iA Financial: Shareholders’ Report (q3 2026 shareholders report acc)

For the Quarter Ended September 30, 2026

This Management's Discussion and Analysis for iA Financial Corporation Inc. ("iA Financial Group" or the "Company") is dated November 9, 2026. This Management's Discussion and Analysis should be read in conjunction with the unaudited interim condensed consolidated financial statements for the three and nine months ended September 30, 2026. It should also be read with the Management's Discussion and Analysis and the audited consolidated financial statements for the year ended December 31, 2025. The Supplemental Information Package for the last nine quarters may contain additional data that complements the information in this Management's Discussion and Analysis and is not and should not be considered incorporated by reference into this document.

The financial information is presented in accordance with IFRS® Accounting Standards (referred to as "IFRS" in this document), as they apply to life insurance companies in Canada, and with the accounting requirements prescribed by the regulatory authorities. The Company also uses non-IFRS and other financial measures when evaluating its results and measuring its performance. For relevant information about non-IFRS and other financial measures, see the "Non-IFRS and Additional Financial Measures" and the "Reconciliation of Select Non-IFRS Financial Measures" sections in this document.

The Company's business units are grouped into reportable operating segments based on their similar economic characteristics.

The Company's operating segments, which reflect its organizational structure for decision making, are described below according to their main products and services or their specific characteristics:

Life and health insurance products, auto and home insurance products, creditor insurance, replacement insurance and warranties, extended warranties and other ancillary products for dealer services, and specialized products for special markets.

Products and services for savings plans, retirement funds and segregated funds, in addition to securities brokerage (including cross-border services), trust operations and mutual funds.

Life insurance products and extended warranties relating to dealer services sold in the United States.

Investment and financing activities of the Company, except the investment activities of wealth management distribution affiliates.

All expenses that are not allocated to other operating segments, such as expenses for certain corporate functions.

Information concerning these segments is included in our annual and interim consolidated financial statements and accompanying notes and this Management's Discussion and Analysis.

Unless otherwise indicated, the results presented in this document are in Canadian dollars and are compared with those from the corresponding period last year.

TABLE OF CONTENTS

1. HIGHLIGHTS FOR THE THIRD QUARTER 3

2. BUSINESS GROWTH 6

3. ANALYSIS OF EARNINGS BY BUSINESS SEGMENT 9

4. ANALYSIS ACCORDING TO THE FINANCIAL STATEMENTS 19

5. CSM MOVEMENT ANALYSIS 24

6. FINANCIAL POSITION 26

7. INVESTMENTS 30

8. DECLARATION OF DIVIDEND 32

9. RISK MANAGEMENT AND SENSITIVITIES - UPDATE 33

10. RECONCILIATION OF SELECT NON-IFRS FINANCIAL MEASURES 35

11. NON-IFRS AND ADDITIONAL FINANCIAL MEASURES 37

12. NOTICE AND GENERAL INFORMATION 42

13. CONSOLIDATED FINANCIAL STATEMENTS 44

14. NOTES TO INTERIM CONDENSED CONSOLIDATED FINANCIAL STATEMENTS 49

    † This item is a non-IFRS financial measure; see the "Non-IFRS and Additional Financial Measures" section and the "Reconciliation of Select Non-IFRS Financial Measures" section in this

    document for relevant information about such measures and a reconciliation of non-IFRS financial measures to the most directly comparable IFRS measure.

    †† This item is a non-IFRS ratio; see the "Non-IFRS and Additional Financial Measures" section in this document for relevant information about such measures.

15. GENERAL INFORMATION 66

1. Highlights for the Third Quarter

   Profitability

   	Third quarter			Year-to-date as at September 30
   	2026	2025	Variation	2026	2025	Variation
   Net income attributed to common shareholders (in millions)	$255	$364	(30%)	$776	$871	(11%)
   Core earnings† (in millions)	$356	$323	10%	$984	$923	7%
   Weighted average number of common shares (diluted) (in millions)	88	93	(5%)	90	94	(4%)
   Earnings per common share (EPS) (diluted)	$2.89	$3.91	(26%)	$8.63	$9.31	(7%)
   Core earnings per common share (core EPS) (diluted)††	$4.03	$3.47	16%	$10.94	$9.87	11%

   Return on common shareholders' equity (ROE)1	September 30, 2026	June 30, 2026	December 31, 2025	September 30, 2025
   ROE (trailing 12 months)	13.3%	15.1%	14.9%	15.6%
   Core ROE†† (trailing 12 months)	17.6%	17.5%	17.1%	17.2%
   ROE quarter annualized	14.3%	21.6%	10.0%	20.3%
   Core ROE†† quarter annualized	20.0%	18.5%	15.8%	18.0%

   The Company recorded core earnings† of $356 million in the third quarter of 2026 and core diluted earnings per common share (core EPS)†† of $4.03, which is 16% higher than the same period in 2025. Core return on common shareholders' equity (ROE)†† for the trailing 12 months was 17.6% as at September 30, 2026. Quarterly annualized core ROE†† was 20.0% for the third quarter.

   Net income attributed to common shareholders was $255 million and diluted earnings per common share (EPS) was $2.89, which is 26% lower than the third quarter of 2025. Return on common shareholders' equity (ROE) for the trailing 12 months was 13.3% as at September 30, 2026. Quarterly annualized ROE was 14.3% for the third quarter.

   An analysis of earnings by business segment for the quarter is provided in the "Analysis of Earnings by Business Segment" section of this document. Also, refer to the "Reconciliation of Select Non-IFRS Financial Measures" section of this document for reconciliations between core earnings† and net income (loss) attributed to common shareholders.

   Business Growth

   During the third quarter, sales and business retention contributed to the strong growth in net premiums,2 premium equivalents and deposits,2 which reached nearly $6.1 billion, a 16% increase compared to the same period last year. Total assets under management2 and assets under administration2 totalled $375 billion as at September 30, 2026, a strong increase of 30% over the last 12 months. In Individual Wealth Management, total gross sales reached more than $3.2 billion, while combined net inflows were close to $1.3 billion. The Company continued to rank first in Canada for both gross and net individual segregated fund sales.3 In Canada, Individual Insurance sales2 were strong at $115 million, a 13% increase over the same period in 2025, and the Company maintained its leading position for the number of policies sold,4 while continuing to focus on profitable, sustainable growth. In the United States, Individual Insurance sales recorded a 24% year-over-year increase and Dealer Services sales were 4% higher than the same quarter a year earlier.

   Financial Position

   The Company's solvency ratio5 was 131% as at September 30, 2026, compared to 137% at the end of the previous quarter and 138% a year earlier. This result is well above the regulatory minimum ratio of 90%. The six-percentage-point decrease during the quarter is mainly the result of the subordinated debenture redemption outlined further on in this section and, to a lesser extent, capital deployed for share buybacks (NCIB) and unfavourable macroeconomic variations. These unfavourable items were partially offset by solid quarterly organic capital generation. The Company's financial leverage ratio†† was 16.5% as at September 30, 2026 compared to 18.6% at the end of the previous quarter. This variation is mainly explained by the impact of capital management initiatives during the quarter, primarily the redemption of the subordinated debentures outlined further on in this section.

   Organic Capital Generation2

   The Company organically generated $180 million in capital during the third quarter compared to $170 million for the same period in 2025. After nine months, $515 million has been generated in 2026.

   1 Consolidated net income attributed to common shareholders divided by the average common shareholders' equity for the period. Return on common shareholders' equity is a supplementary financial measure. Refer to the "Non-IFRS and Additional Financial Measures" section of this document for more information on return on common shareholders' equity.

   2 Net premiums, premium equivalents and deposits, assets under management, assets under administration, sales and organic capital generation are supplementary financial measures. Refer to the "Non-IFRS and Additional Financial Measures" section of this document for more information.

   3 According to the latest industry data from Investor Economics.

   4 According to the latest Canadian data published by LIMRA.

   5 The solvency ratio is calculated in accordance with the Capital Adequacy Requirements Guideline - Life and Health Insurance (CARLI) mandated by the Autorité des marchés financiers du Québec (AMF). This financial measure is exempt from certain requirements of Regulation 52-112 respecting Non-GAAP and Other Financial Measures Disclosure according to AMF Blanket Order No. 2021-PDG-0065.

   † This item is a non-IFRS financial measure; see the "Non-IFRS and Additional Financial Measures" section and the "Reconciliation of Select Non-IFRS Financial Measures" section in this document for relevant information about such measures and a reconciliation of non-IFRS financial measures to the most directly comparable IFRS measure.

   †† This item is a non-IFRS ratio; see the "Non-IFRS and Additional Financial Measures" section in this document for relevant information about such measures.

   Capital Available for Deployment

   As at September 30, 2026, the capital available for deployment6 was assessed at $0.9 billion compared to $1.1 billion at the end of the previous quarter.

   Book Value

   The book value per common share7 was $81.71 as at September 30, 2026, compared to $80.55 as at June 30, 2026 and $79.22 as at September 30, 2025. During the last 12 months, it increased by 3%, reflecting higher retained earnings that were partly offset by the impact of the share buybacks (NCIB) and dividend payments to common shareholders.

   Normal Course Issuer Bid (NCIB)

   During the third quarter, the Company repurchased 917,600 outstanding common shares for a total value of $189 million and cancelled a total of 1,080,700 common shares. The shares cancelled include 163,100 shares that had been repurchased during the second quarter, representing $31 million. From the beginning of the current NCIB and up to September 30, 2026, the Company repurchased and cancelled 4,981,331 shares, or 5.4% of the outstanding shares.

   Dividends

   The Company paid a quarterly dividend of $1.1000 per share to common shareholders in the third quarter of 2026. The Board of Directors approved a quarterly dividend of $1.1800 per share payable during the fourth quarter of 2026, an increase of $0.08 per share, or 7%, compared to the dividend paid in the previous quarter. This dividend is payable on December 15, 2026 to the common shareholders of record as at November 20, 2026. In addition, the Board of Directors approved a semi-annual dividend of $32.1750 per Non-Cumulative 5-Year Rate Reset Class A Preferred Shares Series C.8 This dividend is payable on December 31, 2026 to the preferred shareholders of record at the close of business on December 4, 2026.

   Dividend Reinvestment and Share Purchase Plan

   Registered common shareholders wishing to enrol in iA Financial Group's Dividend Reinvestment and Share Purchase Plan (DRIP) so as to be eligible to reinvest the next dividend payable on December 15, 2026 must ensure that the duly completed form is delivered to Computershare no later than 4:00 p.m. on November 13, 2026. Enrolment information is provided on iA Financial Group's website at ia.ca, under About iA, in the Investor Relations/Shares and Dividends section. Common shares issued under iA Financial Group's DRIP will be purchased on the secondary market and no discount will be applicable.

   Subordinated Debenture Redemption

   On September 24, 2026, iA Financial Corporation Inc. completed the redemption of its $400 million principal amount of 3.072% subordinated debentures due September 24, 2031, at a redemption price of $1,015.36 per $1,000 principal amount, including accrued and unpaid interest.

   Richardson Wealth to Rebrand as Nobelia Wealth

   On September 21, 2026, Richardson Wealth announced its intention to rebrand as Nobelia Wealth effective November 30, 2026, subject to regulatory approvals. Nobelia Wealth will continue to deliver a distinctive advisory experience, underpinned by the innovative technology and expanded capabilities of iA Financial Group's Wealth Management sector.

   Executive Leadership Appointment

   On September 23, 2026, iA Financial Group announced the appointment of Nicolas Coulombe as Executive Vice-President, Information Technology and Chief Information Officer, effective October 1, 2026. He will also join the Company's Executive Committee. Nicolas Coulombe succeeds Alain Bergeron, Senior Vice-President and Strategic Advisor, Information Technology, who will retire on December 31, 2026. The appointment reflects the central role of technology, data, artificial intelligence and digital transformation in iA Financial Group's business model and strategic ambitions.

   Segregated Funds Surpass $50B in AUM

   iA Financial Group surpassed $50 billion in Individual Wealth Management segregated fund assets under management in September 2026, maintaining its Canadian leadership with nearly 40% market share9. iA has ranked first8 in net segregated fund sales since 2016, supported by quality products, superior service, technology and a broad distribution network.

   6 Capital available for deployment is a supplementary financial measure. Refer to the "Non-IFRS and Additional Financial Measures" section of this document for more information.

   7 Book value per common share is calculated by dividing the common shareholders' equity (which represents total equity, less other equity instruments) by the number of common shares outstanding at the end of the period.

   8 The Non-Cumulative 5-Year Rate Reset Class A Preferred Shares Series C are not listed on the Toronto Stock Exchange or any other stock exchanges.

   9 According to the latest industry data from Investor Economics.

   Subsequent to the third quarter

   Credit Rating Upgrade for Fidelity Life Association

   On October 16, 2026, the credit rating agency AM Best announced that it had upgraded the Financial Strength Rating and Long-Term Issuer Credit Rating of Fidelity Life Association, an entity of iA American Life Group, to A (Excellent) and "a" (Excellent), respectively, with a stable outlook. In addition, AM Best affirmed its other ratings, citing among other factors the very strong balance sheet, strong operating performance, favourable business profile and appropriate enterprise risk management.

   Normal Course Issuer Bid (NCIB) Renewal

   With the approval of the Toronto Stock Exchange and the Autorité des marchés financiers, the Company could purchase, under a Normal Course Issuer Bid between November 14, 2026 and November 13, 2027, up to 4,355,019 common shares, representing approximately 5% of its 87,100,392 common shares issued and outstanding as at October 31, 2026. The purchases will be made at market price on the open market through the facilities of the Toronto Stock Exchange or Canadian alternative trading systems, or by such other means as may be permitted by applicable securities regulators or under applicable securities laws. The common shares repurchased will be cancelled. Upon request to iA Financial Corporation, shareholders may obtain, without charge, copies of the notice of intent related to the Company's NCIB.

2. Business Growth

   Business growth is measured by growth in sales, premiums, premium equivalents and deposits, and assets under management and administration.

