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  • What is the CAMELS system?
  • Financial Institution
  • What does CAMELS stand for?
  • CAMELS stands for capital adequacy, asset quality, management, earnings, liquidity, and sensitivity to market risk.
  • What does that mean?
  • The CAMELS system is a rating system made in the U.S that is used by authorities to rate banks and other financial institutions that applies to every bank in the U.S.
  • So it's only in the U.S?
  • No, it is also used in Bangladesh.
  • How do the ratings work?
  • The ratings are assigned based on the financial statements of the bank or financial institution, helping the supervisory authorities to identify banks that have a regulatory concern.
  • Thanks for all your help :)
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