Manulife Financial Corporation · TSX:MFC
Manulife Financial — Investor Presentation (2008)
18 slides from Manulife Financial's investor presentation, 2008
Slide 1: Michael Huddart, Executive Vice President & General Manager – Hong Kong
Michael Huddart Executive Vice President & General Manager – Hong Kong
Slide 2: Legal Disclaimer
Legal Disclaimer Caution Regarding Forward-Looking Statements This document contains forward-looking statements within the meaning of the “safe harbour” provisions of Canadian provincial securities laws and the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements
Slide 3: Solid Track Record
Solid Track Record $ m) (US (U S $m ) p o sits me De 3,495 402 nc o s& t I 21 iu m % Neyr CAGR +2% r em R2 0% 2,748 5- 291 -11% P r AG C 2,151 247 5-y 1,971 191 210 1,679 1,580 1,550 1,380 156 174 155 2002 2003 2004 2005 2006 2007 1H07 1H08 2002 2003 2004 2005 2006 2007 1H07 1H08 Full year data pre-
Slide 4: Significant Contribution
Significant Contribution Net Income Hong Kong 38% YoY Earnings Growth 10% Supported by: Favorable investment gains Higher fee income in Pensions and Wealth Management businesses Data as at 31Dec07 in $US YoY based on 2007 vs 2006 Business Unit Adjusted Premium (APE) “ We remain focused on driv
Slide 5: Market Characteristics
Market Characteristics Competitive 47 life insurers Balanced Distribution: Agency 40%, Bank 40%, Broker/IFA 20% Changing product mix Unit linked overtaken traditional Growing interest in medical protection High Growth Individual CAGR 23% in last 3 years MPF FUM CAGR 31% in last 5 yea
Slide 6: Demographic Characteristics
Demographic Characteristics 7 million people 3rd highest Average Income in Asia One of fastest aging countries in Asia Aging population driving government reform: MPF provision in 1999 Proposed healthcare reform Source: UBS Aging Asia Research. June 6, 2008 The Food and Health Bureau (Hong K
Slide 7: Key Executives
Key Executives Hong Kong Trevor Kreel CFO George Chew Individual Insurance Alan Merten Employee Benefits Raymond Kong Wealth Management Michael Chan Agency Distribution Myles Morin Non-Agency Distribution Financial Strategic Strategic Product Distribution Looking 7 Performance Overview Overview Inno
Slide 8: Core Strategy & Implementation
Core Strategy & Implementation Product and Distribution Channel Diversification Enhanced Agency recruitment and retention Continue drive into non-agency distribution Invest in MPF & Wealth Management businesses Leverage customer base and Brand Financial Strategic Strategic Product Distribution Looki
Slide 9: Strong Market Positions
Strong Market Positions 2007 2004 Rank Market Share Rank Market Share Wealth MPF 2 16.5% 2 15.0% Single Premium 3 13.1% 9 2.2% (Unit Linked) Insurance Individual 7 5.9% 6 6.4% Group Medical 4 10.8% 4 13.2% Substantial scale in key markets Data from the Office of the Commissioner of Insurance in Hong
Slide 10: Breadth of Product Portfolio
Breadth of Product Portfolio Wealth Management Insurance Mutual Funds SP Investment-linked Regular Premium Variable Annuity Life & Health Pension Funds Group Life and Health Employee Benefits Providing innovative, customer focused products is the key to sustainable growth Financial Strategic Product
Slide 11: Our Competitive Edge
Our Competitive Edge 9 “Best of Class” critical illness plans 9 Sales up 129% YOY since launch New Critical Illness Plans 9 First MPF sector fund 9 Launched in April 08 MPF Healthcare Sector Fund 9 1st Variable Annuity in Hong Kong 9 Strong risk management expertise Manulife Secure IncomePlus Introd
Slide 12: Distribution Highlights
Distribution Highlights Agency Alternative Distribution 3,583 Bank, Brokerage • All time high in a stable • New head to strengthen and agent market diversify both channels • Strong recruiting culture • Expanded Mutual Fund with tight contract distribution through Bank Of maintenance China • Enhance
Slide 13: Our Distribution Partners
Our Distribution Partners Financial Strategic Product Distribution Distribution Looking 13 Performance Overview Innovation Initiatives Initiatives Forward
Slide 14: Opportunities & Challenges: Individual Insurance
Opportunities & Challenges Individual Insurance Innovative product development team Strong capital position to support guarantees Strengths Excellent policy persistency Strong and professional brand for Insurance Increasing competition and changing distribution Challenges Shortening prod
Slide 15: Opportunities & Challenges: Employee Benefits
Opportunities & Challenges Employee Benefits Significant scale and leading MPF market share Strengths Efficient support and administration infrastructure Customer service excellence Regulator and media pressure to reduce MPF fees Challenges Aggressive pricing from smaller competitors Hea
Slide 16: Opportunities & Challenges: Wealth Management
Opportunities & Challenges Wealth Management Fund manager selection and management expertise Strengths Popular funds with long term track records Risk management expertise and product development Investor caution impacting sales Challenges Sales slowdown driving irrational competition In
Slide 17: Looking Forward
Looking Forward Leading market positions Sound Core Strategy Powerful and expanding distribution Strong brand and loyal customers Gateway to China fuelling growth Positive Market Favorable demographics Environment Increasingly affluent population Government reform benefiting MPF & medi
Slide 18: Note to Users
Note to Users Performance and Non-GAAP Measures We use a number of non-GAAP financial measures to measure overall performance and to assess each of our businesses. Non-GAAP measures include return on common shareholders' equity, premiums and deposits, funds under management and new business embedded