Storebrand ASA · OSL:STB
Storebrand ASA — Investor Day (March 2013)
86 slides from Storebrand ASA's investor day presentation, Mar 15, 2013
Slide 1: Investor and analyst update
Investor and analyst update 15 March 2013 1
Slide 2: Agenda
Agenda Our strategy Financial position Commercial position Recap 2
Slide 3: Our strategy
Investor and analyst update - Our strategy Odd Arild Grefstad 3
Slide 4: The Storebrand Group
The Storebrand Group 100% of investments assessed 2.200 by sustainability employees criteria 40.000 corporate customers 1.900.000 individuals NOK 450 billion 5.000.000 in assets under yearly customers management dialogues 4
Slide 5: Solid, profitable and growing business
Solid, profitable and growing business Group result Assets under Management2 MNOK BNOK 3000 500 400 2000 300 200 1000 100 0 - 2008 2009 2010 2011 2012 2008 2009 2010 2011 2012 Solvency margin1 Customer funds in defined contribution and unit linked3 BNOK 180 % 70 170 % 170 % 164 % 60 161 % 162 % 160
Slide 6: Sound Nordic macro environment enables growth in pension savings
Sound Nordic macro environment enables growth in pension savings GDP growth1 Unemployment rates1 4% 14,0 % 12,0 % 3% 10,0 % 2% 8,0 % 6,0 % 1% 4,0 % 2,0 % 0% 2011 2012 2013E 2014E 0,0 % 2008 2009 2010 2011 2012 2013E 2014E -1% Norway Sweden Euro area Norway Sweden Euro area General government net lia
Slide 7: Strong growth in saving and pension market
Strong growth in saving and pension market Premiums written in occupational Retail savings Norway4 pension private sector Norway1 BNOK MNOK 1 400 30 27 1 200 24 24 25 1 000 13 10 11 9 9 800 600 400 15 15 15 16 17 200 0 20082 2009 2010 2011 2012 1995 2000 2005 2011 Premiums written in occupational Re
Slide 8: Future pension market: drivers for long term growth
Future pension market Drivers for long term growth Trends Low interest rate Individualisation environment Demographics www Technology § Regulations Transparency 8
Slide 9: Low interest rate environment
Low interest rate environment § www Interest level Bonds at amortized cost Interest rate Average rating 4,0 6 1 AAA 3,5 Norwegian swap 10y 5 1,2 3,0 4 1,4 3 2,5 1,6 Swedish swap 10y 2 2,0 1,8 1 1,5 0 AA 2 Tradedates: Jan 2011 - Mar 2013 Average last three trades, YTM Average rating in portfolio 9
Slide 10: Important regulatory changes
Important regulatory changes § www 2012 2013 2014 2015 2016 2017 Reserve strengthening Longevity New Come tariffs in force Occupational pension product § 3 yr transition framework Act proposed Act passed Come in force Pension certificates w/ investment § choice1 Act proposed Act passed Come in force
Slide 11: Longevity reservations under a changing regulatory framework
Longevity reservations under a changing § regulatory framework www Reserve strengthening Longevity New Come tariffs in force Occupational pension product § 3 yr transition framework Act proposed Act passed Come in force 2012 2013 2014 2015 2016 2017 2013: Surplus returns 2014: New mortality 2015: Ne
Slide 12: Longevity - new mortality tables from Norwegian FSA
Longevity § - new mortality tables from Norwegian FSA www Mortality tables based on: – Finance Norway's proposal for mortality in 2013, plus 12 percent safety margin – Drop in mortality corresponding to Statistics Norway "middle alternative", plus 10 percent safety margin – High safety margins for
Slide 13: Longevity - implications for Storebrand
Longevity § - implications for Storebrand www Reservation need and buffer capital Possible result implications No profit sharing in paid-up BNOK policies (already part of market 11.5 consensus) 4.3 5.7 ASR Result effect in DB fee based portfolio of approximately 230 7.2 MNOK annually An annual
Slide 14: Market impacted by extensive product reform
Market impacted by extensive product § reform www New legal product framework in Norway Corporate view Individual view Defined Pension certificates contribution Defined benefit Paid-up policies Pension certificates Hybrid with investment choice1 All new pension Pension rights are All guaranteed prem
Slide 15: Increased importance of occupational pension and retail savings
Increased importance of occupational § pension and retail savings www Traditional Today's Future pension system pension system pension system Born in the 40s Born in the 80s Private Private Private savings savings savings Occupational Occupational Occupational pension pension pension National Insura
