Aakash Gupta '21
"I am currently interning with the Federal Deposit Insurance Corporation (FDIC) in their Financial Management Scholars Program. I was supposed to work out of the Lexington, Massachusetts field office, but due to the pandemic it was switched to teleworking. The department I work in is Risk Management Supervision (RMS). Its mission statement is “To promote stability and public confidence in the nation’s financial system through examining and supervising insured financial institutions, leading sound policy development, evaluation resolution plans, and monitoring and mitigating systemic risks.” (FDIC Intranet)
My responsibilities entail analyzing and applying the CAMELS components to the bank we are examining. The components are Capital Adequacy, Asset Quality, Management, Earnings, Liquidity, and Sensitivity to Market Risk. Then a rating is given to each component ranging from a 1 to a 5, 1 being strong and 5 being critically deficient.
During a bank examination, there is a team that comes together, and everyone is assigned his/her own set of responsibilities. The Examiner In Charge (EIC) heads the team, and he/she has an Operations Manager who oversees the other examiners reviewing the CELS (Capital Adequacy, Earnings, Liquidity, Sensitivity to Market Risk). There is an Asset Manager who oversees asset quality such as loans and investments. In addition, there are a management reviewer, IT specialist, and Bank Secrecy Act/Anti-Money Laundering specialist."