Reinsurance Group Of America, Incorporated · NYSE:RGA
Reinsurance Group Of America — Investor Day (June 2024)
95 slides from Reinsurance Group Of America's investor day presentation, Jun 13, 2024
Slide 1: Trusted partner. Proven results. RGA Investor Day 2024
Exhibit 99.1 Trusted partner. Proven results. RGA Investor Day 2024 June 13, 2024
Slide 2: Recent Awards and Recognitions
Recent Awards and Recognitions Fortune 500 Life Reinsurer of the Year RGA listed at #223 on the 2024 Fortune RGA Middle East was honored as “Life 500 list, which ranks U.S.-based Reinsurer of the Year” by Middle East Insurance companies by total revenues. Review at the 10th Middle East Insurance Ind
Slide 3: Ratings
Ratings Financial Strength Ratings S&P A.M. Best Moody’s RGA Senior Debt Ratings S&P A Strong RGA Reinsurance Company AA- Very Strong A+ Superior A1 Good RGA Americas Reinsurance Company, Ltd. AA- Very Strong A+ Superior A.M. Best a- Excellent RGA Life Reinsurance Company of Canada AA- Very Strong A
Slide 4: Responsibilities and Commitments
Responsibilities and Commitments Governance Social Impact Sustainability 1 Committed to providing Board and executive Targeting net-zero GHG oversight of sustainability a diverse and inclusive by 2026 workplace that respects strategy and embraces all Targeting a 20% Annual sustainability reduction i
Slide 5: Tony Cheng and Jonathan Porter
Tony Cheng FIAA Jonathan Porter FSA, FCIA President and Chief Executive Officer Executive Vice President, Reinsurance Group of America, Incorporated Global Chief Risk Officer Reinsurance Group of America, Incorporated Tony Cheng is President and Chief Executive Officer of Reinsurance Group of Americ
Slide 6: Leslie Barbi and Todd C. Larson
Leslie Barbi Todd C. Larson Executive Vice President, Senior Executive Vice President, Chief Investment Officer Chief Financial Officer Reinsurance Group of America, Incorporated Reinsurance Group of America, Incorporated Leslie Barbi is Executive Vice President and Chief Investment Officer Todd C.
Slide 7: Ron Herrmann and Dustin Hetzler
Ron Herrmann CFP Dustin Hetzler FSA, MAAA Executive Vice President, Executive Vice President, Head of the Americas Global Financial Solutions Reinsurance Group of America, Incorporated Reinsurance Group of America, Incorporated Ron Herrmann is Executive Vice President, Head of the Americas for Dusti
Slide 8: Arthur Ozeki and Simon Wainwright
Arthur Ozeki Simon Wainwright FCIB Executive Vice President, Executive Vice President, Head of Asia Pacific Head of EMEA Reinsurance Group of America, Incorporated Reinsurance Group of America, Incorporated Arthur Ozeki is Executive Vice President, Head of Asia Pacific, based in Simon Wainwright is
Slide 9: J. Jeffrey Hopson
J. Jeffrey Hopson CFA Senior Vice President, Investor Relations Reinsurance Group of America, Incorporated J. Jeffrey (Jeff) Hopson is Senior Vice President, Investor Relations for RGA. He is responsible for managing RGA’s financial communications with the investment community. Jeff, who came to RGA
Slide 10: Welcome
Welcome Jeff Hopson Senior Vice President, Investor Relations 10
Slide 11: Safe Harbor
Safe Harbor This document contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and federal securities laws including, among others, statements relating to projections of the future operations, strategies, earnings, revenues, income or loss, r
Slide 12: Use of Non-GAAP Financial Measures
Use of Non-GAAP Financial Measures Non-GAAP Financial Measures Reinsurance Group of America, Incorporated (the “Company”) discloses certain financial measures that are not determined in accordance with U.S. GAAP. The Company principally uses such non-GAAP financial measures in evaluating performance
Slide 13: Agenda
Jeff Hopson Welcome Agenda Senior Vice President, Investor Relations Tony Cheng CEO Comments President and Chief Executive Officer Jonathan Porter Risk Management Executive Vice President, Global Chief Risk Officer Leslie Barbi Investments Executive Vice President, Chief Investment Officer Todd Lars
Slide 14: CEO Comments
CEO Comments Tony Cheng President and Chief Executive Officer 14
Slide 15: Key Messages
Key Messages ▪ Leading global reinsurer with local expertise Proven Unique Platform, Favorable Industry ▪ Deep capabilities on both sides of the balance sheet Results Dynamics ▪ Favorable industry dynamics creating tailwinds Bright Future ▪ Engaged stakeholders Innovation-Led Organization ▪ Growth a