   Sales

   Sales measure the Company's ability to generate new business and are defined as fund entries on new business written during the period. For more information on the calculation and presentation of sales within each business unit, refer to the "Non-IFRS and Additional Financial Measures" section in this document.

   Sales Growth by Business Segment

   (in millions of dollars, unless otherwise indicated)	Third quarter			Year-to-date as at September 30
   	2026	2025	Variation	2026	2025	Variation
   INSURANCE, CANADA
   Individual Insurance
   Minimum premiums	96	89	8%	268	266	1%
   Excess premiums	19	13	46%	46	38	21%
   Total	115	102	13%	314	304	3%
   Group Insurance
   Employee Plans	25	33	(24%)	63	111	(43%)
   Special Markets	80	96	(17%)	267	303	(12%)
   Total	105	129	(19%)	330	414	(20%)
   Dealer Services
   Creditor Insurance	54	50	8%	131	135	(3%)
   P&C Insurance	162	164	(1%)	477	467	2%
   Total	216	214	1%	608	602	1%
   General Insurance
   iA Auto and Home	186	180	3%	539	516	4%
   WEALTH MANAGEMENT
   Individual Wealth Management
   Gross sales
   Segregated funds	2,222	1,639	36%	6,690	4,946	35%
   Mutual funds	571	608	(6%)	2,053	1,697	21%
   Other savings products	455	400	14%	1,398	1,295	8%
   Total	3,248	2,647	23%	10,141	7,938	28%
   Net sales
   Segregated funds	1,335	997	338	3,819	2,840	979
   Mutual funds	(68)	25	(93)	(231)	(202)	(29)
   Total	1,267	1,022	245	3,588	2,638	950
   Group Savings and Retirement	745	607	23%	2,557	2,269	13%
   US OPERATIONS ($US)
   Individual Insurance	97	78	24%	262	224	17%
   Dealer Services	298	286	4%	863	888	(3%)

   INSURANCE, CANADA

   Individual Insurance

   Third quarter sales totalled $115 million, a 13% increase over the same quarter last year. The Company maintained its leading position in the Canadian market for number of policies issued.1 This result reflects the strength of our growing distribution networks, the excellent performance of our digital tools, as well as our comprehensive and distinctive range of products.

   Group Insurance

   Third quarter implemented sales in Employee Plans totalled $25 million compared to $33 million in the same quarter a year earlier. The decrease mainly reflects the impact of one particularly large sale recorded in the third quarter of 2025. Net premiums, premium equivalents and deposits for Employee Plans were comparable to those of the same quarter last year. Sales in this business unit can vary considerably from quarter to quarter depending on the size of contracts sold. Special Markets sales reached $80 million compared to $96 million in the same quarter last year. The year-over-year decrease mainly reflects the strategic termination of two groups during the quarter. Excluding these terminations, sales for the third quarter of 2026 were in line with those of the third quarter of 2025.

   Dealer Services

   Total sales ended the third quarter at $216 million, which is 1% higher than in the same quarter in 2025. This growth was supported by an 8% year-over-year increase in creditor insurance sales. P&C Insurance sales remained good during the quarter, totalling $162 million, which is in line with the results reported a year ago.

   General Insurance (iA Auto and Home)

   Direct written premiums reached $186 million in the third quarter, an increase of 3% from a year earlier. This result reflects the increased number of policies and the favourable impact of price adjustments in the last 12 months.

   WEALTH MANAGEMENT

   Individual Wealth Management

   Total assets under administration and assets under management reached $288 billion at the end of the quarter, a 39% increase over the past 12 months. This strong performance is the result of net inflows, market growth in the last 12 months, and the addition of assets under administration from the RF Capital Group2 acquisition. Sales of segregated funds maintained their strong momentum during the third quarter, with gross sales of $2.2 billion, a 36% year-over-year increase, and net sales of $1.3 billion. The Company continued to rank first in Canada in gross and net segregated fund sales.3 This robust performance was notably driven by the strength of our growing distribution networks and our competitive and comprehensive product lineup. Mutual fund gross sales totalled $571 million during the third quarter, down 6% from $608 million a year ago. Net outflows of $68 million were recorded. Demand for other savings products was strong, resulting in sales of $455 million in the third quarter, 14% higher than in the same period of 2025.

   Group Savings and Retirement

   Sales for the third quarter totalled $745 million, representing a 23% increase from $607 million a year earlier. This performance was driven by strong accumulation product sales. Total assets under management at the end of the quarter were 9% higher than a year earlier.

   US OPERATIONS

   Individual Insurance

   Quarterly sales reached a record US$97 million, 24% higher than the same period a year earlier. This increase was driven by growth in the final expense and middle market segments, supported by strong engagement across our distribution network.

   Dealer Services

   Third quarter sales were up 4% over the same period last year, reaching US$298 million. This result reflects the effectiveness and diversity of our distribution channels, supported by the quality of our products and services, despite less favourable U.S. auto industry conditions and dealer group attrition within administration-fee-generating dealer channels.

   1 According to the latest Canadian data published by LIMRA.

   2 RF Capital Group wholly owns Richardson Wealth, the brand under which it operates its wealth management distribution activities. Richardson Wealth intends to rebrand as Nobelia Wealth effective November 30, 2026, subject to regulatory approvals.

   3 According to the latest industry data from Investor Economics.

   ASSETS UNDER MANAGEMENT AND ASSETS UNDER ADMINISTRATION

   Assets under management and assets under administration measure the Company's ability to generate fees for funds under management and funds under administration.

   Assets Under Management and Assets Under Administration

   (in millions of dollars)	September 30, 2026	June 30, 2026	December 31, 2025	September 30, 2025
   Assets under management
   General fund4	61,633	62,213	59,761	58,833
   Segregated funds	73,150	72,119	63,047	61,056
   Mutual funds	14,508	14,835	14,099	13,925
   Other	6,420	6,524	6,252	6,115
   Subtotal	155,711	155,691	143,159	139,929
   Assets under administration	219,261	218,434	197,910	148,892
   Total	374,972	374,125	341,069	288,821

   Total assets under management and assets under administration amounted to nearly $375 billion as at September 30, 2026, recording an increase of 30% over the last 12 months. This solid growth was driven by strong net fund inflows, particularly for segregated funds, by the performance of financial markets, and by the addition of assets under administration from the RF Capital Group5 acquisition completed on October 31, 2025. The Company maintained its position as the Canadian leader in segregated fund assets under management.6

   NET PREMIUMS, PREMIUM EQUIVALENTS AND DEPOSITS

   Net premiums, premium equivalents and deposits include entries from both new business written and in-force contracts. For more information on the calculation and presentation of net premiums, premium equivalents and deposits within each business unit, refer to the "Non-IFRS and Additional Financial Measures" section in this document.

   Net Premiums, Premium Equivalents and Deposits

   (in millions of dollars)	Third quarter			Year-to-date as at September 30
   	2026	2025	Variation	2026	2025	Variation
   Insurance, Canada
   Individual Insurance	653	603	8%	1,944	1,798	8%
   Group Insurance	514	526	(2%)	1,576	1,601	(2%)
   Dealer Services	192	191	1%	535	533	-%
   General Insurance7	167	154	8%	486	443	10%
   Wealth Management
   Individual Wealth Management	3,248	2,647	23%	10,141	7,938	28%
   Group Savings and Retirement	738	603	22%	2,538	2,255	13%
   US Operations
   Individual Insurance	287	259	11%	833	767	9%
   Dealer Services	252	232	9%	712	733	(3%)
   Total	6,051	5,215	16%	18,765	16,068	17%

   Net premiums, premium equivalents and deposits amounted to nearly $6.1 billion in the third quarter, which is 16% higher than the same period last year. This performance was mainly driven by the results in the Wealth Management segment, with almost all other business units also delivering good growth.

   4 All general fund assets, including insured annuities, other savings products and other accumulation contracts.

   5 RF Capital Group wholly owns Richardson Wealth, the brand under which it operates its wealth management distribution activities. Richardson Wealth intends to rebrand as Nobelia Wealth effective November 30, 2026, subject to regulatory approvals.

   6 According to the latest industry data from Investor Economics.

   7 Includes iA Auto and Home and some minor consolidation adjustments.

3. Analysis of Earnings by Business Segment

   The following tables set out the core earnings† and net income attributed to common shareholders by business segment. An analysis of performance by business segment, for the third quarter and for the first nine months, as well as a reconciliation between the net income attributed to common shareholders and core earnings† for each business segment are provided in the following pages.

   Core Earnings (Losses)†

   (in millions of dollars, unless otherwise indicated)	Q3/2026	Q2/2026	Quarter- over-quarter variation	Q3/2025	Year-over- year variation	Year-to-date as at September 30
   						2026	2025	Variation
   Insurance, Canada	135	128	5%	113	19%	359	346	4%
   Wealth Management	151	155	(3%)	125	21%	437	344	27%
   US Operations	37	24	54%	32	16%	87	98	(11%)
   Investment	93	79	18%	105	(11%)	265	292	(9%)
   Corporate	(60)	(56)	(7%)	(52)	(15%)	(164)	(157)	(4%)
   Total	356	330	8%	323	10%	984	923	7%

   Net Income (Loss) Attributed to Common Shareholders

   (in millions of dollars, unless otherwise indicated)	Q3/2026	Q2/2026	Quarter- over-quarter variation	Q3/2025	Year-over- year variation	Year-to-date as at September 30
   						2026	2025	Variation
   Insurance, Canada	127	118	8%	103	23%	333	320	4%
   Wealth Management	132	134	(1%)	116	14%	380	316	20%
   US Operations	27	12	125%	21	29%	55	95	(42%)
   Investment	33	183	(82%)	179	(82%)	188	317	(41%)
   Corporate	(64)	(63)	(2%)	(55)	(16%)	(180)	(177)	(2%)
   Total	255	384	(34%)	364	(30%)	776	871	(11%)

   Reconciliation of Net Income Attributed to Common Shareholders and Core Earnings†

   The following table presents net income attributed to common shareholders and the adjustments that account for the difference between net income attributed to common shareholders and core earnings.†

   Net Income Attributed to Common Shareholders and Core Earnings† Reconciliation - Consolidated

   (in millions of dollars, unless otherwise indicated)	Third quarter			Year-to-date as at September 30
   	2026	2025	Variation	2026	2025	Variation
   Net income attributed to common shareholders	255	364	(30%)	776	871	(11%)
   Core earnings adjustments (post tax)
   Market-related impacts	60	(73)		43	(9)
   Interest rates and credit spreads	25	(22)		21	7
   Non-fixed income	17	(58)		2	(32)
   Equity (public and private) and infrastructure	-	(75)		(37)	(90)
   Investment properties	17	17		39	58
   CIF1	18	7		20	16
   Currency	-	-		-	-
   Assumption changes and management actions	-	1		2	(26)
   Charges or proceeds related to acquisition, disposition, integration or restructuring of a business	10	4		28	9
   Amortization of acquisition-related finite life intangible assets	25	20		75	61
   Non-core pension expense	4	7		12	15
   Specified items	2	-		48	2
   Total	101	(41)		208	52
   Core earnings†	356	323	10%	984	923	7%

   Core earnings† of $356 million in the third quarter are derived from net income attributed to common shareholders of $255 million, after applying a total adjustment of $101 million (post tax) for:

   • Market-related impacts that differ from management's expectations resulted in a $60 million decrease in net income. This adjustment is explained by unfavourable impacts from interest rate and credit spread variations ($25 million); investment properties ($17 million), mainly driven by market value adjustments; and the impact of the CIF1 ($18 million).

   • A net charge of $10 million mainly related to the integrations of RF Capital Group2, Fidelity Life and eFinancial (both entities of Vericity) and Global Warranty.

   • Expenses associated with the amortization of acquisition-related finite life intangible assets of $25 million.

   • The impact of the non-core pension expense of $4 million.

   • Specified items resulting in a $2 million decrease in net income, mainly attributable to adjustments and charges related to previous years.

     1 Impact of the tax-exempt investment income (above or below expected long-term tax impacts) from the Company's multinational insurer status.

     2 RF Capital Group wholly owns Richardson Wealth, the brand under which it operates its wealth management distribution activities. Richardson Wealth intends to rebrand as Nobelia Wealth effective November 30, 2026, subject to regulatory approvals.

     Insurance, Canada

     This operating business segment includes all Canadian insurance activities and offers a wide range of life, health, auto and home insurance coverage to individuals and groups, as well as vehicle warranties.

     Net Income and Core Earnings† Reconciliation - Insurance, Canada

     (in millions of dollars, unless otherwise indicated)	Third quarter			Year-to-date as at September 30
     	2026	2025	Variation	2026	2025	Variation
     Net income attributed to common shareholders	127	103	23%	333	320	4%
     Core earnings adjustments (post tax)
     Market-related impacts	-	-		-	-
     Assumption changes and management actions	-	-		4	(6)
     Charges or proceeds related to acquisition, disposition, integration or restructuring of a business	-	-		(1) -
     Amortization of acquisition-related finite life intangible assets	5	5		15	15
     Non-core pension expense	2	5		6	11
     Specified items	1	-		2	6
     Total	8	10		26	26
     Core earnings†	135	113	19%	359	346	4%

     Results for the third quarter of 2026

   • The net income attributed to common shareholders for the Insurance, Canada segment was $127 million, which is 23% higher than the

     $103 million recorded for the same period in 2025. Net income attributed to common shareholders is composed of core earnings† as well as core earnings adjustments. For more information on the factors contributing to the variations between the periods, refer to the "Insurance, Canada" subsection of the "Analysis According to the Financial Statements" section of this document.

   • Core earnings adjustments to net income totalled $8 million. These adjustments include the amortization of acquisition-related finite life intangible assets ($5 million), the non-core pension expense ($2 million) and a reallocation for reporting consistency ($1 million), which sum to zero on a consolidated basis.

   • Core earnings† for this business segment were $135 million for the third quarter compared to $113 million for the same period in 2025. The 19% increase in core earnings† reflects the net impact of the following:

     • Core insurance service result3 totalling $181 million compared to $149 million a year earlier, mainly explained by:

       • Core insurance experience gains3 of $35 million, mainly reflecting favourable mortality experience in Individual Insurance and Employee Plans, as well as lower claims at iA Auto and Home during the period, compared to core insurance experience losses3 of $2 million for the same period in 2025.

