Using IDC’s Analysis in an Educational Platform

Many institutions rely on IDC Financial Publishing (IDCFP) CAMEL rankings to do business. This includes financial institutions that buy and sell brokered CDs, insurance companies, state and local governments, federal agencies, private companies, as well as individual banks, savings institutions and credit unions. In addition to business demands, IDCFP’s analysis…

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Evaluating Banks with Return on Equity Capital

The objective of management of a bank is to earn a return on equity (ROE) that is greater than its cost of equity capital, therefore adding value to the common shareholder’s investment. As part of our CAMEL ratio analysis, IDC Financial Publishing (IDCFP) calculates the Net Operating Profit (After Tax) Return…

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Credit Unions: A New Growth Opportunity in Brokered CDs

Credit unions issuing brokered CDs averaged just 5 institutions per quarter from 2008 to 2015. Beginning in the 1st quarter of 2015, these institutions accelerated from 4 to 130 by the 4th quarter of 2018 and, as of this article publishing date, rose again to 138. IDC Financial Publishing (IDCFP) estimates…

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IDC’s CAMEL Safety Ratings Explained: L for Liquidity

IDC Financial Publishing (IDCFP) utilizes the acronym CAMEL to represent the financial ratios used to evaluate the safety and soundness of commercial banks, savings institutions and credit unions. This article explains how we use liquidity as a component of our CAMEL rating, and why it is valuable and important to monitor. Liquidity…

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IDC’s CAMEL Safety Ratings Explained: E for Earnings Returns

IDC Financial Publishing (IDCFP) utilizes the acronym CAMEL to represent the financial ratios used to evaluate the safety and soundness of commercial banks, savings institutions and credit unions. In this article, we explain how IDCFP uses earnings returns as the “E” component of our CAMEL ranking, and why it is important…

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