Slide 16: Transparency is a key factor for increased trust
Transparency is a key factor for increased § trust in the financial sector www SRI screening Storebrand Triple Smart The world's 100 most sustainable companies within their sector My pension number Transparent reporting 16
Slide 17: Our strategic response to changing market conditions
Our strategic response to changing market conditions We work hard to reach our vision: Recommended by our customers Managing the balance sheet Developing the business Concepts Capital Risk Employees optimization reduction Corporate relation Managing business Save for without raising < retirement new
Slide 18: Completed actions as of Q4 2012
Completed actions as of Q4 2012 Capital optimization Risk reduction 1,6 BNOK converted from guaranteed to non-guaranteed Reduced equity allocation in products guaranteed portfolios DB public sector close down by 2015 Managing business without raising new equity Product optimization capital Cost redu
Slide 19: Completed actions so far 2013
Completed actions so far 2013 Capital optimization Risk reduction 0,8 BNOK converted from guaranteed to non- guaranteed products Managing business without raising new equity Product optimization capital Cost reduction Annual savings of 137 MNOK SPP electable in largest collective Renegotiated procur
Slide 20: Further actions to reach the target
Further actions to reach the target Capitial optimization Risk reduction Increase conversion from Increase duration in guaranteed guaranteed to non-guaranteed portfolios products Review of property portfolio Optimize group structure Managing business without raising new equity Product optimization c
Slide 21: Our strategic response to changing market conditions
Our strategic response to changing market conditions We work hard to reach our vision: Recommended by our customers Managing the balance sheet Developing the business Concepts Capital Risk Employees optimization reduction Corporate relation Managing business Save for without raising < retirement new
Slide 22: Our business logic
Our business logic 700.000 employees in 40.000 business 1 How to get businesses to buy occupational pensions and services from us? 22
Slide 23: Our business logic
Our business logic 60.000 700.000 60.000 1.200.000 new new retirees and holders employees in former employees holders of 40.000 business employees pension certificates each year each year 1 How to get businesses to buy occupational pensions and services from us? 2 How to get employees and former emp
Slide 24: Financial position
Investor and analyst update - Financial position Lars Aa. Løddesøl 24
Slide 25: A solid and profitable company
A solid and profitable company Results development Earnings per share1 MNOK Net profit sharing and loan losses 3.30 Result before profit sharing and loan losses 2.08 2.25 Provisions for cost program 1.51 1,960 1,612 1,279 441 1,310 158 1,245 362 1,399 1,454 1,570 1,714 883 -89 -291 -195 -4.97 2008 2
Slide 26: Storebrand Life Group - highlights of MCEV 2012 results
Storebrand Life Group - highlights of MCEV 2012 results Key takeaways BNOK -12.4% 2012 embedded value +1.2 +0.1 earnings of -3.0 BNOK +0.4 -4.8 MCEV effect of -4.6 BNOK due to new tax +0.3 regulation as of 2012 Storebrand Group MCEV 24.6 of 54.8 NOK per share 21.5 21.8 (63.3 NOK in 2011)² Open
Slide 27: Analysis of changes MCEV 2012
Analysis of changes MCEV 2012 BNOK MCEV SBL Life Group 2011¹ 24,6 Tax -4,6 Expected return 1,7 New business 0,4 Reduced interest rates -1,7 Excess investment return 3,0 De-risk and increased buffer capital 2,5 Reduced guarantee portfolio Norway -2,4 Longevity reservation -2,0 Lower lapse 0,3 Week ad
Slide 28: Transformation of business model, growth and operational improvements
Transformation of business model, growth and operational improvements Fee based Fee based Unit Traditional profit guaranteed Linked and risk sharing business products Insurance 20061 84% 4% 12% reserve 2012 50% 29% 21% 20061 72% 3% 26% Premiums 2012 13% 44% 43% 2006 78% 22% VIF2 2012 -19% 9% 110% 1
Slide 29: Transformation of business model, growth and operational improvements
Transformation of business model, growth and operational improvements Insurance reserves1 Key takeaways 100 % 12% 12% 12% 16% 17% 19% 21% Continuous shift in business from 80 % guaranteed to non-guaranteed 60 % over the last six years 40 % 20 % 0% 2006 2007 2008 2009 2010 2011 2012 Premiums1 VIF2
