approve the Internal Audit annual budget;

FEDERAL HOME LOAN BANK OF NEW YORK 3

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Review and approve the Internal Audit charter on an annual basis;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Review and approve the Internal Audit universe and annual plan;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Review and approve any significant changes to the Internal Audit plan;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Review the results of the Internal Audit services, including conclusions, themes, assurance, advice and monitoring results to gain an understanding on the effectiveness of the organizations' governance, risk management and control processes;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Retain oversight responsibility for any aspects of the internal audit function that are outsourced;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Monitor the adequacy and timeliness of Internal Audit's follow-up to audit and FHFA examination findings, including the responsiveness of management in addressing the findings;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Review the results of the internal Quality Assurance Review, and the results of the external Quality Assurance Review.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;C.&nbsp;&nbsp;&nbsp;&nbsp;With Regard to the Independent Registered Public Accounting Firm

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Review with the Independent Registered Public Accounting Firm and approve, prior to the beginning of the audit, the scope of the audit plan and all engagement fees and terms;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Make recommendations to the Bank's Board of Directors regarding the appointment, compensation, renewal or termination of the Independent Registered Public Accounting Firm. The Independent Registered Public Accounting Firm shall report directly to the Committee;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Pre-approve all audit and non-audit services performed by the Bank's Independent Registered Public Accounting Firm and not engage the Independent Registered Public Accounting Firm to perform the specific non-audit services proscribed by law or regulation. The Committee may delegate pre-approval authority to a member of the Committee; however, any decisions made by the designated member must be presented to the full Committee at the next scheduled Committee meeting;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Require the Independent Registered Public Accounting Firm to rotate the lead audit partner, and the partner responsible for reviewing the audit at least every five years;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Resolve any disagreements between management and the Independent Registered Public Accounting Firm regarding financial reporting;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Evaluate the performance of the Independent Registered Public Accounting Firm;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Provide that the Independent Registered Public Accounting Firm have unrestricted access to the Committee without the need for any prior management knowledge and approval;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Provide an independent, direct channel of communication between the Board and the Independent Registered Public Accounting Firm;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Establish policies for the hiring of employees or former employees of the Independent Registered Public Accounting Firm;

FEDERAL HOME LOAN BANK OF NEW YORK 4

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Obtain annually a formal written statement from the Independent Registered Public Accounting Firm regarding their independence for consistency with Independence Standards Board Standard 1; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Obtain and review annually a report by the Independent Registered Public Accounting Firm, describing (i) the auditors' internal quality control procedures, (ii) any material issues raised by the auditors' most recent internal quality control review or by its most recent peer review or raised within the preceding five years by any investigation or inquiry by governmental or professional authorities of an independent audit carried out by the firm and any steps taken to deal with such issues, and (iii) in order to assess the auditor's independence, all relationships between the Independent Registered Public Accounting Firm and the Bank.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;D.&nbsp;&nbsp;&nbsp;&nbsp;With Regard to Senior Management and Ethics Officers

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Direct senior management to establish, implement, and maintain accounting policies and procedures that are in compliance with applicable law, regulation, guidance, and industry standards, including GAAP and other applicable reporting and disclosure standards and to maintain the reliability and integrity of the financial reporting and disclosure practices of the Bank;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Verify that senior management has procedures in place to notify the FHFA of any accounting treatments or policies identified as posing significant legal, reputation, or safety and soundness risk, with a focus on accounting treatments or policies that do not employ GAAP or preferred methods; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Ensure that senior management has established and is maintaining an adequate internal control system in the Bank.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;The Committee will annually review and recommend for approval to the Board of Directors any proposed amendments to the Bank's Code of Business Conduct and Ethics ("Code") and the Bank's Whistleblower & Complaint Policy. The Committee will periodically review reports submitted by the Ethics Officers concerning the administration of the Code and the Whistleblower & Complaint Policy and will address specific Ethics Officer investigations or other ethical questions as required.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;E.&nbsp;&nbsp;&nbsp;&nbsp;With Regard to Audit Committee Processes

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a)&nbsp;&nbsp;&nbsp;&nbsp;<u>Committee Charter</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Adopt a formal written Committee Charter. Annually assess the adequacy of the Committee Charter, and, where appropriate, recommend to the Board amendments to the Committee Charter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b)&nbsp;&nbsp;&nbsp;&nbsp;<u>Financial Reporting and Governance</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Ensure policies are in place that are reasonably designed to achieve disclosure and transparency regarding the Bank's true financial performance and governance practices.

