Challenger Limited · ASX:CGF
Challenger — Investor Day (May 2026)
67 slides from Challenger's investor day presentation, May 26, 2026
Slide 1: Challenger Investor Day market release
Market Release 26 May 2026 Challenger Investor Day Entering next era of growth as Australia’s retirement leader Challenger Limited (ASX: CGF) today provides an update on its strategy at its 2026 Investor Day. As Australia enters the age of ageing Challenger outlines how it is delivering growth acros
Slide 2: CEO comments and analyst briefing details
Managing Director and Chief Executive Officer Nick Hamilton said: “We have passed the inflection point for the retirement system in Australia that presents an exciting moment for our business, our shareholders and the customers we serve. “We start from a position of strength to capture the retiremen
Slide 3: 2026 Investor Day
2026 Investor Day 26 May 2026 Life. Well lived. M A Y 2 0 2 6
Slide 4: Acknowledgement of country
Acknowledgement of country Challenger acknowledges the Traditional Owners of Country throughout Australia and we pay our respects to Elders past and present. We recognise the continuing connection that Aboriginal and Torres Strait Islander peoples have to this land and acknowledge their unique and r
Slide 5: Agenda
Agenda Vision and ambition Offshore reinsurance platform – Calix Re Nick Hamilton – Managing Director and Chief Executive Officer Anton Kapel – Chief Executive, Insurance 09.00 10.35 Unlocking retirement and accelerating growth Capital settings and financial metrics Alex Bell – Chief Financial Offic
Slide 6: Vision and ambition
1 Vision and ambition Nick Hamilton Managing Director and Chief Executive Officer 4
Slide 7: By 2030, 1 in 5 Australians will be over 65
By 2030, 1 in 5 Australians will be over 65… By 2041, number of Australians over 85 will grow 140% Today, 285,000 Australians are retiring every year … in a couple, one is expected to live beyond 92 Many will spend 30 years in part or full retirement 5 Refer to Appendix A for references.
Slide 8: Peace of mind
What we provide our customers goes beyond income Financial security unlocks peace of mind PEACE OF MIND 6
Slide 9: Age of Ageing: Retirement is different
Retirement is different Retirement Investment Talented Age of Ageing Leader Excellence Team & Capability OUR Providing financial security for a better retirement PURPOSE OUR Australia’s leader in retirement income POSITION OUR 1 in 5 Australians will be in retirement by 2030 OPPORTUNITY 7
Slide 10: Retirement Leader
~ 90% 3 1 $ bn+ Annuities market share Major retirement Lifetime annuity sales in Australia1 partnerships in FY26 on track to achieve in FY26 Retirement Brand and Retirement Advice Leader expertise Partnerships Integrations Our core focus Unlocking the Retirement Ecosystem Growing in new adjacent ma
Slide 11: Generating attractive risk-adjusted returns
$ 1.7bn+ $ 5.9bn A+ Excess capital1 Originations in 1H26 CLC Credit rating2 Today FY27 onwards Generating attractive risk-adjusted returns Investment Asset origination Originating high-quality assets for Life Whole loan transactions Broader access to capital efficient assets Long term origination pa
Slide 12: Talented Team & Capability
People • Passion for our purpose • Collaborative and innovation culture • Customer-centricity Technology Talented Team & Capability • • Future fit, data and AI enabled Removing customer sales friction Our passion • Partnering with industry leaders Operating platform • Focus on operational efficiency
Slide 13: Our flywheel
• Best in class teams • Customer centric • Removing sales friction Distribution Platform • Risk-adjusted returns Accelerate • Broaden asset longer-duration liabilities origination • Product development Accelerate Growth Sustainable and scalable returns Investment Excellence Our flywheel Unlocking Su
Slide 14: For decades we have led the way
For decades we have led the way With education and expert insights into the retirement economy Insights & Research Education & Training Leading voices & advocacy 12
Slide 15: Age of Ageing: Retirement is different
Retirement is different Retirement Investment Talented Age of Ageing Leader Excellence Team & Capability OUR Providing financial security for a better retirement PURPOSE OUR Australia’s leader in retirement income POSITION OUR 1 in 5 Australians will be in retirement by 2030 OPPORTUNITY 13
Slide 16: Unlocking retirement and accelerating growth
2 Unlocking retirement and accelerating growth Mandy Mannix Chief Executive, Customer 14
