Investment Securities

6 Months Ended

Jun. 30, 2026

Investments, Debt and Equity Securities [Abstract]


NOTE 3—INVESTMENT SECURITIES

Our investment securities portfolio consists of the following debt securities: U.S. government-sponsored enterprise or agency (“GSE” or “Agency”) and non-agency residential mortgage-backed securities (“RMBS”), agency commercial mortgage-backed securities (“CMBS”), U.S. Treasury securities and other debt securities. Agency securities include securities guaranteed by the Government National Mortgage Association (“Ginnie Mae”) and securities issued by the Federal National Mortgage Association (“Fannie Mae”) and the Federal Home Loan Mortgage Corporation (“Freddie Mac”). The carrying value of our investments in Agency and U.S. Treasury securities represented 96% and 97% of our total investment securities portfolio as of June 30, 2026 and December 31, 2025, respectively.

The table below presents the amortized cost basis, allowance for credit losses, gross unrealized gains and losses and fair value of our investment securities aggregated by major security type as of June 30, 2026 and December 31, 2025. Accrued interest receivable of $348 million and $327 million as of June 30, 2026 and December 31, 2025, respectively, is not included in the table below.

Table 3.1: Investment Securities


	June 30, 2026
(Dollars in millions)	Amortized Cost Basis		Allowance for Credit Losses		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
Investment securities available for sale:
U.S. Treasury securities	$	9,157	$	—	$	31	$	(12)	$	9,176
RMBS:
Agency	74,505		—		224		(6,880)		67,849
Non-agency	506		(3)		56		(2)		557
Total RMBS	75,011		(3)		280		(6,882)		68,406
Agency CMBS	7,890		—		29		(347)		7,572
Other securities(1)	4,896		—		3		(12)		4,887
Total investment securities available for sale	$	96,954	$	(3)	$	343	$	(7,253)	$	90,041
Investment securities held to maturity:
Agency RMBS	$	2,342	$	—	$	1	$	(20)	$	2,323
U.S. Treasury securities	395		—		—		(5)		390
Total investment securities held to maturity	$	2,737	$	—	$	1	$	(25)	$	2,713


	December 31, 2025
(Dollars in millions)	Amortized Cost Basis		Allowance for Credit Losses		Gross Unrealized Gains		Gross Unrealized Losses		Fair Value
Investment securities available for sale:
U.S. Treasury securities	$	9,958	$	—	$	55	$	—	$	10,013
RMBS:
Agency	75,561		—		322		(6,742)		69,141
Non-agency	525		(3)		67		(2)		587
Total RMBS	76,086		(3)		389		(6,744)		69,728
Agency CMBS	8,201		—		35		(344)		7,892
Other securities(1)	3,411		—		7		—		3,418
Total investment securities available for sale	$	97,656	$	(3)	$	486	$	(7,088)	$	91,051

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(1)Includes $2.5 billion and $1.9 billion of asset-backed securities (“ABS”) as of June 30, 2026 and December 31, 2025, respectively. The remaining amount is primarily comprised of supranational bonds, foreign government bonds and U.S. agency debt bonds.

Investment Securities Available for Sale in a Gross Unrealized Loss Position

The table below provides the gross unrealized losses and fair value of our investment securities available for sale aggregated by major security type and the length of time that individual securities have been in a continuous unrealized loss position as of June 30, 2026 and December 31, 2025. The amounts include investment securities available for sale without an allowance for credit losses.

Table 3.2: Investment Securities Available for Sale in a Gross Unrealized Loss Position


	June 30, 2026
	Less than 12 Months				12 Months or Longer				Total
(Dollars in millions)	Fair Value		Gross Unrealized Losses		Fair Value		Gross Unrealized Losses		Fair Value		Gross Unrealized Losses
Investment securities available for sale without an allowance for credit losses:
U.S. Treasury securities	$	3,067	$	(12)	$	—	$	—	$	3,067	$	(12)
RMBS:
Agency	8,763		(100)		41,789		(6,780)		50,552		(6,880)
Non-agency	4		—		5		—		9		—
Total RMBS	8,767		(100)		41,794		(6,780)		50,561		(6,880)
Agency CMBS	1,154		(9)		4,042		(338)		5,196		(347)
Other securities	3,717		(12)		—		—		3,717		(12)
Total investment securities available for sale in a gross unrealized loss position without an allowance for credit losses(1)	$	16,705	$	(133)	$	45,836	$	(7,118)	$	62,541	$	(7,251)


