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Sun Life Financial (SLF) investor relations material
Sun Life Financial 2025 Scotiabank Financials Summit summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
Strategic business mix and ROE targets
Focus on low capital, repricable businesses and asset management, with asset management trending toward half of the business mix.
Shifted away from U.S. life, variable annuities, and long-term care to support sustainable ROE.
Targeting a 20% ROE, considered reasonable given the business mix and scale, especially with growth in Asia and asset management.
Purposeful business mix designed for resilience across economic cycles.
U.S. business performance and challenges
Dental business faced headwinds due to post-pandemic Medicaid changes, leading to higher claims and revised guidance.
Stop loss business benefits from data, scale, and disciplined pricing, supporting profitability despite healthcare inflation.
Technology investments enhance client experience and operational efficiency, aiding competitive positioning.
U.S. business remains focused on group benefits, avoiding high-capital, long-term guarantee products.
Asset management and growth strategy
Asset management is a core pillar, with a strong presence in public equity, fixed income, and alternatives.
MFS provides stable margins due to variable cost structure and significant cash flow, funding M&A and buybacks.
Alternatives platform has grown to $250B in third-party assets, with ambitions to compete globally.
Synergies between wealth and asset management businesses create a growth flywheel, especially in Asia and Canada.
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