Slide 17: Retirement in Australia is changing
Retirement in Australia is changing It is no longer a point in time and has multiple phases Goal Goal To build a nest egg from which To convert nest egg and to fund retirement achieve income certainty Financial confidence achieved via: Financial confidence achieved via: Working life of 35-50 years E
Slide 18: Retirement in Australia is changing
Retirement in Australia is changing Australians need help to navigate their way to build a personalised retirement plan Accumulation Decumulation Goal: To build a nest egg Goal: To convert nest egg from which to fund retirement and achieve income certainty Asset allocation shifts help to build wealt
Slide 19: Annuities provide confidence and regular income in retirement
Annuities provide confidence and regular income in retirement Annuities can play a core part in portfolio construction Annuities can help Illustrative you spend with confidence retirement portfolio Term annuities Guaranteed regular income for Guaranteeing a fixed term of retiree's choice regular inc
Slide 20: Supporting the retirement journey
Supporting the retirement journey Partnering to unlock retirement ecosystem Pre- retirement Retirement Accumulating wealth Starting retirement / Downsizing Estate planning Aged care travelling Advice technology and guidance Products Over half a Super funds • Annuities – Lifetime & term • Aged care p
Slide 21: Brand, content and education
Brand, content and education Amplifying brand through partnerships and supporting advisers Repeated brand exposure via Golf… • Broadcast reach: 23+ million • Major event attendance: 172,000+ Adviser • Digital engagement: support Reduce time 50,000+ unique visitors Challenger’s award- to construct qu
Slide 22: Removing sales friction
Removing sales friction Making it easier to do business with Challenger 20
Slide 23: Uplifting the user experience
Uplifting the user experience Enabling automated straight-through processing Transforming from… …to a future ready retirement business Paper-based applications Paper-based non-real- Inconsistent investor Robust and Accelerated Regulatory and manual processes time correspondence and adviser experienc
Slide 24: Advice delivery process for accumulation
Advice delivery process for accumulation The advice journey that is asset allocation-based is linear 2. Client 3. Strategy 4. Product 1. Prospect discovery formulation selection Adviser first meeting Fact find and risk profiling Initial scenarios against client Best interests product with client obj
Slide 25: Fragmented retirement advice journeys
Fragmented retirement advice journeys The previous journey for purchasing lifetime annuity was cumbersome and disjointed Products Product Selection Website/PDS Strategy Formulation Calculation Modelling External Calculators/ Tools Product Selection Client Advice Advice Discover Production Implementa
Slide 26: New advice delivery process for retirement
New advice delivery process for retirement Lifetime income streams are now embedded in the advice process Engage / analyse Research / product selection Production / implementation Prospect Client Strategy Product Calculation Modelling Advice Advice Adviser first meeting discovery formulation selecti
Slide 27: Modernising the user experience
Modernising the user experience 25
Slide 28: Future of retirement advice – panel discussion
3 Future of retirement advice – panel discussion Adrian Aardoom General Manager, Distribution 26
Slide 29: Future of retirement advice – panel discussion
Future of retirement advice – panel discussion Delivering retirement advice at scale Terry Donohoe Sam Wall Amanda Gardner Managing Director CEO of Head of Institutional and and CEO Asia Pacific Wealth Retail Partnerships 27
Slide 30: Break
OR challenger 23
Slide 31: Multi-affiliate platform – Fidante
4 Multi-affiliate platform – Fidante Naomi Cunningham Executive General Manager, Fidante 29
Slide 32: Multiple brands and strategies
Multiple brands and strategies Well diversified with opportunity for further growth Fixed income #3 Fixed income manager3 16 $25bn 96% Outperformance since inception Investment managers 4 across asset classes $71bn Alternatives $15bn Expanding alternatives offering Global $86bn 17% Ofmanagement foot
Slide 33: Future proofing Fidante
Future proofing Fidante Capability + Distribution + Scale Integrated platform with Future proofing the Capturing enduring advantage platform shareholder value • Deep trusted relationships – • Scaled, integrated operating • Growing fee-related income – 90% of Australia’s top 25 platform – built for e
