Article: Municipal finance officials meeting in Minneapolis will grapple with policy statement on derivatives. (Government Finance Officers Association)

WASHINGTON - State and local finance officials meeting in Minneapolis this weekend and early next week will consider a policy statement that says derivatives should be used with caution and only by those who can understand and manage their risks.

"We plan to talk about some recommended practices on the use of derivatives for state and local governments," Betsy Dotson, an assistant director of the Government Finance Officers Association's federal liaison center in Washington, said in a recent interview.

"We want to discuss what people need to look out for and what kinds of things they need to keep in mind in, considering the use of derivatives," she said. ...

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