CAMELS
The supervisory rating framework US regulators use to grade a bank's overall condition on a 1-to-5 scale across six dimensions: Capital adequacy, Asset quality, Management, Earnings, Liquidity, and Sensitivity to market risk. A lower composite score is better. The individual CAMELS scores are confidential to the bank and its regulators, but the six dimensions are a useful checklist for anyone reading a bank: is the capital cushion thick, are loans performing, is management sound, are earnings durable, is funding stable, and how exposed is the balance sheet to moves in interest rates?
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10Y Treasury · Altman Z-Score · Asset Sensitivity · Basel III · Bond ETF · Bretton Woods
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