FEDERAL HOME LOAN BANK OF NEW YORK 5

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c)&nbsp;&nbsp;&nbsp;&nbsp;<u>Internal Control</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Review on an annual basis the adequacy of internal controls, resolution of identified material weaknesses and reportable conditions including the prevention or detection of management override or compromise of the internal control system and ensure that appropriate corrective actions are instituted;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Review the policies established by senior management designed to ensure compliance with applicable laws and regulations and monitor the results of these compliance efforts; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Establish procedures for the receipt, retention, and treatment of complaints received by the Bank regarding accounting principles and practices, internal accounting controls, or auditing matters, and the confidential, anonymous submission by employees of concerns regarding questionable accounting or auditing matters.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d)&nbsp;&nbsp;&nbsp;&nbsp;<u>Committee Report</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Prepare a written Committee report as required by the applicable rules of the FHFA and SEC to be included in the Bank's SEC Form 10-K.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;e)&nbsp;&nbsp;&nbsp;&nbsp;<u>Performance Evaluation</u>

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;·&nbsp;&nbsp;&nbsp;&nbsp;Conduct a self-evaluation of the Committee's performance of its responsibilities and provide a report to the Board.

**V.&nbsp;&nbsp;&nbsp;&nbsp;AUDIT COMMITTEE STRUCTURE**

The Committee shall consist of at least five directors of the Board. The Committee shall include, to the extent practicable, a balance of representatives from Community Financial Institutions and other members and will also include a balance of independent and member directors.

**VI.&nbsp;&nbsp;&nbsp;&nbsp;TERMS OF SERVICE**

Pursuant to FHFA regulations, directors generally serve four-year terms commencing January 1 of the year following election. As a general rule, directors may serve for up to three full consecutive terms, subject to guidance and regulations issued by the FHFA. In order to provide continuity and experience, Committee members shall serve staggered terms.

**VII.&nbsp;&nbsp;&nbsp;&nbsp;MEMBERSHIP REQUIREMENTS**

All members of the Committee shall be independent<sup>1</sup> as determined in accordance with applicable rules. Each member shall be financially literate as this qualification is interpreted by the Board in

<sup>1</sup>&nbsp;&nbsp;&nbsp;&nbsp;To be considered independent, a director must not have a disqualifying relationship with the Bank or its management that would interfere with the exercise of that director's independent judgment. This includes being employed by the Bank in the current year or any of the past five years, receiving any compensation (other than for service as a Board director), or serving as a consultant, advisor, promoter, underwriter, or legal counsel of, or to, the Bank in the past five years. An immediate family member who is, or has been in any of the past five years, employed by the Bank as an executive officer also disqualifies a Committee member from being independent.

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its business judgment, or shall become financially literate within a reasonable period of time after appointment to the Committee. At least one member must have extensive accounting or related financial management experience as required under FHFA regulation Part 1239. The Committee will comply with the Sarbanes Oxley Act of 2002 under Section 407 regarding rules for "Disclosure of Audit Committee Financial Expert" for filing periodic reports with the SEC.

The Board shall appoint the members of the Committee annually, and as may be needed from time to time, and one Committee member shall be designated by the Board as, respectively, the Chair and the Vice Chair. The Board may remove any member of the Committee in its discretion at any time.

The only compensation a Committee member may receive from the Bank shall be compensation determined by the Board in compliance with applicable rules.

**VIII.&nbsp;&nbsp;&nbsp;&nbsp;AUDIT COMMITTEE MEETINGS**

The Committee shall meet in accordance with the meeting schedule that is established annually by the Board, as may be adjusted from time to time and shall keep written minutes and other relevant records of each Committee meeting. The minutes shall be approved by the Committee and then reviewed and approved by the Board. The CAO will compile this documentation and shall act as Secretary to the Committee. Following each of its meetings, the Chairman of the Committee shall report to the Board regarding the activities of the Committee.

The Committee shall meet separately, from time to time, by itself, with management, the Independent Registered Public Accounting Firm, and/or the CAO.

the past five years. An immediate family member who is, or has been in any of the past five years, employed by the Bank as an executive officer also disqualifies a Committee member from being independent.

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