LONDON - Michael Foot, the Bank of England deputy director in charge of supervision and surveillance, indicated he doesn't see the need to curb the growth of derivatives following the collapse of Barings PLC.

In an interview for European Business News television network, the Bank of England director said Barings, is a reminder that "controls are paramount."

The venerable firm collapsed last month largely as the result of derivatives exposure built up by a single trader in Singapore.

But, he added, "in many ways (derivatives) allow the handling of risks in a more sophisticated, a more liquid market than there was before."

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