Comments Due to NAFCU: NCUA - Derivatives

Important Regulatory Dates Add to Calendar 2020-12-09 17:00:00 2020-12-09 17:00:00 Comments Due to NAFCU: NCUA - Derivatives NAFCU would like to highlight the following: The proposal modernizes the existing derivatives rule by making it more principles-based and provides more flexibility to manage interest rate risk (IRR), while maintaining standards for safety and soundness. The proposal eliminates the prescriptive derivative product list and moves towards a characteristic-based approach. In addition, the proposal removes the regulatory loss limits and streamlines the requirements for counterparty agreements, margin requirements, and eligible collateral. The proposal provides an application exemption for “complex” FCUs with at least $500 million in assets and a CAMEL rating of 1 or 2. Comments due to NAFCU: December 9, 2020 Comments due to NCUA: December 28, 2020 Comment now   NAFCU will send comments on behalf of its members to the FinCEN by their deadline (December 9, 2020). Location NAFCU digital@nafcu.org America/New_York public

NAFCU would like to highlight the following:

  • The proposal modernizes the existing derivatives rule by making it more principles-based and provides more flexibility to manage interest rate risk (IRR), while maintaining standards for safety and soundness.
  • The proposal eliminates the prescriptive derivative product list and moves towards a characteristic-based approach. In addition, the proposal removes the regulatory loss limits and streamlines the requirements for counterparty agreements, margin requirements, and eligible collateral.
  • The proposal provides an application exemption for “complex” FCUs with at least $500 million in assets and a CAMEL rating of 1 or 2.

Comments due to NAFCU: December 9, 2020

Comments due to NCUA: December 28, 2020

Comment now  

NAFCU will send comments on behalf of its members to the FinCEN by their deadline (December 9, 2020).