v3.24.2
Investment Securities (Tables)
 6 Months Ended
Jun. 30, 2024
Investments, Debt and Equity Securities [Abstract]  
Schedule of Available-for-Sale Securities
The Company’s amortized cost and estimated fair value of investment securities as of June 30, 2024 and December 31, 2023 are presented below. Accrued interest on investment securities of $28.4 million and $24.7 million, respectively, as of June 30, 2024 and December 31, 2023, is excluded from total investment securities and recorded within prepaid expenses and other current assets on the condensed consolidated balance sheets.
(in millions)Amortized CostTotal
Unrealized
Gains		Total
Unrealized
Losses
Fair Value(1)
As of June 30, 2024
Current:
Debt securities(2):
U.S. treasury notes
$429.9 $0.1 $35.0 $395.1 
Corporate and sovereign debt securities
1,227.5 5.5 35.3 1,197.6 
Municipal bonds70.9 0.2 5.8 65.4 
Asset-backed securities
668.0 5.9 2.7 671.2 
Mortgage-backed securities
1,040.3 2.9 50.0 993.2 
Total$3,436.6 $14.7 $128.8 $3,322.5 
Non-current:
Debt securities(3)
$28.5 $0.2 $1.3 $27.4 
Mutual fund29.4 — 3.9 25.4 
Pooled investment fund12.9 — — 12.9 
Total$70.8 $0.2 $5.2 $65.7 
Total investment securities(4)
$3,507.4 $14.9 $134.0 $3,388.2 
(in millions)
Amortized CostTotal
Unrealized
Gains		Total
Unrealized
Losses
Fair
Value(1)
As of December 31, 2023
Current:
Debt securities:
U.S. treasury notes$410.1 $0.8 $32.3 $378.6 
Corporate and sovereign debt securities
1,086.8 13.6 31.6 1,068.8 
Municipal bonds70.8 0.3 5.4 65.7 
Asset-backed securities582.6 3.2 4.2 581.6 
Mortgage-backed securities951.5 5.9 30.0 927.4 
Total$3,101.8 $23.8 $103.5 $3,022.1 
Non-current:
Debt securities(3)
$28.6 $0.6 $0.8 $28.4 
Mutual fund
29.1 — 3.6 25.5 
Pooled investment fund12.9 — — 12.9 
Total$70.6 $0.6 $4.4 $66.8 
Total investment securities(4)
$3,172.4 $24.4 $107.9 $3,088.9 
(1)The Company’s methods for measuring the fair value of its investment securities are discussed in Note 13, Financial Instruments − Fair Value and Concentrations of Credit Risk.
(2)As of June 30, 2024, the Company has pledged debt securities with a fair value of $82.5 million as collateral against recurring settlement obligations owed in conjunction with its transactions processed through licensed card networks, $360.4 million as collateral for FHLB advances and $699.2 million as collateral against borrowings under the BTFP, as further discussed in Note 10, Financing and Other Debt.
(3)Substantially comprised of municipal bonds.
(4)Excludes $15.6 million and $13.7 million in equity securities as of June 30, 2024 and December 31, 2023, respectively, included in prepaid expenses and other current assets and other assets on the condensed consolidated balance sheets.
Schedule of Estimated Fair Value and Gross Unrealized Losses of Debt Securities in an Unrealized Loss Position
The following table presents estimated fair value and gross unrealized losses of debt securities in an unrealized loss position for which an allowance for credit losses has not been recorded, aggregated by security category. There are no expected credit losses that have been recorded against our investment securities as of June 30, 2024 and December 31, 2023.
 
As of June 30, 2024
 Less than one yearOne year or longerTotal
(in millions)Fair Value
Gross
Unrealized
Losses
Fair Value
Gross
Unrealized
Losses
Fair Value
Gross
Unrealized
Losses
Investment-grade rated debt securities:
U.S. treasury notes$23.1 $0.2 $356.3 $34.8 $379.4 $35.0 
Corporate debt securities342.5 3.7 526.6 31.6 869.1 35.3 
Municipal bonds24.9 0.5 41.8 6.6 66.7 7.1 
Asset-backed securities51.3 0.4 78.9 2.4 130.2 2.8 
Mortgage-backed securities289.3 5.3 552.0 44.6 841.3 49.9 
Total debt securities$731.1 $10.1 $1,555.6 $120.0 $2,286.7 $130.1 
As of December 31, 2023
Less than one yearOne year or longerTotal
Investment-grade rated debt securities:
U.S. treasury notes$— $— $358.6 $32.3 $358.6 $32.3 
Corporate debt securities132.7 2.3 482.9 29.3 615.6 31.6 
Municipal bonds25.3 0.2 42.5 6.0 67.8 6.2 
Asset-backed securities55.0 0.2 131.1 4.0 186.1 4.2 
Mortgage-backed securities374.5 4.7 262.4 25.3 636.9 30.0 
Total debt securities$587.5 $7.4 $1,277.5 $96.9 $1,865.0 $104.3 
Schedule of Maturity Dates of Available-for-Sale Securities
The following table summarizes the contractual maturity dates of the Company’s debt securities.
 June 30, 2024
(in millions)
Amortized Cost
Fair Value
Due within one year$117.9 $115.9 
Due after 1 year through year 5739.9 696.8 
Due after 5 years through year 10973.5 948.3 
Due after 10 years1,633.8 1,588.9 
Total$3,465.1 $3,349.9