Slide 30: Value of In Force per product group
Value of In Force per product group - Storebrand Life Group Fee based unit linked and risk products Key insights MNOK 11,692 12,535 Strong asset and premium 11,430 growth in non-guaranteed 8,947 Lower interest rates and increased lapse assumptions reduced value of guaranteed business 2009¹ 2010¹
Slide 31: Storebrand Life Group - MCEV sensitivities 2012
Storebrand Life Group - MCEV sensitivities 2012 20111 2012 2012 with extrapolation2 9% Interest rate up (+100bp) 7% 7% -24% Interest rate down (-100bp) -19% -12% -12% Equity & property shock (-10%) -8% -6% Equity shock (-10%) -4% 9% Decrease in expenses (10%) 7% -3% Mortality shock - annuity busines
Slide 32: Potential development in pension reserves without further actions
Potential development in pension reserves ILLUSTRATION – without further actions Reserves, BNOK Paid up SBL DB SBL New Occupational Total 400 Pension DC SBL Trad SBL DC SPP 350 UL SPP DB SPP Total reserve 300 2023 250 200 Guaranteed Non-guaranteed 150 100 50 - 2012 2014 2016 2018 2020 2022 2024 2026
Slide 33: Ambition to reduce guaranteed business
Ambition to reduce guaranteed business ILLUSTRATION Reserves BNOK Guaranteed starting point 250 Guaranteed with conversion 200 12 years 150 100 50 - 2012 2014 2016 2018 2020 2022 2024 2026 33
Slide 34: Ambitions for growth in non-guaranteed business
Ambitions for growth in non-guaranteed ILLUSTRATION business Reserves BNOK Conversion SPP 400 Conversion Conversion of paid-ups SBL Savings in new New Occ Pension savings DC/hybrid instead equals today's fee based level of DB 300 1%-p increased saving 1%-p increased savings in DC in DC New Occ Pensi
Slide 35: Shift in the balance
Shift in the balance ILLUSTRATION Guaranteed starting point Guaranteed after conversion Non-guaranteed starting point Reserves Non-guaranteed with growth initiatives BNOK 350 300 250 200 150 100 50 - 2012 2014 2016 2018 2020 2022 2024 2026 35
Slide 36: Shift in the balance
Shift in the balance ILLUSTRATION Guaranteed starting point Guaranteed after conversion Non-guaranteed starting point Reserves Non-guaranteed with growth initiatives BNOK 350 300 250 200 150 100 50 - 2012 2014 2016 2018 2020 2022 2024 2026 2017 2023 36
Slide 37: Revenue management in transition period
Revenue management in transistion ILLUSTRATION period Revenue management Guaranteed starting point 1. Maintain revenue from traditional business – Price increases Non-guaranteed starting point Reserves – Conversion period BNOK 350 2. Optimize revenue in conversion phase 300 – Cost reduction – Margin
Slide 38: Three ways to measure value creation
Three ways to measure value creation By traditional segment reporting12 Key insight A diversified group with income from Insurance several business lines Life Norway 18 % Strong growth in new generation 29 % products - maximize value and ensure Bank 11 % capital efficiency of in-force guaranteed
Slide 39: From guaranteed to non-guaranteed savings
From guaranteed to non-guaranteed savings Premium income Storebrand Life Insurance SBL MNOK Share of reserve distributed by age of policy-holder 10 000 5,0 % Non-guaranteed 8 000 Guaranteed 4,0 % 6 000 3,0 % 4 000 2,0 % 2 000 0 1,0 % Guaranteed Non-guaranteed 0,0 % 2008 2009 2010 2011 2012 17 27 37
Slide 40: Attractive and changing market for insurance and risk
Attractive and changing market for insurance and risk Customers & Market Key market drivers Claims ratio (%) 95 90 Increased market focus on 85 pension and the need for 80 individual saving and risk 75 coverage 70 0 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 20
Slide 41: Storebrand Group – by quality of earnings
Storebrand Group – by quality of earnings MNOK 2012 2011 2010 2009 Fee and administration income 4 152 3 952 3 783 3 438 Operating cost -2 958 -2 800 -2 673 -2 891 Fee and administration result 1 194 1 152 1 110 547 Risk and insurance 682 686 597 466 Holding company and company portfolios -184 -268
Slide 42: Storebrand Group – by risk and business area
Storebrand Group – by risk and business area Guaranteed 2012 Non-guaranteed Insurance & risk Savings (Life and Other Total MNOK Savings¹ pensions) Fee and administration income 1 774 - 1 861 278 3 913 Risk result life & pension 2 - 318 - 320 Insurance premiums f.o.a. - 2 510 - - 2 510 Claims f.o.a.