Slide 34: Next phase of growth
Next phase of growth Expanding contemporary solutions to meet customer needs Investment managers, strategies and asset classes New initiatives pipeline Alternatives 1 $15bn Growing liquid and illiquid Alternatives strategies Fixed Income 1 $25bn Partnering opportunities with Australian equities glob
Slide 35: Offshore reinsurance platform – Calix Re
5 Offshore reinsurance platform – Calix Re Anton Kapel Chief Executive, Insurance 33
Slide 36: MS Primary reinsurance partnership
MS Primary reinsurance partnership Successful long-term relationship 2016 2019 2021 2024 2026 Start of strategic Expansion of strategic Reinsurance partnership Launch of relationship relationship Japanese Real extended a further five Bermuda-based Estate Investment years1 reinsurance platform Reinsu
Slide 37: Calix Re
Calix Re A natural extension to our decade-long MS Primary reinsurance partnership Class E insurer Reinsurance Highest regulatory category solutions for large, institutionally To support de-risking of in- Third-party service regulated life and annuity force liabilities for insurers, providers insure
Slide 38: Capital settings and financial metrics
6 Capital settings and financial metrics Alex Bell Chief Financial Officer Anton Kapel Chief Executive, Insurance 36
Slide 39: APRA's objectives
APRA’s objectives Offering better retirement income solutions for Australians APRA objectives Benefits 1 2 3 Improved customer outcomes Capital resilience Ensuring capital Maintaining the Improving alignment requirements for life financial resilience with comparable insurers are not a of life insure
Slide 40: APRA capital standard changes
APRA capital standard changes A reminder of what to expect on ‘Day 1’ Current standards New standards 1.51 0.14 1.52 1.38 0.13 CLC total regulatory capital Given current tight credit spreads environment, change in standards has minimal impact on capital base on Day 1 PCA requirement Lower Asset Risk
Slide 41: Capital resilience under a sharp market stress event
Capital resilience under a sharp market stress event Capital position significantly more resilient to market shocks under new standards Risk of management actions needing to be taken is materially reduced Illustrative example of capital position1,2 Reference Current Standards New Standards 31 March
Slide 42: Capital resilience under a prolonged market stress event
Capital resilience under a prolonged market stress event Opportunity to capitalise on changing market conditions Illustrative example of capital position1 Reference Current Standards New Standards 31 March 2026 Regulatory capital base A $4.2b $4.2b Prescribed Capital Amount (PCA) B $3.0b $2.8b PCA r
Slide 43: Management actions during prolonged stress event
Management actions during prolonged stress event Flexibility to pro-actively rotate from Alternatives to Fixed Income LUACSTAT1 Credit Spread Opportunities for active portfolio management Example: Liquidating a portion of the ARFs portfolio and redeploying into 7% Fixed Income Wider credit spreads o
Slide 44: Enhanced financial flywheel
Enhanced financial flywheel FY27 onwards Driving superior value creation Deploy assets Spread Today earnings Constraining Capital consuming Fee earnings Investments Earnings Deploy assets Life earnings Investment gains Investments Earnings FM earnings Operating Operating NPAT NPAT Operating NPAT Cap
Slide 45: New reporting framework and metrics
New reporting framework and metrics Clear building blocks of shareholder value Spread Fee related Investment gains/ Shareholder income income (losses) outcomes Stable and steady growth High growth Positive through cycle Earnings per share Lower capital volatility Capital light Investment excellence
Slide 46: New reporting framework and metrics
New reporting framework and metrics Enhanced transparency of higher quality earnings Today FY27 Onwards Normalised COE (Life) Investment yield Net fee income (FM) Interest expense Spread income Other income Fee related income Total Income Total Revenue Total Expenses Total Expenses Interest and borr
Slide 47: Delivering shareholder value
Delivering shareholder value Challenger’s CAPM-derived beta historically higher than peers Higher returns and reduction in earnings volatility to support valuation uplift Illustrative adjusted beta1 Domestic capital-intensive peers over the L10Y Challenger and Financials sector - ROE vs P/B2 1.50 4.
