Strong earnings Record of success through various stress environments Wholesale funding profile Higher-risk consumer asset classes Credit card concentration The ratings on Capital One Financial Corp. are based on the McLean, Va.-based company's performance as an independent entity since its 1994 spin-off from Signet Banking Corp. The ratings reflect risks inherent in a limited product menu, which, while broadening, encompasses high-risk loan types; heavy reliance on wholesale-sourced funding; and an always-competitive operating environment. Also considered are improving asset quality measures, a strengthening corporate governance infrastructure, historically strong capital and liquidity, and a lower-risk long-term strategy. Capital One is succeeding in broadening its product menu beyond domestic consumer credit card lending, and has expanded its product offerings to include overseas credit