Slide 43: Savings (non-guaranteed)
Savings (non-guaranteed) Key segment components Key value drivers 2012 DC & UL Retail AM1 UL MNOK Sum Strong market position (Nor) bank(Nor) (total) (Swe) Fee- & adm income 368 339 671 396 1 774 Operational cost -259 -254 -590 -355 -1 459 >30% DC market share Financial result - - - - - Result befo
Slide 44: Insurance & Risk
Insurance & Risk Key segment components Key value drivers Profitable growth - sustaining strong Result 2012 Retail Group DC risk Sum renewal rates NOK mill insur1 insur2 insur3 Gross written premiums MNOK Premium income 1 049 925 536 2 510 +10% foa. 2.933 2.480 2.593 2.175 Retail insurance Claims
Slide 45: Savings guaranteed (traditional pensions)
Savings guaranteed (traditional pensions) Key segment components Key value drivers 2012 MNOK Paid-up DB (Nor) Individual SPP Sum Stable fee income (Nor) (Nor) Fee- & adm income 242 983 - 637 1 861 De-risking of investment portfolios Risk res. life & pension 10 161 147 318 Mature portfolio – na
Slide 46: Other
Other Key segment components Key value drivers 2012 Commersial Holding & Sum MNOK banking company capital Fee- & adm income 278 - 278 Niche commercial lending with Operational cost -131 -180 -311 Financial result - -5 -5 improving margins Finance result Storebrand ASA -106 -106 Investment res. com
Slide 47: Summary
Summary Key Takeaways • A solid and profitable company in a growing industry • Industry going through transition phase in terms of products, guarantees and regulations • Storebrand has implemented a number of actions to manage transition and create a competitive platform for the future • Increased t
Slide 48: Commercial position Norway
Investor and analyst update - Commercial position Norway Robin Kamark 48
Slide 49: Attractive growing pension market in Norway
Attractive growing pension market in Norway Assets under Management in Market characteristics private sector BNOK Defined contribution Pension capital certificates (from DC) 110,000 companies with 380 Defined benefit occupational pension in Paid-up policies (from DB) 351 49 private sector 321 41 1
Slide 50: Clear market shift towards defined contribution
Clear market shift towards defined contribution Individuals covered by occupational Trends pensions in private sector # in thousands Private occupational pensions Defined contribution 1 207 1 305 mandatory from 2006 Defined benefit 899 1 003 Rapid growth in annual 611 464 125 premiums and assets
Slide 51: Proposed new pension product provides a significant growth opportunity
Proposed new pension product provides a significant growth opportunity Current defined contribution Proposed new pension product regulations (replacing defined benefit) Annual Annual pension pension savings as a savings as a % of salary % of salary 2-8% 2-5% 2-26,1% 18,1% 18,1% 2-8% 583.066 985.464
Slide 52: Increased pension savings provide a significant growth opportunity
Increased pension savings provide a significant growth opportunity Distribution of defined contribution Growth opportunities premiums in Storebrand as a % of salary 1 percentage point increase in average Contracts 57% 8% 25% 10% premiums as a % of salary = 1 BNOK in additional premiums Individuals
Slide 53: Growing savings market
Growing savings market Retail savings 1995-2011* Norway Key insights BNOK • Increasing awareness of need for 1 300 personal savings 1 200 1 100 • Customers view saving for 1 000 retirement as increasingly important 900 • Bank savings important, also for 800 retirement savings 700 Households respondi
Slide 54: Leveraging a strong market position
Leveraging a strong market position Value drivers Strategic position Top line growth Lower unit costs Save for retirement Capital relief Brand preference 54
Slide 55: Capitalising on growth opportunities with a focused strategy
Capitalising on growth opportunities with a focused strategy 3. Worksite distribution – 1. Attractive market B2B2C Market and customer concepts 4 Employees 3 Corporate relation 2 1 Save for 2. Strong market position retirement 4. Attractive concepts 55
Slide 56: Storebrand is the market leader in the defined contribution market
Storebrand is the market leader in the defined contribution market Market position Market share defined contribution* Market share defined benefit** (private sector) (private sector) 50 50 41% 40 40 30% 30 30 20 20 10 10 0 0 2004 2005 2006 2007 2008 2009 2010 2011 2012 2004 2005 2006 2007 2008 2009
Slide 57: Attractive value proposition to corporate customers