Slide 16: NMG Consulting, Global Life & Health Reinsurance Study
NMG Consulting, Global Life & Capabilities Leader #1 on NMG’s Health Reinsurance Study Global 2011-2023 Differentiated Value Proposition Business ▪ Client-centric, partnership-driven Capability Global Business ▪ Technical and risk experts 1 Capability Index Ranking Index ▪ Creative and innovative Fo
Slide 17: Global Platform, Local Presence, Consistent Culture
Global Platform, Local Presence, Consistent Culture RGA combines deep local insight with global perspective from operations in 25 markets around the world, serving multinational and domestic clients in more than 110 countries. U.S. and EMEA Canada APAC Latin America 1 PTAOI 42% 7% 19% 32% Employees
Slide 18: Global Biometric Liability Reinsurance Leader
Global Biometric Liability Reinsurance Leader Life and health reinsurance revenues A highly concentrated 2023 Revenues Reinsurer $ in millions biometric reinsurance 1 industry where global RGA 19,075 scale, technical and Swiss Re 17,865 risk expertise, and long-term client Munich Re 12,254 relations
Slide 19: Track Record of Innovation; Global Asset Reinsurance Leader
Track Record of Innovation Global Asset Reinsurance Leader Attractive growth and diversification 1997 Fixed annuity asset-intensive; Bank-Owned Life Insurance (BOLI) asset-intensive 2019-2023 2002 Fixed index annuity asset-intensive Asset-intensive Invested Assets Asset-intensive Capital Deployed in
Slide 20: Unique Positioning Leads to Strategic Advantages
Unique Positioning Leads to Strategic Advantages Exclusive life and health focus with a differentiated proposition that is hard to replicate A global leader in asset A global leader in Strategic advantages reinsurance biometric reinsurance Investments platform built Technical expertise to Long-term,
Slide 21: The Power of RGA's Unique Platform
Background The Power of Long-term relationship in Canada on both biometric and asset reinsurance solutions RGA’s Unique Strong global relationship spanning more than 30 years and 10 countries Platform Asset-intensive transaction covering a $4.4 billion block of Manulife’s legacy Universal Life busin
Slide 22: Favorable Industry Dynamics Create Tailwinds
Favorable Industry Dynamics Create Tailwinds Macro Dynamics Opportunity Insurance industry rebalancing risk profile and/or divesting of non-core In-force blocks of biometric and/or asset risks Insurance operations Industry Protection gap Demand for mortality, morbidity, and longevity products Emergi
Slide 23: Industry Dynamics Create Opportunities
Background Industry A pension risk transfer (PRT) retiree buy-out transaction in partnership with Prudential (PICA) that settled approximately $5.9 billion of pension liabilities Dynamics Sixth largest known PRT transaction in the U.S. Create Opportunities Solution This transaction will provide reti
Slide 24: Innovation-Led Organization
Innovation-Led Organization Capability-driven, market-first products and innovations 2010-2014 2015-2019 2020-2024 ▪ Rx scoring tool in the U.S.▪ First longevity transaction including an ▪ Award-winning CI product for seniors in Spain underlying pension ▪ First in-force longevity transaction in Cana
Slide 25: Engaged Local and Global Teams
Engaged Local and Global Teams An engaged workforce drives World’s Most Admired Companies collaboration RGA was named to the 2024 Fortune World’s Most Admired and Companies list based on criteria including the company’s innovation value as a long-term investment, quality of management, innovativenes
Slide 26: Innovation Delights Clients and Leads to Market Growth
Background Innovation For more than 10 years, RGA Japan has served as a lead reinsurer for this local client, covering the full spectrum of reinsurance services from product Delights Clients development to underwriting and beyond Our long-standing partnership has enabled us to originate a significan
Slide 27: Innovation Drives Market Share: Japan
Innovation Drives Market Share Japan Life Insurance and RGA Japan Premium 4.0 Growth RGA 15% CAGR Developing innovative 3.5 solutions for 3.0 reinsurance accelerates growth 2.5 Reinsurance 2.0 Market 8% CAGR 1.5 Underlying Life 1.0 Insurance Market 1% CAGR 0.5 0.0 1 2013 2014 2015 2016 2017 2018 201
Slide 28: Innovation Drives Market Share: U.S.
