WASHINGTON -- Federal officials, worried that the explosive growth of derivatives has outpaced the market's understanding of the risks. are asking market participants to set up systems to manage those risks.

In a speech to the Institute of International Bankers this week, Eugene A. Ludwig, Comptroller of the Currency, said his agency expects every U.S. bank involved in derivatives to adopt a "no surprises" risk management policy that is "made concrete" by a series of systems and controls.

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