Attractive value proposition to corporate customers Market position Customer satisfaction/loyalty Success factors 71 Customer satisfaction Loyalty Excellent customer service 70 70 69 68 68 68 Excess pension investment 67 67 67 66 returns 65 Proactive customer counselling regarding new occupati
Slide 58: Leveraging the corporate market place – B2B2C
Leveraging the corporate market place – B2B2C Worksite distribution 40 000 new 40 000 new 23 000 30% former employees employees annually Market annually Corporates Share DC Retirees and holders Employees Storebrand concepts of pension certificates "Save for life" "House and Home" "Storebrand Pluss"
Slide 59: Multi-channel distribution approach across corporate and retail markets
Multi-channel distribution approach across corporate and retail markets Worksite distribution Corporate sales: 1:1 and phone Market leader in corporate sector – strong position in retail market Employee channels Customers receive same information and Town hall Mass comm. 1:1 1:1 advice meetings dial
Slide 60: Customers prefer digital service
Customers prefer digital service Worksite distribution 90% of the population use 7.400.000 internet visitors at storebrand.no and spp.se in 2012 Share of traffic from a mobile 50% of the 30% platform1 population 20% have 10% BankID 0% Jan Des 2012 60 1 Storebrand.no
Slide 61: Storebrand's future is digital
Storebrand's future is digital Worksite distribution 61
Slide 62: Systematic customer acquisition and retention to achieve growth objectives
Systematic customer acquisition and retention to achieve growth objectives Worksite distribution - Examples - 127.000 individual customer needs surveys Smart 35.000 responses with detailed family and prospecting financial information Improved targeting being developed CRM activities Customer 3
Slide 63: Developing attractive customer value propositions
Developing attractive customer value propositions Customer concepts What is my number? Storebrand Triple Smart Lifecycle portfolio New communication concept tailored Realising customer value from Investment profile tailored to life to individualisation sustainability strengths stage Storebrand Pluss
Slide 64: Systematic approach to transfer customers from guaranteed products
Systematic approach to transfer customers from guaranteed products Customer concepts Accumulated net transfer from Key insights individual product with guarantee MNOK 15 BNOK currently open for 1,553 1,672 transfer out of guaranteed 1,330 products 1,086 752 Systematic approach has 402 yielded 52
Slide 65: Storebrand will tailor transfer message based on a customer value proposition
Storebrand will tailor transfer message based on a customer value proposition Customer concepts Customer segment example* Approach Pension New estimated Customer reserves pension advice ~33 BNOK identified as most likely to be transferred Value of existing paid-up policy – Age – Size of paid-up po
Slide 66: Strategic actions in 2012 provides early indicators of success
Strategic actions in 2012 provides early indicators of success Net customer growth individuals Customer satisfaction # thousands 12 64 59 59 59 3 58 2011 2012 through corporate 2008 2009 2010 2011 2012 relation * Number of new customers (net) 66 ** Customer satisfaction among individuals with occupa
Slide 67: What are our targets?
What are our targets? Leading in "save for retirement" within 2016 Double digit (%) Improved top line annual customer growth from 2014 growth, increasing and onwards Reduced customer 15 BNOK in transfer acquisition and out from paid-up customer service policies cost 67
Slide 68: Commercial position Sweden
Investor and analyst update - Commercial position Sweden Sarah McPhee 68
Slide 69: The individualised Swedish pension market
The individualised Swedish pension market - B2B distribution: Retail logic 1 Employer chooses 2 Individual chooses 11,8 Retail Pensions X One provider Corporate Pensions One provider X 60,0 SMEs External partners Several providers One provider Premiums 2012 (BSEK) Large Enterprises Tick-the-bo
Slide 70: Trends in the Swedish pension market
Trends in the Swedish pension market Trends SPP Market Share 20121 New Sales APE Premiums Written SPP is a significant provider of Corporate Pensions Retail Pensions 3,6% 4,6% Corporate Pensions are moving from Guaranteed towards Unit Linked Corporate 2nd 5th Pensions 12,2% largest 10,2% largest
Slide 71: SPP increasing market share
