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    Question

    The  ‘CAMELS’  approach is a risk assessment

    method. What does C stand for in CAMELS? 
    A Capital adequacy Correct Answer Incorrect Answer
    B Credit Correct Answer Incorrect Answer
    C Core Banking System Correct Answer Incorrect Answer
    D Customisation Correct Answer Incorrect Answer
    E Corporate Correct Answer Incorrect Answer

    Solution

    The CAMELS rating system is a tool used to assess a financial institution's risk profile and financial health . It assess on following parameters:   C – Capital Adequacy   A – Asset quality   M – Management   E – Earning s   L – Liquidity   S – Systems /Sensitivity  

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