Innovation Drives Market Share U.S. Life Insurance and Reinsurance New Business 1 Volume Growth 2.0 Client relationships, RGA 9% CAGR key partnerships, and Reinsurance 1.5 Market 5% RGA’s underwriting CAGR expertise Underlying Life generate exclusive Insurance 1.0 Market 3% new business CAGR opportu
Slide 29: Virtuous Innovation Cycle
Background Virtuous Previously launched a simplified critical illness (CI) product in China in late 2022 Innovation Leveraged off data, knowledge, and a product developed in response to the aging population in South Korea five years ago Cycle Solution Conducted an industry seminar sharing practical
Slide 30: Four Areas of Notable Growth
Four Areas of Notable Growth Strong momentum U.S. Traditional Longevity/PRT Asia Asset-Intensive Asia Traditional RGA-led partnerships with Strong momentum Regulatory change Combining underwriting, RGA providing leading to new capital technology, product – Support for largest U.K. PRT deal and large
Slide 31: U.S. End-to-End Underwriting Solutions
U.S. End-to-End Underwriting Solutions Comprehensive, purpose-built, and transformative ecosystem Underwriting Modernization and Acceleration and Automation Distribution Capacity Solutions ▪ Aura Next ▪ BGA Partnerships and Advisement ▪ Acceleration Benchmarking ▪ Strategic Underwriting Program (SUP
Slide 32: RGA-Led Partnerships Drive Exclusive Successes
Background RGA-Led A leading distribution insurtech partner and a life insurance carrier needed a creative solution to help meet the capital requirements of new business on a Partnerships final expense product offering The life insurance carrier slowed their sales of new business due to capital Driv
Slide 33: Technical Expertise, Local Relationships Drive Success
Technical Background For more than 15 years, RGA has stood as one of the leading longevity reinsurers Expertise, Local in the U.K., leveraging its extensive data and capabilities reinsuring mortality RGA built strong relationships with one of the U.K.’s largest pension schemes Relationships ($50 bil
Slide 34: Innovation Leads to Repeat Transactions
Background Innovation RGA Japan's client holds large portfolios of traditional whole life insurance, which were set with high guaranteed rates for policyholders Leads to Given the persistent low interest rates, this has led to capital being tied up in these older portfolios, which in turn puts press
Slide 35: Winning Exclusives by Applying Full Suite of Solutions
Background RGA Hong Kong has been partnering with this market-leading client for more Winning than 10 years The client came to us to look for solutions to take advantage of the new business Exclusives by opportunities from Mainland Chinese visitors following the re-opening of borders, and to address
Slide 36: Management Actions, Enhancing Value
Management Actions, Enhancing Value ▪ Partnership and holistic management of in-force blocks Creating value through optimizing ▪ Continued pursuit of alternative sources of capital our balance sheet ▪ Prioritization of key resources (people, capital, and resource collateral, etc.) to highest returni
Slide 37: Multiple Levers Expected to Grow Profit and Increase ROE
Multiple Levers Expected to Grow Profit and Increase ROE New Percentage of Increased Management business new business focus on actions value value from growth areas exclusives Higher earnings Higher ROE Higher earnings Higher earnings power power power and higher ROE 37
Slide 38: Strong Momentum, Sustained Success
Strong Momentum, Sustained Success Unique Favorable Culture of Notable Multiple levers platform industry innovation growth areas for value dynamics creation Confidence in bright future 38
Slide 39: Our Success is Our People
Our Success is Our People Management Management team's team’s average average years 24 13 industry with RGA years years experience Recognized for excellence 39
Slide 40: Risk Management
Risk Management Jonathan Porter Executive Vice President, Global Chief Risk Officer 40
Slide 41: Key Messages