       • The combined risk adjustment (RA) release3 and CSM recognized for services provided3, which is $4 million higher than for the same period in 2025, mainly from Individual Insurance and Employee Plans.

       • Expected earnings on Premium Allocation Approach (PAA) business, which is $6 million lower than a year earlier, mainly reflecting a revision to seasonality assumptions at iA Auto and Home.

       • The impact of new insurance business,3 which is the result of confirmed sales in Employee Plans, totalling $13 million this quarter compared to

         $10 million for the same period in 2025.

     • Core non-insurance activities3 of $19 million for the quarter, the same as a year earlier.

     • Core other expenses3 of $16 million for the quarter compared to $13 million a year earlier to support business growth initiatives.

     • Core income taxes3 of $49 million for the quarter compared to $42 million a year earlier, mainly due to higher core earnings before taxes.

       3 This item is a component of the drivers of earnings (DOE). Refer to the "Non-IFRS and Additional Financial Measures" section in this document for more information on presentation according to the DOE. For a reconciliation of core earnings† to net income attributed to common shareholders through the drivers of earnings (DOE), refer to the "Reconciliation of Select Non-IFRS Financial Measures" section of this document.

       Results for the first nine months of 2026

   • The net income attributed to common shareholders was $333 million in the first nine months of 2026, which is 4% higher than the $320 million recorded for the same period in 2025. Net income attributed to common shareholders is composed of core earnings† as well as core earnings adjustments.

   • Core earnings adjustments to net income totalled $26 million. These adjustments include the amortization of acquisition-related finite life intangible assets ($15 million), the impact of non-core pension expenses ($6 million), the impact of the management action related to the pension plan as disclosed in the second quarter of 20254 ($4 million) and a reallocation for reporting consistency ($2 million), which sum to zero on a consolidated basis. These items were partially offset by charges or proceeds related to the disposition or restructuring of a business ($1 million).

   • Core earnings† were $359 million in the first nine months of 2026 compared to $346 million for the same period in 2025. The 4% increase in core earnings† is mainly attributable to the higher combined RA release and CSM recognized for services provided as well as to higher core insurance experience gains5 than for the same period in 2025.

     4 The charge was the result of a management action to allocate a portion of the pension plan surplus in the form of a one-time increase in benefits to current retirees and a reduction in contributions for active members from the third quarter of 2025 to the second quarter of 2026.

     5 This item is a component of the drivers of earnings (DOE). Refer to the "Non-IFRS and Additional Financial Measures" section in this document for more information on presentation according to the DOE. For a reconciliation of core earnings† to net income attributed to common shareholders through the drivers of earnings (DOE), refer to the "Reconciliation of Select Non-IFRS Financial Measures" section of this document.

     Wealth Management

     This operating business segment includes all the Company's wealth management activities and offers a wide range of savings and retirement solutions to individuals and groups.

     Income and Core Earnings† Reconciliation - Wealth Management

     (in millions of dollars, unless otherwise indicated)	Third quarter			Year-to-date as at September 30
     	2026	2025	Variation	2026	2025	Variation
     Net income attributed to common shareholders	132	116	14%	380	316	20%
     Core earnings adjustments (post tax)
     Market-related impacts	-	-		-	-
     Assumption changes and management actions	-	-		2	-
     Charges or proceeds related to acquisition, disposition, integration or restructuring of a business	6	-		15	-
     Amortization of acquisition-related finite life intangible assets	12	7		36	21
     Non-core pension expense	1	2		3	4
     Specified items	-	-		1	3
     Total	19	9		57	28
     Core earnings†	151	125	21%	437	344	27%

     Results for the third quarter of 2026

   • The net income attributed to common shareholders for the Wealth Management segment was $132 million, which is 14% higher than the $116 million recorded for the same period in 2025. Net income attributed to common shareholders is composed of core earnings† as well as core earnings adjustments. For more information on the factors contributing to the variations between the periods, refer to the "Wealth Management" subsection of the "Analysis According to the Financial Statements" section of this document.

   • Core earnings adjustments to net income totalled $19 million. These include an $18 million adjustment related primarily to acquisition items and

     $1 million for the non-core pension expense.

   • Core earnings† for this business segment were $151 million for the third quarter compared with $125 million a year ago. The 21% increase in core earnings† over the same period in 2025 is mainly the result of the higher combined RA release and CSM recognized for services provided due to strong net segregated fund sales and the impact of favourable financial markets over the 12-month period. Additionally, core non-insurance activities, which combine the results of iA Clarington and the three distribution and advisory affiliates, including RF Capital Group6, were 27% higher, reflecting increased net revenue on assets. RF Capital Group5 had a strong contribution, remaining on track to reach core EPS† † accretion of at least $0.15 per share in 2026. Growth of core non-insurance activities was slightly tempered by higher expenses to support business growth.

     Results for the first nine months of 2026

   • The net income attributed to common shareholders was $380 million in the first nine months of 2026, which is 20% higher than the $316 million recorded for the same period in 2025. Net income attributed to common shareholders is composed of core earnings† as well as core earnings adjustments.

   • Core earnings adjustments to net income totalled $57 million. These adjustments include mainly acquisition-related items ($51 million), as well as the impact of non-core pension expenses ($3 million), the impact of the management action related to the pension plan as disclosed in the second quarter of 2025 ($2 million) and a tax-related item from RF Capital Group5 for periods prior to the acquisition ($1 million).

   • Core earnings† were $437 million in the first nine months of 2026 compared to $344 million for the same period in 2025. The 27% increase over the same period in 2025 is mainly the result of an increase in the combined RA release and CSM recognized for services provided due to strong net segregated fund sales and the impact of favourable financial markets over the 12-month period. It was also the result of higher core non-insurance activities, mainly from higher net revenue on assets, including the strong contribution of the RF Capital Group5 acquisition.

     6 RF Capital Group wholly owns Richardson Wealth, the brand under which it operates its wealth management distribution activities. Richardson Wealth intends to rebrand as Nobelia Wealth effective November 30, 2026, subject to regulatory approvals.

     US Operations

     This operating business segment includes all the Company's U.S. activities and offers individuals a range of life insurance and vehicle warranty products.

     Net Income and Core Earnings† Reconciliation - US Operations

     (in millions of dollars, unless otherwise indicated)	Third quarter			Year-to-date as at September 30
     	2026	2025	Variation	2026	2025	Variation
     Net income attributed to common shareholders	27	21	29%	55	95	(42%)
     Core earnings adjustments (post tax)
     Market-related impacts	-	-		-	-
     Assumption changes and management actions	-	-		-	(30)
     Charges or proceeds related to acquisition, disposition, integration or restructuring of a business	1	2		3	4
     Amortization of acquisition-related finite life intangible assets	8	8		24	25
     Non-core pension expense	-	-		-	-
     Specified items	1	1		5	4
     Total	10	11		32	3
     Core earnings†	37	32	16%	87	98	(11%)

     Results for the third quarter of 2026

   • The net income attributed to common shareholders for the US Operations segment was $27 million, which is 29% higher than the $21 million recorded for the same period in 2025. Net income attributed to common shareholders is composed of core earnings† as well as core earnings adjustments. For more information on the factors contributing to the variations between the periods, refer to the "US Operations" subsection of the "Analysis According to the Financial Statements" section of this document.

   • Core earnings adjustments to net income totalled $10 million. These include a $9 million adjustment related primarily to acquisition items and $1 million for small specified items, mainly attributable to charges related to previous years.

   • Core earnings† for this business segment were $37 million for the third quarter, which is 16% higher than the $32 million recorded for the same period in 2025. Expected insurance earnings7 were higher due to the increase in the combined RA release and CSM recognized for services provided, mainly driven by good business growth in Individual Insurance in the current and previous periods. Expected earnings on PAA insurance business in Dealer Services increased 18% year over year. In addition, core insurance experience gains of $5 million were recorded, mainly due to favourable mortality experience that was partly offset by unfavourable policyholder behaviour at American Amicable. Core non-insurance activities were lower than a year ago, reflecting a sales mix in US Dealer Services weighted toward insurance products, less favourable U.S. auto market conditions and dealer group attrition within administration-fee-generating dealer channels.

   • The combined result from Fidelity Life and eFinancial (the Vericity acquisition) was accretive to core EPS†† in the third quarter of 2026.

     Results for the first nine months of 2026

   • The net income attributed to common shareholders was $55 million in the first nine months of 2026, which is 42% lower than the $95 million recorded for the same period in 2025. Net income attributed to common shareholders is composed of core earnings† as well as core earnings adjustments.

   • Core earnings adjustments to net income totalled $32 million. These include a $27 million adjustment related primarily to acquisition items and

     $5 million for specified items, including adjustments and charges related to previous years and a reallocation for reporting consistency, which sum to zero on a consolidated basis.

   • Core earnings† were $87 million in the first nine months of 2026, which is 11% lower than the $98 million recorded for the same period in 2025. Expected insurance earnings were higher than a year ago due to the increase in the combined RA release and CSM recognized for services provided, mainly driven by good business growth in Individual Insurance in the current and previous periods, and higher expected earnings on PAA insurance business from Dealer Services. Core insurance experience losses of $12 million were recorded, mainly from unfavourable policyholder behaviour in the first quarter and unfavourable mortality experience in the second quarter in Individual Insurance, partially offset by core insurance experience gains in the third quarter, as mentioned above. Core non-insurance activities were lower than a year ago, reflecting a sales mix in US Dealer Services weighted toward insurance products.

     7 This item is a component of the drivers of earnings (DOE). Refer to the "Non-IFRS and Additional Financial Measures" section in this document for more information on presentation according to the DOE. For a reconciliation of core earnings† to net income attributed to common shareholders through the drivers of earnings (DOE), refer to the "Reconciliation of Select Non-IFRS Financial Measures" section of this document.

     Investment

     This accounting segment includes the Company's investment and financing activities, except for the investment activities of the wealth distribution and advisory affiliates.

     Net Income and Core Earnings† Reconciliation - Investment

     (in millions of dollars, unless otherwise indicated)	Third quarter			Year-to-date as at September 30
     	2026	2025	Variation	2026	2025	Variation
     Net income (loss) attributed to common shareholders	33	179	(82%)	188	317	(41%)
     Core earnings adjustments (post tax)
     Market-related impacts	60	(73)		43	(9)
     Interest rates and credit spreads	25	(22)		21	7
     Non-fixed income	17	(58)		2	(32)
     Equity (public and private) and infrastructure	-	(75)		(37)	(90)
     Investment properties	17	17		39	58
     CIF8	18	7		20	16
     Currency	-	-		-	-
     Assumption changes and management actions	-	-		(6)	(5)
     Charges or proceeds related to acquisition, disposition, integration or restructuring of a business	-	-		-	-
     Amortization of acquisition-related finite life intangible assets	-	-		-	-
     Non-core pension expense	-	-		-	-
     Specified items	-	(1)		40	(11)
     Total	60	(74)		77	(25)
     Core earnings†	93	105	(11%)	265	292	(9%)

     Results for the third quarter of 2026

   • The net income attributed to common shareholders was $33 million, which is 82% lower than the $179 million recorded for the same period in 2025. Net income attributed to common shareholders is composed of core earnings† as well as core earnings adjustments.

   • Core earnings adjustments to net income totalled $60 million from market-related impacts that differ from management's expectations. These adjustments are explained by unfavourable impacts from interest rate and credit spread variations ($25 million); investment properties ($17 million), mainly driven by market value adjustments; and the CIF ($18 million).

   • Core earnings† for this business segment were $93 million compared to $105 million for the same period in 2025. The 11% decrease is explained by higher financing charges on debentures9 and higher core income taxes9. Before accounting for these items, core earnings† were driven by a core net investment result9 of $132 million, higher than the $129 million recorded the previous quarter and comparable to the $132 million recorded a year earlier. The core net investment result is composed of expected investment earnings6 and credit experience.6

     • Expected investment earnings6 quarter-over-quarter analysis - $131 million in the third quarter compared to $119 million in the second quarter of 2026. The increase was primarily driven by the favourable impact of macroeconomic variations, mainly reflecting higher rates and the steepening of the yield curve, and by higher exposure to non-fixed income assets. In addition, expected investment earnings benefited from the contributions of the May capital issuance and iA Auto Finance. These positive items were partially offset by lower invested assets, mainly from capital deployment activities, which include share repurchases under the NCIB.

     • Expected investment earnings year-over-year analysis - $131 million in the third quarter compared to $129 million a year earlier. Favourable macroeconomic variations, higher exposure to non-fixed income assets and the May 2026 capital issuance all contributed positively to expected investment earnings. These favourable items were partially offset by lower invested assets following the acquisition of RF Capital Group10 in the fourth quarter of 2025 and the impact of share repurchases under the NCIB.

     • Credit experience - $1 million gain in the third quarter due to higher impacts from upgrades than downgrades in the fixed income portfolio.

       8 Impact of the tax-exempt investment income (above or below expected long-term tax impacts) from the Company's multinational insurer status.

       9 This item is a component of the drivers of earnings (DOE). Refer to the "Non-IFRS and Additional Financial Measures" section in this document for more information on presentation according to the DOE. For a reconciliation of core earnings† to net income attributed to common shareholders through the drivers of earnings (DOE), refer to the "Reconciliation of Select Non-IFRS Financial Measures" section of this document.

       10 RF Capital Group wholly owns Richardson Wealth, the brand under which it operates its wealth management distribution activities. Richardson Wealth intends to rebrand as Nobelia Wealth effective November 30, 2026, subject to regulatory approvals.

       Results for the first nine months of 2026

   • The net income attributed to common shareholders was $188 million in the first nine months of 2026, which is 41% lower than the $317 million recorded for the same period in 2025. Net income attributed to common shareholders is composed of core earnings† as well as core earnings adjustments.

