CAMELS and ALM Regulatory Services

Pressure on bank Executives and the Board of Directors with regards to all aspects of the Safety and Soundness Examination process is becoming more and more challenging to prepare for, comprehend, and respond to. With this in mind, NETBankAudit has developed a “suite” of services designed to assist Executives and Board members with SMITH,Kennyeditednavigating the Safety and Soundness Examination environment. This suite of services is managed under the Financial and Regulatory Consulting Services Division led by Kenny Smith, Vice President of Financial and Regulatory Services, CAMELS and ALM Specialist. Kenny Smith has been a bank executive for over 17 years serving in capacities of Internal Auditor, COO, and CFO. Additionally, Kenny was a Federal Reserve Examining Officer for 13 years. As such, Kenny knows both the private industry and regulatory aspects of Safety and Soundness. Further, he has personally helped numerous banks successfully respond and meet or exceed arduous regulatory requirements as a former CFO and regulator. Now, he combines these valuable and insightful experiences for the benefit of NETBankAudit clients.

Our Suite of Financial and Regulatory Audit and Consulting services include, but are not limited to:

  • CAMELS – preparation, evaluation, and/or response to any specific CAMELS component or performance of a holistic and detailed review (prior and/or post examination).
    • Capital Adequacy and Capital Planning
    • Asset Quality, Loan Loss Reserve, Loan Portfolio Analysis, Asset Management, Investments
    • Management
      • Governance
        • Risk Management and ERM
        • Policy and Procedures
        • Organization
      • Audit
      • Regulatory Affairs
      • Other Areas
        • IT
        • BSA
    • Earnings, Financial Analysis, Trending, Margins
    • Liquidity – Asset Liability Management,  ALCO, Liquidity Risk
    • Sensitivity – Market, Interest Rate Risk, Stress Testing, Repricing Risk, Yield Curve Risk, Basis Risk, Option Risk
    • Depending on the circumstances, these elements may be audited and/or consulted upon.  Please inquire as to the best approach

 

  • Asset Liability Management – assessment and/or assistance with the process of evaluating, monitoring, and controlling balance sheet risk (interest rate risk and liquidity risk).
    • Asset Liability Committee (ALCO) facilitation
      • A sound asset/liability management policy framework addressing interest rate risk, liquidity, and contingency funding.
      • Board established limits on risk exposure.
      • Compliance monitoring of Board policy and/or limits
      • Management measurement, monitoring, and reporting systems.
    • Liquidity Risk
    • Interest Rate Risk
    • Stress Testing
    • Modeling including assumption and data verification
    • Depending on the circumstances, these elements may be audited and/or consulted upon.  Please inquire as to the best approach