OCC says US derivatives volume tops $96 trillion

Derivatives held by U.S. commercial banks increased by $5.1 trillion in the second quarter of 2005, to $96.2 trillion, the Office of the Comptroller of the Currency reported Friday 30 September in its quarterly Bank Derivatives Report.

Kathryn Dick, Deputy Comptroller for Risk Evaluation, said that while the notional amount of derivatives is a reasonable reflection of business activity, it does not represent the amount at risk for commercial banks. The risk in a derivatives contract is a func