Aegon Ltd. · EURONEXT:AGN
Aegon — Aegon IR Conference 2016
21 slides from Aegon's conference presentation, Dec 8, 2016
Slide 1: Accelerating execution of strategy
Accelerating execution of strategy Mark Mullin New York City – December 8, 2016 CEO of the Americas Member of the Aegon Management Board Helping people achieve a lifetime of financial security
Slide 2: Key messages
2 Key messages • Capital generation of ~USD 1 billion per annum, with growth after 2018 Reaffirming • Strong delivery on expense savings target; doubling 2018 target to USD 300 million 2018 targets • Achieve return on capital of 9% by 2018 • 5 part plan in place to accelerate pace and exceed expecta
Slide 3: A significant and growing marketplace
Delivering on 2018 targets 3 A significant and growing marketplace Strategically positioned to capture opportunities >$500bn Largest insurance market in the world Delivering an innovative, digital front-end for retirement plan and employee benefit customers Well positioned franchise 325m • Leading w
Slide 4: Managing an evolving landscape
Delivering on 2018 targets 4 Managing an evolving landscape Optimizing position by seeking opportunities • Low interest rates • Fiduciary rules • Demographics drive strong need • Equity volatility • Transparency • Behaviors changing • Challenging tradition • Consumer protection • Technology enabling
Slide 5: Committed to our strategic objectives
Delivering on 2018 targets 5 Committed to our strategic objectives Accelerating pace and scale of delivery • Provide omni-channel, • Reduce complexity, drive consistency mobile-first and decrease costs experiences to engage • Create a positive and meaningful directly with customers experience for us
Slide 6: Clear 5 part plan to optimize performance
Delivering on 2018 targets 6 Clear 5 part plan to optimize performance Management team committed to deliver Today’s breakout sessions In-force management Starting with Life & Health David Hopewell Dave Paulsen Chief Product Officer Chief Distribution Officer New business & revenue Strategic overhaul
Slide 7: 1. In-force management
Delivering on 2018 targets 7 1. In-force management Starting with Life & Health • Successful execution of expense savings Expense savings • Optimizing capital and improving returns – Increasing monthly deduction rates on certain Asset Capital Universal Life insurance blocks to remain below allocatio
Slide 8: 2. New business and revenue - Worksite
Delivering on 2018 targets 8 2. New business and revenue - Worksite Engaging employers and participants to drive value with digital technology Leveraging our position & new technologies Retirement Adviser Savings • Strong existing presence - > 6 million Participant Life & Health participants and > 4
Slide 9: Significant growth opportunities
Delivering on 2018 targets 9 Significant growth opportunities Competitive advantages at the worksite Wealth Health Advice Defined Contributions (DC)1 Employee Benefits2 Individual Retirement Accounts3 USD 7 trillion market USD 7 billion market USD 8 trillion market (Assets USD billion, % of assets)
Slide 10: Opportunities in Life
Delivering on 2018 targets 10 Opportunities in Life Significant potential to provide Life products to middle America Market leading positions* Diverse product & distribution mix Positioned to capture growth #2 Indexed 11% Transamerica Life sales • Reaching fast growing portions of Universal Life mar
Slide 11: 3. Optimizing the portfolio
Delivering on 2018 targets 11 3. Optimizing the portfolio Rigorous capital allocation Sell / Reduce* Run Grow Focusing on releasing capital Improving returns and capital Actively invest in growth via digital while managing risks to reduce volatility efficiency with selected new products integration
Slide 12: 4. Location strategy
Delivering on 2018 targets 12 4. Location strategy Reduced US geographical footprint Closing impact • Closing 3 offices and Folsom West Chester consolidating locations in Cedar Rapids and Baltimore • Reduction of >500 roles Los Angeles Consolidation impact Cedar Rapids • Efficiencies from fewer leas
Slide 13: 5. Efficient organization
Delivering on 2018 targets 13 5. Efficient organization Disciplined expense management and investments for the future • Reducing complexity by transforming to One Transamerica Process improvements • Leverage technology to increase efficiency • Implementation of One Recordkeeping system, including Me
Slide 14: Reaffirming 2018 targets
Delivering on 2018 targets 14 Reaffirming 2018 targets Doubling expense savings to strengthen path to achievement of targets Adjusted operating Reduction in IFRS Capital generation Return on capital expenses capital for run-off 2018 target USD 1 billion USD 300 million 9% USD 1 billion View of
Slide 15: Summary
Summary 15 Strong foundation to deliver Accelerating execution of strategy Robust Differentiate Positioning for management customer the future actions experience Delivering on 2018 targets
Slide 16: Appendix
Delivering on 2018 targets 16 Appendix
Slide 17: Speakers’ biographies
Delivering on 2018 targets 17 Speakers’ biographies Mark Mullin Chief Executive Officer Mark Mullin has spent more than 25 years with Aegon in various investment and business management positions in both the United States and Europe. Mr. Mullin has served as President and CEO of one of Aegon’s US su
Slide 18: Speakers’ biographies
Delivering on 2018 targets 18 Speakers’ biographies Eoin Elliffe Head of ALM & Hedging Eoin Elliffe is Head of ALM & Hedging at Transamerica and non-executive board member of Aegon Ireland. At Transamerica he leads ALM & hedging activities for 20+ insurance businesses across life, health, global ann
Slide 19: Speakers’ biographies
Delivering on 2018 targets 19 Speakers’ biographies David Macmillan Chief Marketing Officer David Macmillan joined Transamerica in 2015 after four years at sister company, Aegon UK. While at Aegon, he was the driving force behind the award- winning, multichannel digital proposition at the heart of t
Slide 20: Thank you!
Delivering on 2018 targets 20 Thank Thankyou! you! Aegonplein 50 Aegonplein 50,Hague 2591 TV The 2591 TV the Hague Telephone: +31 (0)70 344 3210 The Netherlands Postbus +31 70 202 344 8305 2501 CE the Hague ir@aegon.com The Netherlands
Slide 21: Disclaimer
Delivering on 2018 targets 21 Disclaimer Cautionary note regarding non-IFRS measures • This document includes the following non-IFRS financial measures: underlying earnings before tax, income tax, income before tax, market consistent value of new business and return on equity. These non-IFRS measure