Key Messages Our risk management ▪ Proactive and balanced risk management A Global Risk and technical Leader ▪ Strong risk culture expertise are ▪ Technical expertise and discipline on both sides key strategic of the balance sheet differentiators ▪ Significant diversification across geography, Diver
Slide 42: Proactive and Effective Risk Management
Proactive and Effective Risk Management ▪ A strong risk culture underpins everything we do Governance and Risk ▪ Well-established governance practices integrated Framework into disciplined decision making Access to Risk Contingent Appetite ▪ Alignment of risk appetites and limits with Facilities and
Slide 43: Technical Expertise and Disciplined Decision Making
Background Technical Between 2016-2020, the dismemberment insurance market in Taiwan experienced intense competition, with upwards of one million policies sold annually Expertise and After assessing the product on the market, RGA was concerned that the pricing may not be sustainable Disciplined Furt
Slide 44: Diversified Business Profile
Diversified Business Profile 2023 Pre-tax Adjusted Operating 2023 Pre-tax Adjusted Operating 2023 Biometric Risk 1 1 2 Income by Region Income by Business Line Distribution 15% 32% 42% 46% $1.7B $1.7B 20% 54% 65% 19% 7% U.S. & LA Canada EMEA Asia Pacific Traditional GFS Mortality Morbidity Longevity
Slide 45: Favorably Positioned in Current Market Environment
Favorably Positioned in Current Market Environment 1 ▪ Higher interest rates expected to remain a RGA Reserve Profile by Policyholder Behavior Risk net positive – Additional investment income Higher – More transaction opportunities 9% Variable annuities, fixed and indexed annuity business with lower
Slide 46: Past, Present, and Future Mortality Trends
Past, Present, and Future Mortality Trends Persistent, Long-term Mortality Excess Mortality Moderating Promising Advances for 1 2 Improvement Pre-pandemic Post-pandemic the Future 16 200% Obesity Australia Treatments Canada France 150% Japan U.K. U.S. Precision 100% Medicine U.S. Population Deaths A
Slide 47: Promising Advances Could Have Meaningful Impact
Promising Advances Could Have Meaningful Impact Obesity Treatments Precision Medicine Artificial Intelligence ▪ Excess weight estimated to cause nearly ▪ Multiple genetic advances ▪ Advances in AI leading to 500,000 deaths annually in the U.S., a loss allowing for individualized care improvements in
Slide 48: Data-Driven Research Creates Risk Insights and Enhances Brand
Data-Driven Research Creates Risk Insights and Enhances Brand ▪ Differentiated, multi-disciplinary expertise enables exclusive and forward-looking insights for both risks and opportunities ▪ Thought leadership initiates and supports client engagement and reinforces RGA’s brand as an innovation leade
Slide 49: Managing Risk for Sustained Success
Managing Risk for Sustained Success Strong risk Technical Diversified Favorable Research and culture, expertise set of macro thought proactive risk and global risks trends leadership management discipline Confidence in bright future 49
Slide 50: Investments
Investments Leslie Barbi Executive Vice President, Chief Investment Officer 50
Slide 51: Key Messages
Key Messages Integrated, ▪ Flexible asset platform delivering a Completion Platform aligned, and comprehensive suite of capabilities and Provides Integrated customized to asset solutions Strategic Advantages deliver creative ▪ Integrated solutions, tailored to our new business and in-force liabiliti
Slide 52: Investment Platform Overview
Investment Platform Overview Global resources and local expertise support integrated client solutions 1 1 2 Portfolio ($ billions) Capabilities Global Assets ~14% annualized March 31, 2024 Assets aligned to global footprint growth since 2007 % $89 External 7 Internal % $89B 13% 87% 12 Canada EMEA %
Slide 53: Integrated, Disciplined Portfolio Management
Integrated, Disciplined Portfolio Management 1,2 High Quality Portfolio Asset Allocation Mortgage Loans on Real Estate Investment-grade Bonds 8.3% 68.9% >$90B 95% Short-Term/Cash Equivalents Assets Under Fixed maturity Securities 6.9% Management Rated Investment-Grade Funds Withheld at … High Yield
