CAPITAL ONE FINANCIAL CORP

Total assets increased by $8.0 billion to $486.4 billion as of September 30, 2024 from December 31, 2023 primarily driven by increases in our cash and securities available for sale balances, partially offset by an allowance build due to the Walmart Program Termination in the second quarter of 2024.

Total liabilities increased by $3.1 billion to $423.5 billion as of September 30, 2024 from December 31, 2023 primarily driven by deposit growth due to our national consumer banking strategy, partially offset by net maturities of our securitized debt obligations. Our national consumer banking strategy includes our national brand and marketing strategy, cafés, and tech / digital investments, which have enabled us to both deepen and grow our overall customer base.

Stockholders’ equity increased by $4.8 billion to $62.9 billion as of September 30, 2024 from December 31, 2023 primarily driven by net income of $3.7 billion.

The following is a discussion of material changes in the major components of our assets and liabilities during the first nine months of 2024. Period-end balance sheet amounts may vary from average balance sheet amounts due to the timing of normal balance sheet management activities that are intended to support our capital and liquidity positions, our market risk profile and the needs of our customers.

Investment Securities

Our investment securities portfolio consists of the following: U.S. government-sponsored enterprise or agency (“GSE” or “Agency”) and non-agency residential mortgage-backed securities (“RMBS”), agency commercial mortgage-backed securities (“CMBS”), U.S. Treasury securities and other securities. Agency securities include Government National Mortgage Association (“Ginnie Mae”) guaranteed securities, Federal National Mortgage Association (“Fannie Mae”) and Federal Home Loan Mortgage Corporation (“Freddie Mac”) issued securities. The carrying value of our investments in Agency and U.S. Treasury securities represented 96% and 97% of our total investment securities portfolio as of September 30, 2024 and December 31, 2023, respectively.

The fair value of our available for sale securities portfolio increased by $4.4 billion to $83.5 billion as of September 30, 2024 from December 31, 2023, primarily driven by net purchases and decreases in relevant benchmark interest rates. See “Part I—Item 1. Financial Statements—Note 3—Investment Securities” for more information.