SPP increasing market share Total Market1 Unit Linked1 30% 30% 25% 25% Skandia SEB Trygg Liv Länsförsäkringar 20% 20% Länsförsäkringar Skandia 15% 15% SEB Trygg Liv SPP SPP 10% 10% 5% 5% 0% 0% 2006 2007 2008 2009 2010 2011 2012 2006 2007 2008 2009 2010 2011 2012 SPP Skandia Länsförsäkringar SPP Skan
Slide 72: Strong trend for SPP towards unit linked
Strong trend for SPP towards unit linked Premiums Written Trends MSEK 6000 4858 5000 4317 4118 4247 4480 Growth in Unit Linked premiums 3844 4000 3666 2988 2905 3521 exceeds market growth 3000 2000 3521 3844 4247 4480 4858 Natural outflow of Guaranteed 1000 assets 0 Guaranteed Unit Linked 2008 2
Slide 73: A complete savings platform with unique selling points
A complete savings platform with unique selling points SPP Spar - A new savings platform Unit Linked Tax shielded investment savings accounts Fund Selection Custodial accounts Diversification SPP fund selection concepts The best in each category Builds customer loyalty Always an inexpe
Slide 74: How we succeed with corporates
How we succeed with corporates Overview, Insight & Simplicity Internet services - private and corporate Responsive design Interaction with customer service Retirement Insurance Pension & Long-term Expertise & Savings Solutions Advice Injury Administration Pension schemes Illness Consulting Private s
Slide 75: Our primary market for retail are individuals with an occupational pension relation to SPP
Our primary market for retail are individuals with an occupational pension relation to SPP Businesses ~20 000 new ~20 000 new employees former employees annually 17 400 annually Employees with active Retirees and holders pension savings SPP Concepts of paid up policies SME 5/10 Investment Savings Ac
Slide 76: Developing attractive customer concepts
Developing attractive customer concepts Investment Savings Account SPP Global Topp 100 Lifecycle Portfolio Tax-shielded savings platform for Mutual fund investing in the world's Solution to reduce individual's mutual funds, stocks and bonds 100 most sustainable companies equity exposure before retir
Slide 77: Conversion to products without guarantees - Our value proposition
Conversion to products without guarantees - Our value proposition 1 Capture value in conditional bonuses 3 Transparency A rise in interest rates lowers conditional bonuses Insurance capital t1 t2 Guaranteed Conditional bonus 2 Equity exposure 250% Equities 200% Bonds 150% Bills 100% 50% 0% 2003 2005
Slide 78: Conversion to products without guarantees
Conversion to products without guarantees Cumulative Conversion from Guaranteed Trends MSEK 900 800 SPP offers an attractive Unit 700 Linked alternative to 600 Guaranteed pensions for 500 individuals. 400 By engaging in dialogues with 300 individuals regarding their 200 pensions, we are able to
Slide 79: What are our targets?
What are our targets? Leading in "save for retirement" within 2016 Increase customer loyalty 20% market share of Corporate Pension new sales in Unit Linked in 2016 Double digit sales growth in Unit Linked 79
Slide 80: Recap
Investor and analyst update - Recap Odd Arild Grefstad 80
Slide 81: Financial targets Storebrand
Financial targets Storebrand RoE* >10 % Annual dividend payout ratio* >35 % Solvency (I) Life Group >150 % Rating Life Insurance A level * Profit after tax before amortisation 81
Slide 82: Shift in the balance
Shift in the balance ILLUSTRATION Guaranteed starting point Non-guaranteed starting point Reserves BNOK 350 300 250 200 150 100 50 - 2012 2014 2016 2018 2020 2022 2024 2026 82
Slide 83: Shift in the balance
Shift in the balance ILLUSTRATION Guaranteed starting point Guaranteed after conversion Reserves Non-guaranteed starting point BNOK 350 300 250 200 150 Managing business without raising new 100 equity capital 50 - 2012 2014 2016 2018 2020 2022 2024 2026 83
Slide 84: Shift in the balance
Shift in the balance ILLUSTRATION Guaranteed starting point Guaranteed after conversion Non-guaranteed starting point Reserves Non-guaranteed with growth initiatives BNOK Save for 350 < retirement 300 250 200 150 100 50 - 2012 2014 2016 2018 2020 2022 2024 2026 84
Slide 85: Our strategic response to changing market conditions
Our strategic response to changing market conditions We work hard to reach our vision: Recommended by our customers Managing the balance sheet Developing the business Concepts Capital Risk Employees optimization reduction Corporate relation Managing business Save for without raising < retirement new
Slide 86: Recommended by our customers
We work hard to reach our vison: Recommended by our customers 86