Slide 54: Adaptive Asset Liability Management Strategies
Adaptive Asset Liability Management Strategies Majority of liabilities have lower or no policyholder behavior risk Disciplined, proactive management of asset-liability risks Focus on long-term Liability starting Disciplined asset management approach point resilience Deep upfront assessment Cash flow
Slide 55: Experienced Team, Broad Capabilities
Experienced Team, Broad Capabilities Deep expertise, broad platform, and global reach enable solutions Experienced leadership Global footprint Average Average Average Primary Investment team industry experience investment experience RGA experience locations aligned to global footprint and boots-on-t
Slide 56: Total Portfolio Completion Platform Advantages
1 Total Portfolio Completion Platform Advantages Public Investment-Grade Public High Yield & Equity 76% 1% Delivering assets integral to RGA strategy; structured to be flexible Private Assets 23% Private Integrated expertise; Broad platform Investment-Grade 15% Large opportunity set Diversification
Slide 57: History of Private Asset Capabilities Build Out
History of Private Asset Capabilities Build Out Private asset legend Highlights from 20+ years of growth in private asset capabilities Investment grade High yield Middle Equity market non- Commercial Broadly Upper middle USD lending mortgage syndicated market USD loans bank loans lending USD Minorit
Slide 58: Portfolio Spotlight: Commercial Real Estate Loans
1 Portfolio Spotlight: Commercial Real Estate Loans Commercial Mortgage Loan Strong Results | Characteristics Well Diversified Investments by Property Type ▪ Geography <58% >90 bps Hotel ▪ Property type Loan to Value Excess Spread Other Multi-Family 5.4% ▪ Maturity ladder 0.6% 12.1% 1.79x >96% $10M
Slide 59: Portfolio Spotlight: Private Credit
1,2 Portfolio Spotlight: Private Credit Private Credit Investment by Industry Strong Results | Strong Characteristics Aerospace & Defense 10.0% >12% >1.2x Health Care Education Services Services 6.9% Realized Internal Realized Multiple on 21.4% Rate of Return Invested Capital Environmental & Facilit
Slide 60: Strong Credit Record
Strong Credit Record 1,2,3 Impairment History Consolidated Portfolio Impairments/Changes in Allowances 12 <8 bps 10 Under 6 bps annualized Past 10-Year Annualized impairments/changes in 8 Impairments / Allowances allowances over the past 6 five years 4 2 $61 million (or 7 bps) of impairment in 2023
Slide 61: Variable Investment Income
1 Consolidated – Five-Year Average Variable Investment Income (% realized operating investment income) Supported by alternative equity strategy ▪ Strategic growth of alternative equity Non-VII Private portfolio for more than 10 years, across real 93% Equity/Other estate joint ventures and private eq
Slide 62: Broad Asset Capabilities
Broad Asset Capabilities New Deep Portfolio Strategic Asset Diversified Transaction Expertise Allocation Origination Integration Impact >70 bps Expected Excess Spread Above Index Rates >70 bps Expected Excess Spread Above 1 Index Rates Risk- Free Rate IG Spread Internal Private External Other Invest
Slide 63: Unique Positioning Leads to Strategic Advantages
Unique Positioning Leads to Strategic Advantages Exclusive life and health focus with a differentiated proposition that is hard to replicate A global leader in asset A global leader in Strategic advantages reinsurance biometric reinsurance Investments platform built Technical expertise to Long-term,
Slide 64: Publicly Announced 2024 Asset-Intensive Successes
Publicly Announced 2024 Asset-Intensive Successes RGA client solutions and growth markets span the globe Manulife Integrated CA $5.8 billion Baloise (US $4.4 billion) €900 million capabilities, risk (US $1 billion) management, 1 First Energy 2 Verizon and execution $700 million Japan Post $5.9 billi
Slide 65: Ruby Re: Growth capital generating fee income