   • Core earnings adjustments totalled $77 million as a result of the following items: market-related impacts that differ from management's expectations, resulting in a $43 million decrease in net income, and a $40 million tax-related adjustment for the 2025 fiscal year, partly offset by the positive impact of assumption changes of $6 million in the first quarter.

   • Core earnings† totalled $265 million in the first nine months of 2026 compared to $292 million for the same period in 2025. The 9% decrease is explained by higher distributions on other equity instruments and dividends on preferred shares11 and higher core income taxes. Before accounting for these items, core earnings† were driven by a core net investment result of $387 million compared with $383 million recorded a year earlier. The increase primarily reflects favourable macroeconomic variations, positive credit experience, higher exposure to non-fixed income assets and the contribution of iA Auto Finance. These favourable items were partially offset by the impact of a reduction in assets following the acquisition of RF Capital Group12 and share repurchases (NCIB).

     11 This item is a component of the drivers of earnings (DOE). Refer to the "Non-IFRS and Additional Financial Measures" section in this document for more information on presentation according to the DOE. For a reconciliation of core earnings† to net income attributed to common shareholders through the drivers of earnings (DOE), refer to the "Reconciliation of Select Non-IFRS Financial Measures" section of this document.

     12 RF Capital Group wholly owns Richardson Wealth, the brand under which it operates its wealth management distribution activities. Richardson Wealth intends to rebrand as Nobelia Wealth

     effective November 30, 2026, subject to regulatory approvals.

     Corporate

     This accounting segment reports all expenses that are not allocated to other segments, such as expenses for certain corporate functions. These expenses include, among other things, investments in the digital transformation, M&A prospecting activities, digital data and security projects, and regulatory compliance projects.

     Net Income and Core Earnings† Reconciliation - Corporate

     (in millions of dollars, unless otherwise indicated)	Third quarter			Year-to-date as at September 30
     	2026	2025	Variation	2026	2025	Variation
     Net income (loss) attributed to common shareholders	(64)	(55)	(16%)	(180)	(177)	(2%)
     Core earnings (losses) adjustments (post tax)
     Market-related impacts	-	-		-	-
     Assumption changes and management actions	-	1		2	15
     Charges or proceeds related to acquisition, disposition, integration or restructuring of a business	3	2		11	5
     Amortization of acquisition-related finite life intangible assets	-	-		-	-
     Non-core pension expense	1	-		3	-
     Specified items	-	-		-	-
     Total	4	3		16	20
     Core earnings† (losses)	(60)	(52)	(15%)	(164)	(157)	(4%)

     Results for the third quarter of 2026

   • Net loss attributed to common shareholders for the Corporate segment was $64 million, which is 16% higher than the $55 million recorded for the same period in 2025. This item is composed of core losses† as well as core losses adjustments.

   • Core losses adjustments to net loss for this business segment totalled $4 million. These adjustments mainly include charges related to the integrations of RF Capital Group13, Fidelity Life and eFinancial (both entities of Vericity) and Global Warranty (collectively, $3 million) and the non-core pension expense ($1 million).

   • This segment recorded core losses† from after-tax expenses of $60 million compared to $52 million in the third quarter of 2025. Before taxes, corporate core other expenses were $80 million compared to $70 million in the third quarter of 2025. Corporate core other expenses are composed of core other expenses of $67 million and a higher-than-expected provision for variable compensation of $13 million before taxes, reflecting the Company's strong financial performance, solid business growth and the appreciation of the Company's stock price. Core other expenses of $67 million reflect disciplined expense management amid inflationary pressures, supported by a strong, ongoing focus on operational efficiency and investments to enhance IT infrastructure performance.

     Results for the first nine months of 2026

   • The net loss attributed to common shareholders for the Corporate segment was $180 million in the first nine months of 2026, which is 2% higher than the $177 million recorded for the same period in 2025. This item is composed of core losses† as well as core losses adjustments.

   • Core losses adjustments to net loss for this business segment totalled $16 million. These adjustments include charges related to the acquisition, integration and restructuring of a business, mainly from the RF Capital Group11, Fidelity Life and eFinancial (both entities of Vericity) and Global Warranty acquisitions (collectively, $11 million). They also include the non-core pension expense ($3 million) and the impact of the management action related to the pension plan, as disclosed in the second quarter of 2025 ($2 million).

   • This segment recorded core losses† from after-tax expenses of $164 million compared to $157 million for the same period in 2025. This result is derived from corporate core other expenses of $219 million before taxes, which compares to $214 million in 2025, reflecting the Company's continued growth.

     13 RF Capital Group wholly owns Richardson Wealth, the brand under which it operates its wealth management distribution activities. Richardson Wealth intends to rebrand as Nobelia Wealth effective November 30, 2026, subject to regulatory approvals.

     Consolidated items

     Income taxes

     Income taxes represent the value of amounts payable under the tax laws and include both tax payable and deferred income taxes. A life insurer's investment income taxes and premium taxes are not included in these amounts.

     Results for the third quarter of 2026

   • The income tax expense amounted to $106 million compared to $107 million for the same period in 2025, corresponding to an effective tax rate (ETR) of 28.6%. The result for the third quarter of 2026 comprises the tax charge included in core earnings† as well as core tax adjustments. For more information on the factors contributing to the variations between the periods, refer to the "Income tax (expense) recovery" subsection of the "Analysis According to the Financial Statements" section of this document.

   • Core tax adjustments resulted in a $1 million increase in income tax in the third quarter, as the favourable impact of the difference between income before income taxes and core earnings† before taxes was more than offset by the unfavourable impact of the CIF and a lower portion of tax-exempt investment income.

   • Core income taxes in the third quarter were $105 million compared to $83 million for the same period in 2025, corresponding to a core ETR†† of 22.3%. The core ETR†† was driven upwards by the impact of higher core earnings† before taxes than for the same period in 2025, taxed at a higher marginal rate.

     Results for the first nine months of 2026

   • Income tax expense amounted to $320 million in the first nine months of 2026 compared to $196 million for the same period in 2025, for an ETR of 28.2%. The result for the first nine months of 2026 comprises the tax charge included in core earnings† as well as core tax adjustments. For more information on the factors contributing to the variations between the periods, refer to the "Income tax (expense) recovery" subsection of the "Analysis According to the Financial Statements" section of this document.

   • Core tax adjustments totalled $34 million for the first nine months, mostly due to the first-quarter $40 million tax-related adjustment for the 2025 fiscal year, which was partially offset by the difference between income before income taxes and core earnings† before taxes.

   • Core income taxes in the first nine months were $286 million compared to $251 million for the same period in 2025, for a core ETR†† of 21.9%.

     Distributions on Other Equity Instruments and Dividends on Preferred Shares

     This item represents the after-tax dividends on preferred shares and distributions on other equity instruments, which amounted to $9 million in the third quarter of 2026, comparable to the same period in 2025. For the year to date, the amount is $37 million compared to $24 million for the same period in 2025. The increase reflects the dividend payment on institutional preferred shares issued in the second quarter of 2025.

4. Analysis According to the Financial Statements

   The analysis of the results below should be read in conjunction with the "Consolidated Income Statement" and "Segmented Information" sections included at the end of this document.

   Net Income Attributed to Common Shareholders

   For the third quarter of 2026, net income attributed to common shareholders totalled $255 million, compared to $364 million for the same period in 2025. For the nine months ended September 30, 2026, net income attributed to common shareholders totalled $776 million, compared to $871 million in 2025.

   The breakdown of net income attributed to common shareholders by segment and the factors contributing to the variations between the periods are presented and discussed in the analysis of results below.

   Segmented Results

   The following tables present the Company's financial results by business segment according to the financial statements for the third quarter of 2026 and 2025, as well as for the nine-month periods ended September 30, 2026 and 2025.

   (in millions of dollars)	Third quarter
   	Insurance, Canada		Wealth Management		US Operations		Investment		Corporate		Consolidation adjustments		Total
   	2026	2025	2026	2025	2026	2025	2026	2025	2026	2025	2026	2025	2026	2025
   Insurance service result
   Insurance revenue	1,124	1,080	416	348	524	489	-	-	-	-	-	-	2,064	1,917
   Insurance service expenses and net expenses from reinsurance contracts	(944) (931)		(281) (235)		(460) (435)		-	-	-	-	-	-	(1,685) (1,601)
   	180	149	135	113	64	54	-	-	-	-	-	-	379	316
   Net investment result
   Net investment income	-	-	38	26	-	-	(1,748)	1,029	2	3	-	-	(1,708)	1,058
   Finance income (expenses) from insurance and reinsurance contracts and change in investment contracts and interest on deposits	-	-	(4) (2)		-	-	1,872 (756)		-	-	-	-	1,868 (758)
   	-	-	34	24	-	-	124	273	2	3	-	-	160	300
   Other revenues	56	51	593	413	44	46	9	8	2	-	(27) (18)		677	500
   Other expenses	(62) (58)		(581) (391)		(73) (72)		(67) (56)		(90) (77)		27	18	(846) (636)
   Income before income taxes	174	142	181	159	35	28	66	225	(86) (74)		-	-	370	480
   Income tax (expense) recovery	(47) (39)		(49) (43)		(8) (7)		(24) (37)		22	19	-	-	(106) (107)
   Net income	127	103	132	116	27	21	42	188	(64) (55)		-	-	264	373
   Dividends on preferred shares and distributions on other equity instruments	-	-	-	-	-	-	(9) (9)		-	-	-	-	(9) (9)
   Net income attributed to common shareholders	127	103	132	116	27	21	33	179	(64) (55)		-	-	255	364

   (in millions of dollars)	Year-to-date as at September 30
   	Insurance, Canada		Wealth Management		US Operations		Investment		Corporate		Consolidation adjustments		Total
   	2026	2025	2026	2025	2026	2025	2026	2025	2026	2025	2026	2025	2026	2025
   Insurance service result
   Insurance revenue	3,368	3,206	1,192	976	1,549	1,442	-	-	-	-	-	-	6,109	5,624
   Insurance service expenses and net expenses from reinsurance contracts	(2,880) (2,744)		(807) (662)		(1,387) (1,281)		-	-	-	-	-	-	(5,074) (4,687)
   	488	462	385	314	162	161	-	-	-	-	-	-	1,035	937
   Net investment result
   Net investment income	-	-	122	80	-	-	30	1,328	9	8	-	-	161	1,416
   Finance income (expenses) from insurance and reinsurance contracts and change in investment contracts and interest on deposits	-	-	(10) (3)		-	-	468 (818)		-	-	-	-	458 (821)
   	-	-	112	77	-	-	498	510	9	8	-	-	619	595
   Other revenues	169	166	1,713	1,181	132	150	28	26	4	3	(81) (53)		1,965	1,473
   Other expenses	(198) (180)		(1,697) (1,135)		(223) (224)		(193) (176)		(256) (252)		81	53	(2,486) (1,914)
   Income before income taxes	459	448	513	437	71	87	333	360	(243) (241)		-	-	1,133	1,091
   Income tax (expense) recovery	(126) (128)		(133) (121)		(16) 8		(108) (19)		63	64	-	-	(320) (196)
   Net income	333	320	380	316	55	95	225	341	(180) (177)		-	-	813	895
   Dividends on preferred shares and distributions on other equity instruments	-	-	-	-	-	-	(37) (24)		-	-	-	-	(37) (24)
   Net income attributed to common shareholders	333	320	380	316	55	95	188	317	(180) (177)		-	-	776	871

   Insurance Service Result

   Insurance, Canada

   For the third quarter of 2026, the insurance service result in the Insurance, Canada segment totalled $180 million compared to $149 million for the same period in 2025.

   The segment's insurance revenue amounted to $1,124 million in the third quarter of 2026, up 4% from $1,080 million in the same quarter last year. The increase was primarily driven by Individual Insurance, reflecting higher insurance revenue recognized to cover expected claims and other insurance service expenses, as well as higher recovery of insurance acquisition cash flows. The increase was also supported by iA Auto and Home, mainly due to premium adjustments to cover higher expected claims costs and growth in the number of policies. These items were partially offset by less student medical insurance business in Group Insurance: Special Markets, driven by lower demand and the termination of two groups during the quarter, with a corresponding decrease in insurance service expenses.

   The segment's insurance service expenses and net expenses from reinsurance contracts totalled $944 million in the third quarter of 2026 compared to

   $931 million in the same quarter last year. This change reflects the impact of business growth over the years, which led to higher amortization of insurance acquisition cash flows, as well as higher incurred claims and other insurance service expenses. These impacts were partially offset by less student medical insurance business in Group Insurance: Special Markets.

   For the nine months ended September 30, 2026, the insurance service result for the Insurance, Canada segment was $488 million, an increase of $26 million or 6% compared with the same period in 2025. The increase was mainly driven by higher insurance experience gains in 2026 compared with 2025, as well as by the recognition of CSM for services provided. These positive impacts were slightly tempered by losses on onerous contracts resulting from confirmed renewals and sales in Group Insurance: Employee Plans.

   Wealth Management

   For the third quarter of 2026, the insurance service result in the Wealth Management segment totalled $135 million, an increase of $22 million or 19% compared with the same period in 2025.

   The segment's insurance revenue amounted to $416 million in the third quarter of 2026, up 20% from $348 million in the same quarter last year. The increase was driven by strong segregated fund sales in Individual Wealth Management and favourable market performance, which resulted in a higher contractual service margin recognized for services provided during the period, higher revenue recognized to cover trailer fees, and higher recovery of insurance acquisition cash flows. The increase for the third quarter was also driven by the continued increase of the insured annuities block in Group Savings and Retirement.

   The segment's insurance service expenses and net expenses from reinsurance contracts totalled $281 million in the third quarter of 2026 compared with

   $235 million in the same quarter last year, a 20% increase. The change was attributable to higher trailer fees from the increased sale of segregated funds and higher amortization of insurance acquisition cash flows in Individual Wealth Management. It was also due to higher retirement benefits paid in relation to rising insured annuities contracts in Group Savings and Retirement.