	December 31, 2025
	Less than 12 Months				12 Months or Longer				Total
(Dollars in millions)	Fair Value		Gross Unrealized Losses		Fair Value		Gross Unrealized Losses		Fair Value		Gross Unrealized Losses
Investment securities available for sale without an allowance for credit losses:
U.S. Treasury securities	$	—	$	—	$	588	$	—	$	588	$	—
RMBS:
Agency	1,063		(4)		46,859		(6,738)		47,922		(6,742)
Non-agency	2		—		4		—		6		—
Total RMBS	1,065		(4)		46,863		(6,738)		47,928		(6,742)
Agency CMBS	698		(2)		4,795		(342)		5,493		(344)
Other securities	425		—		—		—		425		—
Total investment securities available for sale in a gross unrealized loss position without an allowance for credit losses(1)	$	2,188	$	(6)	$	52,246	$	(7,080)	$	54,434	$	(7,086)

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(1) Consists of approximately 2,450 and 2,270 securities in gross unrealized loss positions as of June 30, 2026 and December 31, 2025, respectively.

Maturities and Yields of Investment Securities

The table below summarizes, as of June 30, 2026, the fair value of our investment securities by major security type and contractual maturity as well as the total fair value, amortized cost basis and weighted-average yields of our investment securities by contractual maturity. Since borrowers may have the right to call or prepay certain obligations, the expected maturities of our securities are likely to differ from the scheduled contractual maturities presented below. The weighted-average

yield below represents the effective yield for the investment securities presented on a pre-tax basis and is calculated based on the amortized cost basis of each security, inclusive of the contractual coupon, the impact of any premium amortization or discount accretion and any basis adjustments resulting from discontinued hedge accounting relationships. The effective yield is calculated to the contractural maturity or to the earliest call date for certain callable debt securities.

Table 3.3: Contractual Maturities and Weighted-Average Yields of Investment Securities


	June 30, 2026
(Dollars in millions)	Due in 1 Year or Less		Due > 1 Year through 5 Years		Due > 5 Years through 10 Years		Due > 10 Years		Total
Fair value of investment securities available for sale:
U.S. Treasury securities	$	425	$	4,171	$	4,580	$	—	$	9,176
RMBS(1):
Agency	6		144		1,490		66,209		67,849
Non-agency	—		—		58		499		557
Total RMBS	6		144		1,548		66,708		68,406
Agency CMBS(1)	734		2,752		2,452		1,634		7,572
Other securities	860		3,912		17		98		4,887
Total investment securities available for sale	$	2,025	$	10,979	$	8,597	$	68,440	$	90,041
Amortized cost basis of investment securities available for sale	$	2,028	$	11,086	$	8,797	$	75,043	$	96,954
Weighted-average yield for investment securities available for sale	3.95%		3.66%		3.56%		3.56%		3.58%
Amortized cost basis of investment securities held to maturity:
Agency RMBS(1)	—		—		—		2,342		2,342
U.S. Treasury securities	—		—		395		—		395
Total investment securities held to maturity	$	—	$	—	$	395	$	2,342	$	2,737
Fair value of investment securities held to maturity	$	—	$	—	$	390	$	2,323	$	2,713
Weighted-average yield for investment securities held to maturity	—%		—%		4.09%		4.02%		4.03%

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(1)As of June 30, 2026, the weighted-average expected maturities of RMBS and Agency CMBS were 7.7 years and 4.3 years, respectively.

Net Securities Gains or Losses and Proceeds from Sales

For the three and six months ended June 30, 2026, total proceeds from the sale of investment securities available for sale were $594 million and $662 million, respectively, with immaterial gains. For the three and six months ended June 30, 2025, total proceeds from sales of our securities were $9.7 billion with immaterial losses related to the Transaction.

Securities Pledged and Received

We pledged investment securities with a carrying value totaling $39.2 billion and $39.7 billion as of June 30, 2026 and December 31, 2025, respectively. These securities are primarily pledged to support our advances from the Federal Home Loan Bank (“FHLB”) and Public Fund Deposits, as well as for other purposes as required or permitted by law. We accepted pledges of securities with a fair value of less than $1 million as of both June 30, 2026 and December 31, 2025, related to our derivative transactions.

CAPITAL ONE FINANCIAL CORP 10-Q