Yes, but I would put it a bit differently .. "and it doesn't apply any gamma encoding"
Basically yes, .. if we want to be exact the "camera standard" option is a pure matrix transformation, while the "custom" dcp or icc have more steps i.e. apply a matrix transformation and add upon this correction LUTs for cases where the matrix transformation is innefficient
No color correction, no gamma correction, no color management .. only WB is applied. It is basically same as the "reference image for profiling" .. the other than profiling cases that this may be usefull are
- cases where we have clipping in extreme lighting (mainly clipping of neon/led blues) where the color transformation fails and
- as a workaround if color profiles are missing or wrong for a model .. use "no profile" and working space set to sRGB and insert in Channel Mixer a 3X3 matrix (borrowed from DxOMark measures or from exif - this last works well for Olympus cameras .. ) ..
No toning .. just WB, demosaic, color transforms from raw to internal working space then to output color space, gamma ..
If we again speak (write) strictly .. a clipping of Red/Blue values is inherent in the WB step .. depending on the WB multipliers, some Red and Blue values will be clipped or else we take magenta casts at highlights ..
Let's say our range is 0-65535 (16bit) and the WB multipliers R=2.0 B=1.4 then any raw red value higher than 32767 will be clipped, any raw Blue higher than 46988 will be clipped ..
RT handles the higher than 65535 values so we can recover some highlights by altering WB .. but I think this is not possible after outputting to integer tiffs/jpegs