   For the nine months ended September 30, 2026, the insurance service result for the Wealth Management segment was $385 million, an increase of

   $71 million or 23% compared with the same period in 2025. The increase is primarily the result of a higher contractual service margin recognized for services provided during the period due to higher segregated fund sales in Individual Wealth Management and favourable financial market performance.

   US Operations

   For the third quarter of 2026, the insurance service result in the US Operations segment totalled $64 million compared with $54 million for the same period in 2025.

   The segment's insurance revenue amounted to $524 million in the third quarter of 2026, up 7% from $489 million in the same quarter last year. The increase was primarily driven by Individual Insurance due to higher recovery of insurance acquisition cash flows, as well as higher revenue recognized to cover expected claims and other insurance service expenses, reflecting growth of in-force business in Individual Insurance.

   The segment's insurance service expenses and net expenses from reinsurance contracts totalled $460 million in the third quarter of 2026 compared with

   $435 million in the same period of 2025. The increase was primarily driven by higher amortization of insurance acquisition cash flows, as well as by higher incurred claims and other insurance service expenses, reflecting growth of in-force business in Individual Insurance.

   For the nine months ended September 30, 2026, the insurance service result for the US Operations segment was $162 million, consistent with the same period last year. While the result has been positively impacted by business growth since the beginning of the year, as well as by higher insurance experience gains in the third quarter of 2026, these impacts were offset by losses on contracts arising from unfavourable policyholder behaviour in Individual Insurance in the first quarter of 2026 and by higher mortality-related claims in the second quarter of 2026.

   Net Investment Result

   For the third quarter of 2026, the net investment result totalled $160 million, a decrease of $140 million, or 47%, compared with the same period in 2025.

   Net investment income amounted to a $1,708 million loss in the third quarter of 2026 compared with a $1,058 million income in the same period in 2025. This decrease was mainly driven by the unfavourable impact of increasing interest rates on the fair value of fixed income assets in 2026, compared with the favourable impact of decreasing interest rates observed in 2025. Results also reflected lower performance on equity investments relative to the strong market environment in the third quarter of 2025.

   Finance income from insurance and reinsurance contracts and change in investment contracts and interest on deposits amounted to $1,868 million in the third quarter of 2026, compared with a $758 million expense in 2025. This $2,626 million increase was mainly driven by the favourable impact of increasing interest rates during the quarter, compared with the impact of decreasing interest rates in 2025, together with equity market conditions that were less favourable than those experienced in the same period in 2025. Interest rates and equity market performance are key factors in determining the finance expenses of insurance contract liabilities.

   For the nine months ended September 30, 2026, the net investment result totalled $619 million compared with $595 million for the same period in 2025. This $24 million increase was primarily driven by stronger returns on equity investments in 2026 compared with the same period in 2025, and by the contribution of RF Capital Group1 following its acquisition. These factors were partially offset by lower returns on fixed income assets, reflecting the broad-based increase in interest rates across the yield curve in 2026 compared with the same period in 2025.

   Other Revenues

   Other revenues include fees earned from the management of the Company's mutual fund assets and the Company's segregated fund assets relating to investment contracts, as well as commissions from intermediary activities, administration income and administrative services only income. For the third quarter of 2026, other revenues totalled $677 million compared with $500 million in the same quarter last year. The $177 million increase is mainly attributable to the Wealth Management segment, driven by the impact of the RF Capital1 Group acquisition, favourable market performance and advisor recruitment, which resulted in higher commission income from distribution and advisory affiliates and higher management fee revenues in Group Savings and Retirement.

   For the nine months ended September 30, 2026, other revenues were $1,965 million, representing an increase of $492 million compared with the same period in 2025. As in the third quarter, this increase was primarily driven by the impact of the RF Capital Group1 acquisition, favourable market performance and advisor recruitment, which resulted in higher commission income from distribution and advisory affiliates and higher management fee revenues from Group Savings and Retirement.

   Other Expenses

   For the third quarter of 2026, other expenses totalled $846 million compared with $636 million in the same quarter last year. The variation is primarily attributable to the Wealth Management segment, reflecting increased commission expenses, driven by the same factors underlying the increase in commission income, and RF Capital Group2 operating expenses. The increase also reflects a higher provision for variable compensation across all segments, driven by the Company's strong financial performance and the impact of the Company's share price on share-based compensation. Other expenses in the Investment segment also increased due to higher financing charges related to the debentures issued in May 2026.

   For the nine months ended September 30, 2026, other expenses were $2,486 million, an increase of $572 million compared with the same period in 2025. The variation since the beginning of the year is attributable to higher commission expenses in the Wealth Management segment in line with revenue growth, and to the impact of the RF Capital Group2 acquisition.

   Income Tax (Expense) Recovery

   For the third quarter of 2026, the Company recorded an income tax expense of $106 million compared with $107 million in the same quarter last year. The decrease was primarily attributable to reduced income tax expense resulting from lower income. This impact was mostly offset by lower tax savings from tax-exempt investment income, combined with lower tax savings resulting from differences in tax rates on income not subject to tax in Canada.

   For the nine months ended September 30, 2026, the Company recorded an income tax expense of $320 million compared with $196 million in the same period last year. The increase was primarily attributable to lower tax savings from tax-exempt investment income, combined with higher tax expense resulting from increased income, as well as an unfavourable tax-related adjustment recognized in the first quarter of 2026 arising from the adoption of new tax legislation that came into effect on January 1, 2025. The recognition of unrecognized tax losses in the second quarter of 2025 also contributed to the variation compared to a year ago. These impacts were partially offset by favourable adjustments related to prior years.

   QUARTERLY RESULTS

   Below is a summary of the Company's quarterly results, taken from the financial statements for the last eight quarters.

   Selected Financial Data

   (in millions of dollars, unless otherwise indicated)	2026			2025				2024
   	Q3	Q2	Q1	Q4	Q3	Q2	Q1	Q4
   Revenues
   Insurance revenue	2,064	2,029	2,016	2,166	1,917	1,881	1,826	1,822
   Net investment income	(1,708)	1,957	(88)	(46)	1,058	(105)	463	273
   Other revenues	677	660	628	619	500	486	487	471
   Total	1,033	4,646	2,556	2,739	3,475	2,262	2,776	2,566
   Income before income taxes	370	516	247	237	480	370	241	269
   Income taxes	(106)	(113)	(101)	(36)	(107)	(43)	(46)	(43)
   Net income	264	403	146	201	373	327	195	226
   Dividends on preferred shares and distributions on other equity instruments	(9)	(19)	(9)	(19)	(9)	(6)	(9)	(6)
   Net income attributed to common shareholders	255	384	137	182	364	321	186	220
   Earnings per common share
   Basic	2.91	4.30	1.50	1.98	3.93	3.45	1.99	2.34
   Diluted	2.89	4.28	1.49	1.97	3.91	3.43	1.98	2.33

   The analysis below presents the main trends and factors that have caused variations in the results over the quarters.

   Over the last eight quarters, the Company saw a steady increase in quarterly insurance revenue as a result of favourable market performance and organic growth, in particular from the Individual Insurance, iA Auto and Home and Individual Wealth Management business units. Refinements in the revenue recognition method in US Dealer Services resulted in an adjustment to insurance revenue in the fourth quarter of 2025, leading to a quarter-over-quarter decrease in the first quarter of 2026, while underlying growth continued. Overall, these trends reflect the Company's strength and performance year over year.

   Net investment income is mostly influenced by changes in the interest rate curve and corporate credit spreads. In 2024, the Bank of Canada lowered rates, affecting both short-term and long-term rates. Although long-term rates remained elevated in 2024 and negatively impacted bond values, macroeconomic factors in Canada drove robust equity and bond returns, supported by reduced credit spreads and real estate recovery. In 2025, increasing long-term interest rates lowered returns on bonds compared with 2024; however, strong financial markets in both Canada and the U.S. contributed to robust returns on equity investments. In 2026, both short-term and long-term interest rates increased, resulting in lower returns on bonds and derivative financial instruments compared with 2025. This impact was partially offset by stronger returns on equity investments.

   Other revenues increased steadily over the last eight quarters. This growth is attributed to favourable market performance, recruitment efforts, and the acquisition of RF Capital Group3 in the fourth quarter of 2025. These factors led to higher commission income from distribution and advisory affiliates and higher management fee revenues in the Wealth Management segment. The relative stability observed in the second quarter of 2025 is attributed to unfavourable global macroeconomic factors in March and April of 2025, which resulted in stagnation of commission revenue.

   Net income attributed to common shareholders fluctuates from quarter to quarter, notably due to variations in revenues and expenses. Some significant variations observed can be explained in part by market-related impacts in the Investment segment, including the impact of financial market performance and interest rate fluctuations on invested assets and liabilities. Variations may also arise from the Company's periodic review of methodologies and assumptions regarding insurance and reinsurance contracts, distributions on other equity instruments and dividends on preferred shares, as well as from other specified items, including tax-related adjustments. Net income attributed to common shareholders for the first quarter of 2026 included an unfavourable adjustment recorded for the impact on existing tax positions following the adoption of the new tax measures, which took effect January 1, 2025.

   Related Party Transactions

   The Company eliminates transactions carried out with its subsidiaries and between the various subsidiaries of the Group on consolidation. It provides investment management services to its pension plans and concludes transactions with associates. These services and transactions are offered and concluded in the normal course of business and are subject to normal market conditions.

   Accounting Policies and Main Accounting Estimates

   The Company's third quarter unaudited interim condensed consolidated financial statements are prepared as outlined in Note 1 "General Information" of these financial statements.

   The preparation of financial statements requires management to exercise judgment and make estimates and assumptions that affect the reported amounts of assets and liabilities, net income and complementary information. Actual results could differ from management's best estimates. Management has exercised its judgment and made estimates and assumptions as outlined in Note 2 "Material Accounting Policy Information" in section b) "Important Estimates, Assumptions and Judgments" of the consolidated financial statements in the Company's 2025 Annual Report.

   † This item is a non-IFRS financial measure; see the "Non-IFRS and Additional Financial Measures" section and the "Reconciliation of Select Non-IFRS Financial Measures" section in this

   document for relevant information about such measures and a reconciliation of non-IFRS financial measures to the most directly comparable IFRS measure.

   †† This item is a non-IFRS ratio; see the "Non-IFRS and Additional Financial Measures" section in this document for relevant information about such measures.

   More information on new accounting policies applied is presented in Note 2 "Changes in Accounting Policies" of the unaudited interim condensed consolidated financial statements for the third quarter of 2026.

5. CSM Movement Analysis

   The contractual service margin, or CSM, is an accounting metric that gives an indication of future profits and that is factored as available capital in the calculation of the solvency ratio.1 However, this metric is not comprehensive as it does not consider required capital, non-insurance business, PAA2 insurance business or the risk adjustment metric, which is also an indication of future profit. Organic CSM movement is a component of organic capital generation, and represents the ongoing CSM value creation calculated excluding the impact of non-organic items that add volatility to the total CSM, such as market variations.

   As at September 30, 2026, the CSM totalled $8.3 billion, an increase of $833 million or 11% over the last 12 months. The following table presents the evolution of the CSM as at September 30, 2026.

   CSM Movement Analysis3

   (in millions of dollars, unless otherwise indicated)	Third quarter			Year-to-date as at September 30
   	2026	2025	Variation	2026	2025	Variation
   CSM - Beginning of period	8,232	7,140	15%	7,650	6,899	11%
   Organic CSM movement
   Impact of new insurance business 4	198	189		617	575
   Organic financial growth	121	97		346	282
   Insurance experience gains (losses)4	1	59		66	155
   CSM recognized for services provided	(236)	(210)		(689)	(605)
   Sub-total - Organic CSM movement	84	135	(38%)	340	407	(16%)
   Non-organic CSM movement
   Impact of changes in assumptions and management actions	-	(1)		(4)	(4)
   Impact of markets	(35)	163		273	168
   Currency impact	2	13		25	(23)
   Acquisition or disposition of a business	-	-		(1) 3
   Sub-total - Non-organic CSM movement	(33)	175		293	144
   Total - CSM movement	51	310		633	551
   CSM - End of period	8,283	7,450	11%	8,283	7,450	11%
   CSM - Net insurance contract liabilities at end	7,793	7,002	11%	7,793	7,002	11%
   CSM - Net reinsurance contract liabilities at end	490	448	9%	490	448	9%
   CSM - End of period	8,283	7,450	11%	8,283	7,450	11%

   Results for the third quarter of 2026

   During the third quarter, the CSM increased organically by $84 million. This increase was driven by the following items:

   • The positive impact of new insurance business of $198 million, mainly driven by business growth, in particular in Individual Wealth Management and Individual Insurance, Canada;

   • Organic financial growth of $121 million, an increase from $97 million in the same quarter of 2025, mainly driven by business growth in segregated funds in Individual Wealth Management; and

   • Net insurance experience gain of $1 million from favourable policyholder behaviour experience in the segregated fund portfolio, partly offset by unfavourable mortality experience and other factors.

   The CSM recognized for services provided in earnings amounted to $236 million, representing an increase of 12% compared to the same period last year. During the third quarter, non-organic items led to a decrease in the CSM of $33 million, mainly due to the unfavourable impact of market variations of

   $35 million.

   As a result of organic and non-organic items, the CSM increased by $51 million (+1%) during the third quarter of 2026 and is 11% higher than a year earlier.

   1 The CSM, excluding the CSM for segregated funds, counts as Tier 1 capital in the solvency ratio calculation.

   2 PAA: Premium Allocation Approach.

   † This item is a non-IFRS financial measure; see the "Non-IFRS and Additional Financial Measures" section and the "Reconciliation of Select Non-IFRS Financial Measures" section in this

   document for relevant information about such measures and a reconciliation of non-IFRS financial measures to the most directly comparable IFRS measure.

   †† This item is a non-IFRS ratio; see the "Non-IFRS and Additional Financial Measures" section in this document for relevant information about such measures.

