Swiss Life Holding AG · SIX:SLHN
Swiss Life — UBS Global Insurance Conference 2008
23 slides from Swiss Life's conference presentation, Jun 26, 2008
Slide 1: UBS Global Insurance Conference: Swiss Life: Accelerating momentum in PPLI
UBS Global Insurance Conference Swiss Life: Accelerating momentum in PPLI Peter Huber, CEO Private Placement Life Insurance London, 26 June 2008
Slide 2: Key messages
Key messages 9 PPLI1) is a key element of Swiss Life‘s strategy and targets until 2012 9 Accelerating momentum in PPLI through global expansion in a harmonised business model 9 PPLI contributing to Swiss Life’s earnings and diversification 1) Private Placement Life Insurance = PPLI 2
Slide 3: Agenda
Agenda 1. PPLI a key element of strategy and targets until 2012 2. Accelerating momentum in Private Placement Life Insurance 3. Summary: PPLI contributing to Swiss Life‘s earnings and diversification 3
Slide 4: Strategy until 2012: Accelerating profitable growth
Strategy until 2012: Accelerating profitable growth Mission: Committed to helping people create a financially secure future. For life. Ambition: Become a leading international life and pensions specialist. Focus on retirement Focus on growth Focus on functional needs opportunities excellence z Addre
Slide 5: Swiss Life to accelerate momentum in PPLI
Swiss Life to accelerate momentum in PPLI 2004 2005 2006 2007 2008 2009 - 2012 Activity / Luxemburg – Milestones set up new hub Liechtenstein – set up new hub Acquisition and inte- gration CapitalLeben Integration PPLI Luxemburg Singapore, Dubai1) in Q4 2008 and Latam in 2009 Belgium, Italy, Asia, A
Slide 6: Swiss Life's cross-border initiatives are a major contributor to top-line growth
Swiss Life’s cross-border initiatives are a major contributor to top-line growth GWP, CHF billion 9 to 12 > 36 ~24 3 to 4 3 to 4 75% 19 EU 67% 60% CH 33% 40% 25% FC 2007 Continuing Growth with Focus on Focus on Total operations market retirement growth 2012 2007 1) needs 2) opportunities 3) expected
Slide 7: Agenda
Agenda 1. PPLI a key element of strategy and targets until 2012 2. Accelerating momentum in Private Placement Life Insurance 3. Summary: PPLI contributing to Swiss Life‘s earnings and diversification 7
Slide 8: Growing global wealth planning market with increasing demand for specialised products
Growing global wealth planning market with increasing demand for specialised products “By 2017, there will be 12 countries with one million US$ millionaire Trusts households” Barclays Wealth Insights, 2008, page 4 “Given HNW clients’ increasing Wealth demands for specialised products Foundations pla
Slide 9: Life insurance becoming important instrument in today's global wealth planning market
Life insurance becoming important instrument in today’s global wealth planning market Trusts z Still under penetrated market z Integrated wealth management with ‘high-end life insurance’ z Worldwide recognised legal format Wealth z Effective and compliant structure: Foundations planning Companies de
Slide 10: Private Placement Life Insurance gaining momentum through key design features
Private Placement Life Insurance gaining momentum through key design features Answering client-specific needs Including attractive features z Tax optimisation and compliance z Asset-linked solutions z Liquidity and flexibility z Solutions, compliant with respective z Estate planning country tax laws
Slide 11: Market potential for life insurance in HNWI estimated at CHF 250-300 billion
Market potential for life insurance in HNWI estimated at CHF 250-300 billion CHF billion Middle East Latin Total Europe Asia and Africa America 16 024 9 259 3 442 1 890 1 433 Estimated 2.0% 1.0% 1.1% 1.7% penetration potential Estimated market 185 35 21 24 potential for PPLI Source: BCG Global Wealt
Slide 12: Untapped potential for life insurance still huge
Untapped potential for life insurance still huge Estimates for market potential; CHF billion 20 40 250 50 190 - 20 Latin America 300 30 Middle East 240 50 Asia 90 Europe Total market Captured by Captured Untapped Potential for Potential potential captive by life insurers potential captive bank for l
Slide 13: Swiss Life with strong growth in PPLI since 2003
Swiss Life with strong growth in PPLI since 2003 GWP1) in CHF billion 3.1 GWP target for 2012: z CHF 8 – 10 billion 1.3 Expected annual growth 2007 – 2012: 0.5 z 20 – 25% 0.1 2004 2005 2006 2007 1) Swiss Life Liechtenstein and Swiss Life Luxemburg (PPLI business only) 13
Slide 14: Wide range of solutions in terms of complexity, intent and death cover options
Wide range of solutions in terms of complexity, intent and death cover options Key products Life Asset Portfolio Deferred Variable Variable Universal Life (LAP) Annuities (DVA) (VUL) Goal Basic product for global Intended for persons with Intended for needs of high use pension planning needs death c
Slide 15: Structured insurance solutions for HNWI
Structured insurance solutions for HNWI Business model Target audience Products/Solutions z International clientele z Tailor-made cross-border solutions combining z HNWI and Ultra HNWI wealth management with life insurance z Full transparency to clients regarding fees, investment returns and high de
Slide 16: Swiss Life with unique set of competences
Swiss Life with unique set of competences Core competences z Unified operational principles and structure with functional leadership across locations to ensure: – Efficiency for partners and employees – Best practice sharing – Harmonised product offering irrespective of booking centres – And hence,
Slide 17: PPLI with attractive revenue model and low capital requirement
PPLI with attractive revenue model and low capital requirement Recurring fees from Annual fees existing business Annual risk margin Target: Set-up fees 40 bps on Fees from new business production Annual fees technical reserves Annual risk margin Scalable business Costs 50% C/I ratio platform Taxes n
Slide 18: Agenda
Agenda 1. PPLI a key element of strategy and targets until 2012 2. Accelerating momentum in Private Placement Life Insurance 3. Summary: PPLI contributing to Swiss Life‘s earnings and diversification 18
Slide 19: PPLI will contribute to Swiss Life's overall targets until 2012 and diversify earnings
PPLI will contribute to Swiss Life‘s overall targets until 2012 and diversify earnings IFRS basis Targets 2008 to 2012 EPS > 12% growth every year ROE > 12% every year Dividend Payout ratio 40-60% of net profit Expected 2012 GWP > CHF 36 billion 19
Slide 20: Swiss Life's PPLI uniquely positioned to deliver on targets
Swiss Life‘s Private Placement Life Insurance uniquely positioned to deliver on targets 9 PPLI one of the key drivers of Swiss Life’s strategy 9 Swiss Life is accelerating momentum in PPLI z Market growth and market potential is huge z Swiss Life has become an important player z Swiss Life has the i
Slide 21: Cautionary statement regarding forward-looking information
Cautionary statement regarding forward-looking information This presentation is made by Swiss Life and may not be copied, altered, offered, sold or otherwise distributed to any other person by any recipient without the consent of Swiss Life. Although all reasonable effort has been made to ensure the
Slide 22: Contact details and financial calendar
Contact details and financial calendar Contact Marcus Händel Tel. +41 (43) 284 67 67 Head of Investor Relations E-mail: marcus.haendel@swisslife.ch Rolf Winter Tel. +41 (43) 284 49 19 Senior Investor Relations Manager E-mail: rolf.winter@swisslife.ch Financial calendar Half-Year Results 2008 28 Augu
Slide 23: ten
ten SwissLife Prepared for the future.