NCUA Board Member J. Mark McWatters Statement on the Proposed Rule, Part 703, Derivatives

October 2020
NCUA Board Member J. Mark McWatters Statement on the Proposed Rule, Part 703, Derivatives

As Prepared for Delivery on October 15, 2020

I support the modest and thoughtful proposed changes to the derivatives rule that will reduce the regulatory burden on credit unions from using sensible interest rate swaps. Prudently hedging interest rate risk with properly structured and underwritten interest rate swaps will serve to enhance credit union profitability and reduce safety and soundness risk. 

I also encourage the agency to conduct webinars on the derivatives rule so as to assist the credit union community in better understanding the technical aspects of the rule. 

Thank you.

Last modified on
10/15/20