   3 Components of the CSM movement analysis constitute supplementary financial measures. Refer to the "Non-IFRS and Additional Financial Measures" section of this document for more

   Results for the first nine months of 2026

   During the first nine months of 2026, the CSM increased organically by $340 million. This increase was driven by the positive impact of new insurance business of $617 million-mainly due to strong business growth, in particular in Individual Wealth Management-and by organic financial growth of

   † This item is a non-IFRS financial measure; see the "Non-IFRS and Additional Financial Measures" section and the "Reconciliation of Select Non-IFRS Financial Measures" section in this

   document for relevant information about such measures and a reconciliation of non-IFRS financial measures to the most directly comparable IFRS measure.

   †† This item is a non-IFRS ratio; see the "Non-IFRS and Additional Financial Measures" section in this document for relevant information about such measures.

   $346 million and a net insurance experience gain of $66 million. The net insurance experience gain mainly reflects favourable policyholder behaviour (from new deposits and lapses) in the segregated fund portfolio. These positive items were partially offset by CSM recognized for services provided in earnings of $689 million. During the first nine months of 2026, non-organic items led to an increase in the CSM of $293 million, mainly as a result of the favourable impact of market variations. As a result of organic and non-organic items, the CSM increased by $633 million (+8%) during the first nine months of 2026.

6. Financial Position

   Solvency

   (in millions of dollars, unless otherwise indicated)	September 30, 2026	June 30, 2026	December 31, 2025	September 30, 2025
   Available capital
   Tier 1	6,154	6,406	6,234	6,892
   Tier 2	6,273	6,541	5,534	5,415
   Surplus allowance and eligible deposits	3,109	3,228	3,072	3,255
   Total	15,536	16,175	14,840	15,562
   Base solvency buffer	11,879	11,848	11,156	11,313
   Solvency ratio	131%	137%	133%	138%

   The Company ended the third quarter of 2026 with a solvency ratio of 131%, compared with 137% at the end of the previous quarter and 138% a year earlier. This result is well above the regulatory minimum ratio of 90%. The ratio decreased by six percentage points during the quarter, driven by the impact of the subordinated debentures redemption of $400 million, as outlined in the "Highlights" section of this document, and, to a lesser extent, by capital deployed for share buybacks (NCIB) and unfavourable macroeconomic variations. These items were partly offset by strong organic capital generation during the quarter.

   Organic Capital Generation and Capital Available for Deployment

   	September 30, 2026	June 30, 2026	December 31, 2025	September 30, 2025
   Organic capital generation (in millions)	$180	$180	$170	$170
   Capital available for deployment (in billions)	$0.9	$1.1	$1.1	$1.7

   During the third quarter, the Company organically generated $180 million in additional capital, compared to $170 million during the same period in 2025. During the first nine months, $515 million in capital was organically generated. As at September 30, 2026, the capital available for deployment was assessed at $0.9 billion. The decrease from $1.1 billion as at June 30, 2026 reflects the impact of share buybacks (NCIB) and unfavourable macroeconomic variations, which more than offset organic capital generation during the quarter.

   Financial Leverage Ratio††

   	September 30, 2026	June 30, 2026	December 31, 2025	September 30, 2025
   Financial leverage ratio††	16.5%	18.6%	16.3%	16.4%

   The financial leverage ratio†† was 16.5% on September 30, 2026 compared to 18.6% at the end of the previous quarter. The variation over the three-month period is mainly explained by the net impact of capital management initiatives, primarily the redemption of $400 million of subordinated debentures, as outlined in the "Highlights" section of this document.

   Book Value per Common Share and Market Capitalization

   	September 30, 2026	June 30, 2026	December 31, 2025	September 30, 2025
   Book value per common share1	$81.71	$80.55	$79.24	$79.22
   Number of common shares outstanding	87,342,392	88,384,892	91,735,121	92,322,063
   Share price at close	$202.98	$195.83	$177.83	$158.23
   Market capitalization (in millions)	$17,729	$17,308	$16,313	$14,608

   The book value per common share increased by 1% during the quarter to $81.71 as at September 30, 2026 and by 3% during the last 12 months, reflecting higher retained earnings, mainly from the contribution of the third quarter earnings. These higher retained earnings were partly offset by the impact of the share buybacks (NCIB) and dividend payments to common shareholders.

   The number of common shares outstanding decreased by 1,042,500 during the quarter. This decrease is mainly due to the Company's repurchase and cancellation of common shares under the NCIB program, which was partly offset by the exercise of stock options under the stock option plan for senior managers.

   1 Book value per common share is calculated by dividing the common shareholders' equity, which represents the total equity less other equity instruments, by the number of common shares outstanding at the end of the period.

   † This item is a non-IFRS financial measure; see the "Non-IFRS and Additional Financial Measures" section and the "Reconciliation of Select Non-IFRS Financial Measures" section in this document for relevant information about such measures and a reconciliation of non-IFRS financial measures to the most directly comparable IFRS measure.

   †† This item is a non-IFRS ratio; see the "Non-IFRS and Additional Financial Measures" section in this document for relevant information about such measures.

   Normal Course Issuer Bid

   	Number of shares	Amount (in millions of dollars)
   Shares repurchased and cancelled as at September 30, 2026
   During the third quarter of 2026	917,600	189
   Shares repurchased during the second quarter and cancelled during the third quarter	163,100	31
   Total shares cancelled during the third quarter of 2026	1,080,700	220
   During the first nine months of 2026	4,574,356	797
   Since the beginning of the current program (between Nov. 14, 2025 and September 30, 2026)	4,981,331	866
   Total shares that can be purchased under the current program amended in May 2026 (until Nov. 13, 2026)	7,371,485	-
   Remaining shares that can be purchased under the current program after September 30, 2026 (until Nov. 13, 2026)	2,390,154	-

   During the third quarter, the Company repurchased 917,600 outstanding common shares for a total value of $189 million and cancelled a total of 1,080,700 common shares. The shares cancelled include 163,100 shares that had been repurchased during the second quarter, representing $31 million.

   Under the program in force until November 13, 2026, the Company can repurchase up to 7,371,485 common shares, representing approximately 8% of the float. From the beginning of the current NCIB (November 14, 2025) and up to September 30, 2026, 4,981,331 shares, or 5.4% of the outstanding shares, have been repurchased and cancelled. Therefore, after September 30, 2026, the Company can repurchase up to 2,390,154 outstanding common shares until the end of the program on November 13, 2026.

   Unless a block purchase is made that meets the block purchase exception under TSX rules, the Company may purchase up to 66,402 common shares per trading day. The purchases are made at market price at the time of purchase through the TSX or any other Canadian trading platform, or by any other means authorized under applicable securities laws. If the Company acquires common shares by any other means permitted under securities laws, the purchase price of the common shares may differ from the market price of the common shares at the time of acquisition. The repurchased common shares are cancelled.

   The Company considers that repurchasing its common shares from time to time is an appropriate and desirable use of its available funds in order to increase shareholder value. Shareholders may obtain, without charge, copies of the notice of intent related to the Company's normal course issuer bid, approved by the Toronto Stock Exchange, upon request to the Corporate Secretary at 1080 Grande Allée West, P.O. Box 1907, Station Terminus, Quebec City, Quebec, G1K 7M3.

   CHANGES IN FINANCIAL POSITION ACCORDING TO THE FINANCIAL STATEMENTS

   The following table presents the balances of assets, liabilities and equity in the general fund. The explanations below regarding changes in these balances should be read in conjunction with the "Consolidated Statements of Financial Position" section included at the end of this document.

   (in millions of dollars)	September 30, 2026	December 31, 2025
   General fund assets	61,633	59,761
   General fund liabilities	53,500	51,495
   Equity	8,133	8,266

   As at September 30, 2026, general fund assets totalled $61.6 billion compared to $59.8 billion as at December 31, 2025. The nine-month variation was primarily attributable to a $2.8 billion increase in other assets, mainly driven by amounts receivable arising from investment transactions carried out in the normal course of business. This increase was partially offset by a $1.1 billion decrease in investment portfolio assets, mainly reflecting the impact of higher interest rates on fixed income assets, partially mitigated by equity investment performance, combined with net disposals in the normal course of business.

   As at September 30, 2026, general fund liabilities totalled $53.5 billion compared to $51.5 billion as at December 31, 2025. The nine-month variation reflects a $2.9 billion increase in other liabilities, driven by amounts payable from investment transactions carried out in the normal course of business. This increase was partially offset by a $1.0 billion decrease in insurance contract liabilities, primarily related to insurance finance expenses reflecting changes in interest rates, as well as movements arising from insurance activities. The issuance of $500 million of subordinated debentures completed in May 2026 was mostly offset by the redemption of $400 million of subordinated debentures in September 2026.

   Capital Structure

   (in millions of dollars)	September 30, 2026	June 30, 2026	December 31, 2025	September 30, 2025
   Equity
   Common shares and contributed surplus	1,469	1,480	1,530	1,534
   Preferred shares and other equity instruments	1,000	1,000	1,000	1,000
   Retained earnings and accumulated other comprehensive income	5,664	5,641	5,736	5,778
   Total shareholders' equity	8,133	8,121	8,266	8,312
   Debentures	1,595	1,994	1,496	1,496
   Total capital structure	9,728	10,115	9,762	9,808

   The Company's capital structure is defined as the total of the shareholders' equity and debentures.

   Equity was $8.1 billion as at September 30, 2026 compared to $8.3 billion as at December 31, 2025. The nine-month variation is primarily related to the:

   • favourable contribution of net income, totalling $813 million, and other comprehensive income of $173 million for the first nine months of 2026, more than offset by:

     • the repurchase of $813 million2 in common shares through the NCIB program; and

     • the impact of dividends on common shares of $285 million.

   Debentures increased to $1.6 billion as at September 30, 2026, up from $1.5 billion as at December 31, 2025. This slight increase reflects the issuance of

   $500 million of subordinated debentures in May 2026, which exceeded the $400 million redemption of subordinated debentures in September 2026. As a result of the items listed above, the Company's capital structure amounted to more than $9.7 billion as at September 30, 2026.

   LIQUIDITY

   As at September 30, 2026, cash and short-term investments were $2,506 million compared to $2,272 million as at the beginning of the year3. The following table summarizes the source and use of the Company's funds for the third quarters of 2026 and 2025 and the nine-month periods ended September 30, 2026 and September 30, 2025. The explanations below regarding changes in cash flows should be read in conjunction with the "Consolidated Cash Flows Statements" in the Company's unaudited interim condensed consolidated financial statements.

   Cash Flows

   (in millions of dollars, unless otherwise indicated)	Third quarter		Year-to-date as at September 30
   	2026	2025	2026	2025
   Cash and short-term investments at beginning3	2,378	2,207	2,272	1,566
   Cash flows from (used in):
   Operating activities	880	365	1,510	1,508
   Investing activities	(37)	(61)	(202)	(215)
   Financing activities	(714)	(193)	(1,084)	(527)
   Foreign currency gains (losses) on cash	(1) 6		10	(8)
   Increase (decrease) in cash and short-term investments	128	117	234	758
   Cash and short-term investments at end	2,506	2,324	2,506	2,324

   Cash flows from operating activities generally vary due to income before income taxes, sales and purchases of investments, as well as receipts and disbursements on insurance and reinsurance contracts. Cash flows from investing activities change due to acquisition of businesses and purchases of fixed and intangible assets. Cash flows from financing activities change due to transactions involving equity and debentures.

   2 Includes taxes related to the redemption net of the issuance of common shares, as well as the amount related to common shares repurchased but not yet cancelled as at June 30, 2026, recognized in retained earnings.

   3 Cash and short-term investments at beginning for the year to date as at September 30, 2026 reflects the application of the amendment to IFRS 9 on January 1, 2026. The amount is therefore different from Cash and short-term investments at end previously published as at December 31, 2025.

   Cash flows increased by $128 million during the third quarter of 2026 compared to an increase of $117 million for the same period in 2025. The variation was mainly driven by higher cash flows from operating activities in 2026 compared with 2025, partly offset by higher cash flows used in financing activities between the two periods, primarily due to the $400 million redemption of subordinated debentures in September 2026 and, to a lesser extent, a higher volume of common share repurchases under the NCIB program in 2026 compared with the same period in 2025.

   † This item is a non-IFRS financial measure; see the "Non-IFRS and Additional Financial Measures" section and the "Reconciliation of Select Non-IFRS Financial Measures" section in this

   document for relevant information about such measures and a reconciliation of non-IFRS financial measures to the most directly comparable IFRS measure.

   †† This item is a non-IFRS ratio; see the "Non-IFRS and Additional Financial Measures" section in this document for relevant information about such measures.

   During the nine months ended September 30, 2026, cash flows increased by $234 million compared with an increase of $758 million in the same period in 2025.The lower increase in 2026 was driven by higher cash flows used in financing activities, primarily due to a higher volume of common share repurchases under the NCIB program in 2026 compared with 2025, slightly offset by a higher amount of capital issuance between the two periods.

7. Investments

   The following table shows the main asset classes that make up the Company's investment portfolio.

   Investment Mix

   (in millions of dollars, unless otherwise indicated)	September 30, 2026	June 30, 2026	December 31, 2025	September 30, 2025
   Book value of investments	44,928	47,286	46,024	46,821
   Allocation of investments by asset class
   Bonds	62.7%	64.9%	67.6%	68.1%
   Stocks	16.7%	16.5%	14.1%	13.3%
   Loans (including mortgages)	8.8%	8.1%	8.0%	7.7%
   Investment properties	3.0%	2.9%	3.1%	3.1%
   Cash and short-term investments	5.6%	5.0%	4.9%	5.0%
   Other	3.2%	2.6%	2.3%	2.8%
   Total	100.0%	100.0%	100.0%	100.0%

   The total value of the investment portfolio was nearly $45 billion as at September 30, 2026, compared with close to $47 billion a year ago. The decrease mainly reflects the lower value of fixed income assets due to the impact of higher interest rates, combined with net asset disposals in the normal course of business, partially offset by the performance of equity investments.

