Most state-run local government investment pools eschew the use of derivatives and shun extensive leverage, according to a survey by The Bond Buyer.

Leverage and the heavy use of risky derivatives led to massive losses in an investment pool run by Orange County, Calif.

Limited Time Offer

Save $400 off your subscription. Special offer ends April 30, 2017.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.