Strategic goal Ruby Re: Growth capital generating fee income utilizing our global expertise and client network Beyond RGA partnership advantage Alternative ▪ More than 50 years of reinsurance success ▪ Integrated asset platform built to deliver complete suite of capabilities Capital ▪ Growing balanc
Slide 66: Current New Money Rates are a Tailwind
Current New Money Rates are a Tailwind Investment Yield and New Money Rate 1,2 ▪ New money yields became a tailwind (Non-spread) starting in 2022 after a decade of headwinds 6.65% ▪ Run rate investment yield benefits from 6.31% 6.12% 6.09% broad asset platform and higher interest rate environment, w
Slide 67: Platform Developed for Sustained Success
Platform Developed for Sustained Success Broad, Aligned, Experience, Track record Value flexible integrated discipline, of delivering creation, platform capabilities execution capabilities, strategic results optionality Confidence in bright future 67
Slide 68: Financial Overview
Financial Overview Todd Larson Senior Executive Vice President, Chief Financial Officer 68
Slide 69: Key Messages
Key Messages Diversified global platform, strong ▪ Strong adjusted operating income Excellent growth Financial ▪ Robust business momentum across key geographies and products Results momentum, and ▪ Execution of strategy positively impacting ROE attractive well-balanced earnings profile ▪ Active and
Slide 70: Key Financial Metrics
Key Financial Metrics Diverse sources of earnings by product and geography driving record operating performance 1,2 1,2 Adjusted Operating EPS Trailing 12-month Adjusted Operating ROE 14.8% 14.4% $19.88 12.5% $16.40 8.4% $9.72 $6.02 2021 2022 2023 Q1 2024 2021 2022 2023 Q1 2024 Reflects RGA’s strong
Slide 71: Premium Growth
Premium Growth Good momentum Constant % 1 Premiums 2023 2022 Currency Traditional Premium Growth Change % Change² U.S. and Latin $7,023 $6,590 6.6% 6.4% America Traditional 6.7% 6.8% Canada Traditional $1,215 $1,219 -0.3% 3.4% 6.1% 5.9% EMEA Traditional $1,775 $1,736 2.2% 3.0% 5.2% 3.3% 4.9% APAC Tr
Slide 72: Adjusted Operating Revenue Growth
Adjusted Operating Revenue Growth Strong momentum Constant Adjusted Operating % 2023 2022 Currency 1 Adjusted Operating Revenue Growth Revenue Change % Change² U.S. and Latin America $7,818 $7,517 4.0% 3.8% 14.5% Traditional U.S. and Latin America $2,879 1,392 106.8% 106.8% 3 13.6% Financial Solutio
Slide 73: Diversified Global Platform
Diversified Global Platform 2023 pre-tax adjusted operating income, excluding 1,2 notable items Global platform provides a diversified % 7 source of earnings Canada % 19 EMEA % High-quality 42 % U.S. and 32 underlying earnings Latin America Asia Pacific power 1 Please refer to “Reconciliations of No
Slide 74: Return on Equity by Source of Earnings
Return on Equity by Source of Earnings ▪ Underwriting margin reflects benefit margin and treaty-related expenses, which can fluctuate with claims experience or other changes in inventory ▪ 2021 and 2022 impacted by COVID, reflected in lower underwriting margin ▪ Investment margin reflects the higher
Slide 75: Long-Term Business, Long-Term Success
Long-Term Business, Long-Term Success 1 A global leader, Book Value per Share (ex-AOCI) differentiated market 2 Total Return Growth position 3 15-Year 10.0% CAGR 10.6% CAGR Diversified platform, well-balanced risk $146.96 $146.22 profile $113.04 Disciplined underwriter, proactive risk manager Focuse
Slide 76: Strong Balance Sheet
Strong Balance Sheet ▪ Balanced capital management and strong ratings ▪ Quality investment portfolio, stable liability profile Well positioned to ▪ Disciplined asset liability management support our ▪ Maintain ample liquidity strategy and strong growth ▪ Globally positioned for expanding growth oppo
Slide 77: RGA's Corporate Structure
RGA’s Corporate Structure Consolidated Operating Companies Holding Company ▪ Corporate structure provides ▪ Capital maintained where it can be ▪ Supports operating companies and financial and operational flexibility efficiently used to support the maintains liquidity of at least 1.5x to subsidiaries
