§ 703.10. Monitoring non-security investments.
160 words·~1 min read·
/us/cfr/t12/s§ 703.10·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
(a)At least quarterly, a Federal credit union must prepare a written report listing all of its shares and deposits in banks, credit unions, and other depository institutions, that have one or more of the following features:
(1)Embedded options;
(2)Remaining maturities greater than 3 years; or
(3)Coupon formulas that are related to more than one index or are inversely related to, or multiples of, an index.
(b)The requirement of paragraph
(a)of this section does not apply to shares and deposits that are securities.
(c)If a Federal credit union does not have an investment-related committee, then each member of its board of directors must receive a copy of the report described in paragraph
(a)of this section. If a Federal credit union has an investment-related committee, then each member of the committee must receive a copy of the report, and each member of the board must receive a summary of the information in the report.