   Quality of Investments

   	September 30, 2026	June 30, 2026	December 31, 2025	September 30, 2025
   Bonds - Proportion rated BB or lower	0.7%	0.6%	0.6%	0.6%
   Mortgages - Proportion of securitized and insured loans	50.9%	52.1%	60.1%	59.7%
   Investment properties - Occupancy rate1	89.3%	89.2%	84.4%	84.5%
   Car loans - Net impaired loans as a percentage of gross loans2	0.32%	0.34%	0.46%	0.47%
   Car loans - Total allowance for credit losses (ACL) as a percentage of gross loans3	5.16%	5.02%	5.56%	5.69%

   The indicators in the above table continue to demonstrate the high quality of the investment portfolio. For investment properties, the occupancy rate remained stable during the quarter, continuing to compare favourably with the Canadian office market.4 The quality of the auto loan portfolio remains very good, notably due to a decrease during the last 12 months in the total allowance for credit losses (ACL) as a percentage of gross loans.

   Derivative Financial Instruments

   	September 30, 2026	June 30, 2026	December 31, 2025	September 30, 2025
   Total notional amount ($B)	54	55	52	52
   Company's credit risk
   AA- or higher	100%	100%	100%	100%
   A+ or lower	-	-	-	-
   Positive fair value ($M)	1,316	1,106	926	1,138
   Negative fair value ($M)	936	611	734	904

   The Company uses derivative financial instruments in the normal course of managing the risks associated with fluctuations in interest rates, stock markets, currencies and the fair value of invested assets. These instruments are composed of various types of contracts, including interest rate swaps, market index and exchange rate contracts, forward agreements, futures contracts, and market index and currency options.

   Derivative financial instruments are used as part of the Company's hedging program designed to alleviate the sensitivity of segregated fund guarantees to interest rate and stock market fluctuations. They are also used to hedge the Company's foreign exchange and interest rate risks and as part of investment strategies to reduce the Company's risk profile.

   1 Occupancy rate on investment properties is calculated by dividing the total number of square feet rented by the total number of square feet in the Company's real estate portfolio. Land and real estate properties intended for redevelopment are excluded from the calculation.

   2 Net impaired loans as a percentage of gross loans is a ratio of impaired loans net of allowance for credit losses expressed as a percentage of gross loans. It is an indicator of the quality of the loan portfolio.

   3 Total allowance for credit losses (ACL) as a percentage of gross loans is defined as the ratio of ACL expressed as a percentage of gross loans. It provides a measure of the expected credit experience of the loan portfolio.

   4 Source: CBRE.

   The positive fair value represents the amounts payable to the Company by the different counterparties. This amount fluctuates from one period to another according to changes in interest rates, equity markets and exchange rates. Conversely, negative fair value represents the amount payable by the Company to the different counterparties.

   For more information, refer to Note 4 and Note 6 of the Company's unaudited interim condensed consolidated financial statements.

8. Declaration of Dividend

   The Board of Directors of iA Financial Group approved a quarterly dividend of $1.1800 per share on the Company's outstanding common shares, representing an increase of $0.08 per share, or 7%, compared to the dividend paid in the previous quarter, and a semi-annual dividend of $32.1750 per Non-Cumulative 5-Year Rate Reset Class A Preferred Shares, Series C.1

   The amounts, the payment dates and the dates of closing of registers for iA Financial Corporation common shares and Non-Cumulative 5-Year Rate Reset Class A Preferred Shares, Series C are indicated below.

   Declaration of Dividend

   	Amount	Payment date	Closing date
   Common shares - iA Financial Corporation	$1.1800	December 15, 2026	November 20, 2026
   Non-Cumulative 5-Year Rate Reset Class A Preferred Shares, Series C - iA Financial Corporation	$32.1750	December 31, 2026	December 4, 2026

   For the purposes of the Income Tax Act (Canada) and any corresponding provincial or territorial tax legislation, all dividends paid by iA Financial Corporation on its common shares are eligible dividends.

   REINVESTMENT OF DIVIDENDS

   Registered common shareholders wishing to enrol in the Company's Dividend Reinvestment and Share Purchase Plan ("DRIP") so as to be eligible to reinvest the next dividend payable on December 15, 2026 must ensure that the duly completed form is delivered to Computershare no later than 4:00 p.m. on November 13, 2026. Enrolment information is provided on iA Financial Group's website at ia.ca under About iA, in the Investor Relations/Shares and Dividends section. Common shares issued under the Company's DRIP will be purchased on the secondary market and no discount will apply.

   1 The Non-Cumulative 5-Year Rate Reset Class A Preferred Shares, Series C are not listed on the Toronto Stock Exchange or any stock exchanges.

9. Risk Management and Sensitivities - Update

   The "Risk Management and Sensitivities - Update" section of this Management's Discussion and Analysis (MD&A) contains certain information required under IFRS® Accounting Standards regarding the nature and scope of the risks arising from financial instruments. This information, which appears in the shaded portions of this section, is considered an integral part of the third quarter 2026 unaudited interim condensed consolidated financial statements, given that the standards permit cross-references between the Notes to the Financial Statements and the MD&A.

   As at September 30, 2026, the Company updated some portions of the 2025 MD&A, "Risk Management" section. Considering that the unaudited interim condensed consolidated financial statements do not contain all the information required in complete annual financial statements, they should be read in conjunction with the consolidated financial statements for the year ended December 31, 2025 as well as the MD&A for 2025. The Company's risk profile has not changed significantly with respect to strategic risk, credit risk, liquidity risk, model risk, operational risk, or legal, regulatory and reputational risk.

   Sensitivities provided by the Company constitute forward-looking information and involve risks and uncertainties, and undue reliance should not be placed on them. Refer to the "Forward-Looking Statements" section of this document for more information.

   Immediate Sensitivity

   (As at September 30, 2026)		Immediate impact
   		Net income1 $M after taxes	Equity: OCI only2 $M after taxes	Equity: OCI2 and net income $M after taxes	Solvency ratio Percentage points	CSM $M before taxes
   Public equity3	Immediate +10% change in market values	75	25	100	1.0%	350
   	Immediate -10% change in market values	(75)	(50)	(125)	(1.5%)	(375)
   	Immediate +25% change in market values	150	75	225	3.0%	900
   	Immediate -25% change in market values	(175)	(75)	(250)	(4.0%)	(975)
   Private non-fixed income (NFI) assets	Immediate +10% change in market values of private equity, investment property and infrastructure	325	50	375	1.0%	N/A
   	Immediate -10% change in market values of private equity, investment property and infrastructure	(325)	(50)	(375)	(1.0%)	N/A
   Interest rates	Immediate parallel shift of +50 bps on all rates	(50)	25	(25)	(1.0%)	25
   	Immediate parallel shift of -50 bps on all rates	25	(25)	-	1.5%	(25)
   Corporate spreads	Immediate parallel shift of +50 bps	(25)	50	25	-%	-
   	Immediate parallel shift of -50 bps	25	(75)	(50)	0.5%	-
   Provincial government bond spreads	Immediate parallel shift of +50 bps	25	(25)	-	-%	50
   	Immediate parallel shift of -50 bps	(25)	25	-	-%	(75)
   Rounding		±25 ±25 ±25 ±0.5% ±25

   1 Represents the impact on net income attributed to common shareholders. (Note that the market-related core earnings adjustment corresponds to the difference between the actual reported net investment result and management's expectations, which for equity and investment properties include long-term expected average annual returns of 8%-9% on aggregate.)

   2 Impact of macroeconomic variations on equity (OCI) is related to the Company's pension plan.

   3 Excluding preferred shares.

   Core Earnings† Sensitivities

   (As at September 30, 2026)	Business segment	Variation	Impact on future quarter core earnings†,4 $M after taxes	Description of shock
   Public equity5	Investment	+5%	0.2	+5% change in market values
   		-5%	(0.2)	-5% change in market values
   	Wealth Management	+5%	6.6	+5% change in market values
   		-5%	(6.9)	-5% change in market values
   Private non-fixed income (NFI) assets6	Investment	+5%	3.8	+5% change in market values
   		-5%	(3.8)	-5% change in market values
   Interest rates	Investment	+10 bps	0.2	Parallel shift of +10 bps on all rates
   		-10 bps	(0.3)	Parallel shift of -10 bps on all rates
   	Wealth Management	+10 bps	0.6	Parallel shift of +10 bps on all rates
   		-10 bps	(0.7)	Parallel shift of -10 bps on all rates
   Credit and swap spreads	Investment	+10 bps	0.1	Parallel shift of +10 bps
   		-10 bps	(0.2)	Parallel shift of -10 bps

   Caution Regarding Immediate and Core Earnings† Sensitivities

   Sensitivities are provided in this section for certain risks. The sensitivities are projected using internal models at the reporting date and reflect the Company's assets and liabilities at that date. These sensitivities measure the impact of changing one factor at a time and assume that all other factors remain unchanged. Sensitivities include the impact of rebalancing equity and interest rate hedges as expected with the Company's dynamic hedging program used for guarantees on segregated funds. They exclude any subsequent actions on the Company's investment portfolio.

For solvency ratio sensitivities, it is assumed that no scenario switch occurs when estimating the impact on the interest rate risk under CARLI7 (CARLI interest rate risk is assessed under four different interest rate scenarios, and the scenario leading to the highest capital requirement is chosen as the worst scenario for each geographic region).

4 Impacts on core earnings† for the next quarter.

5 Excluding preferred shares.

6 Private equity, investment property and infrastructure.

7 Capital Adequacy Requirements Guideline - Life and Health Insurers.

1. Reconciliation of Select Non-IFRS Financial Measures RECONCILIATION OF EARNINGS ACCORDING TO THE DRIVERS OF EARNINGS ANALYSIS

   The following table provides a reconciliation between net income attributed to common shareholders and core earnings† according to the drivers of earnings (DOE) analysis. It supplements the information presented in the "Analysis According to the Financial Statements" and "Analysis of Earnings by Business Segment" sections of this document and provides additional indicators for evaluating financial performance. Refer to the "Non-IFRS and Additional Financial Measures" section in this document for more information on presentation according to the DOE and its components.

   Core Earnings† to Net Income Attributed to Common Shareholders Reconciliation - Consolidated

   (in millions of dollars, unless otherwise indicated)	Three months ended September 30
   	Core earnings†			Core earnings adjustments1	Reclassifications2		Income per financial statements
   					Net investment result	Other
   	2026	2025	Variation	2026	2026	2026	2026	2025	Variation
   Insurance service result	380	318	19%	(1)	-	-	379	316	20%
   Net investment result	132	132	-%	(45)	73	-	160	300	(47%)
   Non-insurance activities or other revenues per financial statements	110	97	13%	(10)	(33)	610	677	500	35%
   Other expenses and financing charges on debentures	(152)	(132)	(15%)	(44)	(40)	(610)	(846)	(636)	(33%)
   Core earnings† or income per financial statements, before taxes	470	415	13%	(100)	-	-	370	480	(23%)
   Income taxes or income tax (expense) recovery	(105)	(83)		(1)	-	-	(106)	(107)
   Dividends on preferred shares and distributions on other equity instruments	(9)	(9)					(9)	(9)
   Core earnings† or net income attributed to common shareholders per financial statements	356	323	10%	(101)	-	-	255	364	(30%)

   	Nine months ended September 30
   Insurance service result	1,041	944	10%	(6)	-	-	1,035	937	10%
   Net investment result	387	383	1%	-	232	-	619	595	4%
   Non-insurance activities or other revenues per financial statements	305	280	9%	(28)	(107)	1,795	1,965	1,473	33%
   Other expenses and financing charges on debentures	(426)	(409)	(4%)	(140)	(125)	(1,795)	(2,486)	(1,914)	(30%)
   Core earnings† or income per financial statements, before taxes	1,307	1,198	9%	(174)	-	-	1,133	1,091	4%
   Income taxes or income tax (expense) recovery	(286)	(251)		(34)	-	-	(320)	(196)
   Distributions on other equity instruments3	(37)	(24)					(37)	(24)
   Core earnings† or net income attributed to common shareholders per financial statements	984	923	7%	(208)	-	-	776	871	(11%)

   CORE EARNINGS ADJUSTMENTS

   Please refer to the "Analysis of Earnings by Business Segment" section for a table presenting the net income attributed to common shareholders and core earnings† reconciliation and an analysis of the adjustments that account for the difference between net income attributed to common shareholders and core earnings.†

   1 For a breakdown of core earnings adjustments applied to reconcile to net income attributed to common shareholders, see "Core Earnings Adjustments" in this section.

   2 These reclassifications reflect items subject to a different classification treatment between the financial statements and the drivers of earnings (DOE).

   NET INVESTMENT RESULT RECLASSIFICATIONS

   Net investment result reclassifications totalled $73 million for the third quarter and $232 million for the first nine months, and are broken down in the following table.

   Net Investment Result

   (in millions of dollars, unless otherwise indicated)	Third quarter			Year-to-date as at September 30
   	2026	2025	Variation	2026	2025	Variation
   Net investment result - IFRS Income Statements	160	300	(140)	619	595	24
   Investment income of wealth distribution affiliates Income statements: Net investment result DOE: Non-insurance activities	(34)	(24)	(10)	(112)	(77)	(35)
   Investment expenses Income statements: Other operating expenses DOE: Net investment result	(12)	(7)	(5)	(38)	(26)	(12)
   Other revenues and other operating expenses of iA Auto Finance Income statements: Other revenues and other operating expenses DOE: Net investment result	(25)	(25)	-	(73)	(75)	2
   Income relating to the DSU hedging instrument Income statements: Change in fair value of investment DOE: Other expenses	(2)	(3)	1	(9)	(8)	(1)
   Net investment result - Non-IFRS Drivers of Earnings (DOE)	87	241	(154)	387	409	(22)

   OTHER RECLASSIFICATIONS

   † This item is a non-IFRS financial measure; see the "Non-IFRS and Additional Financial Measures" section and the "Reconciliation of Select Non-IFRS Financial Measures" section in this

   document for relevant information about such measures and a reconciliation of non-IFRS financial measures to the most directly comparable IFRS measure.

   †† This item is a non-IFRS ratio; see the "Non-IFRS and Additional Financial Measures" section in this document for relevant information about such measures.