Slide 78: Capital Frameworks
Capital Frameworks ▪ RGA is subject to a number of different capital frameworks with individual reporting requirements – Regulatory capital More than $1 billion ▪ Local statutory reporting in the operating company’s country of domicile can be up-streamed ▪ Group Capital (U.S.) referred to as Group C
Slide 79: Alternative Forms of Capital
Alternative Forms of Capital Expanding financial flexibility across the organization ▪ Continuing to further enhance our capital management strategy and flexibility through traditional and alternative forms of capital ▪ Substantial experience optimizing and managing capital across RGA’s operations ▪
Slide 80: Ruby Re
Ruby Re Third-party capital Investors Cedants ▪ Delivers third-party equity capital to support RGA's growth objectives Ruby Re Holding – Just-in-time equity capital that aligns with unpredictable deal Company sizes and uncertain timing of transactions ▪ As a Missouri domiciled third-party reinsurer,
Slide 81: Capital Deployed
Capital Deployed $0.6 billion of excess In-force and Other Shareholder Dividends and Transactions Share Repurchases capital as of March 31, 2024 ▪ A recognized leader in large and ▪ Consistently paying shareholder complex transactions dividends, steady growth over time ▪ Long track record of credibi
Slide 82: Value of In-force Business Margins
Value of In-force Business Margins Substantial expected future unrealized value from in-force business ▪ Expanded operating measure reflects all material As of December 31, 2023 1 products, and includes expected underwriting margins , 1 1 expected investment margins , and expected fee income – Previ
Slide 83: Growth and ROE Targets
Growth and ROE Targets Intermediate Term Pre-tax Adjusted Operating Income Growth Targets U.S. and Latin America 4-7% Well positioned in Canada 6-9% global markets with EMEA 7-10% multiple growth APAC 10-13% drivers 1 Adjusted Operating EPS CAGR Target 8-10% 1 Adjusted Operating ROE Target 12-14% 1
Slide 84: Closing Remarks
Closing Remarks ▪ Innovation-led organization, driving growth and attractive returns ▪ Industry dynamics are producing new growth opportunities ▪ Strong momentum across all geographies and business segments ▪ Flexible, integrated investment platform with a comprehensive suite of capabilities and sol
Slide 85: Break
Break 85
Slide 86: Appendix
Appendix 86
Slide 87: Definitions of Return on Equity by Source of Earnings
▪ Investment margin – Investment margin represents net investment Definitions of income and certain investment related gains (losses) less interest accrued on liabilities for future policy benefits, and interest credited on Return on Equity interest sensitive liabilities. A portion of net investment
Slide 88: Value of In-force Business Margins Description
1 ▪ Expected underwriting margin is derived from the estimated cash Value of In-force flows used to determine LDTI reserves, which are reviewed as part of the annual audit Business – Calculated using the locked-in LDTI liability discount rates Margins ▪ Expected investment margin: Description – LDTI
Slide 89: Reconciliations of Non-GAAP Measures
Reconciliations of Non-GAAP Measures 89
Slide 90: Reconciliations of Non-GAAP Measures
Reconciliations of Non-GAAP Measures 90
Slide 91: Reconciliations of Non-GAAP Measures
Reconciliations of Non-GAAP Measures 91
Slide 92: Reconciliations of Non-GAAP Measures
Reconciliations of Non-GAAP Measures 92
Slide 93: Reconciliations of Non-GAAP Measures
Reconciliations of Non-GAAP Measures 93
Slide 94: Reconciliations of Non-GAAP Measures
Reconciliations of Non-GAAP Measures 94
Slide 95: Copyright notice
©2024 RGA. All rights reserved. No part of this publication may be reproduced in any form without the prior permission of RGA. The information in this publication is for the exclusive, internal use of the recipient and may not be relied upon by any other party other than the recipient and its affili
Reinsurance Group of America — Investor Day (June 2024) on 6ix