# COMAR Title 09 — Maryland Department of Labor

## Subtitle 03 — Commissioner of Financial Regulation

### Chapter 01 — Credit Unions

#### Regulation .10 Investments.

*COMAR 09.03.01.10*

A. In this regulation, the following terms have the meanings indicated.

B. Terms Defined.

  (1) “Adjusted trading” means any method or transaction used to defer a loss whereby a credit union sells a security to a vendor at a price above its current market price, and simultaneously purchases or commits to purchase from the vendor another security at a price above its current market price.

  (2) Options or Futures Contracts.

    (a) “Option or futures contracts” means commitment to either buy or sell a security, on or before a future date, at a predetermined price.

    (b) “Option or future contract” does not include the subscription for the purchase of initial offering of an investment permitted by Financial Institutions Article §6-705, Annotated Code of Maryland.

  (3) “Short sale” means the sale of a security not owned by the seller.

C. A credit union may not engage in adjusted trading.

D. A credit union may not invest in options or futures contracts or engage in short sales.