   Other reclassifications totalled $610 million for the third quarter and $1,795 million for the first nine months. Other reclassifications relate mainly to expenses that are subject to a different classification treatment in the financial statements and the drivers of earnings (DOE). In the DOE, non-insurance activities are revenues net of expenses for non-insurance activities such as, but not limited to, mutual funds, wealth distribution, insurance distribution, group insurance administrative services only (ASO) business and non-insurance dealer services activities. Other expenses in the DOE are those not attributable to either insurance contracts or non-insurance activities. They include, but are not limited to, corporate expenses, amortization of acquisition-related intangible assets and intangible asset and goodwill write-downs.

2. Non-IFRS and Additional Financial Measures

The Company reports its financial results and statements in accordance with IFRS® Accounting Standards. The Company also publishes certain financial measures or ratios that are not presented in accordance with IFRS. The Company uses non-IFRS and other financial measures when evaluating its results and measuring its performance. The Company believes that such measures provide additional information to better understand its financial results and assess its growth and earnings potential, and that they facilitate comparison of the quarterly and full year results of the Company's ongoing operations. Since such non-IFRS and other financial measures do not have standardized definitions and meaning, they may differ from similar measures used by other institutions and should not be viewed as an alternative to measures of financial performance, financial position or cash flow determined in accordance with IFRS. The Company strongly encourages investors to review its financial statements and other publicly filed reports in their entirety and not to rely on any single financial measure.

Regulation 52-112 respecting Non-GAAP and Other Financial Measures Disclosure from the Canadian Securities Administrators ("Regulation 52-112") establishes disclosure requirements that apply, respectively, to the following categories of non-IFRS measures used by the Company:

• Non-IFRS financial measures, which depict historical or expected future financial performance, financial position or cash flow, and with respect to their composition, exclude an amount that is included in, or includes an amount that is excluded from, the composition of the most directly comparable financial measure disclosed in the Company's financial statements;

• Non-IFRS ratios, which are in the form of a ratio, fraction, percentage, or similar representation, have a non-IFRS financial measure as one or more of their components and are not disclosed in the Company's financial statements; and

• Supplementary financial measures, which are not non-IFRS financial measures or non-IFRS ratios but are disclosed on a periodic basis to depict historical or expected future financial performance, financial position, or cash flow and are not disclosed in the Company's financial statements.

Below is a description of the non-IFRS financial measures, non-IFRS ratios and the supplementary financial measures used by the Company. Additional information is provided, along with a description of the reconciliation to the most directly comparable IFRS measure, where applicable.

Core earnings is a non-IFRS financial measure that removes from net income attributed to common shareholders the impacts of the following items:

1. market-related impacts that differ from management's expectations, which include the impacts of equity and investment property markets, interest rates and exchange rate variations on the net investment result (including impacts on net investment income and on finance income (expenses) from insurance and reinsurance contracts) and on the insurance service result (i.e., on losses and reversal of losses on onerous contracts accounted for using the variable fee approach measurement model) and the impacts of the tax-exempt investment income (above or below expected long-term tax impacts) from the Company's multinational insurer status. For such purposes, management's expectations include:

   1. an expected long-term annual return (between 8% and 9% on average) on non-pass-through non-fixed income asset investments (public and private equity, investment properties, infrastructure and preferred shares);

   2. that interest rates (including credit spreads) that are observable on the markets at the beginning of each month of the quarter will remain unchanged during each month of the quarter and that liability discount rates for the non-observable period will change as implied in the discount rate curve at the beginning of each month of the quarter; and

   3. that exchange rates at the beginning of each month of the quarter will remain unchanged during each month of the quarter;

2. assumption changes and management actions;1

3. charges or proceeds related to acquisition, disposition, integration or restructuring of a business;

4. amortization of acquisition-related finite life intangible assets;

5. non-core pension expense, which represents the difference between the asset return calculated using the expected return on plan assets and the IFRS prescribed pension plan discount rate;

6. specified items which management believes are non-recurring or otherwise not representative of the performance of the Company, including (i) material legal settlements and provisions, (ii) tax-related items, (iii) material impairment charges related to goodwill and intangible assets, (iv) reallocations for reporting consistency, which sum to zero on a consolidated basis, and (v) other specified items; and

7. income taxes on items listed above.

Purpose: The nature of the Company's business involves long-term financial commitments which are supported by a resilient portfolio of assets. However, movements in equity markets, interest rates, currency exchange rates, private equity valuations and real estate markets, among other things, result in ongoing variations in value that can be relatively significant to reported assets, insurance contract liabilities and net income attributed to shareholders. Such variations are not necessarily realized and may never be realized, including notably as a result of market movements in opposite directions or, in respect of interest rate movements, if fixed income investments are held to maturity.

Core earnings is presented to assist market participants in understanding the earnings potential of the business over the medium and long term by excluding from net income attributed to common shareholders certain impacts of market volatility, changes in actuarial methods, and items which management believes are non-recurring or otherwise not representative of the performance of the Company. Management believes that core earnings

1 Assumption changes and management actions are governed by a rigorous process, driven by industry guidance, actuarial practices and risk management practices that lead to periodic and necessary adjustments to reflect, as accurately as possible, the impact of historical and recent events as well as the current and projected environment on assumptions and expectations, namely with the objective of meeting all of the Company's commitments and maintaining its financial strength.

enable a more robust comparison of financial and operating performance from period to period and with other reporting issuers. Management also uses core earnings as a key measure to assess operating business performance and as a basis for management planning, compensation and strategic priority setting.

The core earnings calculation is supported by management expectations and assumptions subject to periodic and necessary adjustments to reflect, as accurately as possible, the impact of recent events as well as the current and projected environment on management's medium- and long-term expectations. Market risk and insurance risk management are considered in the calculation of core earnings in a medium- to long-term perspective, taking into account the Company's financial commitments. Core earnings are therefore not immune to market movements and changes in macroeconomic conditions.

Reconciliation: "Net income attributed to common shareholders" is the most directly comparable IFRS measure disclosed in the financial statements of the Company. For a reconciliation of this measure with the most directly comparable IFRS measure, refer to the "Reconciliation of Select Non-IFRS Financial Measures" section of this document.

Core earnings per common share (core EPS)

Core earnings per common share is a non-IFRS ratio obtained by dividing the core earnings by the diluted weighted average number of common shares in the corresponding period. Core EPS is used to better understand the Company's capacity to generate sustainable earnings in comparing the profitability across multiple periods and is an additional indicator for evaluating the Company's financial performance. Management also uses core EPS as a key measure to assess operating business performance and as a basis for management planning and strategic priority setting.

Return on common shareholders' equity (ROE)

Return on common shareholders' equity is a supplementary financial measure, expressed as a percentage, obtained by dividing the consolidated net income attributed to common shareholders by the average common shareholders' equity for the period. This measure provides a general measure of the Company's efficiency in using equity.

Core return on common shareholders' equity (core ROE)

Core return on common shareholders' equity is a non-IFRS ratio, expressed as a percentage, obtained by dividing the consolidated core earnings by the average common shareholders' equity for the corresponding period. This measure provides a general measure of the Company's efficiency in using equity, based on core earnings, and an additional indicator for evaluating the Company's financial performance.

CSM movement analysis

Components of the CSM movement analysis constitute supplementary financial measures. CSM movement analysis presents the movement of the contractual service margin (CSM) on a net-of-reinsurance basis, broken down as follows:

1. Organic CSM movement, which excludes the impacts of items that create undue volatility or are non-representative of the underlying business performance from period to period and helps in better understanding the ongoing CSM value creation. It is the sum of the following components:

   1. Impact of new insurance business, which is the CSM established from non-onerous insurance contracts initially recognized in the period. It includes the impacts related to policy cancellations and acquisition expenses, and it excludes the impacts of unusual new reinsurance contracts on in-force business that are categorized as management actions;

   2. Organic financial growth, which is the movement of the CSM from 1) expected asset returns on underlying items (for insurance contracts measured under the variable-fee approach); and 2) interest accreted based on locked-in discount rates at initial recognition (for insurance contracts measured under the general measurement model);

   3. Insurance experience gains (losses), which is non-financial experience that relates to future services (e.g., policyholder behaviour that differs from expectations) on non-onerous contracts; and

   4. CSM recognized for services provided, which is the CSM recognized in net income for services provided during the period.

2. Non-organic CSM movement, which is the sum of the following components:

   1. Impact of changes in assumptions and management actions, which is the impact on non-onerous contracts of changes in methods and assumptions that relate to future services or other management actions. Changes in assumptions result from the Company ensuring the adequacy of its liabilities. Management actions represent the impact of actions apart from the normal operation of the business, including but not limited to changes in methodology, model refinement and impacts of acquisitions, mergers and divestitures;

   2. Impact of markets, which represents the market experience for non-onerous contracts measured under the variable-fee approach. It is the impact on fulfilment cash flows of actual market variations (e.g., equity markets and interest rates) that differ from expectations;

   3. Currency impact, which is the impact of variations in exchange rates on the CSM, presented in Canadian dollars; and

   4. Acquisition or disposition of a business, which represents the impact on the CSM from contracts acquired as part of the acquisition of a business, or the impact on the CSM as part of the disposition of a business, presented in Canadian dollars.

The total CSM movement equals the sum of the variation of the CSM for insurance contracts and the variation of the CSM for reinsurance contracts disclosed in the note titled "Insurance Contracts and Reinsurance Contracts" in the Company's financial statements.

The CSM movement analysis provides additional information to better understand the drivers of the changes in contractual service margin from one period to another.

Drivers of earnings (DOE)

Components of the DOE analysis constitute supplementary financial measures. The analysis according to the DOE presents net income attributed to common shareholders and core earnings broken down by the following key drivers:

1. Insurance service result, or correspondingly the Core insurance service result when taking into account the related core earnings adjustments, as the sum of the following components (on a net-of-reinsurance basis when applicable):

   1. Expected insurance earnings, which represent the recurring insurance-related earnings on business in force during the reporting period. It is the sum of the following components:

      • Risk adjustment release, which is the change in risk adjustment for non-financial risk for risk expired;

      • Contractual service margin (CSM) recognized for services provided, which is the CSM recognized in net income for services provided during the period; and

      • Expected earnings on PAA insurance business, which is the insurance service result (insurance revenue, net of insurance service expenses) for insurance contracts measured under the premium allocation approach, excluding estimated experience gains (losses).

   2. Impact of new insurance business, which is point-of-sale loss of writing new insurance business identified as onerous as per IFRS 17 during the period. New insurance business refers to confirmed sales, whether or not they have been implemented. The expected profit realized in the years after a contract is issued should cover the loss incurred at the time of issue. The gain of writing new insurance business identified as non-onerous as per IFRS 17 is recorded in the contractual service margin (not in net income).

   3. Insurance experience gains (losses), or correspondingly Core insurance experience gains (losses) when taking into account the related core earnings adjustments, which are differences between expected and actual insurance claims and expenses as measured by IFRS 17. Also included are: 1) estimated experience gains (losses) on insurance claims and expenses for contracts measured under the premium allocation approach, 2) adjustments related to current and past services, 3) insurance experience that relates to future services for onerous contracts, and 4) market experience for onerous contracts measured under the variable-fee approach. Insurance experience gains (losses) correspond to experience gains (losses), excluding market experience for onerous contracts measured under the variable-fee approach.

   4. Insurance assumption changes and management actions, which is the impact on pre-tax net income resulting from changes, on onerous contracts, in non-financial methods and assumptions that relate to future services or other management actions. Changes in non-financial assumptions result from the Company ensuring the adequacy of its liabilities given the Company's own experience in terms of mortality, morbidity, lapse rates, expenses, and other factors. Management actions represent the impact of actions apart from the normal operation of the business, including but not limited to changes in methodology, model refinement and impacts of acquisitions, mergers and divestitures.

2. Net investment result, or correspondingly the Core net investment result when taking into account the related core earnings adjustments, which is the sum of the following components (on a net-of-reinsurance basis when applicable):

   1. Expected investment earnings, which is the net investment income, net of finance expenses from contract liabilities and net of investment-related expenses that are part of core earnings. It excludes the credit-related experience impacts and financing charges on debentures;

   2. Credit experience, which includes 1) the impact of rating changes, including defaults, on fixed income assets measured at fair value through profit or loss of the investment portfolio, and 2) changes in the quarterly credit experience on car loans (which are all classified at amortized cost), including impacts on allowance for credit losses (ACL);

   3. Market experience gains (losses), which are impacts on net investment income and on finance expenses from contract liabilities of actual market variations (e.g., equity markets, interest rates and exchanges rates) that differ from expectations; and

   4. Financial assumption changes and other, which is the impact on pre-tax net income resulting from changes in financial methods and assumptions. Changes in financial assumptions result from the Company ensuring the adequacy of its liabilities.

3. Non-insurance activities, or correspondingly Core non-insurance activities when taking into account the related core earnings adjustments, which are revenues net of expenses for non-insurance activities such as, but not limited to, mutual funds, wealth distribution, insurance distribution, group insurance administrative services only (ASO) business and non-insurance dealer services activities.

4. Other expenses, or correspondingly Core other expenses when taking into account the related core earnings adjustments, which are expenses not attributable to either insurance contracts or non-insurance activities, such as, but not limited to, corporate expenses, amortization of acquisition-related intangible assets and intangible asset and goodwill writedowns.

5. Financing charges on debentures, which represent interest on debentures calculated according to the effective interest method and premiums paid on redemption of debentures that are recognized as Other financing charges in the Income Statement.

6. Income taxes, or correspondingly Core income taxes when taking into account the related core earnings adjustments, which represent the value of amounts payable under the tax laws and include tax payable and deferred income taxes. A life insurer's investment income taxes and premium taxes are not included in these amounts.

7. Dividends/distributions on equity instruments, which are dividends on preferred shares and distributions on other equity instruments.

Purpose: The drivers of earnings provide additional information for evaluating the Company's financial performance and is an additional tool to help investors better understand the drivers of shareholder value creation.

Reconciliation: For a reconciliation of core earnings to net income attributed to common shareholders in accordance with the DOE analysis, refer to the "Reconciliation of Select non-IFRS Financial Measures" section of this document.