Assesses the financial strength and stability of the institution based on its capital levels.

• Capital Adequacy Policy and Procedures - C.1

  Policies and procedures are established; documented; and maintained for capital adequacy management.

• Capital Ratios - C.2

  Evaluation of key capital ratios (e.g.; Tier 1 Capital Ratio; Total Capital Ratio) against regulatory minimums and internal targets.

• Capital Ratios - C.2.1

  Accuracy of Tier 1 Capital Ratio Calculation.

• Capital Ratios - C.2.2

  Accuracy of Total Capital Ratio Calculation.

• Capital Ratios - C.2.3

  Compliance with Regulatory Capital Requirements.

• Risk-Weighted Assets Calculation - C.3

  Assessment of the accuracy and appropriateness of the institution's calculation of risk-weighted assets.

• Risk-Weighted Assets Calculation - C.3.1

  Accuracy of Credit Risk-Weighted Assets Calculation.

• Risk-Weighted Assets Calculation - C.3.2

  Accuracy of Operational Risk-Weighted Assets Calculation.

• Risk-Weighted Assets Calculation - C.3.3

  Internal Controls over RWA Calculation Process.

• Capital Planning and Stress Testing - C.4

  Evaluation of the institution's process for capital planning and conducting stress tests.

• Capital Planning and Stress Testing - C.4.1

  Adequacy of Stress Testing Scenarios.

• Capital Planning and Stress Testing - C.4.2

  Effectiveness of Stress Testing Methodology.

• Capital Planning and Stress Testing - C.4.3

  Use of Stress Test Results in Capital Planning and Risk Management.

Evaluates the quality of the institution's assets; including loans; investments; and other balance sheet items.

• Asset Quality Policy and Procedures - A.1

  Policies and procedures are established; documented; and maintained for asset quality management.

• Loan Portfolio Quality - A.2

  Assessment of the overall quality; risk profile; and performance of the institution's loan portfolio.

• Loan Portfolio Quality - A.2.1

  Effectiveness of Credit Underwriting Standards.

• Loan Portfolio Quality - A.2.2

  Adequacy of Loan Grading and Classification System.

• Loan Portfolio Quality - A.2.3

  Trends in Delinquency and Non-Performing Loans.

• Allowance for Loan and Lease Losses (ALLL) - A.3

  Evaluation of the adequacy of the Allowance for Loan and Lease Losses (ALLL) in relation to the credit risk in the portfolio.

• Allowance for Loan and Lease Losses (ALLL) - A.3.1

  Adequacy of the ALLL Methodology.

• Allowance for Loan and Lease Losses (ALLL) - A.3.2

  Accuracy and Support for ALLL Calculation.

• Concentration Risk - A.4

  Assessment of concentrations of credit risk within the asset portfolio.

• Concentration Risk - A.4.1

  Identification and Monitoring of Concentrations.

• Concentration Risk - A.4.2

  Effectiveness of Concentration Limits and Mitigation Strategies.

Assesses the ability of the board of directors and senior management to identify; measure; monitor; and control the risks of the institution.

• Management Policy and Procedures - M.1

  Policies and procedures are established; documented; and maintained for the overall management of the institution.

• Board and Senior Management Oversight - M.2

  Evaluation of the effectiveness of the board of directors and senior management in providing oversight of the institution's activities and risks.

• Board and Senior Management Oversight - M.2.1

  Board Composition and Expertise.

• Board and Senior Management Oversight - M.2.2

  Effectiveness of Board and Committee Meetings.

• Board and Senior Management Oversight - M.2.3

  Clarity of Roles and Responsibilities.

• Risk Management Practices - M.3

  Assessment of the effectiveness of the institution's risk management framework and practices.

• Risk Management Practices - M.3.1

  Adequacy of the Enterprise Risk Management (ERM) Framework.

• Risk Management Practices - M.3.2

  Effectiveness of Risk Identification and Assessment.

• Risk Management Practices - M.3.3

  Adequacy of Risk Monitoring and Reporting.

• Internal Controls - M.4

  Evaluation of the adequacy and effectiveness of the institution's internal control system.

• Internal Controls - M.4.1

  Design Effectiveness of Internal Controls.

• Internal Controls - M.4.2

  Operating Effectiveness of Internal Controls.

• Compliance Management - M.5

  Assessment of the institution's program for ensuring compliance with applicable laws; regulations; and supervisory requirements.

• Compliance Management - M.5.1

  Regulatory Change Management.

• Compliance Management - M.5.2

  Compliance Monitoring and Testing.

Analyzes the profitability; stability; and sustainability of the institution's earnings.

• Earnings Policy and Procedures - E.1

  Policies and procedures are established; documented; and maintained for earnings management and analysis.

• Profitability Trends and Stability - E.2

  Evaluation of the institution's historical and current profitability trends and the stability of its earnings sources.

• Profitability Trends and Stability - E.2.1

  Analysis of Key Profitability Ratios.

• Profitability Trends and Stability - E.2.2

  Stability of Earnings Sources.

• Earnings Composition and Quality - E.3

  Assessment of the composition and quality of the institution's earnings; including the impact of non-recurring items and significant fluctuations.

• Interest Rate Risk on Earnings - E.4

  Evaluation of the sensitivity of the institution's earnings to changes in interest rates.

Assesses the institution's ability to meet its short-term obligations and fund its operations.

• Liquidity Policy and Procedures - L.1

  Policies and procedures are established; documented; and maintained for liquidity risk management.

• Liquidity Risk Management - L.2

  Evaluation of the institution's framework and practices for managing liquidity risk.

• Liquidity Risk Management - L.2.1

  Liquidity Position Measurement and Monitoring.

• Liquidity Risk Management - L.2.2

  Liquidity Stress Testing.

• Liquidity Risk Management - L.2.3

  Funding Strategy and Concentration Risk.

• Contingency Funding Plan (CFP) - L.3

  Evaluation of the adequacy and operational readiness of the institution's Contingency Funding Plan.

• Contingency Funding Plan (CFP) - L.3.1

  Adequacy of CFP Strategies and Triggers.

• Contingency Funding Plan (CFP) - L.3.2

  Operational Readiness of Contingent Funding Sources.

• Contingency Funding Plan (CFP) - L.3.3

  CFP Testing and Updates.