John Pancari's questions to CAPITAL ONE FINANCIAL (COF) leadership • Q3 2025
Question
John Pancari sought clarification on whether Capital One's significant investments are mostly in the run rate and asked for insights into a reasonable near-term or medium-term efficiency ratio, or if such expectations might be provided in 2026.
Answer
Richard Fairbank, CEO and Chairman, clarified that while investments in existing opportunities are in the run rate due to years of development, incremental investment is increasing as opportunities accelerate. He emphasized Capital One's organic growth model, where upfront investments in technology and marketing often precede revenue growth, potentially putting short-term pressure on metrics like the efficiency ratio, but leading to long-term benefits across growth, customer experience, and efficiency.