AFS securities sale costs Truist $6.8bn
Purge of investment securities marks largest single-quarter loss by a US bank in 10 years
Truist reported a $6.8 billion loss in the second quarter after selling devalued available-for-sale (AFS) securities, marking the largest single-quarter hit for a major US bank over the past decade.
During the quarter, the bank sold securities valued at $27.7 billion, which were yielding an average of 2.8%, including the impact of hedges – far below current risk-free US rates.
The sale crystallised
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