Slide 48: Investment thesis
Investment thesis Shareholder value proposition Downside risk Higher Lower Free cash flow and substantially eliminated quality earnings capital volatility capital optionality 46
Slide 49: Investment excellence and balance sheet strategy
7 Investment excellence and balance sheet strategy Damian Graham Group Chief Investment Officer 47
Slide 50: Challenger Investments
Challenger Investments Deep expertise through market cycles $26bn $18bn Life Assets Under Management1 Funds Under Management across credit markets1 100+ Investment team Proven Platform Delivering consistent, risk-adjusted returns across multiple market cycles. 24 Since 2010 delivered illiquidity pre
Slide 51: Challenger Investments
Challenger Investments Combined Challenger investment team to enhance targeted capabilities Current focus Future focus Challenger Life Company Creating centres of excellence Broadening funding sources Experienced team delivering outcomes for Asset management Life balance sheet Origination and manage
Slide 52: Asset allocation
Asset allocation Moving to a lower capital intensity balance sheet Life asset allocation – FY27 onwards 100% % of Growth assets 80% 60% 40% % of Fixed income 20% 0% 3Q26 Actual Fixed Income Alternatives Property Equity & Infrastructure Key opportunities Increase in fixed Opportunities in whole Oppor
Slide 53: Leveraging the fixed income universe
Leveraging the fixed income universe Broad access to high-quality, capital efficient assets Investment grade Performing high yield Equity like credit Distressed ABS 1st loss Credit and NIM • Limited • Limited opportunity set Mezz Private investor base • Mainly global LBO & CRE • Loan sizes: funds De
Slide 54: Private credit investing needs strong governance
Private credit investing needs strong governance Practices are not equal across the market What we do Why we do it • Private assets are fully re-valued monthly • Risk of over or underpaying at entry/exit if a fund’s assets Valuation of • Valuations are from independent, third-party sources, and aren
Slide 55: Our fixed income excellence
Our fixed income excellence Scaling private credit origination capabilities Fixed income portfolio Whole loans – manufacturing capital-efficient securities and higher returns by asset class Domestic ABS Liquids 35% A large and diverse Capital efficient with Attractive 16% opportunity set strong stru
Slide 56: Strategic value creation – BOQ Group case study
Strategic value creation – BOQ Group case study Accessing asset origination capability Generating recurring supply of high-quality assets Asset origination Securitisation Value creation Control over securitisation Challenger securitises its share of Banks and Third parties originations into publicly
Slide 57: Relative value of mezzanine securitised risk
Relative value of mezzanine securitised risk Australian structured credit delivers higher returns Structured credit more stable than Corporate Higher returns, lower capital Greater ratings stability Historical spread comparison1 Post-GFC 10-year cohort: corporate vs structure finance rating outcomes
Slide 58: Challenger LiFTS
Challenger LiFTS Innovative non-guaranteed income solution Listed hybrid market Annual roll-off over next 6 years Challenger LiFTS 1 note • $350m ASX-listed floating rates note2 – oversubscribed demand Demand tailwind Opportunity set • Offers fixed term structure and daily Wholesale and retail AT1 h
Slide 59: Market themes
Market themes Well positioned for macro environment Increasing inflation Ongoing Tight spreads and and interest rates market volatility competition for assets • Higher inflation in the near-term • Elevated geopolitical risk • Spread levels driven by strong • Interest rate increases priced into the •
Slide 60: Wrap up
8 Wrap up Nick Hamilton Managing Director and Chief Executive Officer 58
Slide 61: Age of Ageing: Retirement is different
Retirement is different Retirement Investment Talented Age of Ageing Leader Excellence Team & Capability OUR Providing financial security for a better retirement PURPOSE OUR Australia’s leader in retirement income POSITION OUR 1 in 5 Australians will be in retirement by 2030 OPPORTUNITY 59
Slide 62: Appendix
Appendix challenger 43
Slide 63: Appendix A – Demand for income and financial security
Appendix A – Demand for income and financial security Tailwinds to support growth AGEING POPULATION 1in 5 1.3m 285k 30 years Australians Australians over 85 Australians retiring In part or full retirement4 and for a will be over 65 by 20301 by 20412 every year3 couple, one is expected to live into t
Slide 64: Appendix B - APRA's new capital standard settings
Appendix B - APRA’s new capital standard settings Introduction of the advanced illiquidity premium IMPACTS CURRENT SETTTINGS NEW SETTINGS Advanced ILP = Spread on ILP reference portfolio less Illiquidity premium (ILP) Standard ILP = 33% x (A-rated yield 3-year – CGS1 yield 3-year) risk allowance (gr
Slide 65: Appendix C - Assumptions
Appendix C - Assumptions Assumed application of new capital standards IMPACTS Item Comment Standard Illiquidity Premium Illiquidity Premium: 0.29% (Yrs 0-10); 0.20% (Yr 10+) Advanced Illiquidity Premium Bloomberg US Corporate Statistics Index (LUACSTAT) Reference Index Credit spread = 0.89% Long-ter
Slide 66: Appendix D - Assumptions
Appendix D - Assumptions Capital resilience illustrative examples Item Instantaneous market shock IMPACTS Prolonged stress event Extended recessionary conditions similar to GFC-style stress Sharp market drawdown COVID-style stress Nature of stress Modelled as a cumulative projection combining the wo
Slide 67: Important note
Important note This presentation was prepared for the purpose of a briefing to equity analysts and certain wholesale investors on 26 May 2026. The material in this presentation is general background information about Challenger Limited’s activities and is current at the date of this presentation. It