ALEXANDRIA, Va. — Should the NCUA Board approve a finalderivatives rule, the interest rate risk management tool could costthe agency as much as $16 million over three years.

The proposed rule, which would permit qualified credit unions toinvest in derivative swaps and caps, was approved by the board Thursday at its monthly meeting.

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If finalized, the costswould include one-time charge of $300,000 to train current staff,which would come mid-year 2013. Additional costs this year wouldalso include a $1 million charge for subscriptions to provide forthe acquisition, support and maintenance of analytical toolsrequired for appropriate asset liability managementsupervision.

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