NCUA Issues Supervisory Letter on Derivatives Examination Guidance
NCUA has issued Letter to Credit Unions No. 14-CU-04 to remind federal credit unions that the effective date to begin applying for derivative investment authority was March 3 and to let state-chartered, federally insured credit unions know that under state parity provisions they may be able to follow a similar approval process through their applicable state supervisory authority. Federal credit unions must apply before receiving approval from NCUA to use the new derivatives investment authority, and this NCUA Letter provides answers to the most common questions regarding the process. [3/4]